What You Need to Know:
- P2P.me has attracted seed investment from Multicoin and Coinbase Ventures.
- The app operates as a bridge for crypto-to-fiat transactions.
Bitcoin’s early vision of ‘peer-to-peer electronic cash’ has not fully materialized. A growing number of consumers wish to pay using cryptocurrency, yet vendors often prefer fiat money.
In areas with robust credit card infrastructures, alternatives exist; however, crypto payments present a challenge, particularly in regions relying on QR codes, remarks developer Sheldon Cooper. How does one convert a fiat-exclusive QR code into stablecoin payments?
P2P.me claims it has an innovative solution, processing payments without utilizing conventional on- and off-ramps. The service is reliant on intermediaries who will accept USDC from one user and send equivalent fiat to another user, completing transactions within approximately 90 seconds.
The application doesn’t engage in traditional identity verification methods. Instead, it validates users via zero-knowledge proofs, requesting a credible social media presence or possibly a government-issued ID, all the while not retaining personal information—contrary to the practices of many financial organizations.
Cooper explains, ‘What we thought about is, ‘How do we decentralize this? How do we manage on-and-off ramps in a decentralized manner?’ Privacy and self-custody were our top priorities in ensuring user data would remain confidential.’
The platform has processed around $1.6 million in payments from about 1,100 users, primarily located in Indonesia, Nigeria, and Vietnam. This traction captured the interest of venture capitalists, resulting in a recent $2 million seed funding from Multicoin Capital and Coinbase Ventures.
This funding will facilitate a team expansion to 20 members as it gears up for an entry into Latin America. Cooper identifies local communities lacking access to traditional banking as significant future users, alongside crypto-savvy travelers with limited credit card acceptance.
P2P.me operates on the Base protocol, planning to introduce a token within the next year aiming to foster community control.
‘The strategic idea of the token is to facilitate global scalability, disrupting the centralized exchange model with P2P transactions,’ Cooper noted.
