PayID, a service that enhances interoperability between 40 different partners with 100M users in total, was introduced by Ripple Inc. yesterday, June 18th, 2020. Mr. Schwartz revealed why it is a big milestone for the whole fintech field.
One-stop payment ID
With the new service, users can send money through different payment solution platforms. But this isn't its only achievement, Mr. Schwartz suggested.
According to him, human-readable payment addresses for blockchain-based payment instruments are also very useful for end-user transactions. With PayID, a single destination address can be used for many crypto and fiat systems.
Also, with PayID it is now much easier to meet regulatory demands. It looks as though this aspect is of particular importance to Ripple Inc. as it attempts to defend XRP from being regulated as a security.
Lastly, the most 'blockchain-like' feature of PayID is its reliable 'proof-of-delivery' status. With the new features, one can easily check whether the transaction was actually confirmed.
Interoperability bridges
Mr. Schwartz asked his 150K Twitter followers for their opinion on what is the most important and useful feature. At press time, 5,446 members of Crypto Twitter have voted.
The 'regulatory compliance' feature is winning by a small margin. 27.7% of users have so far supported this aspect of the PayID release.
Mr. Schwartz, himself, emphasized that this solution greenlights the 'conversion routes' between different systems. Not only services, but also their 'combinations' will make the crypto experience seamless and profitable.
As covered by U.Today, Ripple CEO Brad Garlinghouse compared the PayID user experience with that of e-mail. From day one, it ensures interoperability between top-level payment instruments, e.g. BitGo, Brave, Huobi, and Blockchain.com.