Every Day Crypto — Part 2 — Adoption
We’re pivoting.
In part 1, we discussed the UX, speed and security issues with accepting crypto payments in coffee shops. There are two additional problems we discovered, and they are solvable as well.
Let’s backtrack a bit to say that with the help of MakerDAO grants and excellent design from #patrykadas, we made a web-based POS that solves all issues from the previous post.
You are welcome to give Ching a try!
This setup works great for crypto events and hackathons but falls apart on contact with service industry reality. So let’s discuss the new problems we found.
No integration with existing POS systems
POS market is 30 years old and is very competitive, which means that making a system that outperforms existing ones in terms of convenience and feature set on top of adding crypto support is going to be very difficult.
Having a separate system work alongside means there will be a need for another app or a separate tablet just for crypto transactions, which is not ideal. The ideal solution here is for existing POS providers to add support for crypto.
Solution: Don’t fight the market. Make a service that can be used by POS providers that want to add crypto support quickly.
Crypto is not in the mainstream yet
There is a stable equilibrium where nobody is using crypto. See diagram.
I think things like Facebook’s Libra can potentially change the left box soon, but if it fails, I’m sure Eth 2.0 (or various layer 2 solutions) will have apps that will gradually introduce more and more people to crypto.
After a certain threshold, the loop will break, making crypto support a hair-on-fire problem for sellers.
Solution: Prepare the service. This will be a serious competitive advantage when the loop is broken.
Ching V2: In-person crypto payments as a service
Let’s think about what exactly can be provided as a service.
The flow discussed in part 1 doesn’t need any changes. Here is a diagram:
All the customer-side screens can be provided by the service and made customizable so no effort required from a POS provider. The seller-side integration should be as easy as:
- Add an “accept a crypto payment” button
- Show QR-code (provided by service the library/package/API)
- Handle transaction received/completed/failed
This can be further simplified by using a modal provided by the service that shows QR-code, confirmation progress, status, possible errors and retries. This way, the POS provider needs to add one button and implement a transaction completion handler.
Sellers also need a way to specify where the incoming funds need to go. This is just a wallet address that can be set in the app UI or in the transaction modal on first use if look-and-feel customization is not a priority. Later advanced features like selecting accepted currencies, instant conversions, and multiple currency-specific wallets can be set up.
Lastly, there needs to be a web portal for POS providers where they can get API keys, see logs, and set up transactions fees. No effort, other than creating an account, is needed from POS providers.
Overall, this type of service will allow a single front-end developer with no prior crypto knowledge to add multi-currency, multi-chain crypto support to their product in a span of a sprint (or two)!
Support for xDai is already included and we are planning to work with as many layer-2 solutions as possible.
Next steps
We’re hard at work on the service and are aiming to have functional web-portal and client-side Swift library for Massive Adoption event in Memphis, in November.
Work with us! We’ve got some funds from MakerDAO and looking for an experienced iOS developer and a web designer. Hit me up at roman@ching.store if this looks interesting to you!
