The PayFi track has immense potential: AI payments, micro-payments, and innovative deposit solutions.

This article will delve into several highly potential new application scenarios in the PayFi track: AI payments, consumer-oriented micropayments, and innovative deposit and withdrawal solutions.

AI Payment

The combination of AI and cryptocurrency payments holds enormous market potential. AI payments are expected to disrupt multiple industries beyond traditional finance, such as data labeling, model training, and content creation. As AI assistants gradually integrate into daily life, the application scope of cryptocurrency payments will also expand into mainstream industries. In the future, AI assistants may even help you proactively order takeout, coordinate purchases of clothing and groceries, and arrange rides to meetings.

market opportunities

• Revenue sources for AI payment platforms: transaction fees, subscription fees, or small payment systems for various AI services.
• Advantages of Stablecoin Settlement: Stablecoin transactions enable 24/7 real-time settlement for cross-border remittances, which is faster and cheaper compared to traditional banking systems, making it highly suitable for the AI-driven demand for small transactions.

Case: Skyfire

Skyfire technology is committed to building a powerful and scalable payment infrastructure for AI agents and users, mainly consisting of the following key components:

1. Payment and Wallet Infrastructure:

   • Skyfire Wallet Service: Provides a channel for fund deposits and withdrawals for global trading.
   • Payment-as-Auth: Achieving real-time settlement of USDC.
   • Micro-payment support: Assisting AI agents in conducting permissionless, high-frequency, low-value transactions.

2. Open Protocol (AI Market): Integrates all AI-related products and services, allowing AI agents to connect to the resources needed for work through the Skyfire open protocol (market) and pay for these services using the Skyfire API.

3. Identity and Verification Layer: Assign an identity (KYA) to each AI agent, providing identity identification for all agents, users, and businesses using Skyfire products.

4. Integrated Tools: Supports over 160 large language models (LLMs), provides dataset, high-quality content, and API access to web services, and also prepares tools for developers to easily integrate Skyfire into their systems.

Key Success Factors

• AI payment layer network effects: Skyfire is a platform that integrates AI marketplace and payment layer, creating a bilateral flywheel effect.
• Compliance and Security: Verifiable Identity (KYA) and transaction history ensure the security of transactions.
• Strong community: Collaborations with LLM providers, data markets, and enterprise-level AI companies have strengthened its ecosystem.

Consumer-oriented micropayments

Cryptocurrency-based micro-payments for consumers, combined with innovative models, highlight the immense potential of global instant settlement and decentralized protocols. By reducing intermediaries and costs, this model has the potential to disrupt industries such as cryptocurrency trading, content creation, gaming, and live streaming, especially in emerging markets.

market opportunities

• Target market: covering daily transaction scenarios for consumers in ride-hailing, gaming, digital media, live streaming, content creators, and online communities.
• Sources of income: transaction fees, revenue from partnerships with content platforms, and integration income from decentralized finance (DeFi).

Case: Moonshot

Moonshot is a trading platform that allows users to buy and sell Meme tokens using methods such as Apple Pay. Its main features are as follows:

• Self-custody wallet: Users can create an account using their email and password.
• Fee structure: Fees are charged based on transaction amounts.
• Referral Program: Users can earn rewards by referring friends to use the platform.

Key Success Factors

1. User-friendly interaction design: The interface is simple and intuitive, streamlining the buying and selling process of Meme cryptocurrencies.
2. Token launch speed: The platform's ability to quickly launch popular Meme tokens is crucial.
3. Efficient recommendation mechanism: The recommendation system has driven user growth and enhanced community interaction.
4. Compliance and Security Assurance: The platform strictly adheres to local regulations and has implemented robust security measures.

Case: Sidekick

Sidekick is a Web3 gaming companion platform and payment gateway, where streamers can receive small payments and tips via Crypto.

Key Success Factors

• Solve the payment difficulties for creators: Provide instant, low-cost blockchain payments.
• Low-cost trading promotes income equity: allowing mid-tier influencers to also earn higher income from trading.
• Achieving scalability through Web3 infrastructure: Adopting Web3 protocols to ensure that its payment gateway is decentralized, scalable, and secure.
• The future direction of the creator economy: taking a leading position in the decentralized, cryptocurrency-native monetization field.

Innovative Deposit and Withdrawal Solutions

Efficient deposit and withdrawal solutions play a key role in the widespread adoption of cryptocurrencies. These solutions create a bridge for users and institutions that rely on fiat currency to access crypto assets or participate in decentralized finance (DeFi).

market opportunities

• Demand for stablecoins is rising: The usage of stablecoins in remittances, DeFi, and cross-border trade is continuously increasing.
• Layer-2 and multi-chain expansion: The deposit platform can be combined with Layer-2 networks and cross-chain support.
• Enhanced Accessibility: Embedded payment solutions and wallet-less access methods simplify the onboarding process for cryptocurrencies.
• Emerging Market Potential: Deposit and withdrawal platforms often leverage mobile products to penetrate emerging markets with weak financial infrastructure.

Case: Fiat24

Fiat24 is a new type of Web3 bank that offers users a seamless, zero-cost conversion experience between fiat currency and cryptocurrency. Its main product features include:

• Tokenized deposit: Presenting fiat currency in the form of ERC-20 tokens on the Ethereum blockchain.
• NFT-based account access: Users receive a unique NFT as their digital identity to access their Fiat24 account.
• Visa debit card integration: Provides a Visa debit card linked to the user account.
• Compliance assurance: Subject to regulation by the Swiss Financial Market Supervisory Authority (FINMA).

Key Success Factors of Fiat24

• Strong network effects: Establishing its tokenized deposits as a universal standard.
• Regulatory advantages and cost leadership: Backed by a Swiss banking license, it has gained endorsement from the traditional financial system.
• The integration of fiat currency and cryptocurrency: seamlessly connecting traditional finance and decentralized finance.
• Scalable partnerships: Providing integrated Web3 banking solutions.

Conclusion

Blockchain has immense potential in redefining the global payment system. PayFi innovations address the long-standing inefficiencies in traditional finance and open up vast market opportunities. The integration of cryptocurrencies, stablecoins, and decentralized finance paves the way for scalable, secure, and cost-effective solutions.

PayFi leads us towards a more inclusive, transparent, and efficient financial future. Although we still face challenges in regulation and infrastructure, the prospects are already clear, and the future is promising.