Crypto Payments can become a Reality Soon; Is PayFi a prelude to it?

Ever felt desperation to not only hold or trade your crypto coins but also utilise your hard-earned coins to make real-world payments? Recently, during an interview at the World Economic forum in Davos, Bank of America CEO Brian Moynihan expressed the possibility of the US financial industry accepting crypto payments if the regulators allow it.

Brian Moynihan reasoned that “if the rules come in and make it a real thing that you can actually do business with, you will find the banking system will come in hard on the transactional side of it.” With further enthusiasm, he argued how the world’s second largest bank is already moving “vast, vast majority of money digitally”, while owning hundreds of patents on Blockchain – thus, “we know how to enter the field.”

These positive futuristic comments from the CEO of one of the United State’s largest banks complement the hopes of making crypto payments a reality soon. And with the pro-crypto administration in the US, development and integration of crypto payments can be more easy than ever before.

How Crypto Payments will make it easy?

In what is considered as a major gap in the on-chain transactions and real-world payments, enabling crypto payments can provide faster settlement cycles for the parties involved. A white paper on the Banking Industry by India’s largest tech conglomerate, TCS, argued that the Crypto payments can also be cheaper due to lower transaction costs. Moreover, Crypto payment services have the potential to build a borderless payment network – enabling seamless transfer of Crypto payments from anywhere across the globe. 

And now, this hint of the US financial industry possibly accepting crypto payment by BofA CEO can make the much-awaited integration of crypto payments in the real world sooner. 

Moreover, recently on Monday, in what can be called as a prelude to making such crypto payments a possible future, Bitget – World’s second largest crypto exchange – introduced its PayFi or FlyWheel vision via its Bitget custodial Wallet.

Launched in Q1 2025, Bitget’s new vision of PayFi (Pay Forever) can help in transforming crypto from a passive asset sitting idly in your wallet into a powerful financial tool useful for real world expenses. It will integrate earning, sending and spending stored crypto assets to make real-world transactions such as shopping and subscriptions. 

Bitget Wallet is redefining the future of Web3 payments in 2025 🌅

With our #PayFi vision, we want to create a world where DeFi earnings can fund everyday expenses 💳

Here’s how we’re making it happen 👇 pic.twitter.com/DcG4vUBdKE

— Bitget Wallet 🩵 (@BitgetWallet) January 27, 2025

Important FAQs

1. What is the idea behind PayFi?

Bitget’s PayFi aims to bridge the real-world payments and On Chain finance by enabling seamless crypto payments for daily transfers like shopping, grocery bills, dining out and OTT subscriptions. 

2. How will users benefit from PayFi?

Allowing users to deposit stablecoins like USDT and USDC into Bitget Wallet, PayFi will allow users to generate DeFi yields – translating into “Buy Now, Pay Never” experience for the users. 

Users are not required to make immediate financial commitment as is the case with traditional payment methods. Transactions, which are recorded on the Blockchain, can be deferred and funded via DeFi yields on their savings stored in the Bitget Wallet.

3. How can users make crypto payments via PayFi?

PayFi initiative of Bitget will be implemented via the upcoming Bitget Wallet Card. In partnership with Mastercard, this Wallet Card will be linked to a crypto-friendly, multi-currency international Swiss bank account – which can be used globally for seamless spending. Offering competitive exchange rates and zero annual fees, this card will allow users to make crypto payments for everyday activities, say, for making in-store payment via QR or PoS, to claim mobile credits, or for purchasing gift cards on top brands like Amazon and Apple.

To enable this interconnected crypto payment mechanism, Bitget has partnered with Triple-A and Coinpal, Bitrefill (to enable conversions of crypto into gift cards), IvendPay (to offer QR code enabled Payment Solutions), Pundix (to help merchants integrate Blockchain-based PoS Systems).

Poised for Accelerated Growth

COO of Biget Wallet, Alvin Kan, called “PayFi not just a product but a movement to make Crypto more practical and impactful worldwide”. This growing acceleration in the development of crypto payments, via pilot stage projects such as PayFi, can ultimately end up in creating a well established crypto payment mechanism soon. Moreover, an expert – as the financial industry too looks towards accepting crypto payments – predicted Bitcoin to hit $130K this year once executed. The prices are also poised to go high if the crypto Payments become more integrated in the future – making its acceptance for the everyday user non-negotiable.