The Payment Revolution from Web2 to Web3: A Journey Towards a Tokenized Future

Author: Emre Günen

PlatON is committed to becoming the "VISA of Web3," building an open global payment infrastructure.

The transition from Web2 to Web3 in the financial sector presents enormous market opportunities, reminiscent of the shift from web applications to mobile applications a decade ago. By 2030, the global Web3 market is expected to reach $5.5 trillion, further highlighting its potential.

Experts believe that attracting retail users to the blockchain and its ecosystem through payment infrastructure is key.

Although blockchain technology is revolutionary for financial infrastructure, the current decentralized payment models have not yet met the complex demands of the business world. Therefore, creating an open payment network system similar to VISA may facilitate a smoother transition from Web2 to Web3.

Tokenized Open Payment System

PlatON is an open financial infrastructure initiated and promoted by the LatticeX Foundation, aiming to provide stability and performance comparable to traditional financial systems. The platform has built a trustless digital economy system through its infrastructure, covering payment and clearing systems.

PlatON provides an internet-based protocol with computational interoperability. Source: PlatON

Leveraging verifiable computing and blockchain technology, PlatON ensures the security and accessibility of data. The market platform it has built not only facilitates the flow of global data and the sharing of algorithms but also enables peer-to-peer (P2P) sharing of computing resources. PlatON also supports the development of artificial intelligence by providing a vast and compliant data channel, contributing to a future driven by a trustless digital economy.

To break down the barriers between Web2 and Web3, PlatON has launched the Web3.0 payment clearing system TOPOS (Tokenized Open Payment Operating System), helping financial institutions link Tokenized Money to real-world assets (RWA), establishing a global open payment clearing system for Web3. TOPOS is similar to Visa/Mastercard; it does not directly provide payment services but sets standards for payment activities on the underlying blockchain.

TOPOS establishes a framework for transaction management without direct handling, similar to Visa. Source: PlatON

Users can mint their own "MONEY" in Web3, a process that securely completes controlled value transfers at three levels: value locking, payment logic, and authorization mechanisms. Merchants can hold Web3 assets in a non-custodial manner and rely on acquiring institutions, wallet services, and tokenization entities to complete payments and value exchanges.

Path to Fully Decentralized Payments

PlatON has launched key products such as TOPOS MINT and TOPOS RemiNet to enhance system functionality. TOPOS MINT ensures compliance with regulatory standards and supports the complete token lifecycle, while TOPOS RemiNet provides efficient, low-cost cross-border remittances with real-time transaction processing capabilities.

Additionally, the TOPOS full-chain acquiring payment system supports 24/7 multi-currency digital transactions, ensuring secure and instant payments on the PlatON blockchain. The system supports innovative payment methods like QRPAY, which utilizes QR codes, and the ZKPAY model, which implements payment verification through zero-knowledge proofs.

By developing supported application scenarios, PlatON provides financial institutions with a secure, efficient, and flexible way to issue and manage digital assets. By implementing advanced asset tokenization features, PlatON promotes financial innovation and offers users a more convenient cross-border payment and multi-currency transaction experience.

Digital Currency as a New Payment Tool

Based on TOPOS, PlatON has achieved several key milestones in building its Web3 infrastructure. The DCS Card Centre in Singapore is the first heavyweight financial institution client to sign with PlatON, launching the payment token DUSD on the PlatON network. PlatON has also partnered with third-party payment service providers like All IN Pay and dtcpay to expand its acquiring services. Furthermore, PlatON and TradeGo successfully piloted digital currency payments triggered by electronic bills of lading, validating the combined application of blockchain electronic bills of lading, digital currencies, and smart contracts, which can optimize international trade payment processes and significantly reduce transaction costs.

Looking ahead, PlatON is focused on enhancing its technological foundation and ecosystem to improve the capabilities, efficiency, and security of payments and transactions.

As the financial industry embraces Web3 technology, it is on the verge of a significant transformation, heralding more transparency, decentralization, and user empowerment. This change not only enhances the efficiency of cross-border transactions but also opens new avenues for users to adopt digital currencies as a standard payment method.