I’m thrilled to sit down with a true innovator in the blockchain and cryptocurrency space, whose work with WalletConnect is shaping the future of onchain payments. With a deep background in financial technology and a passion for creating seamless, accessible payment systems, our expert is at the forefront of bridging the gap between traditional finance and the crypto world. Today, we’ll dive into WalletConnect Pay, a groundbreaking open standard for onchain transactions, exploring its potential to revolutionize payments with features akin to traditional systems, the role of stablecoins, and the broader impact on merchants and users globally.
Can you give us an overview of what WalletConnect Pay is and why it stands out in the world of onchain payments?
WalletConnect Pay is a new open standard we’ve developed to streamline onchain payments, making them as intuitive and efficient as traditional systems like Visa or Apple Pay. It’s a big deal because it tackles some of the biggest pain points in crypto payments—think fragmented user experiences, token incompatibilities, and network friction. By creating a consistent interface between wallets, merchants, and payment providers, we’re enabling a seamless checkout process where users can connect and pay in one fluid action. This isn’t just about tech; it’s about making crypto payments practical for everyday use, which is a game-changer for adoption.
What specific challenges in crypto payments does WalletConnect Pay aim to address?
One major challenge is the complexity users face when dealing with different tokens and networks. Right now, if you’re paying with a token on one blockchain, but the merchant operates on another, it’s a hassle—or sometimes impossible. WalletConnect Pay eliminates that friction by standardizing the process across platforms. Another issue is the lack of merchant-grade features in crypto payments, like recurring billing or fraud protection. We’re building those capabilities into the system so merchants can trust and rely on onchain payments just as they do with traditional ones.
How does the user experience of WalletConnect Pay compare to something like Apple Pay or Visa?
The goal is to get as close as possible to the simplicity of tapping your phone or swiping a card. With traditional systems, you don’t think about the backend—you just pay. We’re working toward that with WalletConnect Pay by collapsing the steps of connecting a wallet and making a payment into a single action. While we’re not fully there yet due to the decentralized nature of crypto, our focus is on reducing clicks and confusion. Over time, as wallets and merchants adopt this standard, we expect the experience to rival or even surpass traditional systems in terms of speed and ease.
Your whitepaper mentions achieving ‘feature parity’ with traditional payment systems. Can you explain what that means in practical terms?
Feature parity means offering the same level of functionality that merchants and users expect from established payment systems. For instance, in traditional finance, you’ve got tools like authorizations, recurring billing for subscriptions, and loyalty programs integrated into payments. We’re embedding similar capabilities into WalletConnect Pay, but with the added benefits of blockchain—like transparency and lower costs. It’s about ensuring that switching to onchain payments doesn’t mean sacrificing the tools businesses rely on. Instead, it enhances them with programmability and global reach.
How will features like recurring billing or fraud protection function within WalletConnect Pay?
Recurring billing, for example, will work through smart contracts that automate payments on a set schedule, directly from a user’s wallet, with their consent. This cuts out middlemen and reduces fees compared to traditional systems. For fraud protection, we’re integrating compliance-ready primitives—think identity verification and transaction monitoring—that help flag suspicious activity without compromising user privacy. These features are built into the standard, so wallets and merchants adopting WalletConnect Pay get them out of the box, tailored to the unique needs of onchain transactions.
WalletConnect Pay is described as a new open standard. Can you unpack what that means for the broader crypto industry?
An open standard like WalletConnect Pay is essentially a shared playbook for how wallets, merchants, and payment providers interact. It’s similar to how standards like SWIFT or ISO20022 work in traditional finance—they ensure everyone speaks the same language. For the crypto industry, this means reducing the chaos of incompatible systems. Developers can build on this standard, knowing it’s widely supported, which fosters collaboration and innovation. It’s a foundation for scaling crypto payments from a niche tool to a mainstream solution.
Why is having a unified standard so crucial for the future of crypto payments?
Without a unified standard, the crypto payment space remains fragmented, which slows down adoption. Imagine if every credit card company had its own unique terminal—merchants would struggle, and users would be frustrated. A unified standard like WalletConnect Pay ensures interoperability across tokens and networks, so a user with any certified wallet can pay any merchant, anywhere. This consistency builds trust and lowers barriers for businesses and consumers to embrace onchain payments, ultimately driving the industry forward.
With the rollout to certified wallets planned for Q1, what should users and merchants anticipate during this phase?
During the Q1 rollout, users will start seeing WalletConnect Pay integrated into certified wallets, meaning they’ll experience smoother, one-click checkouts when paying with crypto. Merchants will gain access to enhanced features like recurring payments and better fraud tools as they adopt the standard through their payment providers. We’re starting with a phased approach to ensure stability, so not every wallet or merchant will have it overnight, but the goal is to scale quickly. Expect regular updates and support resources as we refine the system based on real-world feedback.
What hurdles do you foresee in getting wallets and merchants to adopt this new system?
Adoption always comes with challenges. For wallets, it’s about integrating the standard into their existing infrastructure, which requires time and technical resources. Some may hesitate if they’re tied to proprietary systems. For merchants, the hurdle is often education—understanding why onchain payments are worth the switch, especially if they’re comfortable with traditional setups. We’re addressing this by providing robust documentation, developer support, and showcasing the cost savings and global reach that come with WalletConnect Pay. It’s about proving the value.
Stablecoins like USDC and USDT dominate payment volume, yet ETH leads in transaction count. What’s behind this dynamic?
Stablecoins dominate volume—about 65% of payments—because they offer price stability, which merchants and users prefer for larger transactions. No one wants to worry about volatility when buying a car or paying a subscription. ETH, on the other hand, leads in transaction count because it’s widely used for smaller, direct payments, especially in ecosystems like Coinbase Commerce where it’s seamlessly converted behind the scenes. ETH’s popularity also stems from its status as a native token with massive adoption among crypto users, making it a go-to for quick transactions.
How do you see stablecoins shaping the future of global commerce in the context of onchain payments?
Stablecoins are a game-changer for global commerce because they combine the benefits of blockchain—speed, low costs, borderless transactions—with the stability of fiat. They’re already transforming remittances, cross-border trade, and even everyday purchases by removing currency exchange headaches. With WalletConnect Pay, stablecoin payments become even more seamless, which I believe will accelerate their role as a primary medium of exchange in the digital economy. They’re not just a trend; they’re becoming the backbone of onchain commerce.
What’s your forecast for the role of stablecoins versus native tokens like ETH in the payments landscape over the next few years?
I expect stablecoins to continue growing in importance for payments, especially as more merchants and consumers prioritize predictability in value. They’ll likely dominate volume for larger transactions and recurring payments. However, native tokens like ETH will retain a strong presence, particularly for peer-to-peer transactions and within specific ecosystems where they’re deeply integrated. Over the next few years, I see a hybrid landscape where stablecoins handle the bulk of commercial payments, while native tokens remain a key part of the crypto-native user base. The balance will depend on how volatility concerns evolve and whether new solutions emerge to bridge that gap.