Cryptocurrency Exchange OKX Announces Launch of OKX Pay
Today (28th), cryptocurrency exchange OKX announced the official launch of OKX Pay within its mobile application. The service will initially be available to customers in specific markets, with plans for a full rollout in the coming months.
(OKX will launch OKX Pay Wallet and Financial Card: The Long Road to Compliance from Wallets and DEX Aggregators to Payments)
Self-Custody and Stablecoin Payments Made Easy
OKX CEO ### Xing stated in the announcement: “OKX Pay is a key step in realizing the vision of integrating cryptocurrency into everyday life. The new product is centered around self-custody: private key management is split—half of the user’s private key is stored in their personal wallet, while the other half is held in custody by OKX. If the password is lost, the wallet can be quickly restored through zero-knowledge (ZK) email verification.”
### Xing mentioned that self-custody wallets have existed since the inception of the industry. “Not your keys, not your coins” is a great concept. However, the complexity of user experience has always been a significant issue. Statistics show that 3 to 4 million BTC have been permanently lost, accounting for approximately 14% to 19% of the total Bitcoin supply. Calculated at today’s price (around $95,000), this amounts to $200 billion to $280 billion.
With OKX PAY, users have ultimate control over their accounts, and no one can move assets without their permission. Additionally, there is no need for paper or hardware to store private keys; the keys will be securely stored on the device, eliminating the need to write down seed phrases or purchase hardware wallets.
Support for USDT and USDC with Zero Transaction Fees
The first version of OKX Pay supports two major USD stablecoins, USDT and USDC, with plans to integrate more stablecoins based on demand in the future. ### Xing cited the example of Laszlo Hanyecz spending 10,000 BTC to purchase pizza, which would be worth approximately $950 million at current prices. This highlights the challenge of using cryptocurrency, which has become a risky asset, for payments.
OKX Pay uses OKX’s proprietary X Layer for settlement, which is an Ethereum ZK Layer developed using the Polygon CDK. Currently, the features of OKX Pay for stablecoin payments include:
- Global remittance requires just a few clicks, with no limit on the amount and instant settlement.
- Transfer can be done one-to-one or one-to-many, all with zero transaction fees.
- Transactions must comply with regulatory assessments and risk control mechanisms, balancing efficiency and security.
- Deposits generate automatic interest, as users’ stablecoin deposits will be automatically staked on low-risk on-chain protocols to generate returns.
### Xing revealed that OKX is in talks with major payment service providers like Mastercard and Stripe to enable merchants to accept OKX Pay payments directly at physical POS terminals, further pushing cryptocurrency payments into the mainstream.
Risk Warning
Investing in cryptocurrency carries a high level of risk, and its prices can be highly volatile, potentially resulting in the loss of your entire principal. Please evaluate the risks carefully.