FTX Pay is a service offered by the FTX Crypto Derivatives Exchange intended to allow users to receive payments via cryptocurrencies, fiat, or both.
It is a convenient option for a store or app owner to accept payment from customers via their desired payment method that is backed by the FTX brand.
Before we get into the details of FTX Pay, there are a few things we need to get out of the way first:
FTX has made an official announcement that they are moving FTX Pay exclusively to the FTX US platform instead.
For the time being, anyone can still use FTX Pay applications that exist on FTX International. However, they will not be able to create new applications without using the FTX US platform instead.
This article does not offer any investment advice, and it is only here for informational purposes.
Let’s dive into exactly how FTX Pay works.
Integrating FTX Pay as a Vendor
There are two main ways through which FTX Pay can be integrated within a project:
CREATE AN APP – this will let vendors receive payments from anyone with an FTX Account. Remember that the sub-account the app is created from is where the funds will be received.
SET UP PAYMENTS – this is a method where a vendor can set the payment option to allow anyone to pay through the usage of external wallets, which can be handy for DeFi projects.
Through the SET UP PAYMENTS method, in order for a vendor to integrate FTX Pay within their website, they need to make a few choices within the web-based FTX US app.
Vendors can either select a custom amount or let the user choose the amount of the payment. They can also let the user choose which currency the vendor can receive.
There are two main fields here that vendors have the freedom of choosing, and these include:
The Wallet Type
Additionally, they can allow the user to leave a tip if they want to.
The supported cryptocurrencies on FTX Pay currently include:
USD Coin USDC/USD
Paxos Standard USDP/USD
Binance USD BUSD/USD
USD Tether USDT/USD
Bitcoin Cash BCH/USD
PAX Gold PAXG/USD
Compound USDT CUSDT/USD
Wrapped USD Coin WUSDC/USD
ChainLink Token LINK/USD
Uniswap Protocol Token UNI/USD
Basic Attention Token BAT/USD
Wrapped BTC WBTC/USD
Brazilian Digital Token BRZ/USD
Graph Token GRT/USD
Paxos Standard PAX/USD
Shiba Inu SHIB/USD
The Wallet Types Included are:
After each of these choices has been made by the vendor, they will receive a copy of an HTML code which they can copy and then paste within their website’s source.
Making a payment as a user of FTX Pay
Let’s create a case scenario where you are the owner of an e-commerce website and aim to sell a product or a service that costs $10. Here is what would actually occur from the perspective of the buyer.
Step 1: FTX Pay as a service will give each user a button that can be embedded directly on their website and will say “Pay with FTX.”
Step 2: The user of the website would then be able to click on the button, after which they will be redirected to create an account, assuming they do not already have one. If a user has one, they can simply login instead. Sign up with FTX.com here.
Step 3: If the user in question does not yet have any funds, they will be prompted to initially send $10, and if this is their first time using FTX, they will also need to submit additional information about themselves. In other words, they will be prompted to verify their identity by providing KYC documents and deposit funds before they can send a payment.
Step 4: Within the next step, the user is given the opportunity to pay through a credit card, ACH, or other options, or with cryptocurrencies directly through clicking on “add funds.”
Step 5: When a user selects the cryptocurrency they would like to deposit and use for the payment process, they will be given a crypto deposit address, which they can either copy or scan through the usage of a QR code.
Step 6: The user can then select the coin which is supported by the blockchain network selected from the vendor they are buying from and enter the amount of crypto they want to use. In this case, we will be using USD Coin USDC/USD on the Solana blockchain and enter a quantity of 3.
Step 7: Once the user has successfully made a deposit, they can click on “Send” to complete the process.
FTX Pay Partnerships
To make FTX Pay have such varied options and ease of use, FTX has partnered up with multiple companies in order to integrate as many options as possible.
Their main partners currently include:
FTX Pay provides an excellent opportunity for vendors to actually start accepting cryptocurrency tokens as a payment method on their websites, apps, and stores. At the same time, it gives FTX US exchange users the option to spend the cryptocurrency tokens within their cryptocurrency wallets.
This marks a major step towards making cryptocurrency payment options a lot more streamlined.
The overall process of adding crypto payments as an option with FTX Pay is as streamlined as possible and enables a high level of customization by letting vendors select a custom name as well as the logo.