Even though the value of popular cryptocurrencies like BTC (Bitcoin), ETH(Ether) or LTC (Lite coin) are increasing every day, still they are not able to replace the traditional fiat currencies. Why? There are three main reasons which are given below:
- As cryptocurrencies are not regulated and backed by any government, most of the people are not willing to take any risk by investing or using cryptocurrencies for their everyday payments.
- There is no trusted wallet or payment gateway which can accept any type of cryptocurrencies like BTC, Ether etc for paying the various utility bills like energy, internet, mobile phone and more.
- Only a few merchants are accepting cryptocurrencies as a payment option.
To overcome the above the challenges, an innovative protocol named PumaPay is being developed by the company Decentralized Vision. PumaPay is basically an open source Pull payment protocol which aims to provide more efficient, flexible, reliable, secure and cost-effective payment mechanisms. The main objective of the protocol is to increase the usage of cryptocurrencies in everyday payments thereby reducing the transaction fees and other risks associated with the existing payment methods like credit cards.
To achieve the goal, PumaPay protocol uses the concept of PullContracts and PullRequest. What does it mean? Let me explain with a real case study. Rock (a fictional character) came to know that his utility company has recently introduced PumaPay as a payment option. So, he wants to use PumaPay to set a recurring payment for paying his utility bills every month. After giving his account details, a PullContract is created using the PumaPay SDK and the QR code for the same is displayed on the screen. He scans the QR code to know the details of the contract. It explains that the contract can automatically withdraw a variable amount every month based on his electricity consumption. Based on the past payment history, Rock knows that his utility bill has never exceeded $200. So, he sets a limit for the same amount and accepts the PullContract. Now, Rock is connected to the power grid and he doesn’t have to worry about paying the utility bills anymore as it is automated. This payment is an example of Fixed Time Recurring Payment as the amount is deducted at the same time every month.
PumaPay protocol also supports a variety of payment options based on the needs of the business or customer. Given below are some of the supported payment options.
- Single / One-time payment
- Shared payment
- Fixed amount Recurring payment
- Pay-per-use payment
- Shared payment
- Restricted payment
- Money Back Guarantee
As PumaPay is an open source protocol, any business can integrate their existing payment systems or develop new payment solutions on top of the protocol. The only thing you need to access the platform is the PumaPay (PMA) tokens. These tokens will be available for sale during the token sale event of the company.
To learn more information about the PumaPay protocol and the procedure to buy PMA tokens, kindly visit:
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