- Elrond Network acquired Utrust, a cryptocurrency payment platform.
- The acquisition aims to make faster, cheaper, and more secure payments on blockchain.
- Elrond claims its network has a speed of 100,000 TPS.
Elrond Network has announced the acquisition of Utrust, one of the rising cryptocurrency payment platforms today. With the recent acquisition, Elrond aims to pave the way for the creation of a new high-bandwidth, low-latency, inexpensive financial system accessible by anyone from anywhere.
The acquisition of Utrust sets to establish Elrond’s two goals. The first is to make faster, cheaper, and more secure payments through blockchain technology. The second goal is for Elrond to enhance merchant yield by providing a means for merchants to convert practices that traditionally incur costs to them into a new income stream.
By obtaining Utrust, Elrond intends to revolutionize e-commerce and payments. Utrust describes itself as the first crypto payment solution that has buyer protection and crypto-to-cash settlement features.
By using blockchain technology, Elrond plans to make payments completely digital to offer near-instant and secure global settlements at a negligible cost, which will be accessible to merchants all over the world. As it stands, Elrond claims that its blockchain platform has a breakneck speed of over 100,000 transactions per second.
The network is also planning to bring powerful decentralized finance (DeFi) mechanics to create a paradigm shift through merchant yield products.
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.
In many contexts, payment processors often offer slow settlement time and charges merchants between 3% to 11% of each transaction. This amount is the difference between profitability and bankruptcy for many businesses in the world.
By applying blockchain technology, Elrond not only increases the speed of settlement but also decreases the costs related to receiving payments. Moreover, Elrond aims to transform them into scalable revenue. Consequently, merchants will be able to get more of the multi-trillion dollar crypto market into the business, and rather than paying for transactions, they can earn from it. For his part, Utrust CEO Sanja Kon said:
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.