Bitnet’s new ‘Instant Approval’ service addresses the challenge faced by merchants of waiting for bitcoin transactions to be confirmed on the blockchain. This process can take over an hour if merchants require guarantees from their payment processor that transactions will be settled.
According to the company, Bitnet has built a solution that calculates the probability of whether a bitcoin transaction will ultimately confirm on the blockchain, and accepts financial liability for that decision. The ‘Instant Approval’ service relies on a number of data points, where BlockCypher’s double-spend detection and transaction propagation metrics play key roles.
The new ‘Instant Approval’ service enables merchants to accept bitcoin within their existing checkout flows that are typically built around accepting card payments, where authorizations that guarantee funds are provided within seconds.
Catheryne Nicholson, CEO at BlockCypher commented:
We are delighted to work with Bitnet. Their expertise in the intricacies of enterprise payments can unlock bitcoin’s potential in very large-scale industries that experience a high volume of chargebacks.
Seamus Cushley, VP Product at Bitnet, noted:
One of the biggest challenges for merchants wanting to accept bitcoin is how to accommodate the delayed confirmation times into their ‘real-time’ checkout flows and still be assured of being funded. We partnered with BlockCypher to provide key data for our ‘Instant Approval’ service due to their best-in-class metrics and enterprise service.
The two companies have been collaborating for the last six months to make the deal a reality.
Bitnet’s engineering, product, and business development team helped build and manage the world’s largest payment gateway, CyberSource, which was sold to Visa for $2 billion in 2010.
BlockCypher helps its customers create blockchain distributed applications for customers by providing simple web APIs for developers to build on. They Redwood City, California company runs multiple blockchains on the same infrastructure, including their own blockchain. BlockCypher boasts that their blockchain platform is cloud-optimized, enterprise-grade with no single point of failure, linear scaling, and uptimes of greater than 99.99%.