The merchant payments startup Flexa will soon allow any other app to run payments in crypto just like its own SPEDN app has since May.
Staking with the company’s Flexacoin (FXC) will enable apps to trustlessly provide payments to merchants without any danger of malicious apps reversing a transaction after Flexa has transferred funds. The company raised $14.1 million in a private sale of FXC tokens in April.
It’s the last piece of the puzzle for Flexa to simplify spending crypto throughout the economy. Now, CEO Tyler Spalding told CoinDesk, Flexa’s full business model should be clear to everyone.
“Here’s how this is going to work,” he said. “Here’s how people can participate. Here’s what our token is for. Here’s what we believe in.”
With staking enabled, any application will be able to offer payment services – but the most obvious initial use-case will be wallets. So apps that already hold crypto for users will be able to stake FXC and then enable direct to merchant payments.
Not only will the apps themselves be able to stake, but their users can contribute to the stakes as well. The advantage of doing so will be that all stakers will share in the fees charged for using Flexa’s payment rails.
“Flexa is not going to be another fee-taking entity where all we do is provide the service and extract these fees.”
Instead, it will actually return the fees to all stakers. Users who contribute to an app’s stake will receive a cut of the fees proportional to how much of the stake they added.