Fast Payment Systems
Instant electronic fund transfer systems operating 24/7 for retail transactions.
What is Fast Payment Systems?
Fast payment systems like India’s UPI or the UK’s Faster Payments enable real-time settlements, processing high volumes of low-value transactions with examples including Venmo and Zelle. Benefits include reduced costs (up to 50% lower than traditional methods), improved cash flow, and 24/7 availability, with global adoption reaching 70 countries by 2025.
In digital assets, these systems integrate with CBDCs like e-CNY, supporting 10,000 transactions per second and offline capabilities for resilience. They mitigate float risks and enhance transparency, with transaction times dropping from days to seconds.
Related Terms
Flash Loan
A type of uncollateralized loan in decentralized finance (DeFi) that is borrowed and repaid within a single blockchain transaction.
Liquidation (Lending)
The automated sale of a borrower’s collateral when its value falls below a protocol’s required threshold.
Digital Signature
A cryptographic mechanism that verifies the authenticity and integrity of a digital document or message using a private-public key pair.
BitLicense (New York)
New York Department of Financial Services' licensing requirement for virtual currency businesses, including stablecoin issuers, with enhanced blockchain analytics in 2025.
Agentic Commerce
Commerce driven by autonomous agents using digital assets for transactions.
BUIDL
The act of actively building and contributing to the development of decentralized technologies and ecosystems, rather than solely investing or speculating.