OneBit App Makes Bitcoins Acceptable at MasterCard PayPass Terminals
In an effort to bring Bitcoins into the mainstream payments market, a group of participants from the MasterCard Masters of Code hackathon developed an application that ties Bitcoins with MasterCard’s PayPass technology. The application, known as OneBit, allows Bitcoin users to pay anywhere MasterCard PayPass is accepted.
OneBit is not currently on the market, but it was received with widespread enthusiasm when it was presented at Masters of Code hackathon late last month. When released, the application would be free to use, and OneBit would receive a small kickback from MasterCard every time someone uses it to pay for a purchase. MasterCard charges merchants to use their PayPass system for processing transactions, so a small portion of that money would go to OneBit.
OneBit relies on NFC technology, much like other swipe-free payment systems. While this new partnership with PayPass would allow Bitcoin users to spend their cybercurrency in the “real world,” the program would not necessarily take Bitcoins worldwide. PayPass is currently only accepted in 30 countries, but the company has plans to expand in the future.
In order to officially make it to the market, OneBit will need to raise funding to back its development. It will also need to pass a rigorous set of tests from MasterCard to verify its security. If successful, this new application could transform the way people spend Bitcoins, at least in some parts of the world.