The Tap & Pay solution enables cryptocurrency holders to make contactless payments, similar to the experience offered by Apple Pay, using major cryptocurrencies at any of the over 100 million businesses worldwide that accept Visa or Mastercard.
According to the official press release, the introduction of cryptocurrencies, starting with Bitcoin, was envisioned as an alternative to traditional fiat currency, offering a digital form of money for cross-border remittances and payments. However, due to increasing complexities in the cryptocurrency space and regulatory limitations, cryptocurrencies have yet to fulfil their intended role as a straightforward and secure substitute for traditional currency.
Despite millions of cryptocurrency holders globally, the majority of users encounter difficulties when attempting to utilise their cryptocurrencies for payments. At the same time, most merchants can only accept cryptocurrency if they are directly integrated into blockchain ecosystems.
Oobit has identified the challenges faced by both merchants and users in embracing cryptocurrencies for payments. The team acknowledges that while cryptocurrency adoption is on the rise, many consumers struggle to comprehend how to make payments with cryptocurrencies. Merchants, on the other hand, grapple with issues related to cryptocurrency acceptance, compounded by daily news about associated risks.
These challenges, coupled with the fact that a significant number of businesses do not currently accept cryptocurrencies, result in cryptocurrency holders being unable to use their assets as originally intended.
Users face their own set of obstacles, including concerns about overpayment due to fluctuating network fees and cryptocurrency prices, as well as delays caused by network confirmations. Additionally, regulatory uncertainties and market volatility contribute to merchants' reluctance or inability to adopt cryptocurrencies.
In this context, Oobit has developed its Tap & Pay solution, enabling merchants to accept digital assets without the need for onboarding processes and providing instant transaction confirmations, ensuring they receive fiat currency as usual.
The Tap & Pay feature simplifies the process for both merchants and users, eliminating the need for merchants to integrate complex systems or undergo extensive training. Users can effortlessly make purchases with cryptocurrencies through the Oobit app, while merchants receive payments in their local fiat currency, streamlining the experience for all parties involved.
The technology behind the app leverages NFC (near-field communication) on mobile devices to facilitate secure and contactless payments through existing payment networks. Users benefit from tokenized payments, with cryptocurrencies seamlessly converted to fiat currency in real time. The app efficiently manages transactions and ensures financial reconciliation in line with user-defined spending policies.
While Oobit's Tap & Pay solution currently operates within the Oobit app's wallet, the company is actively working on becoming the gateway for Web3 payments in the physical world. This means users will have the option to link external wallets to the Oobit app, allowing them to make payments at any supported point-of-sale (supported by VISA/MS) directly from their external wallets. Oobit will operate in a non-custodial manner, ensuring users maintain control over their funds.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now