Stitch, a pioneering payments infrastructure company, has taken a bold step forward with the introduction of a groundbreaking payment method: Pay with Crypto. This innovative approach, the most comprehensive of its kind in South Africa, empowers businesses to cater to a growing customer segment seeking to make purchases using cryptocurrency. With the ability to settle transactions in South African Rand (ZAR), this move signals a significant shift in the payment landscape.
Cryptocurrency Surge in South Africa
Cryptocurrency adoption in South Africa is experiencing remarkable growth, with approximately 7.7 million South Africans owning cryptocurrencies. Popular exchanges like Binance and VALR are facilitating this surge in ownership. Stitch's Pay with Crypto method strategically taps into this trend, allowing businesses to directly engage this expanding customer base.
The Rise of Crypto Payments
Globally, there is a rising interest in utilizing cryptocurrency for everyday transactions. Notably, customers opting for crypto payments tend to spend more than their traditional counterparts. According to BitPay, up to 40% of bitcoin-paying customers are new, and they exhibit a two-fold increase in online spending compared to credit card users. Currently, around 15,000 businesses worldwide accept cryptocurrency payments.
Stitch President's Insight
Stitch President Junaid Dadan underscores the significance of cryptocurrency adoption in South Africa, emphasizing the sizable audience eager to utilize crypto for payments. The Pay with Crypto method presented by Stitch provides businesses with an opportunity to cater to this audience without exposure to direct volatility risks.
How Stitch Pay with Crypto Works
1. Customer Selection: At the checkout, the customer opts for "Pay with Crypto" and chooses their preferred wallet and cryptocurrency.
2. Verification: The customer confirms their mobile number and completes the process by verifying with a one-time password (OTP).
3. Payment Completion: Via an on-screen QR code, the customer opens their wallet app, follows the steps, and makes the payment with their chosen cryptocurrency.
4. Conversion and Settlement: Stitch converts the crypto to ZAR, ensuring the merchant is settled in South African Rand on the following business day.
Enabling Diverse Business Models
- Online Marketplaces and E-commerce: Broaden customer reach by offering additional payment methods.
- Gaming and Trading Platforms: Provide users the flexibility to top up their accounts using preferred cryptocurrencies.
- Travel Providers: Attract a wider user base and enable users to settle payments for international experiences and accommodations while minimizing international transaction fees.
Seamless Integration for Existing Stitch Users
Businesses already leveraging Stitch for various payment methods can effortlessly integrate Pay with Crypto into their existing infrastructure.
Powering Global and African Businesses
Stitch's robust infrastructure already underpins leading global and African businesses across diverse sectors. Notable entities such as MTN, Luno, Multichoice, The Foschini Group (TFG), Standard Bank’s SnapScan, and Yoco benefit from Stitch's innovative payment solutions.
In unveiling Pay with Crypto, Stitch emerges as a trailblazer, reshaping the payment landscape in South Africa and offering businesses a gateway to the expanding realm of cryptocurrency transactions.