PayPal Wants to Create a System to Hasten Crypto Transactions

PayPal Wants to Create a System to Hasten Crypto Transactions

Everybody nowadays wants to participate in the blockchain innovative race. Recently, the American system, which operates global payments, PayPal has swollen the ranks of DLT enthusiasts, including Walmart, IBM, Apple, Lenovo, and Microsoft.

What PayPal intends to do is to develop a system, which would speed up crypto transactions. The relevant application was published by the US Patent and Trademark Office on March 1. Who knows, maybe soon we will see a revolutionary system, which could compete with the Lightning Network.

PayPal Interested in Blockchain. Again

Not long ago PayPal submitted a patent application for a potential cyber money transaction system. However, it is not the first time when this online payments provider expressed its deep interest in DLT, and blockchain in particular.

The previous time it was in the middle of 2016. Then, PayPal filed an application for a patent of a modular payment module. This system was expected to accept such cyber coins as BTC, LTC as well as DOGE.

Now, PayPal wants to rival the already existing solutions for the blockchain overload problems.

Saving The World of Cryptos From Drag

In the document, it is explained that the new system for carrying out crypto payments is needed because of enormous time gaps between the stages of sending by one user and confirmation by miners. In particular, PayPal emphasized that this process usually takes more than ten minutes and the situation needed to be changed.

At the same time, in the filing, it is noted that such delays shape the distressing experience for crypto users, and even tradition credit cards beat cyber transactions in this.

That would not be serious if such delays did not slow down the worldwide adoption of cryptos. That is why PayPal is eager to create an expedited cyber money transaction system.

How will it work?

According to the filing, the new system is expected to shorten the waiting time thanks to the generation of secondary wallets. Each of these electronic “purses” would comprise a relevant private key.

The system envisages that transactions will be carried out with the help of a first wallet private key. Various predetermined sums of money will be, hence, sent to each of the secondary “purses.”

When there is a signal to send cyber money to an entirely different user, these secondary wallets are allocated a set of the primary user’s secondary “purse” private keys. Overall, these clues comprise digital coins which even to the necessary sum.