MasterCard Joins the Blockchain Train, Submits Application for New Patent

MasterCard has been known for being a critic of the blockchain technology, but now they have decided to go with the unstoppable wave of the blockchain by applying for a blockchain related patent. This is an upgrade from its last blockchain patent application for a cryptocurrency fractional reserve bank. The company said the bank would offer a new approach for making transactions anonymous, different from what was already offered by Monero (XMR) as well as other digital coins.
The method which MasterCard describes doesn’t sound new; in fact, it appears to be another version of coin mixing, something a lot of businesses have been doing for years.
Coin mixing is also referred to as tumbling, and it is a procedure whereby many different inputs are gotten from senders and then tumbled together in order to release new transactions with obscured sources. Tumbling bitcoins can be done in a lot of ways.
MasterCard has its process, and they are described below:
A transfer transaction request made from the processing server wallet may be received by the blockchain node, and the requested fund may then be transferred to the device of the recipient.
Some embodiments may have the sender device or recipient device notified by the processing server of the transfer and also included may be a record identifier of the transaction which will be utilized in the second transaction.
This may enable the sender to transfer a certain amount of cryptocurrency to the recipient in total anonymity as the only thing that may be reflected may be the processing server facilitated by the blockchain. The work of the processing server is to make the source and destination of transactions vague.
The description above shows the way Bitcoin mixing works. The mixer’s site makes it easy for transactions to be created and then the owner of the transaction will be able to specify where it should be sent with the right amount to send as well. Also, the sender may choose the number of rounds in the sending process which means that before the coins are successfully transferred, they will first be tumbled from one wallet to another on the server.
The use of multiple blockchain wallets is adopted by some embodiments in their processing server to make anonymity better enhanced.
Another embodiment may choose to make funds transfer anonymous by breaking the second transaction into multiple transactions through the processing server which when calculated, the multiple transactions sum up to the actual transferred amount.
No one knows the real intention of MasterCard with this patent. Since MasterCard is a financial company that adheres to regulations, whatever they choose to launch will be subject to regulatory approval. Therefore, if that is the case, the Bitcoin tumbler will also be regulated, which means that every transaction originating from MasterCard will at least have the information of the sender retained in order to respect the AML and KYC laws.

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