The Benefit of Adopting Diem Payment in Daily Retail
As we know, Diem using the Push Payment Model has serval advantages over pre-mobile Pull Payments like Credit Card, NFC Smart Card, and Direct Debit schemes.
The merchant gets the money immediately when the customer completes the push request on their mobile phone.
To realize pull payments, your Primary Account Number – PAN – passes through the hands of everybody involved in processing the transaction. You have to trust the merchant, their IT supplier, the acquiring bank, their third-party processor; the card network; and your own card issuer—and everybody who works for them and has access to their systems.
QR codes and request to pay can be generated on big screens, small screens, point of sales, and even on vending machines.
Bots and artificial intelligence can create a “request to pay” token and present as a QR code or an email link to customers without any human intervention. Bots can operate on a message-orientated architecture to create queues and channels and receive incoming payment notifications on those queues and channels to sync hundreds and thousands of payments at the same damn time.
Challenges to Realize Diem in Offline Retail
However, since most retail payment instruments and infrastructure are designed and built for Card payment Pull Payments, it needs to redesign the last mile mechanism suitable for Push Payments.
Currently, most push payments relay on a pair of mobile-phone apps to send the message when the transaction has completed. This mechanism significantly limits the potential of cryptocurrency payment, especially in the following three scenarios.
First, in large chain stores or retail brands with a comprehensive POS system installed, modifying existing POS software to receive these transaction messages requires many complex system integrations.
Mobile Phone as Payment Terminal?
Second, for retailers with more than one service staff, using a smartphone as a payment terminal means installing the merchant’s payment account private key into a shared mobile phone accessible by many service staff. It is a significant threat to payment security.
Third, there are millions of automatic service machines like vending machines or laundry machines that accept coin and paper today. But it is costly to install a smartphone or networking module inside every vending machine.
To solve these three problems and extend the maximum capability of cryptocurrency payment, we introduce a whole new approach. Our approach consist of three parts:
low-cost offline hardware devices on the merchant side. These devices have different form factors to fit different scenarios. They can operate standalone without an internet connection, or connect to any legacy POS system, or installed in existing self-service machines or vending machines.
Cloud Micro Service
a set of cloud micro-services to manage these devices, to forward App transaction requests to various blockchain platforms, and to construct an encrypted messages channel between these authorized wallet Apps and the devices
a set of API/SDK to allow wallet Apps to communicate with IOT devices and cloud micro-services
How It works
With these three parts working together, the primary business flow is described below. When a merchant wants to request a payment transaction, the device generates a dynamic QR-Code, which includes information about transaction amount and merchant id. After the consumer uses an authorized payment App to scan the QR code and confirm the payment, this App gets a one-time IV-key from the device and send it together with transaction information to the cloud service, and then the cloud service forwards the transaction request to a proper Blockchain platform like DIEM. When the transaction is successful, a cloud service will generate an encrypted message and sen it through the App back to the device. Upon receiving and decrypting the encrypted message successfully, the device will display TRANSACTION SUCESS to the merchant, and then the merchant staff can deliver service or good to the consumer.
Online approach and App-centric design support dynamic flexibility required in modern retail commerce.
Developer-friendly API and white-label wallet apps allow quicker, wider, and deeper industry engagement.
Intelligent IoT devices can fulfill various offline scenarios, such as street booths, stores, restaurants, vending machines, and parking gates.
Low setup and maintenance costs allow massive deployment to fulfill any business development requirements.
WELCOME TO THE ERA OF DIEM PAYMENT
Using our revolutionary approach working together with sizeable stable coin platform like DIEM, we can helpyou to build a whole new payment system which offers more flexibility, lower cost, broader scenarios, and more financial inclusion.