CFO of MasterCard said – Cryptocurrency is too unstable to be a reliable means of payment

Cryptocurrencies like Bitcoin and Ether are too unstable to be a reliable payment instrument. Mastercard’s Indian-origin Chief Financial Officer (CFO) Sachin Mehra said this in a recent interview to Bloomberg. In Mehra’s opinion, cryptocurrencies actually look better in the asset category. He said that digital currencies can help in dealing with cash electronically. Mastercard has taken a number of steps in recent times to establish itself as one of the first companies to adopt blockchain.

This Mastercard executive said that if there is some fluctuation in price every day, like your Starbucks coffee is priced at $3 (approximately Rs 240) today and you will get it for $ 9 (approximately Rs 715) and so forth. day you have to pay a dollar price, so from a consumer point of view there is a problem.

Mehra’s statement comes after some US senators proposed to bring exemption in crypto taxes. The new bill proposes a tax exemption for personal crypto transactions up to $50 (approximately Rs 4,000). The bill, named ‘Virtual Currency Tax Fairness Act’, aims to ease the use of cryptocurrencies as a day-to-day payment mode. According to Mehra, CBDCs and stablecoins are better for day-to-day payments.

A Deloitte survey in June, as CBDC processes continue in several countries, said more than 75 percent of retailers in the US are interested in adopting stablecoins as a legitimate payment option for dollars and cards. Deloitte selected more than 2,000 senior members of retail organizations for the survey.

In May, Mastercard executive Harold Boss said that cryptocurrencies need to be closely integrated into the global economic structure. Currently, Mastercard, one of the top global payment service providers, is accelerating initiatives related to Web3. In June, Mastercard signed up with seven new partners. These include The Sandbox as well as Immutable X, Candy Digital, Mintable, Spring, Nifty Gateway and Moonpay. Mastercard is already working with Coinbase to support cash payments on the recently launched NFT platform.