Solana launches a payment protocol through Circle

Solana now has a decentralized payment scheme of its own. Customers and merchants will be able to pay and sell using digital assets such as Circle's USDC stablecoin.


Solana Launches Payments Protocol With Circle Support
Solana | Image: Optimisus


Solana Pay is now operational


For retailers and customers, Solana Labs has introduced a decentralized payment protocol.


Solana Pay is a peer-to-peer service that allows merchants and customers to accept and transfer Solana-compatible digital assets such as USDC at any time.


It was created with the help of Solana Labs, Checkout.com, Circle, and Citcon and operates on the Solana blockchain. The service will be integrated into Phantom and FTX's digital wallets.


E-commerce sites, payment providers, and a variety of merchants are all targets for Solana Pay. Merchants must allow a barcode for clients to make payments from their cryptocurrency wallets before they may use the service.


The ability for merchants to communicate with clients through crypto wallets might be a game changer, allowing them to distribute NFTs, special discounts, loyalty reward tokens, and more.


As the space has developed over the last year, NFTs have been regarded as an innovative tool for promoting brand interaction, and Solana Pay hopes to make it easier for merchants and brands to discover methods to connect with their audience.


On Solana Pay's first launch, the Circle-issued stablecoin USDC will be the primary medium of exchange, but with the support of Phantom and FTX, many more Solana-compatible digital assets could gain traction in the future.


After partnering with both Visa and Mastercard last year, Circle's backing for the product is the latest in a series of huge developments in the payments market.


Solana Pay is based on Solana, a high-performance smart contract blockchain that has been compared to Ethereum.


It claims to be able to execute 65,000 transactions per second with a settlement time of under 400 milliseconds. Solana also has incredibly cheap transaction fees, with a current average of $0.00025 per transaction.