Cred Merchant Solutions was unveiled in Emeryville at San Francisco Blockchain Week at an event featuring several California officials. The new point-of-sale system will help unbanked sectors, such as the cannabis industry in California, accept encrypted customer payments and pay taxes.
Read also: Video: Will Bitcoin crash or double its price after halving? Minors have their say
Cred Merchant Debut Solutions
The Universal Protocol Alliance (UPA) and Cred organized a private event at the Ohana Cannabis Clinic in Emeryville, California on Wednesday, October 30 to celebrate blockchain week in San Francisco.
Dan Schatt, CEO and co-founder of Cred, unveiled at this event the new Cred Merchant Solutions, a portable point-of-sale terminal that supports the unbanked, underfunded and poorly funded people around the world. The Android-based terminal will be deployed at cost price to businesses and help them pay taxes quickly, significantly reduce transaction costs and reinvest money in the business.
Cred Merchant Solutions converts a customer's payment into crypto, which is then loaned to companies around the world, while merchants instantly get sales equivalents and governments receive their share of taxes, Schatt explained. to a hundred participants at the event. It is said that the new system is faster than Square, fairer than Visa and more user-friendly than Chase. With this solution, customers can pay as they wish, merchants can use it to earn, borrow and save, and local governments collect tax revenue in real time.
Based in the San Francisco Bay Area, Cred is a decentralized banking platform serving customers in 179 countries and lending capital of more than $ 300 million. It offers interest rates on more than 30 crypto and fiduciary currencies through its network of partners. Cred was founded by former Paypal veterans with the mission of enabling everyone to benefit from low cost credit products.
Universal Protocol Alliance is a group of like-minded cryptocurrency and blockchain organizations that want to connect different digital assets within a single network. Alliance members include Bittrex, Brave, Certik, Omisego, Blockchain at Berkeley, Uphold and Cred. The group released the Universal Dollar (UPUSD), the first stablecoin to feature on Uphold. Each UPUSD is backed by the US dollar and coins are minted with every transaction written on Ethereum.
California leads the United States in cryptographic payments
The Crypto Take-Away event at a new Cred summit attracted local officials such as Emeryville Mayor Ally Medina, Berkeley Mayor Jesse Arreguín and Berkeley Councilman Ben Bartlett. Indeed, Cred Merchant Solutions will help support the underserved business sectors of banks, such as the California cannabis industry, worth more than $ 2 billion a year.
US federal banking regulations currently treat cannabis sales as illegal activities, which prevents clinics from accessing traditional banking services and exposes them to additional security risks. Despite this, the sector has continued to grow steadily and local businesses need reliable access to financial services. In fact, sales in California accounted for about 34% of legal sales in the United States last year.
Cannabis shops in California sold about $ 2.5 billion worth of products in 2018 alone. This is compared to just $ 1.5 billion in the Colorado cannabis market, $ 1 billion in Washington and $ 0.6 billion in Oregon. The authorities also benefited from the growth of the sector, with the first quarter of 2018 generating $ 60.9 million in tax revenues, $ 80.2 million in the second quarter, $ 100.8 million in the third quarter and $ 4 million in the fourth quarter. $ 111.9 million. These tax revenues are expected to increase only to the extent that the cannabis market in California is expected to reach $ 7.7 billion by 2022 due to the opening of the leisure market.
Berkeley Bartlett also announced that he is sponsoring a municipal plan to allow businesses to deploy Cred Merchant Solutions for tax collection and that he would work to enact similar legislation nationally so that California will be a precursor to solving the problem of cash-intensive businesses. "What's missing is money. When 70% of these operators do not have a bank account, we run out of money, "Bartlett said. "One of the ways to lighten the burden of these businesses is to reduce their burden, provide security and collect tax revenue for the city."
California is home to innovative startups, tech companies and many entrepreneurs in Silicon Valley and beyond. As such, it should not be surprising that this leads to the adoption of cryptocurrency payments in the United States. In September, we announced that Bartlett had become the first elected representative to buy cannabis using a digital asset. He used cash bitcoin (BCH) and the Cred LBA token to facilitate the transaction at the Ohana Cannabis clinic in Emeryville.
What do you think of using crypto to pay for legal cannabis in California? Share your thoughts in the comments section below.
Images courtesy of Shutterstock.
Check and track the bitcoin cash transactions on our BCH Block Explorer, the best of its kind in the world. Also track your holdings, BCH and other coins, on the market charts of Bitcoin.com Markets, another original and free Bitcoin.com service.