Cross-border payments are currency transactions between people or businesses that are in different countries. Traditionally, cross-border payments flow via the correspondent banking network which most payment service providers use to settle the payment.
A payment method is a way to pay for goods or services. We can differentiate online payment methods such as card payments, bank transfers, e-wallets, and account-to-account (A2A) payments as well as in-store payment methods which include cash, bank cards and paying with mobile devices.
Financial services and technologies, based on open software interfaces that allow third parties to build applications and services using data or services made available by financial institutions. In EU regulated by PSD2 (Payments Directive).
Spred.net will be based on cross-chain solutions that will provide the best features from different chains. Each blockchain protocol has its benefits and drawbacks and we would like to benefit from the strongest components developed under specific chain.
Payment authorization and settlement are stages of so called processing of payments. Payment authorization occurs when the merchant submits a transaction request to the issuing bank (customer's bank), who will determine if the transaction should be approved or denied based on appropriate funds on customer's account. Once a transaction has been approved, settlement is the second and final step. This is when the issuing bank transfers the funds from the customer's account to the merchant's bank. The amount of time it takes can vary. Some transactions may get settled immediately, while others could take hours, days, or even weeks to settle.
A cryptocurrency exchange, or a digital currency exchange (DCE), is a exchange that allows customers to trade cryptocurrencies such as bitcoin or digital currencies for other assets, such as conventional fiat money or other digital currencies.
Interchange fees are the transaction fees that merchant pays when a customer makes a purchase using a credit or debit card. Credit networks are responsible for setting interchange fees. Payment service providers, banks and payment networks all charge a percentage-based fee on each transaction. These charges appear as a single bundled amount on the payment processor bill. Each interchange fee can involve up to about 300 individual fees that have been combined into one.
Contrary to popular belief, crypto wallets do not actually hold your crypto like the wallet in your pocket. Instead, it holds the key to your crypto which are actually stored on public blockchain networks. In order to perform various transactions, you’ll need to verify your address via a private key that comes in a set of specific codes.
It is a bank that provides services to another bank, located usually in another country. It acts as an intermediary or agent, facilitating money transfers, conducting business transactions and gathering documents on behalf of another bank. Correspondent banks create network based on messaging system that allows to move money across the world (SWIFT).
World of finance is dominated by wholesale payments which are made by financial institutions to support their own activities (borrowing, lending, exchange transactions, share trading, etc.). These are also used for large business transactions for the import and export of goods and services. On the other hand, retail payments are payments between individuals and businesses. They can vary depending on the business model: B2B, C2B, B2C, and C2C.
