Witness the Oncoming Banking Revolution via Blockchain and Mobile Payments

 Over the past two years, both established companies and new startups have been investing heavily in improving their blockchain and mobile payment infrastructure. A blockchain is defined as a distributed database that maintains a continuously growing list of data records secured from tampering and revision. The benefits of increased security and near-instantaneous availability of funds will radically change how we currently view online mobile payments.

    There are four major reasons why blockchain will revolutionize mobile payments:

1.  Increased mobile payment security
2.  Instant access to funds
3.  Expansion of digital wallets
4.  Reduction in the cost of remittance fees

    Mobile payments have often been considered vulnerable given the exponential growth of mobile payment fraud especially fraud and duplicate charging. The blockchain has the ability to reduce, if not eliminate, this vulnerability since transactions are logged into a permanent ledger that is impervious to tampering. In addition, the distributed record of financial transfers and extremely secure user accounts will provide a significant barrier to any cybercriminal activity.

    The second benefit of blockchain technology is the near-instantaneous availability of funds following a financial transfer. Currently, Bitcoin transfers often take several minutes to go through while other mobile payments transfers take several hours to finalize. The blockchain will revolutionize this payment transfer through use of significantly faster networks. By the time you finish reading this sentence, the funds transferred from one account to another will be fully available.

    Another benefit of the blockchain is the near-elimination of almost all other methods of payments. Check payments were all-but-eliminated with the invention of the ATM. In the same way, the blockchain will complete the transformation to a nearly cashless society relegating cash and credit cards as obsolete relics. With the ability to use multiple signature methods for verifying purchases and the promise of a reduction of fees on online purchases through enhanced security, the digital wallet will rapidly become the payment method of choice in today's economy.

    The last significant benefit of blockchain is significantly reduced remittance fees. As reported by theWorld Bank, the cost of sending remittances was 7.37% as of December 2015. Blockchain promises to greatly reduce if not eliminated transfer and processing fees providing a significant economic benefit to its users.

    Blockchain and mobile payments promises to change the way we currently think about online payments through enhanced security, instant fund availability and reduced fees. In the years to come, blockchain stands to become the payment method of choice across the globe.

Banking's 'Uber Moment': Keeping Up in the Era of Fintech

Financial technology is proving to be a significant disrupter in the financial sector. Similar to how Uber completely transformed the taxi industry, financial startups will have a real impact on the banking industry in the next few years.

In fact, such effects have already begun to take place. The Financial Times estimates that around 100,000 banking jobs were cut in 2015, including those from HSBC, Morgan Stanley, and Credit Suisse.

Banks must now compete on technology in order to stay relevant. According to a 2015 survey by software firm Temenos, 27% of senior bankers reported tech companies as the greatest threat to their business.

As mobile phone Internet use is becoming increasingly popular, mobile wallets are quickly becoming more utilized by consumers. Banks looking for new revenue streams should strongly consider building their own mobile wallets in order to compete with technology like Apple Pay and Google Wallets.

Companies looking to build their own mobile wallets can do so using mBeaconPay, a new mobile payment device that enables banks to both acquire new merchants and offer payment-processing services without going through credit card networks or the walled  gardens of Apple or Google.

Using proprietary Smart Beacon Technology, mBeaconPay conveniently supports all wireless proximity technologies like BLE, NFC, QR, and Wi-Fi in a single unit and seamlessly integrates with all point of sale systems.

The mBeaconPay was recently nominated for Best Cash Innovation Award by PYMNTS.com.

Financial startups are quickly changing the banking landscape, and the industry must adapt in order to keep up with these new technological advances. For more information on how companies can build their own mobile wallets using mBeaconPay, contact us.

Cryptocurrencies Spreading in Canadian Retail

Cryptocurrencies in retail are becoming more practical as a payment form with new businesses accepting and now even selling bitcoin every year. 

Canadian bitcoin users now have an additional 6,000 retail locations to purchase their favorite cryptocurrency, according to CryptoCoinNews.

As bitcoin transactions continue to expand, more and more consumers are looking for easy and practical ways to purchase bitcoins. 

Thanks to bitcoin ATM maker BitAccess, Canadian consumers have access to a new bitcoin purchasing method. 

BitAccess is based in Ottawa, and this week they detailed how customers will be able to purchase bitcoin at 6,000 retail locations. They'll do so with a ‘Flexipin’ voucher. The vouchers can be purchased with cash or a payment card, and they'll work like a gift card. 

BitAccess said Flexipin is a "prepaid voucher that lets you top-up your accounts to make secure, hassle-free online payments. Because Flexepin are prepaid, the risk of having your identity and banking information exposed online is eliminated."

After a customer buys the Flexipin voucher from a cashier, they'll be given a receipt. Sixty seconds later, that receipt can be redeemed for the cash equivalent of the cryptocurrency that was purchased. 

Flexipin vouchers will be sold in denominations of $10, $30, $50, $100 and $250.

BraveNewCoin reported that although purchases can be made anonymously, customers will need to have a BitAccess web account in order to redeem their coins. 

BitAccess has also implemented a purchase cap of $250 worth of the cryptocurrency each day. 

To redeem bitcoins after purchase, customers just need to log into their BitAccess account and type the code printed on their Flexipen voucher they received from their cashier. 

More retailers are beginning to accept bitcoin payments, and if your business is seeking a way to accept bitcoins, look no further than Netclearance's own mBeaconPay technology. The mBeaconPay platform integrates with cash registers, enabling them to process bitcoin transactions.

If you're interested in learning more about our mBeaconPay technology, please contact us.

Cryptocurrencies Accepted Here

The topic of economics is on many people's minds, these days. Numerous presidential candidates discuss economic policy on the campaign trail and in debates with other candidates. Few of them mention Bitcoin, an innovative alternative to modern-day fiat currency. As Bitcoin increases in popularity, the candidates harm nobody but themselves when they ignore it.

For those unaware, fiat currency is the currency which is printed and minted by a country's government. This would include the Euro, the US, Canadian, and Australian Dollar, and the British pound. Fiat currencies are simply printed, and cannot be exchanged for their equivalent in precious metals, such as gold, silver, or platinum. Many economists point out that the oversupply of fiat currency leads to inflation, allowing governments to subtly manipulate prices. Bitcoin was created to solve this problem. It's an algorithm that cannot be counterfeited, and no more than 21 million can be created. Launched back in 2009, its popularity has steadily grown. Though primarily used for online transaction, there is a need for cryptocurrency use in retail in order to adjust to the ever-shifting market. 

Since Bitcoin does not exist in physical form, special hardware is needed to make transactions with it. Netclearance provides everything a business needs to expand its accepted forms of payment to fit the modern world of commerce. Our software is usable by iPhones and Android smartphones, and easily interfaces with existing Bitcoin wallets. We also provide hardware for cash registers and unattended vending, ushering your business into the future, whether you own a convenience store, restaurant, or grocery store.  Contact us today to find the solution that works best for you. 

Revolutionizing Proximity Payments Technology

Over the past few decades, we have seen society's preferred mode of payment shift from physical currency to debit cards and credit cards. As time goes on, other forms of payment have emerged, and are poised to take over as our new preferred method of payment. Proximity payments technology is but one of these technologies, and consists of the use of smartphones in order to transfer funds between businesses and customers in exchange for products and services, transcending industries and finding more nuanced uses every day. According to eMarketer.com, proximity payments in the United States handled $8.7 billion in transactions for the year 2015. For 2016, experts expect this number to climb as high as $27 billion. If this trend continues, this means that this technology will be the main method of financial transaction by 2019.

How Does Proximity Payment Work?

Proximity payment technology consists of an exchange between a smartphone and another compatible device via Bluetooth technology, where the smartphone acts similarly to a debit or credit card, connected to a customer's bank account. Of course, this means that both devices in a proximity payment exchange need to have Bluetooth capabilities, but as time goes on, more and more devices are becoming Bluetooth compatible.

Netclearance vs. Other Proximity Payment Technologies

As proximity payment technologies have become more popular, many companies have tried to jump on this trend, each with varying degrees of success. Examples include Android Pay, ApplePay, and Samsung Pay. While each of these technologies are innovative, they all have their own issues that impede ease of access, including:

• Usable only on phones they manufacture (walled garden effect)
• Credit card based systems
• User data shared with Google and other sites
• No options for customization
• Added fees

With our mBeaconPay technology at Netclearance, we want to help our users break away from these constricting qualifications, offering freedom through features such as:

• Phone agnostic (supports all smartphones regardless of make and model)
• App-based
• User data shared only with relevant banks and retailers
• No or low transaction fees
• Customizable (white-label)

With such a stark contrast, it's clear why mBeaconPay available here at Netclearance is more effective than its competitors. Contact us today to find out more!

The Future of Cryptocurrencies in Retail is here

In an increasingly digitized society, computers and the internet are changing every aspect of our daily lives, including the way we pay for products and services. Dollars, coins, and checks are slowly being replaced by debit cards and credit cards with magnetic bars and chips. As time goes on, a new competitor emerges, one that's even more sophisticated. Known as cryptocurrencies, digital currencies such as Bitcoin are beginning to replace standard versions of currency. However, many businesses still are not equipped to allow consumers to use cryptocurrencies in retail, meaning that there is a large volume of potential revenue retailers are not taking advantage of.

Why are Bitcoins excluded from retail?

Bitcoin is still a relatively new technology, with a lifespan of only a few short years. It goes without saying that it will take some time for this technology to mature and become more popular, both with consumers and with retailers. Traditional card reader terminals are unable to accept cloud-based bitcoin payments and interact with bitcoin wallets.

At the same time, there are steps we can take to get ahead of the game.

How can Netclearance help with cryptocurrencies in retail?

With the mBeaconPay platform offered here at Netclearance, we can help close the gap between consumer and retailer, allowing both parties to use Bitcoin effortlessly. Our platform integrates seamlessly with retail cash registers, allowing the acceptance of Bitcoin. As more and more companies get started on this new technology, more and more customers will want to use it.

It's never too late to get started with the currency of the future. Netclearance is here to help your business reach more consumers in the digital age.