Metal is a blockchain-based application that allows users to convert their fiat money into crypto and then pay with it. The system is similar to the ideology and application of Bitcoin as an alternative means of payment, but with a user-friendly interface and front-end application that can be compared to PayPal, among others.
What is Metal (MTL)
Fewer and fewer people pay with cash and the question can therefore be asked whether cash will still exist. We now pay flawlessly with our debit and credit cards, but according to the Metal team, these transactions will also decrease in the future.
Years ago, the possibility to pay with a digital currency was still an abstract fact. With the ever-growing adoption and applications, it is becoming more and more a reality that we will soon be able to pay with crypto worldwide. It is even possible to pay with Bitcoin in countries such as El Salvador.
Metal wants to change the financial world with their payment system by offering their services through an easy interface and very simple to use applications. Everyone should be able to buy and sell crypto and even use it to make trades. They want to make all forms of crypto transactions accessible to regular users. Through these peer-to-peer payments, the open network of crypto is maintained and these transactions go beyond traditional cash payments.
Metal agrees that Bitcoin can exist as a currency outside the current financial system, but that it is not strong enough on its own to realize a technological payments revolution. They refer to volatility on the one hand and the lack of acceptance as a means of payment on the other. Bitcoin is therefore increasingly seen as a store-of-value instead of an alternative payment method.
Financial and institutional organizations are creating their private blockchains to regulate these new cash flows. To make crypto accessible worldwide, it uses Proof of Processed Payments (PoPP), which is built on the Ethereum blockchain .
The Importance of Metal
Traditional payments are often still slow and unnecessarily complex. Especially if we look at other currencies or worldwide transactions where your currency has to be exchanged via a certain exchange rate for which you also have to pay extra. There is an increasing need to finally implement effective payment options that fully reflect the ideology of crypto as a means of payment.
An important part of the blockchain technology revolution is to make crypto accessible to everyone. We still see that certain people are not able to, for example, open accounts with a bank, make certain payments and so on. Third parties and organizations in particular determine, completely wrongly, which transactions we may or may not carry out.
In addition to the personal aspects, organizations can also determine not to support transactions in certain niches. Consider, for example, the legalization of cannabis in the West of America. Not all banks want to support this trade and therefore will not offer these companies the opportunity to open an account. But even in Europe we are aware of this problem. For example, let’s say you have a shop selling erotic items, where certain banks refuse to open an account for you because of conservative thinking. It regulates and restricts private individuals in their business and thus in making transactions.
In 2021, almost all transactions and payments we make are digital. For this we use our digital banking app or credit card. But there are several features that distinguish Metal Pay from the regular payment applications. Through the application of Metal Pay you can make these traditional payments where you earn extra crypto. Example: you rent an apartment in Amsterdam where your costs are 1,000 euros per month. You can pay this via your mobile banking application or direct debit, or you can propose to your landlord to make this payment via Metal Pay. Why?
By making this payment via Metal Pay, both sender and receiver will receive completely free Metal tokens for this. This is extra income for both parties that they can save, convert to other crypto or simply keep so that they become more valuable. Their slogan is therefore ‘ earn while sending and receiving money’ . This is realized thanks to the principle of Proof of Processed Payments.
Payments can be made as in different cryptocurrencies as well as in fiat money. With each payment, both user and recipient receive rewards for this. Currently, Metal Pay uses 40 different cryptos including Bitcoin, Ethereum, Binance Coin and Litecoin .
Proof of Processed Payments (PoPP)
This is a way of identifying users according to a know-your-customer principle and then integrating and distributing new types of currencies into the system. This identification is done on the basis of passport or citizen service number. This identification is completed on the basis of a photo or a selfie. This is necessary to enable large-scale payments to all individuals.
Afterwards you can link your own credit card to make transactions possible. Blockchain technology is characterized by the rapid completion of transactions. It is usually accepted or declined within a minute. Users will be rewarded when they use Metal’s network, part of the gross amount of the payment will be rewarded by METAL tokens. This share is 5% of the total volume of the relevant transaction.
Example: You are sending $100 in MTL tokens where $1 is notionally equivalent to 1 TML token. This means that both the sender and the receiver will both receive 5 TML tokens as a reward. This fee is also valid when you forward other currencies or even fiat money. For example, sending fiat money over the Metal Pay network is interesting to earn extra crypto for which you do not have to do anything. In this way, Metal stimulates the use of Metal Pay and makes payments with crypto currency possible.
Importance of KYC
In addition to decentralization as an important part of blockchain technology, accessibility is also essential. However, opinions are divided about know-your-customer procedures and some do not agree with this choice. However, before we can realize transactions in today’s financial markets, there is a need for identification due to various legislations.
To participate in the Metal network, it will be necessary to reveal your identity. This is mainly to prevent money laundering and fraud. Only when we implement this successfully can we use applications such as Metal Pay to use crypto as a legitimate and efficient means of payment.
Metal ($MTL) is an ERC20 token with a total supply of 66,588,888 MTL tokens. Of this number, approximately 21 million was made available for the token sale. This took place on the basis of an Initial Coin Offering ( ICO ) in which the MTL token had a value of 0.05 dollars during the presale. The rest of the sale was split into different phases with each phase releasing a different amount, at a different price.
In order to implement the payment options in real use cases, communication in the network is essential. Because the blockchain technology is still relatively new to date and payments and transactions in the network can sometimes be a complex affair, Metal focuses on user efficiency. They do this by, among other things, the following two things:
Each user will be given a unique name. Currently, transactions are based on complex numerical codes. With Metal Pay 3.0, each user will be given a unique name, as we know it on Twitter. In addition to the unique name, such as @Fred, the profile also receives a full name and avatar that is stored on the blockchain. This makes transactions with crypto more accessible and the general public will find their way to Metal Pay through this user-friendliness.
Do you ever send a little bit more often? Or do you have to confirm an online payment via a QR code? We are now so used to it and it happens in the blink of an eye, but in blockchain technology this is still new. With the Red Falcon update, they integrate QR codes that you can effortlessly scan to complete payment requests. No difficult unique addresses or complicated platforms. Payments with crypto will be enabled through an already trusted way!
The Snow Owl update will fine-tune this even further. For example, this update will allow you to hold multiple currencies in your application, including Euro, British Pound and even South Korean Won. Currently, Metal Pay is only available in North America, but the team is committed to making Metal available to everyone, worldwide.
In addition, it also wants to invest in its own stable coin . This can be used in Metal Pay, but will also be used to make transactions as a variant of the current fiat currency. These improvements should make Metal Pay an even better payment application.
Metal Pay was founded in 2016 in San Francisco by Marshall Hayner. He was also co-founder of Quickcoin, among others, and also helped develop Stellar and Dogecoin . Notably, Hayner’s previous startup, Trees, focused on delivering marijuana by drone. While developing this startup, Hayners found that gaining financial access in certain niches was more difficult than others. Trees has been suspended now that he is fully focused on Metal. His previous contacts in this industry will therefore benefit from making transactions via Metal Pay, provided that it does not exclude target groups and makes transactions possible for everyone.
Fleming Glenn Marien is co-founder and Chief Technology Officer (CTO) and describes himself as a crypto wizard. With his education in computer science and experience as a full-stack developer, Glenn knows better than anyone the importance of blockchain technology. In the past, he has also helped develop back-end systems for Bitcoin and other cryptocurrencies.
Irina Berkon has been Chief Financial Officer (CFO) since 2020 and has over 15 years of experience in corporate finance. Together with their 90 other employees, they work on the success of Metal Pay every day.
The price of Metal
How do I buy Metal?
New protocols are added every day that aim to take blockchain technology to a new level thanks to implementations in the current system. There is a huge need for a digital payment system where you can use digital currencies to make payments as we know them today.
In 2021 we already saw that El Salvador was the first country in the world to approve Bitcoin as a legal payment method, but that does not mean that these payments are smooth and user-friendly. To date, we see that much of this use case is a rather complicated process. As a result, you do not reach the large mass that is necessary for a mass adoption.
Digital payments are the norm today. For this we use our banking application en masse or we use credit card or PayPal. The latter is only growing in popularity thanks to its efficiency and ease of use. It is precisely this combination that Metal wants to realize, but thanks to the use of crypto.
Metal wants to create a completely new payment system that is transparent, efficient and above all: accessible to everyone. By making Metal Pay attractive, they take advantage of a cashback of 5% of the gross currency of the transaction. Users then receive it in the native token $MTL. Currently, Metal Pay is only available in North America, but if the application will be used worldwide, it could be a huge boost for Metal.
Thanh Lanh Tran(1989) is Chief Editor from BitcoinUSD.com