HashCash targets South African blockchain market with new payment processor
The African continent is steadily becoming one of the most fertile regions for the proliferation of blockchain technology, and South Africa is one of the countries under the spotlight in this movement.
This can be largely attributed to the massive challenges with transactions and operating businesses that heavily rely on traditional banking methods, which can be expensive, time-consuming, and inaccessible.
This conundrum has opened up opportunities for blockchain companies to find a foothold there, and HashCash Consultants is one which is rapidly gaining prominence in the South African e-commerce sector.
Blockchain, also known as the distributed ledger technology, has been recognized by the SA regulators as an innovation most suited to address the pain areas holding back a major chunk of the population from participation in the national economy.
Although the growing e-commerce platforms have taken retail options to extents unthinkable without technology, completing transactions is still a challenge.
Currently, the most used mode of payment is cards (around 40%), followed by e-wallets (25%). By 2023, e-wallets are expected to become the most opted mode of payment in South Africa.
The payment processor by HashCash Consultants packs all the advantages available in the cryptocurrency payment realm. This is an end-to-end product with Bitcoin invoicing, merchant account management interface, payment dispute management, and ticketing among other features.
It accepts payments in popular cryptocurrency other than Bitcoin as well, such as Bitcoin Cash, Ethereum, Litecoin, and HCX. The duration of processing a payment is much less than traditional methods, with payouts initiated weekly enabling cash deposit in one’s bank account in a short 5-6 business days.
The payments are deposited directly into the user’s bank account which insulates it from the volatility of Bitcoin. Moreover, large volumes of transactions are confirmed in a few minutes with zero risks of a charge back which reduces the chances of online fraud.
“The processor has heightened accessibility and has an on-the-go mobile app which gives users access to the payment metrics dashboard at any time”, explains Raj Chowdhury, MD of HashCash Consultants. “Security is also prioritized in this product, with the account interface protected with double verification during login. It implements major BIP Payment protocols BIP 70 and 73 for payments.”
The Bitcoin and Cryptocurrency payment processor by HashCash is available to merchants and to conventional payment processing companies who already have a network of merchants in a revenue share model.
The API of the product is encrypted and easy to integrate with existing e-commerce platforms. The product offers ‘pay now’ buttons as well as APIs to integrate to top shopping carts.
Bitcoin does not mandate its users to bear the risks of payment fraud, neither are sensitive details of users required for merchants on a blockchain network to refund payments, or customers to make payments.
This is a big step toward the prevention of identity theft associated with online transactions. Transactions executed using cryptocurrency are recorded on the blockchain and can be traced back to the source in case of an incident of a fraudulent transaction.
Since all a cryptocurrency payment processor requires are an internet connection and a mobile device, payments can be made from any part of the world with these two provisions. The need for a third party is completely eliminated, along with its entailing processing fees.
South Africa is turning to blockchain technology to transform existing infrastructure, especially in the finance sector. The innovation is poised to make a paradigm shift in the way e-commerce, speculated market revenue of which could amount to US$3,395m in 2019, is conducted, 64% of users of which belong to the demography in the age group ranging from 18-34 years.
This is basically a group in the early stages of their career and is most aware of the threats of cybercrime. Blockchain addresses these problems as it facilitates transaction processing at lower costs, reduces fraud, provides a highly secure and transparent ecosystem to conduct business, and mitigate human error and inefficiencies.
A survey conducted in 2017 revealed 47% of citizens in South Africa plan to invest in cryptocurrency, establishing their trust in the technology. The South African government, therefore, recently put together a crypto assets regulatory working group to research the potential of blockchain and cryptocurrency. Developments such as these indicate a future in which blockchain will play a large part in molding the economy of this African nation.