Mastercard Had An Outage, So Crypto Had a Field Day

Mastercard Had An Outage, So Crypto Had a Field Day

  • By Admin
  • January 11, 2020

Payments giant Mastercard suffered a severe outage last week that led to a hold-up in transactions.

As reported on July 12 by the Financial Times, it had a worldwide impact, sparking a round of complaints from the payment firm’s customer base.

As could be expected, those affected quickly took to social media to voice their frustration with the mastercard giant, which eventually was ready to resolve things and resume service for its customers.

In most cases, that might are the top of the story. This time, however, Crypto Twitter took notice, which made all the difference for what was likely a busy day for the mastercard giant’s press team.

In fact, the company’s Twitter threads soon filled up with comments from cryptocurrency supporters and enthusiasts, who were only too wanting to means the perceived benefits of their preferred payments rail.

What might be considered an inevitable question was eventually posed: why isn’t Mastercard using bitcoin?

To be sure, the payments firm has very publicly moved to explore and test applications of blockchain, even going thus far as trying to rent more developers to figure on the tech. And as CoinDesk has reported, Mastercard is seeking variety of patents around cryptocurrency use (including one it won this week) – a suggestion, if anything, that the thought is on its radar.

But even still, critics of the corporate argued amid the outage that Mastercard will face a “huge rival” from either bitcoin or another cryptocurrency.

Supporters of specific cryptocurrencies also came bent heckle the payments giant, including supporters of XRP and therefore the technology developed by distributed ledger startup Ripple, and people backing the cryptocurrency Dash (formerly referred to as darkcoin). 

But would the use of blockchain or cryptocurrency have prevented things Mastercard found itself in?

Journalist David Cox tackled the question in a piece of writing for PaymentsSource, arguing that existing blockchain tech would likely be infeasible for Mastercard’s present needs.

Whether the technology as applied to Mastercard could have helped is probably an open question, but nonetheless, things was a chance for the crypto faithful to throw a touch shade the company’s way.