Oobit’s Tap & Pay: Revolutionizing Cryptocurrency Adoption for Everyday Payments
Published: September 15, 2023
Updated: September 15, 2023
Author: Kelly Cromley
Vilnius-based Oobit, a prominent mobile payment application, is poised to transform the landscape of cryptocurrency adoption for everyday payments. In a strategic move to enhance accessibility and efficiency in cryptocurrency transactions, Oobit is unveiling its groundbreaking Tap & Pay solution. This innovation enables cryptocurrency holders to effortlessly conduct contactless payments, akin to the convenience offered by Apple Pay®, using the most popular cryptocurrencies. These transactions can be conducted at any of the over 100 million businesses globally that accept Visa or Mastercard.
Bringing Cryptocurrency to the Masses:
The original vision behind introducing cryptocurrencies, starting with Bitcoin, was to provide an alternative to fiat currencies—a form of digital money that could facilitate borderless remittances and payments. However, the increasing complexities within the crypto space and regulatory challenges have hindered cryptocurrencies from fulfilling their core purpose as a simple and secure substitute for traditional money.
While the number of cryptocurrency holders worldwide has reached an estimated 500 million, the majority still encounter difficulties when attempting to utilize their digital assets for payments. Conversely, most merchants can only accept cryptocurrency payments if they are directly integrated into blockchain ecosystems, limiting their acceptance in the mainstream market.
Understanding the Challenges:
Oobit recognized the multifaceted challenges faced by both merchants and users in embracing cryptocurrencies as a method of payment. Many consumers struggle to comprehend how to make payments using cryptocurrencies, and merchants encounter difficulties in accepting crypto due to regulatory concerns and lack of understanding. These hurdles, compounded by the limited acceptance of cryptocurrencies among businesses, have hindered everyday cryptocurrency users from realizing the full potential of their assets.
Addressing Merchant and User Concerns:
Oobit’s response to these challenges comes in the form of the Tap & Pay solution. This innovative feature allows merchants to accept digital assets seamlessly, eliminating the need for cumbersome sign-ups and providing instant transaction confirmations. Merchants receive payments in their local fiat currency, mirroring the conventional payment process and streamlining the experience for both parties.
The Tap & Pay technology harnesses the power of NFC (near-field communication) on mobile devices to facilitate secure and contactless payments, utilizing existing payment infrastructures. Users benefit from tokenized payments, with cryptocurrencies seamlessly converted to fiat in real-time. The app manages transactions and ensures financial reconciliation for merchants while adhering to user-defined spending policies.
Towards a Web3 Gateway:
While Oobit’s Tap & Pay currently relies on the Oobit app’s internal wallet, the company is actively working towards becoming the bridge between Web3, DeFi, and everyday payments. The future vision involves allowing users to connect external wallets to the Oobit app, enabling payments at supported point-of-sale locations, backed by VISA and Mastercard, directly from their external wallets. Importantly, Oobit will operate in a non-custodial manner, ensuring users retain control over their funds.
Amram Adar, CEO of Oobit, shared the company’s vision, stating, “We developed a powerful value chain that empowers crypto holders to Tap & Pay at any store using their Oobit app through existing Visa and Mastercard POS terminals, with merchants receiving payment in fiat currency just like a regular credit card transaction. In the future, our Web3 solution will open the door to many more users focused on self-custody but still looking for a viable option to spend their crypto.”
The initial launch of Tap & Pay will encompass Europe and the UK, targeting Android and iOS users seeking the convenience of using cryptocurrencies for everyday purchases worldwide. Oobit’s primary markets have traditionally been within the European Union (EU), with strategic plans to expand into regions including Latin America (LATAM), the United Arab Emirates (UAE), Asia-Pacific (APAC), Canada, and Australia.
A Milestone in Payment Evolution:
Oobit’s Tap & Pay feature represents a significant milestone in the evolution of payments, simplifying transactions and encouraging broader adoption of digital assets as a practical means of payment in everyday life. Through ongoing advancements, Oobit is ushering in a new era of financial interaction, making digital assets as user-friendly and convenient as traditional currencies, thus reducing reliance on conventional financial systems.