Mastercard announced yesterday that it has partnered with agricultural-based blockchain outfit GrainChain to create digital records of commodities. The two firms will harness their resources to create digital records throughout supply chains in the U.S., Mexico, and Central America.
The GrainChain, best known for its blockchain solution that targets the Honduras coffee industry, is backed by Overstock’s Medici Ventures. The service offered by GrainChain enables traceability and settlements in the country where its coffee industry employs 20% of the population.
According to the announcement, the new partnership will use a platform known as Provenance, where users can forensically track the commodities using blockchain technology to authenticate the produce. The idea is to help farmers and brands protect their reputation as well as consumers.
The platform will offer end-to-end visibility for customers
GrainChain marketing director, Tom DeRosa, voiced his satisfaction about the partnership. According to him, “Our partnership with Mastercard is for provenance and traceability.”
He further said the main purpose of the partnership with the card payment giant is to offer reliable end-to-end visibility for customers and the capability to authenticate its origin. GrainChain has chosen Mastercard as an industry-agnostic platform because it has the best technology in the market to scale globally, he reiterated.
Founder and chief executive officer of GrainChain, Luis Macias, also commented on the development, claiming that the collaboration will improve the country’s supply chain and the continent at large.
He further stated no reliable real-time accountability, transparency, and profitability with streamlined global trade. As a result, the country’s retail suppliers are hindered from taking their operations to the next level.
While commenting on the partnership, Vice President of Mastercard’s Innovation and Startup Engagement, Deborah Barta, said the partnership is essential for the digital identity of goods. She said,
“The traceability market is a global industry, and the digital identity of products and goods is even more critical today.”
At first, GrainChain began with Hyperledger Fabric for its blockchain technology. Earlier this year, it switched to Symbionts Assembly to provide a better and more efficient service. GrainChain revealed that the new technology had improved services, and the collaboration with Mastercard will be beneficial for mission-critical use cases in the financial service sector.
GrainChain also revealed its satisfaction and joy with Symbiont’s Assembly and the massive role in the financial services.
Mastercard gets deeply involved in blockchain
On a similar note, with the current level of partnerships between Mastercard and some blockchain-based firms, it seems the card payment giant has finally embraced blockchain and distributed ledger technology. Mastercard has also collaborated with other firms like this in the past. The most recent is its collaboration with Envisible to incorporate Wholechain, Envisible’s food traceability system, into its Provenance platform.
Mastercard has also announced it will soon roll out a central bank digital currency (CBDC) testing platform. With the launch of the platform, it will enable central banks to test roll-out strategies. The card payment giant is also involved in other digital identity solutions projects, which shows its strong support for blockchain technology.