COTI are the initials for the Coins of the Internet. The company was set in early 2017 by a group of intellectuals who had ultimate experience in financial service domains, cryptography and payments. The company came up to solve some of the problems that the merchants, mediators or wallet holders initially had to go through. In most of the cases, the merchants had to lose a lot of money in terms of fees to the intermediaries, low approval costs and lost opportunities. The founders looked at these things closely and thought that the community needed a decentralized solution to the existing problems. The solution was aimed to bridge the better of the blockchain and the better of the traditional payment methods.
How COTI works
The developers have set a base protocol called TrustchainTM. This is the mastermind for the solutions needed in the payment sector. The base intends to solve some of the shortcomings faced by the tradition payment methods and at the same time those existing in cryptocurrency. The company distributes ledger and cluster based on the DAG-Direct Acyclic Graph data structure which works along with robust scoring algorithm and decentralized facilitation system to offer fast solutions to the issues. The system also provides the fastest and the most scalable payment solution to the existing pains of transaction.
When integrated together, these components provide simple, secure and frictionless payment experiences with low-to-zero fees.
What COTI aims to solve
COTI aims to demote the monopoly of MasterCard and Visa which has dominated the world for almost 40 years now. There are very many problems that users of these traditional payment methods experience which couldn’t be solved fast enough by the two world dominants. One of them is that each transaction that you initiate passes through the hands of several mediators who collect their respective fees. That is the reason why there are delayed transactions, declined transactions, and many more issues which siphons your money into the pockets of the merchants while turning away customers.
The traditional payment methods undercount the underbanked population which forms a large number of people in the world. Over two billion people are not banked and have no access to the banking services. That is what COTI aims to bridge and get them on the wave.
The digital coin providers that came into the market early enough such as the bitcoins, OLXA coins and Etherium coins are facing a lot of network congestion, higher transaction fees, scalability and slower settlement periods. These issues have accumulated due to lack of enough information about the digital banking, lack of buyer-seller interactions and volatile prices.
How COTI intends to solve the above shortcomings
COTI network’s TrustchainTM base protocol is set to request each new transaction be verified by up to two other transactions in order to be added to the ledger or the cluster. COTI coin users are required by the system to run their own nodes that work to validate transactions in the cluster. What this means to the COTI coin users is that there is a certain correspondence between the number of network users and the rate at which transactions are confirmed.
The mediation system adds an extra layer of support. It provides buyer-seller protection in the event of a transaction dispute. The users can be able to bill errors, dispute undelivered services or goods, report unauthorized charges and many more.
You can now join COTI as a merchant, a mediator or a wallet holder. The company has entirely resolved the issue of middlemen and therefore the transactions are aimed to be direct. These translate into low-to-zero processing fees to merchants. The COTI platform has in the recent past integrated with several e-commerce websites such as Magento and Shopify to offer a streamlined user experience and checkouts.
website : https://coti.io/