Elrond Acquires Web3-Based Payments Startup Utrust
By acquiring Utrust, Elrond intends to offer instant settlement solutions for merchants and revolutionize the e-commerce and payments industry. Specific goals include making payments faster and more reliable and introducing a new blockchain and DeFi-based staking called Merchant Yield.
Commenting on the development, Elrond Network CEO Beniamin Mincu, said:
“At their best, payments should happen near-instantly, globally, and at a trivial cost. Enabling this for merchants worldwide is our primary goal. The second product we will be working on together with the newest member of the Elrond family is Merchant Yield, a DeFi-first payment processing solution that will provide yield for merchants, instead of requiring them to pay a percentage of the transacted value. The implications are hard to overstate.”
Currently, payment processors charge merchants anywhere between 3 to 11 percent with a slow settlement time. Elrond aims to solve this by increasing the speed of settlement along with decreased costs related to receiving payments.
Furthermore, the latest Merchant Yield offers a game-changing scalable revenue for Web3-based businesses by transforming crypto processing into a passive income stream, allowing more merchants to get into the multi-trillion-dollar crypto market.
“The idea of payments turning from a cost into a revenue stream sounded as crazy to us as it does to anyone thinking about it for the first time. After exploring this together with Elrond, we not only realized that this is possible, but also that it is the inevitable future of payments. So we decided to join forces and accelerate the implementation of DeFi payments.” said Sanja Kon, Utrust CEO.
Both the firms are open to close collaboration with financial regulators with a focus on an initial rollout in Europe.