As political uprising worldwide is on daily news headlines, some other less seeable revolution is in progress. This agitation baffles the national borders and sets in at the interaction of payments and e-commerce. The current payment system is represented by a comparatively small number of big merchants transacting large numbers of in-country deals.
The National payment platform’s primary driving force is the rising number of small transactions occurring worldwide. The uptake of the national currency platform is increasing at an alarming rate. Unluckily, the old payment systems can not effectively manage the global turn of the changing economic infrastructure. The aid from Apollo Fintech helps payment platforms to change adaptively.
NPP and e-commerce
The National payment platform is a product of industries, mobile apps, free-lance outsourcing, and outlets. Individuals and small teams dominating it represent the democratization of the current day e-commerce. Suppose the revolution’s limitations were to a single developed country; then, the new design transition would be comparatively fluid because payment infrastructure is robust. When we focus on the underdeveloped countries, a cross-boundary transaction, then efficiency is evident.
For Developed Nations
Developed nations benefit from robust payment platforms like credit card companies, Federal banking systems, or even online payment modules such as PayPal. The last two are very dominant in merchant payments from historical records. For a case study, if we consider a native citizen who is an application developer selling his software on an online platform. The developer is quickly paid because most online stores tend to accept payment through PayPal. After all, it is incredibly inexpensive.
Consider the developer who wants to sell his product to a different country. Suddenly it can realize a payment alternative, becoming more confined. It can then deal with complications of the banking organizations between the two countries. The wiring system can apply to remit payments. Generally, both parties will have to incur a fee. These fees incline to be more expensive than the online payment system or direct bank account deposit. Moreover, these wire transfers can take 1-5 days because they can only be processed during business days. This approach takes a lot of time and is costly.
A lot of developed countries tend to benefit from these necessary arrangements with varying minimal deviations. Receiving payments is comparatively simple, with many alternative options at different costs. We’ve seen that vendors typically arrive at a payment method mainly controlled by cost and convenience. We now clearly understand why the National currency platform is interested in changing this.
Unleashing Unrestrictive Payments for Underdeveloped Nations
Acquiring payments in these Nations has never been free from ambiguity. Naturally, in-country payments are always easy to employ. Though not developed, their banking infrastructure can process paper cheques and many electronic bank types to bank defrayals. How do they carry out cross border transactions?
It is said that nature hates a vacuum, and this is evident around the African continent. A substitute payment system increases cross border functionality. However, most mobile payments are a fast means; the process limits services to sending money across the border. On the other hand, payment happens in in-country transactions. Deposits and withdrawals cannot occur without the involvement of the service provider and customers’ banks. The National payment platform takes advantage of blockchain infrastructure peer to peer networking enabling one to one transactions and is immune to borders.
A Competing Aspect of the NPP
Competition for international payments is going up, and debit and credit card companies may very well find themselves at a disadvantage. Why should Apollo Fintech merchants spend money developing a robust international remittance solution when an existing network can easily do the job?
The answer comes from a fundamental logical question like why string up 15 square miles of copper phone lines when you can put up one cell tower?. The current ‘working’ system has loopholes that require a fill-up. The national currency payment has a cryptographic, well developed financial web. Apollo fintech has come up with a payment platform that makes it economically feasible to get paid regardless of where someone is.
“The National payment platform will simplify communication between economic market participants, as well as save their time and resources. Payments using state-owned cryptocurrencies will be much more efficient, and it will be easier for Central banks to implement their stable coins,” said Apollo Fintech CEO Stephen McCullah. The payment system enables transactions between merchants and individual users through QR code, bank cards, and SMS. It is a practical approach since it is even able to support a basic feature phone.
The software developers demonstrated that the payment system’s basis is on the blockchain. It can allow making payments with national cryptocurrency. Central banks can use the payment platform upon issuing their stable coins. Therefore, a government agency can interact with commercial banks and other financial institutions.
They can then make payments by the stable cryptocurrency issued by the central bank. It eliminates the barriers that exist when individual banks try to make their cryptocurrency. Suppose there is a provision of access to these stable payments to individuals, financial institutions, and banks. In that case, it will boost the platform’s development and the widespread introduction of the non-cash payment.
The democratization of international payments is on the route, and the national payment platform is quickly catching up. Traditional banking payments have been unable to fill the void existing in the current and future payment systems. With already fairly sophisticated payment systems existing, the national currency system is poised to challenge the other financial institutions.
The system is well adapted to offer convenience to affiliate marketers, direct sellers, and specialized payroll providers. It is built-in with high ranking features that increase defensibility concerning competitors. It is then not surprising that the National currency system offers the cheapest, most convenient solution.