【Oobit】An app that enables touch payments with crypto in physical stores / Working on crypto payments since 2017 / Also enables peer-to-peer transfers and the purchase of crypto assets / @oobit
Hold cryptocurrencies such as Bitcoin and Ethereum within the app and enable crypto payments using in-store touch payments.
Good morning.
I am mitsui, a web3 researcher.
Today, I researched about "Oobit".
Table of Contents
1. Overview | What is Oobit?
-Features
-Fees
-Utility Token "OBT"
2. History and Outlook | Pioneering Startup in Cryptocurrency Payments since 2017
-Operations Team
-Fundraising Information
-Outlook
3. Analysis | The Potential of Cryptocurrency Payments
Overview | What is Oobit?
"Oobit" is an app that allows cryptocurrency payments at stores worldwide. It enables users to hold cryptocurrencies such as Bitcoin and Ethereum within the app and utilize touch payments at physical stores for cryptocurrency transactions.
◼️Function
There are three main functions:
Pay with cryptocurrency
Send money to friends
Purchase cryptocurrency
① Pay with cryptocurrency
This is the main function. You can pay with crypto by touch payment on your smartphone at stores that accept Visa or Mastercard. You can issue a virtual card in the app and make payments with a touch, similar to Apple Pay. The app is available on iOS and Android, but currently, touch payment is only available on Android.
② Send money to friends
You can send money to friends around the world quickly and for free. The transaction is completed in seconds from sending to spending. It also supports cryptocurrency payments to businesses. Even if the recipient doesn't have an account, they will receive a text message notifying them of the transaction to one of their contact details. If they create an account within 72 hours, they will receive the funds, otherwise, the funds will be returned.
③ Purchase cryptocurrency
Both beginners and professionals can easily purchase popular cryptocurrencies such as Bitcoin, Ethereum, and over 35 others within minutes on Oobit. It supports purchases starting from $10.
※ Please note that these functions may be restricted in certain regions. Users are advised to check the Help Center for supported regions.
◼️Fees
Account creation and basic usage are all free, but there are fees for "purchasing cryptocurrency" and "crypto touch payments".
◼️Utility Token "OBT"
Oobit issues a utility token called "OBT" that allows participation in payments and governance.
Transition and Outlook | Pioneering Startup Engaging in Crypto Payments since 2017
Oobit has been at the forefront of mass adoption of cryptocurrencies as a means of payment for goods and services since 2017.
◼️Operations Team
Amram Adar, Co-founder and CEO, leverages his experience in the Israeli Navy Special Forces to drive the company's business strategy and maintain a culture of innovation. With a passion for the web3 payments revolution, he has been actively involved in the cryptocurrency field since 2016, with a focus on developing borderless and unlimited payment solutions.
Aharon Miller, Co-founder and COO, is a blockchain evangelist, fintech entrepreneur, and early adopter of cryptocurrencies. With a background in the technology sector, he previously founded a groundbreaking company specializing in ESP technology as a service. Currently, he serves as the Co-founder and COO of Oobit, a blockchain and cryptocurrency payment app.
◼️Funding Information
Oobit has conducted two funding rounds to date. On December 6, 2020, they raised $3 million in a seed round, and on February 5, 2024, they secured $25 million in Series A funding.
In the Series A round, we raised funds from various sources including the investment division of Tether, the parent company of USDT, CMCC Global's Titan Fund, 468 Capital, and Anatoly Yakovenko, co-founder of Solana.
◼️ Outlook
Oobit provides a gateway for using cryptocurrencies in traditional commerce environments. Consumers make payments with cryptocurrencies, and sellers receive fiat currency just like regular credit card transactions. Consumers and sellers experience a simple tap-and-pay solution, while numerous important processes and transactions are executed behind the scenes in near real-time, enabling seamless execution.
In the near future, Oobit plans to extend the same functionality to external third-party wallets, bridging the gap between web3 and spending. This will allow Oobit to transition to a non-custodial cryptocurrency payment app, enabling external wallets to use tap-and-pay with cryptocurrencies by simply connecting through the Oobit app anytime, anywhere.
Oobit has a strong interest in expanding its presence beyond the primary markets of the EU and the US to regions such as Latin America (LATAM), United Arab Emirates (UAE), Asia-Pacific (APAC), Canada, Australia, and more. With the funds raised from fundraising, Oobit aims to expand its market reach.
Furthermore, Oobit has announced integration with Fireblocks in June 2023, indicating its proactive entry into the cryptocurrency settlement space for institutional investors and corporations.
Oobit aims to expand its usage by enabling direct payments while ensuring that users can securely manage their funds.
Analysis | The Potential of Crypto Payments
This is the analysis section.
In a recent study conducted by Coinbase, it was stated that consumers in the United States could potentially save at least 1.1 trillion yen (74 billion dollars) in card fees by utilizing blockchain technology. This analysis was based on the transactions in 2022 and presents a significant impact.
As a result, crypto payment solutions have gradually emerged. Especially on the surface, there are solutions that utilize blockchain for crypto payments, but can be used like existing solutions such as Visa, Mastercard, and tap payments.
By using these solutions, customers can make payments with cryptocurrencies without the need for businesses to introduce new equipment. The importance of crypto payments is particularly felt when traveling overseas. It is convenient to be able to make payments with cryptocurrencies without the hassle of converting to local currencies.
However, since credit cards are widely accepted overseas, some may feel that it is not necessary to specifically use crypto-based credit cards. This is precisely the point that is linked to Coinbase's analysis. By utilizing blockchain on the backend, payments can be made with lower fees, which is beneficial for both customers and businesses.
Furthermore, by being able to use tokens for real-world payments as an exit for all types of tokens, their utility will improve, leading to more stable token prices. It would be great to be able to use the tokens received from DePIN directly in the real world.
Considering all this, I believe that crypto payments will undoubtedly continue to expand as a convenient option. I don't think it will completely replace local currencies, but the day when it can be used for inbound and outbound transactions is coming soon.
I previously wrote a blog post about the era where money has colors, and I believe that there will be an increase in payment experiences where using XX tokens will lower fees or special NFTs can be obtained. In addition to the low fees offered by crypto payments, the ability to freely design on-chain transactions that have been pre-set will also be possible.
Furthermore, since the distribution of the funds that have been settled can also be freely set using smart contracts, it will be possible to automatically and transparently draw more versatile fund flows, allowing for even more use cases.
It may still take some time, but we will continue to pursue the development of crypto payments towards widespread adoption. I will also try using it myself!
That concludes the research on "Oobit"!
Official links: Website / Twitter
Disclaimer：I carefully examine and write the information that I research, but since it is personally operated and there are many parts with English sources, there may be some paraphrasing or incorrect information. Please understand. Also, there may be introductions of Dapps, NFTs, and tokens in the articles, but there is absolutely no solicitation purpose. Please purchase and use them at your own risk.
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Author
mitsui
A web3 researcher. Operating the newsletter "web3 Research" delivered in five languages around the world.
Contact
The author is a web3 researcher based in Japan. If you have a project that is interested in expanding to Japan, please contact the following:
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*Please note that this newsletter translates articles that are originally in Japanese. There may be translation mistakes such as mistranslations or paraphrasing, so please understand in advance.