Point of Sale, or POS, devices are in every store that accepts credit card and debit card payments. However, these machines are being modified by some companies to make it possible to accept cryptocurrency in a retail capacity. Pundix, a company that managed cryptocurrency and payments, has decided to bring this technology from Indonesia to Nigeria.
The POS system from Pundix allows users to shop with four cryptocurrencies – Bitcoin, Ethereum, and two unnamed. They have only integrated it into one store in Nigeria at this point, which is called Joetech Systems Ltd. Some sources are indicating that the technology integration is “a first for Africa.” The devices will be able to accept fiat funds as well, so there will not be any need for the store to have separate POS. Every payment occurs in mere seconds, so the transactions are instantly posted to the blockchain.
There is not much difference between the XPOS and the POS device. The only real difference between these two bits of technology is that an XPOS device is also connected with the blockchain to deal with crypto. According to Pundix, this device can connect with mobile wallets, as well as bank cards.
To elaborate, business development manager with Pundix, Michael Lawal, hosted a video demonstration.
“I have 0.01 BTC and I am going to make a transaction of 200 Naira (Nigerian currency). The cashier provides three options – to pay either with cash, XPOS card or XPOS Wallet. If you are paying with Xwallet you will need to scan a QR code. I am going to use XPOS card and pay using BTC. Once you choose your payment option, the cashier automatically calculates the rate of conversion using current market rates to the local currency, which is Naira. You have two seconds lock in period to safeguard the consumer and the merchant.”
The machine, just like the current device, provides a receipt to users within seconds to show that it was approved.
“Blockchain adoption is very possible. We will continue to collaborate and partner with people who believe in the true adoption, scalability and speed of blockchain.”
Unfortunately, Ezenwa Nduke, who is the managing director for the participating store, has not provided a comment to the media at this point.
Nigeria is the home to over 185 million citizens, making it the most populous nation, along with the biggest collection of bitcoin and crypto users. On LocalBitcoins.com alone, the country has already traded close to $260 million in Bitcoin early this year. However, the big concern consistency seems to be the lack of regulatory certainty as lawmakers continue to deliberate.
The Central Bank of Nigeria (CBN) has warned citizens in the past that they should avoid making purchases of and selling cryptocurrency.
In fact, despite this integration, the CBN reiterated this advice, saying,
“We have not seen any country where cryptocurrency is regulated. We are not at home with cryptocurrency because there is no issuing authority…”
Along with Pundix’s decision to integrate their systems to Nigeria, they are working on shipping out 5,000 XPOS devices to Colombia, the UK, Brazil, Hong Kong, Korea, and Switzerland.