Wallets, Processes and Distributed Ledgers.

Administrative processes are important. For prepaid wallets and accepting merchants, they are critical. Managing contracts, reconciling data from disparate sources and enabling clearing and settlement can be very challenging. While opinions may vary, a large part of an average organizational day can be taken up in this. Some basic changes may help.

Closed loop wallets running on distributed ledger networks can find significant efficiencies. A single immutable record of all transactions can reduce the effort of daily reporting and reconciliation. There is one mother record everyone can refer to. Smart contracts can reduce legal and administrative paperwork and push clients towards standard terms of engagement. It can also trigger off a stream of clients on-boarding automatically and signing on their end-users, rather than spending long cycles on administrative papework and technical launches. Let us now consider Settlement. Wallet providers, their clients, merchants accepting payments by these wallets and banks should start thinking of exchanges where tokens can be encashed into bank accounts against pre-set parameters. One might even suggest that continguous exchanges can compete by offering a variety of services and differential fees.

Enabling wallets with a decentralized, peer to peer, immutable and transparent framework can create considerable shift in their proposition. They are then no longer just wallets. They are key players in moving money to a future of instant mobility.

Note: The views expressed here are those of the author in a personal capacity. This blog was also published under https://medium.com/@a_different_view