Blockchain-enabled commercial payments platform Paystand is partnering with JCB to offer the first end-to-end digital payment platform for Japanese companies.
Paystand says that the proposed solution addresses an enormous gap in the current B2B payment market in Japan. Specifically, it gives the corporate subset of JCB’s 130 million customers an alternative to legacy payment methods, like cash and credit cards.
“The challenges faced by B2B companies across the globe are similar. They are burdened by a commercial payment infrastructure mired in pre-internet technology,” says Jeremy Almond, CEO Paystand.
“As a result, they are saddled with a legacy system rife with costly transaction fees, manual processes, and delays. Our relationship with JCB is yet another indication that enterprises in all markets are demanding easy, secure, frictionless business payments that leverage digital technology.
Japan: only 1% of commercial payments by credit card
“JCB is an iconic, globally recognised brand in financial services. We are excited to partner with them to introduce better business payment technology to their customers and other companies throughout Japan and Asia.”
The B2B payment market in Japan accounts for $10trn in annual volume. But, like many markets, is still dominated by cash transactions. Only 1% of commercial payments in Japan are currently made via credit card. And an even smaller fraction are made through technology such as bank transfers.
Paystand says that the reliance on pre-internet solutions for commercial payments causes significant and measurable economic drag. Estimates range from $500bn to $1trn in lost productivity and ROI to businesses.
And it says the result of this joint undertaking will provide those businesses which are transacting trillions of dollars in payment volume a modern B2B payment platform. That will dramatically improve the payment experience for payers and merchants.
In the past year, Paystand has expanded into Canada, Mexico, and now Asia.