So, its been talked about before - Nu needs an easy entry and exit gateway for fiat. There are many issues when we start talking about using fiat…
One of the simpler ways of using fiat is using paypal. But using paypal for BTC conversion is not viable because of fraudulent claims and lack of proof of payment. The same issues arise when we talk about NBT.
However, there is a way around this: sell website credits which are redeemable for NBT or USD. The credits are traceable and enable proof of purchase. So theoretically a website could be made with a web store where users could use USD (via paypal) or NBT to buy credits. And then redeem credits for NBT or USD (via paypal).
But the next hurdle is the cost of operation. Paypal charges 2.9% + $0.3 per transaction. This would require transactions above $20 to be viable. And for for every $1 the user would only get 0.97 NBT. This is a heavy burden for Nu conversion because as a community our goal is a tight peg on USD.
There are 2 options for the site:
- The gateway passes the burden of exchange on the user and they accept the 3% fee.
- The Nu community helps the gateway by subsidizing its operations through grants to allow the site to reduce the fee burden.
I’d like to hear the community’s thoughts on the matter.