NXT-ID’s wholly-owned subsidiary, Fit Pay, has launched a contactless payment device known as Flip which will allow holders of virtual currencies to buy products and services at millions of stores. This is the fulfilment of a promise which was made last year in December when Fit Pay announced that its platform would be expanded to allow for a link between the payment ecosystem and cryptocurrencies.
Flip will leverage FitPay’s payment platform to conduct traditional payment transactions using the value exchanged from virtual currencies. FitPay will start taking Flip’s pre-orders at a later date this month before initial deliveries are made in this year’s second quarter. Initially Flip will only made available in the U.S.
“Flip is a very convenient way to use cryptocurrency value to make retail transactions. Not only does it seamlessly exchange cryptocurrency into dollars, it’s contactless, giving users a simple tap-to-pay experience,” Fit Pay’s president and chief operating officer of NXT-ID, Michael Orlando, said.
Since it is NFC-enabled users will be able to conduct transactions at all points of sale which accept contactless payments using Flip. The device will store a certain preloaded amount in United States dollars which will have been exchanged from the virtual currency account of the user. There will also be a digital wallet which lets the user determine the amount of money to be held in their Flip devices as well as when to reload. With Bitcoin being the most popular cryptocurrency, it will initially be the only digital coin accepted before the service is expended to other currencies.
Cascade Financial Technology
The development of Flip started when Cascade Financial Technology and Fit Pay entered an agreement last year aimed at enabling holders of virtual currencies to make traditional payment transactions at retail outlets that possess point of sales that are NFC-enabled.
This was not the first partnership between the two firms as they had previously collaborated in an effort aimed at offering prepaid capabilities on IoT devices as well as wearable devices. Under this agreement consumers who have FitPay devices that are enabled to make contactless payments can store funds on their wearable or IoT device by having the FitPay payments platform connecting to Cascade Cloud.
The launch of Flip comes at a time when virtual currencies have climbed down from the record highs which were observed towards the end of last year and earlier this year. It also coincides with the distributed ledger technology on which virtual currencies are based on being increasingly adopted in the mainstream.