Merchants all across the globe can now receive payments in cryptocurrencies using a new point-of-sale (PoS) solution from the crypto exchange KuCoin.
On January 2, the Seychelles-based cryptocurrency exchange KuCoin introduced its proprietary payment system KuCoin Pay for businesses, which allows them to accept up to 54 digital currencies and choose to hold funds in either crypto or fiat, based on their preference.
How does KuCoin Pay work?
The PoS system will be available across the globe and can be integrated into existing systems, allowing merchants to receive cross-border crypto payments that are instantaneously verified and settled across the blockchain.
Relying on blockchain technology allows transactions to be processed at a lower cost, as it eliminates multiple intermediaries.
The reduced reliance on middlemen also makes the process faster, cutting down delays associated with traditional financial systems.
Additionally, the secure and transparent nature of blockchain ensures that every transaction is verifiable and protected against fraud.
For customers, non-tech-savvy individuals have the option to pay using familiar methods like scanning a QR code or traditional methods like debit or credit cards.
Meanwhile, those holding an account on the exchange can pay directly using their exchange balances via the KuCoin app, the exchange wrote in the official announcement.
All transactions are handled by KuCoin, and the merchant can easily track and manage funds through a dedicated dashboard.
With KuCoin Pay, the exchange aims to “open new opportunities for merchants and users.”
With crypto adoption on the rise, crypto exchanges are capitalising on the market that seeks to bridge the gap that has existed between traditional and decentralised finance.
KuCoin Pay is one of the many solutions that have surfaced to address this need, as the desire for direct control, transparency, and seamless financial interaction is becoming a shared priority across the financial landscape.
One such offering was unveiled by the digital currency exchange Crypto.com in November 2024.
In partnership with payment giant Visa, the exchange introduced a card that allows both crypto and fiat payments by preloading funds via the Crypto.com app alongside other perks like cashback.
More recently, the European crypto exchange WhiteBIT launched a similar solution called the WhiteBIT Nova card via a partnership with Visa and Wallester AS.
KuCoin under scrutiny
KuCoin Pay was launched as the exchange is battling the United States Department of Justice (DoJ) and the Commodity Futures Trading Commission over claims that it failed to uphold know-your-customer and Anti-Money Laundering standards in the nation.
The exchange reportedly failed to register with the Financial Crimes Enforcement Network as a money business and thereby allowed bad actors to launder illicit funds on its platform.
Notably, the exchange handled over $3.2 million worth of funds from sanctioned crypto mixing service Tornado Cash, according to the DoJ indictment filed in March 2024.
Despite the legal troubles, the exchange has continued its expansion efforts across the globe into jurisdictions like India and Turkey.
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