Comment by luhn

4 years ago

> Websites that integrate web3 wallet login do get something new: built-in, straightforward payment rails.

I'm not convinced it's that a large benefit.

For the foreseeable future, any website that aspires to be anything more than a niche web3 player will need to support web2 auth and web2 payments. So web3 is just adding layers, not removing them. Until web3 becomes powerful enough that you're losing customers because you aren't supporting it, there's no incentive to support it. (Exactly the same predicament Persona was in.)

Additionally, cryptocurrency is not practical as a currency right now because of high transaction fees and slow settlement. This situation won't change until layer 2 networks come of age, which seem to have been "just around the corner" for the past five years.

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luhn

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andreilys  4 years ago

I'm not convinced it's that a large benefit.

That's because you're not a merchant that has to deal with the monopoly of Visa/Mastercard which inflict high fees on your business and who at a moments notice can bankrupt your business by blocking all payments.

Companies that are built around "SIN" such as weed and porn have basically been strong-armed by this financial monopoly, to the point that Crypto is a welcome addition and which they offer big discounts to users who pay with it.

Additionally, cryptocurrency is not practical as a currency right now because of high transaction fees and slow settlement. This situation won't change until layer 2 networks come of age

There are plenty of L1 solutions like Solana and Avalanche which offer low txn fees and high TPS. L2 networks such as Polygon have already launched and are being used.

  • littlestymaar  4 years ago

    > That's because you're not a merchant that has to deal with the monopoly of Visa/Mastercard

    Visa and MasterCard don't have a duopoly on payment. They have a duopoly on “instant credit-card-based payment with charge back”, and Blockchain "tech" isn't competing in any of these features. If you don't need this and don't care about subpar UX, you can use bank transfers and still have a better solution than a blockchain-based one.

    > high fees on your business

    You think Visa fees are high? Blockchain transaction fees must look giagantic to you then…