Payments services provider Mastercard has collaborated with Ethereum software company ConsenSys to help launch a scaling solution that offers ‘enterprise-grade scalability’ to financial institutions.
As per the announcement, ConsenSys partnered with Mastercard’s engineering team to develop ‘ConsenSys Rollups’, a modular software solution that enables higher transaction throughput for permissioned blockchain applications.
🔈Very excited to announce the launch of @ConsenSys Rollups in partnership with @Mastercard to provide enterprise-grade scalability + address the key challenge of scalable applications on the @ConsenSysQuorum tech-stack🚀https://t.co/NE6kuDBYW4
— ConsenSys (@ConsenSys) December 16, 2021
The solution aims to improve the processing power and privacy features of Ethereum mainnet and private ConsenSys Quorum networks. ConsenSys Rollups will allow private chains to achieve roughly 10,000 transactions per second, a far higher number than their average throughput of 300 TPS.
In its official announcement, ConsenSys explained that the Ethereum network has seen massive growth in areas such as DeFi, NFT, Web 3.0, and metaverse, resulting in more than 177 million Ethereum addresses on the network.
While it signals positive growth, ConsenSys highlighted the emerging need for scalability and privacy-enhancing solutions, especially for private networks.
“ConsenSys Rollups enables vastly more scalability in addition to strong privacy protections to both enhance solutions for existing use-cases and enable new use-cases. This innovative solution will help accelerate the building of the future of finance”, said Madeline Murray, Global Lead of Protocol Engineering at ConsenSys, in the announcement.
The new Rollups can have several use cases in Central Bank Digital Currencies (CBDCs), Decentralized Exchanges (DEXs), Micropayments, and Private transfer and taxes.
ConsenSys and Mastercard collaboration comes after the payments giant participated in ConsenSys’ $65 million funding round in April.