New Flexa Payment Network Helps Bitcoin Acceptance In Whole Foods, GameStop, Nordstrom And More
Bitcoin Is Coming To Grocery Stores! New Flexa Payment Makes It Possible To Spend Crypto At Whole Foods, GameStop, And Other Stores
- Flexa payment processor introduces Spedn app to use crypto for in-store purchases.
- FlexaCoin will be used as collateral in the processing of charges at the merchant.
Flexa is launching today, according to multiple reports, making it possible to go shopping with cryptocurrencies. This technology works with the Spedn app by Flexa, which creates a QR code for the crypto assets. From there, the code can simply be scanned at the register upon checkout, which sent the equivalent dollar amount to the merchant instantly. At the time, the cryptocurrency is deducted from the user’s crypto wallet.
Presently, the Flexa processor is set up to use Bitcoin, Ether, Bitcoin Cash, and the Gemini Dollar. To make the payment immediately, Flexa has a crypto asset as well, which is called FlexaCoin, and it is used to secure the transaction, working as an intermediary. The network is a little risky, in that the FlexaCoin is the actual collateral, processing the exchange of the crypto from the user’s wallet after the payment goes through. The exchange is complicated behind the scenes but appears seamless on the surface for consumers.
Gemini released a blog post on Medium to discuss the new launch, saying that they feel “excited” to collaborate with this opportunity. They added that the two firms have the same ultimate goal – “working to build the future of money.” The blog added that the services offered by Flexa, and how it supports the Gemini dollar, marks “another step towards a more efficient, cost-effective, and fairer global financial system.”
By making cryptocurrency available to use in physical shops, there are much fewer risks for the merchants. There is no volatility through the Spedn app, whereas retailers accepting cryptocurrency would have to take the time to cash out cryptocurrency for itself. In doing so, there was always a risk that the price would be lower upon cashing out, but the app removes that. The transaction speeds could slow down retailers as well, and the instant transactions that the QR codes offer will eliminate this problem as well.
A Fortune writer has already tested out the app to see how closely it functions to the way it is advertised. Visiting Baskin Robbins and Starbucks, he found that each transaction deducted from his Bitcoin, and he called the development “a big deal” and “the first widespread, low-friction opportunity” that makes it easier for consumers to shop with Bitcoin, instead of just trade and buy it.
Coinbase recently launched a similar project but in the form of a Visa debit card that instantly pulls cryptocurrency from the user’s crypto wallet. Another business had a crypto card available, but it was shut down after three years last month.