Award-winning payment services provider Novatti Group Limited (ASX: NOV) has entered into a Memorandum of Understanding (MOU) with US-based Lightyear.io to progress the integration of its Novatti platform into the Stellar network.
Lightyear.io supports partner integrations for the Stellar network, an open-source blockchain network that provides interoperability between financial institutions and different payments.
It making cross currency and cross asset payments much faster, more efficient, and less costly, with payments are settled in almost real-time, for fractions of a cent, in a safe and secure network.
Under the MOU, the two parties will initially work together to integrate the Novatti platform into the Stellar network and the ultimate aim of the partnership will be to build a global money transfer solution to provide cross border, cross currency and cross asset payments.
Novatti CEO Peter Cook said the Novatti platform is already capable of integrating with Blockchain and Bitcoin technology to enable payments to and from Bitcoin account holders. Novatti continues to focus resources on research and development in order to explore new ways to integrate Blockchain technologies and services into its financial processing modules including remittances, mobile money, digital wallets and vouchers.
He said Novatti is currently supporting a number of smaller remittance companies with their compliance, banking and settlement services. Bringing a new blockchain global network to these remittance partners will enable them to facilitate faster and cheaper services for their consumers. Novatti receives a fee for every transaction with revenues dependent on up take of the service.
Mr Cook said Novatti is similarly deploying its own remittance services for consumers and the SME sector for which blockchain technologies will improve the speed and cost of transactions.
Novatti is also in a position to use its balance sheet to be a significant liquidity provider on the Stellar network and benefit from additional margins and by way of crypto tokens available to such participants.
As a company at the forefront of innovation for new payments solutions for the global market we are delighted to partner with a name such as Stellar which is helping financial institutions and consumers eliminate inefficiencies in existing cross-border payments systems, Mr Cook said.
“Our recent fundraising has allowed us to focus new resources on opportunities such as this which we believe can ultimately help to shape the future of our company.”