The payment market is remarkably one of most developing markets globally. However, Stellar and Ethereum blockchain-based solutions could be a game changer for this space even as point-of-sale fees become a constant bone of contention.
Blockchain consultant at Citi Ventures, Omir Malekan, explained that with Stellar and Ethereum-based blockchains, the market can be revolutionized. He pointed out that with the transparency promised by these blockchains, the integrity of transactions will be improved.
He further pointed out the integration of stablecoins on these platforms and their adoption is set to remove restrictions and issues that has been plaguing the global payment market. Highlighting the merits of stablecoins, Malekan explained that transactions will not only be transparent but faster.
Omir Malekan wrote:
“To users the experience is not that different from today, where most payments are a series of ledger entries between third-parties who hold their money. But thanks to the speed, efficiency and transparency of Blockchains like Ethereum and Stellar, the dollars involved can be moved faster and cheaper than ever. There’s potential for these products to take over global payments, especially once retailers in the US get involved.”
True to form, credit card companies like Visa and Mastercard have had to fight through series of lawsuits from retailers over violations of federal antitrust laws in the last few years.
Credit card issuers like J.P Morgan and Bank of America were also not left out of the war as merchants slammed them with class-action lawsuits which finally resulted in about $6.2 billion in settlement.
Stellar and Ethereum-based Blockchain Projects to bring Semblance of Calm
“Fiat stablecoins will give the retail industry the upper hand. For customers, the experience will be no different than using any other mobile wallet to pay at checkpoint. But for retailers, the blockchain being used will generate massive savings.”
According to Malekan, the adoption of blockchain based products in this space is set to bring about a semblance of calm to all warring sides as these products offer a more comprehensive option to merchants.
The stellar blockchain, for instance, offers cross-border payments due to its integrated payment protocol Stellar Core and provides a platform upon which stablecoins are launched. Malekan explained that due interaction of merchants with these products will not only drive revolutionize the space but also familiarize millions with innovative technologies.