The financial service provider Mastercard officially announced that it had teamed up with the Bahamas’ central bank to deliver a digital currency-linked payment card. The prepaid cards will be linked to the Bahamas digital currency, dubbed Sand Dollar.
The Bahamas Sand Dollar was officially launched in October 2020, and this new partnership will make it possible for Bahamians to use this digital currency for purchases via a prepaid card.
“Under a new program from Mastercard and Island Pay, the Bahamas Sand Dollar prepaid card gives people the option to instantly convert the digital currency to traditional Bahamian dollars and pay for goods and services anywhere Mastercard is accepted on the Islands and around the world.” – Mastercard
The digital currency-linked cards will be issued by the local payment service provider Island Pay. Before this partnership, only registered users could access the Sand Dollar via a digital app from Island Pay at select merchants.
Richard Douglas, Co-Founder of Island Pay, stated that “By working closely with the Central Bank of The Bahamas and Mastercard, we are able to issue a prepaid card unlike any other in the world. We are now able to bring immediate, critical benefits to our customers at a time when they are looking to find new, innovative ways to pay.”
Douglas also said that the company was “thrilled to be able to play an important role in helping to democratise access to currency, especially in areas that are currently underserved.”
The card is backed by the Bahamas Central Bank, the governor of which, John Rolle, said that the bank welcomes “this approach to combining digital currency use with access to foreign currency and other payment outlets.”
“This partnership is an example of how the private and public sector can rethink what’s possible, while delivering the strongest levels of consumer protection and regulatory compliance. We’re creating a lot more possibilities for governments, shoppers and merchants, allowing them to transact in an entirely new form of payment.” – Raj Dhamodharan, Executive VP at Mastercard