U.K.-based Nuggets has unveiled their plan of integrating blockchain tech to the prevailing payment rails. This is anticipated to bring in a privacy-oriented system wherein consumers personal data would remain inaccessible to merchants.
The Significance of Nuggets, Latpay
The blockchain ecommerce payments and ID platform, Nuggets is well-known for revolutionizing online transactions by giving users a single, simple biometric tool for payment, login and verifying identity.
When paying through Nuggets platform, it is not required for the user to enter username, password and card details over and over. The user data also remains secure on a blockchain, significantly lowering the risk of fraud.
Australia-based Latpay is a leading Payment and Merchant Service Provider in Australia, UK, and Canada since 2001. It has processed millions of e-commerce B2B and B2C transactions for merchants since inception.
Nuggets had recently partnered with Latpay for bringing in the blockchain-powered payment technology to global merchants.
A Win-Win Partnership
The partnership between Nuggets and Latpay brings forth the amalgamation of Nuggets’ technology with existing payment rails. It is a win-win situation for both Nuggets as well as Latpay.
For Latpay, this integration of Nuggets payment interface aids in bypassing the need for storing personal information, usernames, and passwords with other third-party sites. This means that the merchants that use the Latpay platform will no longer be able to access or store consumers’ personal data, thereby increasing the customer’s privacy and lowering the risk of possible data breach.
For Nuggets, this partnership opens up a whole new arena of opportunities.
As Alastair Johnson, CEO and Founder of Nuggets, said: “We’re delighted to be integrating with Lateral Payment Solutions, which will extend the reach of Nuggets to consumers who want to use it to pay with credit and debit cards. ”
The Future to Be Driven by Digital Identity
The digital ID is anticipated to play a huge role in future transactions, with a large number of tech-savvy customers coming into play.
The concept of universal digital IDs is currently becoming increasingly popular, especially with the Strong Customer Authentication (SCA) coming into play from September 14, 2019. As per SCA requirements, businesses must use two independent authentication elements to verify payments.
This new requirement is expected to cause a higher demand for biometric ID technology. The number of online transactions requiring two-factor authentication is also expected to surge soon.
Johnson explains, “As more devices become connected this year, being able to accommodate mobile payments via those devices will be driven by digital identity.”
However, the challenge with using most of these universal digital IDs is that the identity provider needs to be invoked for every transaction that requires a customer authentication. This is precisely why most digital ID platform developers are looking for partnerships with payments networks or processors.
The Nuggets-Latpay partnership was also formed with the same idea in mind.
What Makes Nuggets-Latpay a Better Choice?
With most universal digital ID providers, there is also no control over how much data would be shared back to the merchant.
But in the case of Nuggets, the system is promising to put people into charge and let them decide how much data need to be shared. The scalability, though, remains questionable.
The bottom line remains that Nuggets may be a superior choice for customers, especially with the series of data breaches being reported worldwide.