ZED Network
ZED Network, a consolidated cross-border payment platform, has partnered with Interstellar, a blockchain firm that builds apps and framework for the Stellar ecosystem, to establish an universal payment network that would bring about a drastic change in overseas, cross-asset and cross-currency transactions.
Stellar is renowned for its ability to link financial institutions such as banks, general public and other payment processing systems to enable quick fund transfer at virtually no cost.
Zed gives Money Transfer Operators (MTOs) with a detailed “remittance-in-a-box” solution such as smart phone and web apps, robust back office assistance, and KYC/AML monitoring and reporting. As part of the deal, ZED MTOs will also provide an instantaneous payment option on the Stellar network.
ZED’s exclusive technology wants to resolve the shortcomings in the MTO market. Executed on top of Stellar to a network of transmitting and receiving MTOs in numerous global channels, the ZED platform offers a one stop source of integration for MTOs for transactions, including a secure wallet, mobile and web apps, ability to exchange various currency pairs, and a strong back office with collection of data analysis and documenting tools for compliance and tracking. And on a community level, ZED Network will decrease the $40+ billion in settlement fees presently charged – cost which unduly affects earners of the world’s lowest wages.
Stellar, an open source protocol, facilitates low cost, transparent and seamless multi-asset transactions across the world. Interstellar facilitates progressive entities such as the ZED Network to effortlessly join the Stellar ecosystem.
Global payments are slowly being integrated with blockchain platforms via crypto projects like Ripple and Stellar. The two have proven their ability to handle DApps dealing with global remittances by incorporating features like Xrapid tech to improve the efficiency within this ecosystem.
Today, the ZED network made an announcement that it is going to be partnering with Interstellar. This is the company in charge of developing the design for Stellar’s blockchain network for it to qualify as a good fit for global transactions, both large & small.
As of press date, both ZED and Interstellar have made a big milestone by collaborating to produce an all-inclusive ‘global payments’ avenue. Ideally, ZED is meant to provide an all-round solution to Money Transfer Operators whose infrastructure is integrated with Stellar.
Interstellar is barely a week old, the entity was formed after Stellar’s Light year and Chain were combined. This happened when Light year acquired Chain to scale Stellar’s scope in the cryptocurrency arena. Therefore, helping Stellar to slowly make its mark amongst the fundamental altcoins especially with the ‘global payments’ market. The XLM platform can facilitate low fees, ease the access and give more options for digital assets one can trade/purchase internationally.
According to Alan Safahi, ZED’s CEO and founder, his team’s goals and those of the Stellar community in the global payments arena are definitely the same. This creates a common interest amongst the now strategic partners where both are looking forward to more adoption while offering solutions in Fin Tech. ZED aims at going global in the near future as the blockchain era takes shape in today’s businesses and other activities!
To add on to Alan’s sentiments, the Head of Sales & Partnerships at Interstellar said that the ZED platform will make it easier for users to adopt the Stellar blockchain. Paul supported his view by arguing that Money Transfer Operators would prefer joining a network without having to undergo the integration technicalities. According to him, this is something the ZED network would spare users from if successful. Then it would be a win-win for both Stellar and ZED on gaining relevance within the crypto sphere.
In summary, ZED’s infrastructure targets to address the existing imbalances within the global payments ecosystem by impacting the Money Transfer Operators. This network will operate on Stellar’s network whereby the ZED platform will create a common place for the interaction of MTOs hence the ease of sending and receiving remittances.
Among the products that ZED will offer include; mobile applications, a website & a wallet to enable the exchanging of digital assets globally. In addition, the platform will have strong follow up features for reporting & analysis to ensure guidelines and rules are followed. This will probably see a reduction in the over $40 billion fees charged for cross-border payments.
Interstellar is hoping for an intuitive, easy-to-use solution for Money Transfer Operators without the complexities and technical problems usually associated with blockchain payments. As part of the partnership, ZED Network has promised a “remittance-in-a-box” system of mobile and web apps for transfers in multiple currency pairs. It also comes with back office and KYC/AML support, as well as an instant settlement option on top of the Stellar Network.
“ZED provides a unique platform to help Money Transfer Operators immediately participate in the Stellar Network without any investments in technology or integrations,” said Paul Arnautoff, Interstellar’s Head of Sales and Partnerships. “We’re looking forward to working with ZED to expand our reach and provide a broader ecosystem of partners.”
This system will benefit small-to-medium sized Money Transfer Operators, who often struggle to achieve the same network effects of larger operators.
“Unlike the current SWIFT system,” ZED Network says on its website, the new system “eliminates dependency on banks in favor of a global, distributed network of licensed MTOs to create a faster, cheaper, more transparent money transfer network.”
The ZED Network is currently in the Private Offering period of its Public Offering, and participation is open to accredited investors in the United States and Canada. According to the company’s investor pitch, it hopes to acquire 1% of the global remittance market within five years.
In the same documents, ZED says that it chose the Stellar blockchain over Ethereum for its fast transactions and low fees.
“ZED Network and the team at Stellar and Interstellar share a vision for transforming the remittances sector by powering cross-border payments seamlessly and instantly,” said ZED Network CEO Alan Safahi. “We look forward to collaborating with Interstellar to significantly grow ZED Network’s worldwide reach.”
ZED’s not the only payment system working on the Stellar ledger, although it is currently the only project that is focused on existing Money Transfer Operators.
Tempo, a European payments provider with access to 190 countries, says it can power up to 600,000 transactions for penny-sized fees. Stellar has also paired up with Pundi X, Stripe, and Coins.ph, as well as several other remittance and payments platforms.
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