Sequoia Capital: Blockchain could reduce Mastercard's revenue

Bitcoin House News March 1 CoinDesk reported that Sequoia Capital, a large mutual fund operator headquartered in New York, hinted that blockchain technology would pose a threat to credit card network operators.

The comments were part of a report on Sequoia Capital's performance released by Ruane, Cunniff & Goldfarb, which offers a comprehensive portfolio of products. Sequoia Capital currently holds shares in 10 public companies, including a 4.3% stake in Mastercard.

In the report, Sequoia praised Mastercard's strong performance since its 2006 IPO, but also said new technologies will affect the company's market value, including blockchain technology.

Sequoia Capital wrote:

“Mastercard’s stock market performance is flawless, but the evolution of mobile payment habits and blockchain distributed ledger technology could pose long-term challenges to the company’s long-standing business model.