OBSERVATIONS FROM THE FINTECH SNARK TANK
Walmart announced that it applied for a cryptocurrency patent and, predictably, the cryptopress began speculating about the giant retailers’ plans and intentions. CCN wrote:
“The move to patent a blockchain-based stablecoin variant generates speculation. Is Walmart trying to compete with Facebook Libra? Will CEO Doug McMillon be hauled in before legislators to defend his company’s right to innovate? Let’s not forget their over 2 million employees who could be paid in this new currency and immediately find themselves with access to the budding global crypto economy. The only thing that could make this better for the retailer and crypto adoption is if Walmart acquired Facebook.”
It’s and interesting turn of events from a year ago when BGR wrote:
Rather than designing its own cryptocurrency for use in its stores—which is exactly the kind of dumb thing that crypto speculators are doing right now—the company seems to be using the only good part of the crypto technology, the blockchain, and leaving the rest to die.”
I guess the retailer is thinking of doing something dumb because its patent application suggested that a Walmart cryptocurrency could:
- Become an ecosystem payment mechanism.Walmart’s filing stated that “the digital currency may be pegged to the US dollar and available for use only at selected retailers or partners. In other embodiments, the digital currency is available for use anywhere. The digital currency can provide a fee-free, or fee-minimal place to store wealth that can be spent, for example, at retailers and, if needed, easily converted to cash.”
- Bank the unbanked. According to Walmart’s application, ““Low-income households that find banking expensive, may have an alternative way to handle wealth at an institution that can supply the majority of their day-to-day financial and product needs.”
- Eliminate credit cards. According to Coindesk, “Other novel features suggested in the very broad filing include the ability to remove the need for credit cards, and acting as a pre-approved biometric (e.g., fingerprint or eye pattern) credit.” The patent application said “A person is the ‘credit card’ to their own digital value bank.”
Date: August 08, 2019
Source: Forbes
