Currently, newcomers to crypto must jump through several hurdles to enter and participate. It can take days to register on exchange platforms and link bank accounts before one is able to buy crypto. These newcomers face a steep learning curve, and often feel uncomfortable using their crypto as everything looks and feels very foreign compared to more mainstream instant fiat transfer solutions like Venmo.
Not only this, but these newcomers must also pay premium prices to participate. It’s safe to say that entering and using crypto feels like a punishment to many new crypto enthusiasts and that there is no real incentive to start using it on a day to day basis.
Finally, the introduction of expensive mining equipment to the market has created a monopolization effect. With most of the coins in the hands of the few, distribution is limited.
Thus, it’s clear that the biggest hurdles crypto faces along the quest to reach mass adoption are:
- Ease of use
Metal has all the ingredients to overcome those hurdles.
How Metal Aims To Achieve Mass Adoption
Accessibility: Fiat gateway to crypto
With the highly anticipated Metal Pay app (iOS in Q1 2018, Android to follow), users can link their traditional bank account to add funds to their new personal in-app FDIC insured fiat bank account (USD rollout first in the US, followed by EUR and others). From there, users may convert fiat currencies for the Metal cryptocurrency (MTL) directly within the app.
Converting fiat for MTL will be fee-less and at market price (derived from prices across all exchanges). This is a paradigm shift from the way current fiat to crypto platforms operate, which often charge premiums on the market price.
Ease of Use: Next Gen Crypto User Experience
Developed by top notch iOS developers and designed by Ex-Apple UX Designer Sid Parihar, Metal Pay is the killer app crypto has been waiting for, with a slick user-friendly interface that will translate into a next gen crypto user experience.
When users register for Metal Pay and finish the KYC (Know Your Customer) verification process, a profile associated with their phone number will be created. This pairing allows users to easily find and add friends who are registered to the platform to their personal in-app contacts list. Names and profile pictures will be shown rather than intimidating wallet addresses.
The ability to quickly identify who users are sending to or receiving from within seconds is a game changing feature that crypto has yet to see. And because of this, those excruciatingly nervous moments that users often experience following a transaction, worrying that they sent funds to a wrong or invalid wallet address, will be a thing of the past.
What’s also unique to Metal Pay is that it combines traditional bank accounts and a cryptocurrency wallet into one application. The FDIC insured fiat bank account will have retail banking features such as a debit card and ability to link credit cards.
This debit card can be funded by converting crypto to fiat in-app. Features such as these also differentiate Metal from so-called competitors TenX or Monaco, who do not offer significantly more than a prepaid debit card.
The Metal Pay app will be linked to Metal Vault, and users of both platforms will be able to see their Metal Pay balances within Metal Vault.
The Metal team released a developer update while this article was being finalized. Since a video says more than a thousands words, this early demo version of the Metal Pay app came at a perfect time for this article. Enjoy the demo videos below.
Metal Pay Demo Video:
Metal Pay Controlled By Siri Video:
Incentivization: Metal pays YOU to use their platform
Metal rewards its users to participate. Transactions sent and received from KYC-verified users (merchants and customers) are eligible for a 5% reward in MTL. Conversion from fiat to MTL will also yield a 5% bonus in MTL. This is yet another revolutionary change to the crypto landscape, as current exchanges often charge their users fees of approximately 5%.
Here’s another practical example of how a user can earn more MTL:
When a renter invites their landlord to Metal Pay, both the renter and landlord will receive a 5% Popp reward in MTL tokens. Now, let’s assume the renter pays their monthly $1,000 in rent through the Metal Pay platform. In this scenario, both the renter and the landlord receive a $50 per month in MTL (based on trading value of MTL), or $600 per year. It’s easy to see how a user’s MTL balance can quickly stack up each month when they pay their bills and buy from Metal merchants.
Metal Pay will also introduce “gamification-like” incentives for consumers and merchants to hold MTL. These incentives have not been revealed at this time, but we spotted one of those in the Metal Pay demo video. If you pay close attention to the first video, you’ll notice that there’s a refer a friend feature that will also give a referral bonus.
The incentivization element positions Metal to quickly become a crypto household brand as the go-to crypto payment processor and fiat to crypto platform. When presented with the option to pay fees and a premium on market price vs the new alternative of getting paid 5% back and paying market value, the choice seems obvious. From there, it is not a major leap to speculate that Metal has the potential to go viral.
Consumers may claim that it “sounds too good to be true”, and ask: “How can Metal afford to pay everyone who uses their platform?”. The answer lies in their innovative crypto distribution model called Proof of Processed Payments (PoPP).
Distribution: PoPP Is A Revolutionary Crypto Distribution Model
Satoshi Nakamoto’s vision for Bitcoin was for it to become a fairly, widely, and easy attainable distributed cryptocurrency. It was intended that every Bitcoin user could mine blocks (get rewarded in Bitcoin for solving blocks and confirming transactions) using their own personal computer. However, as Bitcoin gained more market value, more efficient mining equipment (ASIC’s) entered the market, who could solve Bitcoin blocks much faster.
As a result, the distribution of Bitcoin became worse as the rewards of mining blocks (Bitcoins) ended up in to a small percentage of hands who could afford the superior mining equipment.
With PoPP and the MTL token, Metal aims to fulfill the original vision of Bitcoin and become a widely distributed crypto. They plan to achieve this is by rewarding their users for participating on the platform via PoPP rewards in MTL. Participation is defined as simply using the Metal Pay app to send and receive MTL or FIAT.
The current monthly cap for PoPP is $1,000 per user and $5,000 per merchant, and this cap along with KYC verification helps promote fair and widespread distribution.
The total amount of MTL in the PoPP issuance pool is 26,341,112 MTL. The duration of PoPP is of course dependent on the trading value of MTL as well as the adoption and usage rate of Metal Pay. When there is no more MTL left to distribute through PoPP, it is speculated that incentivization will continue through various partnerships and agreements.
Metal Is A Hybrid Currency Platform Ready For Mass Adoption
Transactions on the Metal platform will happen off-chain and will register on the blockchain within hours. This approach will allow for more transactions per second then the state of current day blockchain can handle. In other words, any current blockchain scalability limits will not act as a hurdle to mass adoption.
MTL is currently an ERC-20 token that operates on the Ethereum blockchain. However, the Metal team indicated that they are blockchain agnostic. Thus, they can and will switch to better blockchain solutions if they arise in the future. It is also a possible that they will create their own blockchain in the future.
Stay tuned for more updates on Metal Pay, scenarios on how users and merchants can earn PoPP, which “gamification-like” incentives there will be and much more!