A new level of commodity and monetary circulation by OTPPay

The market for electronic money development gained popularity in the world relatively long ago. Fiat money may be said to have a full-fledged alternative in the face of cryptocurrencies.

It goes without saying, nowadays the vast majority of commodity and monetary relations use traditional national currencies and depend on their degrees of liquidity. However, starting from a well-known pizza for 10 000 bitcoins in 2010, every year there are different transactions carried out in one or the other digital coin.

At any rate, the usage of cryptocurrency as a means of payment is in relation to a current fiat rate. Few people are ready to receive payments in cryptocurrency in real life. The transaction itself may be difficult because it requires time for transaction processing and also operations with software and hardware wallets. The project OTPPay offers solutions to these problems.

The idea of OTPPay

The developers are going to connect exchange, credit, and payment systems of cryptocurrency and real markets by means of digital currency to fiat conversion using OTP tokens. The main idea of the project is quite simple. A user requests cryptocurrency to fiat exchange to pay for coffee, for example. The system protocol processes the request and converts funds firstly from cryptocurrency to OTP tokens and then to fiat. After that money is transferred to seller's account. The platform functionality will be available in the mobile app.

The OTPPay developers announce their platform will be much better than others because of the faster speed of transactions. Every payment commission won't exceed 0,5% in OTP tokens. The profit from the commission will be aimed firstly on the tokens purchase for their future issue and then on the monthly percentage bonus payment of users(0,5% - 1,5% of the turnover).

The platform will also give a possibility to trade cryptocurrency with the greatest benefit. At the moment the transaction request is done, the system determines a list of other relevant requests of cryptocurrency pairs which are in the platform database. Thus, there are lots of possibilities for broker activity. All the information about transactions will be in open access in the OTP register.

The offered services of conversion and money transfers will be in both directions (cryptocurrency – fiat, fiat – cryptocurrency). All existing standards groundworks on the PCI DSS payment cards database safety and relevant developments in the cryptocurrencies sphere will be taken into consideration.

The other goal set by developers is the update and connection of existing bank system of payments and credits by means of the blockchain technologies. At first, it must be created a decentralized database of users' credit rating by using all the available information for the greatest accuracy achievement. There will be three types of indicator: 1) the creditworthiness; 2) the expert assessment; 3) credit history.

The achieved rating will be the protected personal information and all requests to disclosure it from third parties will be notified by personal message for direct approval of the user.

The above-described accreditation technology will allow running the function of small credit provision in 2-5 times the amount of user's monthly average balance in the platform wallet. The concrete loan sum will be calculated taking into account the rating system and the payments story. Besides, the credit may be taken for goods and services, and the compensations verification will be controlled by means of smart-contracts.

For such a wide range of services, the OTPPay team proposed some methods of parties interaction for different kinds of trade. In addition to classical transfers from one wallet to another, there are the QR-code scanning and NFC for smartphones. OTPPay is planning to issue its own debit card.

The ICO of the project is divided into 3 stages: Pre-ICO, Round 1 and Round 2. In total, 1 milliard tokens are planned to be sold. 200 million of them keep belonging to the company. The rest number of tokens are distributed by ICO stages. The token type – ERC20. Unsold tokens will be canceled. Pre ICO was from 5 March until 3 April 2018. The 1st stage – from 4 April till 3 May. The 2nd stage will take place from 4 May until 2 June. A contribution is possible only in ETH.

The profit after ICO will be shared in the following way: The design and development – 40%; Operating expenses – 15%; Marketing and promotion – 12%; Commercial offers – 10%; Legal and banking approvals – 10%; Jurisprudence – 10%; Miscellaneous – 3%.

The OTP Payment company was created in 2010 and actively engaged in the technology of credit and electronic payment systems development. The start of the OTPPay project takes place in 2018 and from the middle of 2019 to the beginning of 2020 it's planned the run of the platform with White Paper ideas implementation and development.

At the ICO stage, the OTPPay team has a relatively small amount of employees and managers for such an ambitious project. However, it worth mentioning, there is a big staff of consultants qualified in different aspects of the project. The information about each team participant you can find on the website.

Brief summary

It goes without saying, if OTPPay executes its plans, there will be the possibilities of cryptocurrency management and all restrictions, preventing digital money to become popular, will disappear. OTPPay has lots of problems and barriers to overcome. Among them, the most obvious are the legal framework, technical implementation, and universal integration. The project could possibly succeed without them. However, such forecasts are baseless yet, so we can only observe further developments.