Tassat wants to prove that blockchain technology must be boring.  Its new product recorded $800 million in transactions over the weekend

Tassat wants to prove that blockchain technology must be boring. Its new product recorded $800 million in transactions over the weekend

Fintech firm Tassat launched its new blockchain product, the Digital Interbank Network, on Saturday, incorporating three banks and completing more than $800 million in transactions within its first three days of operation.

While blockchain projects invoke ideas of decentralization, Tassat has taken a different approach. The New York-based company has created TassatPay, a private blockchain-based solution for merchant banks that allows their merchant customers to send instant payments 24/7, 365 days a year. Since 2019, TassatPay has processed more than $500 billion for clients like signature bank.

“We believe the banks are well equipped to disrupt the unemployed.”

Kevin Green, CEO of Tassat

TassatPay enables bank customers to transact with each other, although it does not allow payments between customers of different banks. With the launch of the Digital Interbank Network, B2B customers in any member bank will be able to transact with each other. Currently, there are three participating banks: Cogent Bank, Customer Bank, and Western Alliance Bank. Customers made about 400 transactions totaling more than $500 million within eight hours at the start of the weekend.

Tassat may lack the name recognition of a few other crypto-fintech disruptors, but its drag shows the diverse use cases of blockchain technology. As CEO Kevin Green explained to luck, The lack of fuss among the average crypto-follower is intentional – the Tassat product is exclusively for commercial and non-consumer customers, with the understanding that the vast majority Payments are between businesses, not between businesses and consumers, or B2C.

The B2B payments landscape is still quite old. Despite the advancement of digital solutions, an estimated 40% of B2B payments in the US are still making By paper check, with payments restricted to working hours.

Green said he saw the potential of blockchain and realized that financial institutions can apply the technology to digital payments but without the risks of decentralized systems. Instead, Tasat has built a licensed Proof of Authority blockchain — a concept that may fend off early cryptocurrency boosters, but has proven attractive to Tasat’s clients.

“We believe the banks are well equipped to disrupt the disruptors,” Green said.

Major banks have long sought their own blockchain solutions. There was the startup R3, a consortium backed by some of the world’s most powerful banks, including Goldman Sachs And the c. B. Morgan ChaseAlthough it you didn’t win Lots of traction. JP Morgan Now it has its own blockchain team called Onyx, as well as a digital currency – JPM Coin – to facilitate global payments.

Green said TASSAT is specifically targeting smaller regional and community banks while recognizing that they are less likely to develop their own bespoke payment options. “We think it is important for traditional banks that are not huge banks to be enabled with blockchain,” Green said.

“The theory is that all the creativity is in the Bay Area and Silicon Valley,” he added. “What we see is, when we empower banks with blockchain, they are creative, because they know their customers.”

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