STK Card for POS payments with cryptocurrencies

[DeluxeJR]

TLDR: Vitalik wants a crypto card for mass adoption and we’re building it.

Vitalik Buterin, founder of Ethereum, expresses interest in actual adoption of cryptocurrencies by being able to transact with it in-store.



"I think there's too much emphasis on BTC/ETH/whatever ETFs, and not enough emphasis on making it easier for people to buy $5 to $100 in cryptocurrency via cards at corner stores. The former is better for pumping price, but the latter is much better for actual adoption."

-@VitalikButerin



The goal of any financial technology company, no matter how big or small, is to make it simpler for you to manage your money. In contrast, for almost a decade, cryptocurrency adoption has been hampered by poor and arcane user interfaces, wrapped around a counter-intuitive and error-prone technology.

STACK gives the chance to users that wants to pay with crypto in the Point-of-Sale that can lead to Mass adoption.

Below is a comparison of gas costs, and how they were significantly improved when we introduced the Multi-token payment channel. Members who pay with any token besides STK pay network fees in STK.

Multi-token channel: adding new tokens

If you transact with another ERC20 token: the user pays fees for initializing a channel (129000 units of gas) and settling the channel, (about 115000 units of gas). In total, the user pays around 244000 units of gas to transact. Assuming a gas cost of 10.1 gwei, the transaction fee is $0.727.
If you transact with STK tokens: STK will pay all operational costs for facilitating payments. Regardless of the number of transactions, the user would pay $0 on top of the STK required for the purchase.
Single-token channel: transacting with additional tokens

If you transact with another ERC20 token: the user pays fees for initializing the channel (600000 units of gas) and settling it (100000 units of gas). In sum, each new payment channel would cost the member about 700000 units of gas. Assuming a gas cost of 10.1 gwei, the transaction fee is $2.08565.
If you transact with STK tokens: just as in the above example, the user pays no fees.
In summary, we have significantly improved the architecture to the benefit of both members and for STACK. It costs about 34.8 % less in gas for a member to transact using a Multi-token payment channel than with a traditional single-token channel.

[Nemoja]

I face high taxation in my country when i convert crypto to fiat. If i had a card that I can spend directly my cryptos anonymously I would be extrremely happy. STK Card can be used to any retail shop?

[Atherus]

If you transact with STK tokens: just as in the above example, the user pays no fees.
In summary, we have significantly improved the architecture to the benefit of both members and for STACK. It costs about 34.8 % less in gas for a member to transact using a Multi-token payment channel than with a traditional single-token channel.

34.8% is a significant cost reduction in fees. Less fees can help increasing instant payments in the point of sale. However this post doesn't help to understand the technology that causes this reduction. Please share more info that will make understand it.

[DeluxeJR]

If you transact with STK tokens: just as in the above example, the user pays no fees.
In summary, we have significantly improved the architecture to the benefit of both members and for STACK. It costs about 34.8 % less in gas for a member to transact using a Multi-token payment channel than with a traditional single-token channel.

34.8% is a significant cost reduction in fees. Less fees can help increasing instant payments in the point of sale. However this post doesn't help to understand the technology that causes this reduction. Please share more info that will make understand it.

Not only there is a reduction in cost but also the speed of the transactions happen instanly because of the state channels that are developed and they can do transactions offline. And when the channel is closed then the txs are going to be processed online in the blockchain.

[quadgod]

If you transact with STK tokens: just as in the above example, the user pays no fees.
In summary, we have significantly improved the architecture to the benefit of both members and for STACK. It costs about 34.8 % less in gas for a member to transact using a Multi-token payment channel than with a traditional single-token channel.

34.8% is a significant cost reduction in fees. Less fees can help increasing instant payments in the point of sale. However this post doesn't help to understand the technology that causes this reduction. Please share more info that will make understand it.

Not only there is a reduction in cost but also the speed of the transactions happen instanly because of the state channels that are developed and they can do transactions offline. And when the channel is closed then the txs are going to be processed online in the blockchain.

Can the payments be made in many cryptos? If my BTC is over can I use BCH to fill the amount for the payment?

[DeluxeJR]

Can the payments be made in many cryptos? If my BTC is over can I use BCH to fill the amount for the payment?

State channels are designed to accept Multiple cryptos so you can do that if you can fill the payment with your crypto amounts.

[quadgod]

Can the payments be made in many cryptos? If my BTC is over can I use BCH to fill the amount for the payment?

State channels are designed to accept Multiple cryptos so you can do that if you can fill the payment with your crypto amounts.

That's fair. Many people has a portfolio of crypto assets so this is convenient for payments. I am one of them.

[Atherus]

i read that stack is open for fiat use and crypto is still on beta test, moving fast for it can be beneficial for a first mover like the project stack