What are PullPayments?
At PumaPay, we talk a lot about ‘PullPayments’. This is a cool technology that many developers and merchants worldwide are excited about. But what if you’re not a techie but an everyday user and traditional shopper? How much do you really need to know? Relax: we’ve got you covered.
The Technology for Non-Techies
PullPayments are ‘smart’ payment mechanisms, which integrate traditional payment scenarios with blockchain technology.
Tied to PullContracts, PullPayments can benefit merchants cross-industry by reversing the way in which payment mechanisms are engineered. Instead of having the Customer ‘push’ funds to the Merchant’s account, but rather having the Merchant send a PullRequest to the Customer’s wallet, this type of ‘pull’-based payments empowers both sides involved in the transaction by giving them full control over their funds.
All incoming and outgoing payments are subject to pre-authorization of the parties involved in the ‘pull’ transaction, and only take between a few seconds to a few minutes to process, by simply scanning a QR code. This QR code relates to the PullContract released for the transaction. Once the contract is approved, the transaction goes through.
Technically, the PullPayment protocol enables day-to-day transactions, such as pay-per-use, recurring payments (fixed and variable amount payments), restricted payments etc., which are supported in both online and offline environments.
Furthermore, the unique protocol built around PullPayments in PumaPay’s launching pipeline equally leverages the strengths of blockchain technology and traditional billing methods by simplifying the first and bringing it at the fingertips of every merchant.
Changing the paradigm
Involving a wallet-to-wallet transfer of tokens, PullPayments can benefit merchants in multiple ways.
Firstly, with PumaPay, merchants can forget about the stress that comes with chargebacks and fussy buyers’ remorse. Once the QR code is scanned, if the parameters set on the wallet are met, the PullRequest is approved and the funds are transferred to the merchant’s account. Practically, the only time a potential buyer has the chance to change their mind about a purchase is at the stage of approval. If the PullContract is rejected, the transaction is stopped without any hassle and not a cent leaves the client’s wallet.
Secondly, the state-of-the-art PullPayment system of PumaPay is extremely flexible and easy to use, allowing merchants to customize PullPayments to their needs. For the first time over the blockchain, merchants will have the chance to design their own transactions by adjusting the parameters to their own billing requirements.
Thirdly, taking place over the blockchain, PullPayments cannot be intercepted by any malevolent 3rd party, neither are they subject to the scrutiny of a ‘centralized’ institution such as a bank. Using latest-generation hash encryption, Pull-transactions are encoded cross-wallet transfers of payment data and tokens subject only to the pre-authorization-acceptance of the parties involved in the process.
The benefits
Ultimately, PullPayments overcome the blockchain limitations. Despite the ease-of-use intent behind the concept, the blockchain and crypto-payments come in a package with a lot of technical intricacies and economic drawbacks, which prevent cryptocurrencies from becoming a proper means of exchange for goods and services. Most of the cryptos are only in the spotlight of a small community of crypto geeks and traders, while making the headlines of financial publications due to their high volatility.
Apart from that, the use of cryptos for daily payments is far from being smooth. The whole technical process from coin mining to transferring funds to another wallet and awaiting acceptance from the other party can take hours to complete, not to mention the extra fees associated with crypto payments.
That was the story of Kashmir Hill, senior reporter at Gizmodo Media, who back in 2013, wanted to explore the economic power of the Bitcoin and use it to buy lunch.
After hitting a wall of resistance from the merchants’ side, who would hardly ever accept bitcoin payments, she eventually found one who did. But when it came to actually paying for her lunch at that local grocery store, it took 2 hours for the transaction to complete. Kashmir couldn’t wait that long, so, she left the shop still starving…
Did we hear a gasp, anyone, anywhere? Relax, PumaPay has got your back… Again. Nothing like that could ever happen with PumaPay, and here’s why.
Without claiming to reinvent the wheel, PumaPay overcomes all the technical Bitcoin-style limitations as it will be running on the new generation blockchain. Not only is a PullPayment completed in a heartbeat, but no high fees will be charged on top of the actual product price.
Does good to you, everyday shoppers? Join our Telegram group now and find out more by asking your questions.
