Shopify, the e-commerce titan, now facilitates crypto transactions by integrating Solana Pay into its payment mechanisms. This new addition paves the way for millions of traders to accept cryptocurrency, initiating with the stablecoin, USD Coin (USDC).
As reported by TechCrunch, there are plans in the pipeline for Solana to introduce more altcoins to this platform, encompassing its own SOL token and the meme token Bonk.
Josh Fried, representing Solana Labs, emphasized the convergence of digital assets and payment solutions, describing it as the “killer app for crypto.” He strongly believes that there’s a compelling case for increased investment in this domain.
A prominent advantage highlighted by Fried is Solana Pay’s potential to slash transaction expenses compared to traditional credit card processing charges. On average, the network levies a mere $0.00025 per transaction, a stark contrast to the 1.5% to 3.5% fees associated with credit cards. As a point of reference, Solana users were recently charged an average transaction fee of 0.000009664 SOL.
Globally, Shopify’s platform handles a staggering $444 billion, which translates to approximately 10% of all online transactions in the U.S. The e-commerce behemoth has progressively embraced Web3 technologies, evidenced by the incorporation of blockchain trading tools tailored for Web3-centric outlets, in addition to features facilitating crypto wallet connectivity.
With its expansive volume, Shopify will act as a testing ground for Solana’s blockchain capabilities. In the past, Solana grappled with challenges related to system reliability and consistent availability. The platform’s co-founder, Anatoly Yakovenko, referred to these hiccups as a “curse,” largely arising due to the network’s budget-friendly transaction costs.
Nevertheless, recent data suggests a positive trend in network performance. Solana’s latest reports confirm an impressive 100% uptime since February 25, marking three months without any interruptions. Notably, a solitary incident in February resulted in the network experiencing an almost 19-hour downtime.
Solana Pay, inaugurated in February 2022, offers a decentralized payment framework, empowering merchants to process and conclude payment transactions spanning multiple digital assets. This initiative stems from a partnership between Solana Labs, Checkout.com, Circle, and Citcon, enhanced by wallet assimilations from Phantom.