QLC Chain Can Help Carriers to Build a SWIFT-like Network Based on Direct Carrier Billing
China has long been recognized as one of the leading markets for cashless payment. It is an irreversible trend that consumers want fast and simple payments. E- and m-commerce is on the rise, gradually matured payment gateways keep winning more markets, banks are also introducing their own payment platforms to join this arena, trying to eliminate middlemen and winning customer loyalty. Regardless of regulatory challenges that appear in several jurisdictions, the competition keeps escalating.
Most recently, Facebook CEO Mark Zuckerberg, along with other internet company giants, is planning to tap into the payment industry by introducing new cryptocurrencies that are meant to allow users to send money to contacts on their messaging systems. Analysts from Barclays predict that this movement will bring $19 billion of additional revenue for Facebook.
We can’t help but notice that one quite essential player, has long been pushed out from the highlight on the global stage — carriers. However, the truth is that there are four times more users in the world who have smartphones than those who have bank accounts. In Africa, Indonesia, the Philippines, where people are unbanked, there are as many as 100 million smartphone users conducting payments and transactions via Direct Carrier Billing (DCB).
Actually, in China, there is a large volume of online esports and virtual merchandise being paid via the carrier network, even it seems that WeChat Pay and Alipay have dominated the whole industry.
Looking through the history of telecommunication technology development, and the business models it underlined — carriers dedicated to upgrading the infrastructure and providing fast network speeds, wide coverage, and low subscription fees whereas increasing OTT businesses relentlessly took advantage of the above and made fortunes.
It is time for QLC Chain to help carriers catch up with blockchain based digital payment functions. With the advent of cryptocurrency and the concept of blockchain technologies, carriers have now been offered a unique opportunity to compete with the banking industry for the digital payments sector. Better than the conventional DCB, QLC public chain enabled digital payments will offer carriers more advantages by way of supporting carriers to issue their own stable coin. QLC Chain will execute the payment and clearance functions for DCBs when the carriers connect with QLC Chain’s public network. At the same time, the public network will conduct inter-carrier clearance (e.g. roaming customers). For consumers, they don’t need to register or authorize credit cards in the App any longer. Blockchain enabled DCB will be simpler and easier as the user identification and authentication has been taken care of and also more likely to have ubiquitous access underpinned by Blockchain merchants onboarding.
- About QLC Chain
QLC Chain is the first public chain for the telecom industry with embedded telecom service capabilities. It is a trusted platform for telecom service providers and supports token issuance. With the token and the public ledger system, carriers can facilitate global payment for their customers, including but not limited to App Store/Google Play purchase, ticketing, travel booking, and digital content purchase.
- Benefits for carriers to adopt Blockchain technology
Integrate the business model with mobile payment business: mobile payments are usually a credit card, gateway (e.g. Alipay) pillared markets and carriers are not involved in the value chain; carriers gain entry to this arena and acquire clients thus expanding their markets
Deep connection with content: with streaming service providers implementing the payment channel and accepting carrier crypto, carriers become much closer to the content consumers, allowing them to tailor make their offers and increase competitiveness;
Lower operation fees: the clearing and billing between blockchain based DBC and the merchants will happen at the same time as transactions are logged on a trusted ledger.
- Benefits for telecom service users
Unique identity: Have you not felt tired of registering with Email, Facebook Account, Tencent or WeChat for accessing to certain services, giving away tons of private and personal data for the service providers to collect and use, among other things, for pushing commercials. One of the most annoying things is once you forget the center account password, your whole online identity will collapse. Considering the carriers are providing the very bottom layer of the online service access, they should grant users the unique and secure means of identification, allowing them to access all services.
Secure identity: ID fraud has always been telcos’ as well as service providers’ most costly problem. With ID granted by carriers recorded on the blockchain, users ID will be protected from malicious changing as the public ledger is immutable.
Seamless payment experience: online and offline payment should be frictionless, same as domestic and international payment. Crypto has been widely recognized as the trusted means which overcomes the weakness of fiats, for example, forex trouble or unbalanced digital banking development.
From QLC Chain’s point of view, mobile operators have never had a finer opportunity than this to reshape the global citizen ID, offer a comprehensive digital payment system and even challenge the existing banking system. Carriers would be wise to build on the efficiencies and cost-saving appeal of direct billing by adopting QLC Chain’s platform. Building alliances within the industry including peers, merchants and content provider, to lead the global digitalization trend, whichever number of wave it is.
It is foreseeable that in the next three to five years, as more and more operators are connected to the QLC Chain public network, an inter-banks-like SWIFT settlement network will be formed based on DCB system enabled on top, providing payment and value transfer services to people, especially the billions of people who are not covered by traditional banks.