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Instant Payments Have a Batch-Based Systems Problem – Consumers Say Figure it Out
April 15, 2023
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https://www.pymnts.com/disbursements/2023/instant-payments-have-a-batch-based-systems-problem-consumers-say-figure-it-out/

What typically happens when consumers want a particular product or service, have expressed their strong desire for it, see other providers with similar capabilities offering it, but are told they can’t get it from their preferred provider?

Many will take their business to where they can get what they really want.

It’s a sentiment that United States consumers increasingly express when it comes to payouts from businesses that owe them money. Whether the use case might be gaming winnings, insurance claims payments, gig payments, tips, loan proceeds, legal settlements, rebates or incentive payments, 22% of consumers who received at least one disbursement are somewhat less likely to continue a client relationship if the sender doesn’t offer instant payments.

It’s a puzzle that Drew Edwards, CEO of Ingo Money, told Karen Webster comes down to three words: “batch-based systems” that operate in direct conflict with the 24/7/365 digital world in which consumers live. One in which consumers expect access to their money anytime, any day, any way they want to receive it.

“So many businesses — both corporates and banks — still operate on batch-based systems, despite the launch of RTP®,” Edwards said. “Banks close over the weekend and are closed after what was once considered normal business hours, which is not how the digital economy operates.”

The shift to instant, 24/7 and real time will take time, he said. And just like many other things in the payments world, banks and corporates will build “bridges” to make “instant” happen in their batch-based world. Over time, Edwards explained, banks will partner with someone like Ingo or build other bridges to make 24/7, instant payments possible.

The alternative is they’ll risk losing customers to a competitor whose bridge to instant is modern and in place.

“If [instant] is available at this insurance company and not that insurance company, and [the consumer] had a slow claims experience, then that customer is lost,” Edwards explained, adding, “That’s when it really hits the tipping point — when it becomes demanded.”

Let the Bridge Building Begin

The pressure to build those bridges is only increasing.

PYMNTS research of nearly 2,300 U.S. consumers in the “Disbursements Satisfaction Report 2023,” found that given the choice, 68% always picked instant as a payout option when offered, yet only 22% of consumers reported receiving a payout that way in the past year.

Gaming and hospitality are probably the hottest sectors right now and where Edwards said he sees the greatest push.

Instant got its initial tailwind from gig platforms. Like gig workers who want instant payout for the work performed that day, instant payout of tips and winnings replaces the “instant” of cash payouts with the security and convenience of instant digital payouts.

“The most momentum we are seeing coming out of 2022 and going into 2023 is in the hospitality industry,” he said. “That is a very broad industry. You’re talking about hotels, talking about casinos, you’re talking about restaurants, not only full-service restaurants but QSRs. Here we’re not killing the check, we’re killing cash, and that’s just on fire.”

Edwards said he also sees demand from the super-regional banks, which are now being pressured by their corporate customers to deliver choice and speed to their end customers. He said that corporates asking for real-time payments has suddenly become part of conversations where it wasn’t before. Even as recently as last year, few corporates even asked Ingo whether they could get RTP®, but that’s changing.

“Whether it’s a consumer or a small business or an end user — once the receiver of money says, ‘What do you mean I’ve got to wait?’ That wakes everybody up,” he said. “That’s more important than [an order from] the CFO’s office. That’s product-driven.”

Trust Before Instant

There are some holdouts to instant payouts. The PYMNTS study found two-thirds of consumers who opted out of instant payments as a payout option did so over concerns about sharing bank account credentials and card data with the sender. Webster admitted that a marketplace on which she sells various products requires bank account credentials for instant payouts of her sales and she opts not to provide them. Her payout default? A check that costs her $10 to receive, an option that Edwards joked meant that she was “paying for slow.”

Jokes aside, building trust is important, particularly if the sender is a brand that consumers may use but not entirely trust with their payment credentials.

“If you’ll remember, Mastercard and Visa had to cross this trust issue to get people to even adopt debit,” Edwards said. “What unlocked adoption was only being liable for $50 if somebody stole all your money. But trust is a funny thing, and people, depending on their age and where they grew up and what industry they’re in, have different things that spook them.”

When It Absolutely, Positively Has to Be There in an Instant

There’s no greater proof point for the value of a product than a willingness to pay extra to get access to it. Although a growing proportion of consumers now expect instant to be free, more like an embedded part of their payout experience, there are payment use cases in which consumers are willing to pay for immediate access to funds.

Disbursement types for which consumers are willing to pay to receive them instantly include loans and borrowing (52%), insurance disbursements (41%), income and earnings (39%), and product purchase-related disbursements (37%).

It comes down to need, Edwards said.

“Is it really important that you get it right now?” he said. “I think PayPal and all those guys have proven that out by offering that choice. Do you want the money tomorrow for free, or do you want to pay a fee and get it right now? I know it’s really consistent, the group of people that will willingly pay the fee because it matters, and the ones that will go, ‘Nah, I’ll wait.’ I think that’s up to us in the industry to make those choices available. Some people will pay for speed because they need it.”

And as PYMNTS’ latest “Money Mobility Index” noted, providing choice is a prime differentiator between top and bottom performers. We found that issuers offering six or more instant payment methods, either for money in or out, earn an average index score of 59.5, while those offering two or fewer instant methods earn an average score of just 50.6.

That spread can be a decisive factor in consumer and end-user satisfaction.

“The more choices we can give and let consumers make their own decisions, the better,” Edwards said, “but there will always be a percentage of the population that needs it faster, and that’s valuable to them.”

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Brad Garlinghouse In Washington 🚀

It’s time for a fair and open level playing field.

Under Gary Gensler it was quite the opposite.

  • Brad Garlinghouse
    July 9, 2025
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More Of The Same...l

🚨 JUST IN: Patriot Tom Fitton, who has been fighting DOJ and FBI to release documents for years, has practically thrown in the towel.

👉 "The justice department and the FBI are irredeemably compromised and corrupted.
The leadership needs to understand that and act accordingly." ~Tom Fitton

00:01:30
Christine Lagarde just gave Ripple & Circle A Shoutout!
00:00:44
👉 Coinbase just launched an AI agent for Crypto Trading

Custom AI assistants that print money in your sleep? 🔜

The future of Crypto x AI is about to go crazy.

👉 Here’s what you need to know:

💠 'Based Agent' enables creation of custom AI agents
💠 Users set up personalized agents in < 3 minutes
💠 Equipped w/ crypto wallet and on-chain functions
💠 Capable of completing trades, swaps, and staking
💠 Integrates with Coinbase’s SDK, OpenAI, & Replit

👉 What this means for the future of Crypto:

1. Open Access: Democratized access to advanced trading
2. Automated Txns: Complex trades + streamlined on-chain activity
3. AI Dominance: Est ~80% of crypto 👉txns done by AI agents by 2025

🚨 I personally wouldn't bet against Brian Armstrong and Jesse Pollak.

👉 Coinbase just launched an AI agent for Crypto Trading

same for: https://coinmarketcap.com/community/articles/686e68f5d405956445e039ff/

🚨 Ripple Picks BNY Mellon to Back RLUSD Stablecoin Amid Major Surge 🚨

Ripple has selected BNY Mellon, one of the world’s largest and most trusted financial institutions, to serve as the primary custodian for its RLUSD stablecoin. This decision comes as RLUSD experiences a surge in demand, highlighting growing institutional interest in Ripple’s stablecoin offering.

🔹 Institutional Partnership

🔹 BNY Mellon will safeguard the reserves backing RLUSD, ensuring transparency, security, and regulatory compliance for the stablecoin.

🔹 This partnership is designed to build trust with both institutional and retail users by leveraging BNY Mellon’s expertise in asset custody.

🔹 RLUSD’s Rapid Growth

🔹 RLUSD has seen a significant increase in adoption, reflecting confidence in Ripple’s approach to stablecoins and its commitment to compliance and transparency.

🔹 The collaboration with BNY ...

From Wall Street to Web3: Building Tomorrow’s Digital Asset Markets

COMMITTEE ON BANKING, HOUSING, AND URBAN AFFAIRS will meet in OPEN SESSION, HYBRID FORMAT to conduct a hearing entitled, “From Wall Street to Web3: Building Tomorrow’s Digital Asset Markets.” The witnesses will be: The Honorable Summer Mersinger, CEO, Blockchain Association; Mr. Jonathan Levin, CEO, Chainalysis; Mr. Dan Robinson, General Partner, Paradigm; Mr. Brad Garlinghouse, CEO, Ripple; The Honorable Timothy Massad, Research Fellow and Director of Digital Assets Policy Project of the Mossavar-Rahmani Center for Business and Government, Kennedy School of Government at Harvard University, former CFTC Chairman; and Mr. Richard Painter, S. Walter Richey Professor of Corporate Law, University of Minnesota Law School, former Associate Counsel to the President and chief White House ethics lawyer.

https://www.banking.senate.gov/hearings/from-wall-street-to-web3-building-tomorrows-digital-asset-markets

‼️XRP ETF INFOGRAPHIC REVEALS AMERICAN EXPRESS UTILIZES XRP‼️

“A well-known company that uses XRP is American Express, which leverages RippleNet to enable realtime cross-border payments for corporate clients.

Through its partnership with Ripple, American Express uses XRP indirectlyvia Ripple's infrastructure to facilitate faster and more transparent transactions between the U.S. and international markets, helping businesses move money efficiently and reduce settlement times from days to seconds.”✅

OP: Smqkedqg

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Musk Turns On Starlink to Save Iranians from Regime’s Internet Crackdown

Elon Musk, the world’s richest man and a visionary behind SpaceX, has flipped the switch on Starlink, delivering internet to Iranians amid a brutal regime crackdown.

This move comes on the heels of Israeli strikes targeting Iran’s nuclear facilities, as the Islamic Republic cuts off online access.

The former Department of Government Efficiency chief activated Starlink satellite internet service for Iranians on Saturday following the Islamic Republic's decision to impose nationwide internet restrictions.

As the Jerusalem Post reports, that the Islamic Republic’s Communications Ministry announced the move, stating, "In view of the special conditions of the country, temporary restrictions have been imposed on the country’s internet."

This action followed a series of Israeli attacks on Iranian targets.

Starlink, a SpaceX-developed satellite constellation, provides high-speed internet to regions with limited connectivity, such as remote areas or conflict zones.

Elizabeth MacDonald, a Fox News contributor, highlighted its impact, noting, "Elon Musk turning on Starlink for Iran in 2022 was a game changer. Starlink connects directly to SpaceX satellites, bypassing Iran’s ground infrastructure. That means even during government-imposed shutdowns or censorship, users can still get online, and reportedly more than 100,000 inside Iran are doing that."

During the 2022 "Woman, Life, Freedom" protests, Starlink enabled Iranians to communicate and share footage globally despite network blackouts," she added.

MacDonald also mentioned ongoing tests of "direct-to-cell" capabilities, which could allow smartphone connections without a dish, potentially expanding access and supporting free expression and protest coordination.

Musk confirmed the activation, noting on Saturday, "The beams are on."

This follows the regime’s internet shutdowns, which were triggered by Israeli military actions.

Adding to the tension, Israeli Prime Minister Benjamin Netanyahu addressed the Iranian people on Friday, urging resistance against the regime.

"Israel's fight is not against the Iranian people. Our fight is against the murderous Islamic regime that oppresses and impoverishes you,” he said.

Meanwhile, Reza Pahlavi, the exiled son of Iran’s last monarch, called on military and security forces to abandon the regime, accusing Supreme Leader Ayatollah Ali Khamenei in a Persian-language social media post of forcing Iranians into an unwanted war.

Starlink has been a beacon in other crises. Beyond Iran, Musk has leveraged Starlink to assist people during natural disasters and conflicts.

In the wake of hurricanes and earthquakes, Starlink has provided critical internet access to affected communities, enabling emergency communications and coordination.

Similarly, during the Ukraine-Russia conflict, Musk activated Starlink to support Ukrainian forces and civilians, ensuring they could maintain contact and access vital information under dire circumstances.

The genius entrepreneur, is throwing a lifeline to the oppressed in Iran, and the libs can’t stand it.

Conservative talk show host Mark Levin praised Musk’s action, reposting a message stating that Starlink would "reconnect the Iranian people with the internet and put the final nail in the coffin of the Iranian regime."

"God bless you, Elon. The Starlink beams are on in Iran!" Levin wrote.

Musk, who recently stepped down from leading the DOGE in the Trump administration, has apologized to President Trump for past criticisms, including his stance on the One Big Beautiful Bill.

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GENIUS Act lets State banks conduct some business nationwide. Regulators object

The Senate passed the GENIUS Act for stablecoins last week, but significant work remains before it becomes law. The House has a different bill, the STABLE Act, with notable differences that must be reconciled. State banking regulators have raised strong objections to a provision in the GENIUS Act that would allow state banks to operate nationwide without authorization from host states or a federal regulator.

The controversial clause permits a state bank with a regulated stablecoin subsidiary to provide money transmitter and custodial services in any other state. While host states can impose consumer protection laws, they cannot require the usual authorization and oversight typically needed for out-of-state banking operations.

The Conference of State Bank Supervisors welcomed some changes in the GENIUS Act but remains adamantly opposed to this particular provision. In a statement, CSBS said:

“Critical changes must be made during House consideration of the legislation to prevent unintended consequences and further mitigate financial stability risks. CSBS remains concerned with the dramatic and unsupported expansion of the authority of uninsured banks to conduct money transmission or custody activities nationwide without the approval or oversight of host state supervisors (Sec. 16(d)).”

The National Conference of State Legislatures expressed similar concerns in early June, stating:

“We urge you to oppose Section 16(d) and support state authority to regulate financial services in a manner that reflects local conditions, priorities and risk tolerances. Preserving the dual banking system and respecting state autonomy is essential to the safety, soundness and diversity of our nation’s financial sector.”

Evolution of nationwide authorization

Section 16 addresses several issues beyond stablecoins, including preventing a recurrence of the SEC’s SAB 121, which forced crypto assets held in custody onto balance sheets. However, the nationwide authorization subsection was added after the legislation cleared the Senate Banking Committee, with two significant modifications since then.

Originally, the provision applied only to special bank charters like Wyoming’s Special Purpose Depository Institutions or Connecticut’s Innovation Banks. Examples include crypto-focused Custodia Bank and crypto exchange Kraken in Wyoming, plus traditional finance player Fnality US in Connecticut. Recently the scope was expanded to cover most state chartered banks with stablecoin subsidiaries, possibly due to concerns about competitive advantages.

Simultaneously, the clause was substantially tightened. The initial version allowed state chartered banks to provide money transmission and custody services nationwide for any type of asset, which would include cryptocurrencies. Now these activities can only be conducted by the stablecoin subsidiary, and while Section 16(d) doesn’t explicitly limit services to stablecoins, the GENIUS Act currently restricts issuers to stablecoin related activities.

However, the House STABLE Act takes a more permissive approach, allowing regulators to decide which non-stablecoin activities are permitted. If the House version prevails in reconciliation, it could result in a significant expansion of allowed nationwide banking activities beyond stablecoins.

Is it that bad?

As originally drafted, the clause seemed overly permissive.

The amended clause makes sense for stablecoin issuers. They want to have a single regulator and be able to provide the stablecoin services throughout the United States. But it also leans into the perception outside of crypto that this is just another form of regulatory arbitrage.

The controversy over Section 16(d) reflects concerns about creating a regulatory gap that allows banks to operate interstate without the oversight typically required from either federal or state authorities. As the two Congressional chambers work toward reconciliation, lawmakers must decide whether stablecoin legislation should include provisions that effectively reduce traditional banking oversight requirements.

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If you find value in my content, consider showing your support via:

💳 PayPal: 
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Dubai regulator VARA classifies RWA issuance as licensed activity
Virtual Asset Regulatory Authority (VARA) leads global regulatory framework - makes RWA issuance licensed activity in Dubai.

Real-world assets (RWAs) issuance is now licensed activity in Dubai.

~ Actual law.
~ Not a legal gray zone.
~ Not a whitepaper fantasy.

RWA issuance and listing on secondary markets is defined under binding crypto regulation.

It’s execution by Dubai.

Irina Heaver explained:

“RWA issuance is no longer theoretical. It’s now a regulatory reality.”

VARA defined:

- RWAs are classified as Asset-Referenced Virtual Assets (ARVAs)

- Secondary market trading is permitted under VARA license

- Issuers need capital, audits, and legal disclosures

- Regulated broker-dealers and exchanges can now onboard and trade them

This closes the gap that killed STOs in 2018.

No more tokenization without venues.
No more assets without liquidity.

UAE is doing what Switzerland, Singapore, and Europe still haven’t:

Creating enforceable frameworks for RWA tokenization that actually work.

Matthew White, CEO of VARA, said it perfectly:

“Tokenization will redefine global finance in 2025.”

He’s not exaggerating.

$500B+ market predicted next year.

And the UAE just gave it legal rails.

~Real estate.
~Private credit.
~Shariah-compliant products.

Everything is in play.

This is how you turn hype into infrastructure.

What Dubai is doing now is 3 years ahead of everyone else.

Founders, investors, ecosystem builders:

You want to build real-world assets onchain.

Don’t waste another year waiting for clarity.

Come to Dubai.

It’s already here.

 

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If you find value in my content, consider showing your support via:

💳 PayPal: 
1) Simply scan the QR code below 📲
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🔗 Crypto – Support via Coinbase Wallet to: [email protected]

Or Buy me a coffee: https://buymeacoffee.com/thedinarian

Your generosity keeps this mission alive, for all! Namasté 🙏 Crypto Michael ⚡  The Dinarian

 

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