Payment Rail Innovation considers speed of settlement

A forward-thinking company’s massive bet on bitcoin may not be the blessing blockchain has been hoping for, as it continues to attract treasurers as a cross-border payment rail.

This week’s summary of innovation in payment rail examines CFOs’ continued reluctance to cryptocurrency and finds that companies are instead embracing innovations in addition to a more proven infrastructure to speed up settlement and digitize transactions.

Treasurers not yet convinced of crypto

This week’s buzz in corporate finance has undoubtedly been caught up with discussions on You’re here‘s buy bitcoins and its broader implications for corporate finance. Some analysts say the move is part of an inevitable larger trend in the treasury department as businesses embrace digital currency for a variety of use cases, including payments.

But that’s not necessarily a guarantee, according to one survey through Gartner. According to the company’s latest report, more than 80% of financial executives said they plan to never hold cryptocurrency on their company’s balance sheets. Just 5% said they plan to invest in crypto within a year, while 16% said they plan to adopt the technology in the future.

Alexandre bant, the research director of Gartner Finance, said in a statement that the findings all boil down to “many unresolved issues regarding the use of bitcoin as a business asset.” Adoption is unlikely to increase rapidly until we get more clarity on these challenges.

Pelican supports SWIFT’s cross-border payments effort for SMEs

Payment technology FAST supports SWIFT gpi and the use of rail to facilitate low value, cross-border payments for small and medium-sized enterprises (SMEs), the company said. Pelican supports SWIFT’s initiative to deploy the global low-value payment service, which is scheduled to go live for SMEs and consumers by April this year. The project is an extension of the gpi rails originally launched to address friction in high-value cross-border corporate payments, not only facilitating faster movement of funds across borders, but also enhancing transaction transparency for the company. sender and recipient.

According to an announcement, Pelican is integrating its intelligent payment data enrichment and validation technologies to facilitate straightforward transaction processing for issuing and recipient banks.

“The success of SWIFT gpi, which is used by thousands of banks and transports billions of payments around the world, will enable efficient transaction processing and full transparency,” said Parth Desai, CEO of Pelican, in a statement. “This gives the opportunity to transform the experience into the [SMB] and consumer payment markets.

Nacha notches ACH volume increase

Nacha recorded a further increase of ACH network volume, with B2B payments accounting for much of the increase.

According to new statistics released by Nacha, the volume of B2B transactions grew by almost 11% in 2020, reaching 4.4 billion transactions, being one of the four payment categories that have grown by more than 10% volume on the ACH network.

Nacha also released new evidence that businesses continue to move away from paper checks, with check volume falling more than 21% last year. Today, that means checks represent less than 4% of ACH network payments.

Cash flow considers impact of faster transaction settlement

While the movement of funds through the rails can be beneficial for businesses, for small traders, faster access to capital through expedited payment settlement is essential for cash flow management.

In an interview with PYMNTS, Cash flow CEO Amanda Mesler discussed the motivation behind the release of Anytime Settlement, a solution heralded as the result of the company’s proprietary payment processing infrastructure that speeds up the settlement of card transactions so merchants can access those funds faster .

In the future, she said, SMEs will be increasingly demanding for faster settlement on payment rails, be it cards, ACH or whatever.

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NEW PYMNTS DATA: AUTHENTICATION OF IDENTITIES IN THE DIGITAL ECONOMY – DECEMBER 2021

On:More than half of American consumers think biometric authentication methods are faster, more convenient, and more reliable than passwords or PINs, so why are less than 10% using them? PYMNTS, working with Mitek, surveyed more than 2,200 consumers to better define this perception gap from usage and identify ways in which businesses can increase usage.

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