Square, the mobile payment firm co-founded by the creator of Twitter, Jack Dorsey, gets a patent for its new crypto technology. As per the announcement, the development team has worked on designing a system that would enable users to swap their fiat currencies into crypto during point-of-sale transactions.
Square acquired the patent from the United States Patent Office on January 21. According to the payment company, the project would combat one of the most significant issues that merchants often face in conducting transactions. Notably, the majority of retail and online merchants are still reluctant to accept cryptocurrencies such as Bitcoin (BTC) as a form of payment.
Aside from this drawback, Square also noted that processing transactions still take more time than intended. Furthermore, the anonymous nature of cryptocurrencies also put merchants at risks of criminal attacks such as money laundering. Even the ever-changing prices of cryptocurrencies in exchanges also put them in an uncertain position.
The new technology, as explained by the team, would receive a payment request from consumers that show their choice of assets. Regardless of what privacy coins they use, the system would approve it, and the merchant would, in turn, get the full value of their preferred form of payment in real-time.
However, aside from brief information about how the system would work, Square is yet to disclose the potential usage of the newly-patented technology across point-of-sale devices. Instead, the payment firm elaborated via a blog post the new developments on its Lightning Development Kit (LDK) project. The technology is reportedly more substantial than a node, and its primary function is to enhance wallet user experience and to assist in the developments of applications.