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StreetSmarts

People first, tech second If consumers don't want it, it will
In my experience, it's never a good idea to rush to install probably never be used.
a new system or technology before weighing the benefits
and costs of investing in new equipment and services and
training employees. Another consideration when evaluat-
ing payment solutions is how third-party service provid- funds to pay for products later? People need good reasons
ers will impact your new checkout streams. to let retailers hold their money.
A case in point is the complicated lifecycle of a cryptocur- Starbucks mobile app users, for example, get faster ser-
rency transaction at the point of sale, as in this example: vice, points and discounts. This 2016 infographic (http://
• Step one: Customer receives an invoice or scans a QR bit.ly/41WICSM) shows the company held $1.8 billion in
prepaid revenue across hundreds of banks, a win for mer-
code on a POS device to connect to their crypto app chants, customers and payment professionals.
or wallet.
• Step two: Customer sends the equivalent crypto to Want to know more? Keep reading The Green Sheet and
dollar amount, which usually includes a conversion- consider following me on LinkedIn, www.linkedin.com/in/
to-fiat fee. allenkopelman/, where we can share ideas and support each
• Step three: Any number of failure points could occur other.
if a consumer's wallet has insufficient funds, which Allen Kopelman, a serial entrepreneur, is co-founder and CEO of
could result in a partially approved transaction. Nationwide Payment Systems Inc. and host of B2B Vault: The Biz
• Step four: Crypto transactions are checked against to Biz podcast. Email him at allen@npsbank.com and connect on
fraud data to make sure none of the digital assets were LinkedIn https://www.linkedin.com/in/allenkopelman/ and
involved in a crime, ransomware payoff, etc. Merchant Twitter @AllenKopelman.
checks the processor's backend to confirm the
amount collected. This type of transaction is
not viable in a restaurant or retail store; there
is too much room for error. Payments is our Business
• Step five: When a sale goes through, the
merchant receives fiat currency in their bank • Expert Witness Consulting Testimony
account. Crypto-to-crypto transfers could
also be enabled but are unlikely to be popu- • Experience in Criminal & Civil cases
lar with merchants who have bills to pay and • Payment Facilitation
would not want to rely on fluctuating values
of digital assets. • RFP services

Rewards, loyalty • Integrated Payments
• Least Cost Routing
When debit cards gave rewards people loved to
use debit. Then credit card rewards started, en- • Card Network Rules
abling customers to earn airline miles and cash. • Payment Gateways
My airline card gives me deep discounts on plane
tickets that I use to visit my daughter in Iowa. I • Processor Selection
know other business owners who have traded in • 'Hard to Place Merchants'
their points and miles for exotic vacations and
cruises. I doubt that anyone would want to give
up those benefits anytime soon. Let us demonstrate how our our Experience
and Knowledge can work for you!
Visa and Mastercard, the chief innovators of the
global financial ecosystem, are incorporating
digital assets and pay-by-bank into their glob- Napa Payments and Consulting
al payment rails. Considering the complex fee
structures and credit and debit card interchange
tables already in place, it's unlikely that business- (707)601-7656
es will escape paying fees for these new payment
schemes.
kenm@napapaymentsandconsulting.com
As Amazon and Walmart launch their own re-
spective stablecoins, I can't help but wonder how napapaymentsandconsulting.com
these initiatives will benefit consumers. Why
would a customer transfer money and set aside

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