In the past few years, along with the increasing consumption of smartphones and the exploding e-commerce industry, there has been an exponential increase in the mobile payment systems. However, the traditional banking and mobile payments systems have fallen short of delivering a seamless and hassle-free experience due to its constrained market growth and falling user and merchant satisfaction.
Some of the major issues with the traditional payment systems are the high transactions fees, lack of multi-currency support for global e-commerce, long settlement periods and absence of a shared trust mechanism.
The arrival of the blockchain technology and the virtual digital currencies have posed a serious challenge to the banking systems. However, digital currencies are still under their nascent stage of development and are currently facing scalability crisis in terms of in terms of dealing with the volume and speed of transactions.
COTI, called the Currency Of The Internet, aims to resolve all these bottlenecks by providing a decentralized scalable network built from the ground to facilitate global commerce and solve the payment challenges of today. COTI provides the best of blockchain technologies and traditional payment systems and deliver a solution which is trust-driven, cost-effective, instant and support multi-currency wallet.
Key Features of COTI’s Payment Solutions
- DAG (directed acyclic graph) Based Consensus Model: COTI will build its distributed ledger technology based on DAG structure which is more robust and offers better scalability over the existing chain-based model. Unlike the chain model where greater scale has an adverse effect on the network usability, there is a positive correlation between a number of network users and the rate at which transactions are confirmed.
- Trust Score Engine: COTI’s payment solution will automatically assess the interaction between its network participants – buyers and sellers – and will assign a unique Trust Score to each of them. This is basically the relative value of contribution by each participant.
- Mediation System: this helps to maintain the network integrity by solving the disputes between transacting parties. The COTI system does this by leveraging the power of game theory, data science and independent network of crowd sourced mediators.
- Currency Exchange: The COTI payments solution helps to seamlessly move between different currencies either fiat or digital just by aggregating liquidity from the internal and external liquidity pools.
- Applications and Services: COTI is developing a suite of different applications and services in order to provide merchants, consumers and crowdsourced mediators a seamless connectivity to the COTI network. The COTI wallet and debit card will allow for secure storage, transmission and exchange of fiat and digital currencies.
COTI is currently working on getting all its formalities completed in order to launch its operations soon. It is currently laying the foundation for complying with existing regulations and getting the license of a payments network and a currency exchange. It is also applying for a DLT license in Gibraltar while working on its legal framework. COTI says that it will adopt banking industry compliance standards to make sure that its digital-currency services are not a conduit for other illicit activities.
The COTI Team
The COTI team includes professionals from different industrial disciplines like banking, cryptography, asset management and others. There is also an advisory team that includes big-shots from prestigious institutions like BlackRock, HSBC, Invested Bank, Processing.com and Markets.com.
COTI’s Native Token
The native digital token of the COTI’s payments network helps to fuel the interaction between merchants, consumers, mediators and node operators. It is also working on a currency exchange to provide its network participants with a continuous access to liquid markets in a range of fiat and digital currency pairs.
More details regarding the COTI project can be obtained from its official whitepaper.
