Velo Partner Spotlight: Lightnet
How Lightnet uses Velo technology to bring the world one step closer to faster, cheaper and more secure cross border payments
Velo Labs for faster, cheaper and more secure cross border payments
Velo Labs’ mission is to revolutionize financial services, which are inefficient, slow and expensive. We believe blockchain technology can underpin these improvements. Areas we are improving range from international payments, to tokenized real estate, to creating a new, more efficient cryptocurrency exchange. The common underpinning is revolutionizing and improving financial services. We have made announcements about all of these areas, but today we want to focus on International payments, and in particular our fantastic partner Lightnet.
International payments today use outdated technology and systems, along with numerous hops between correspondent banks to deliver inferior results. Velo solutions, leveraging blockchain technology, will significantly improve international payments, delivering faster, cheaper and more secure payments to millions worldwide. While we are building the technology and solutions, we are not tackling this alone. Rather, we are teaming up with multiple partners to collectively build an ecosystem to revolutionize payments and financial services.
One of these partners is Lightnet, a licensed money transfer company based in southeast Asia. Learn more about Lightnet and how they are working with Velo below.
Who is Lightnet?
Lightnet has created an interoperable corresponding network providing one comprehensive solution for connectivity. Its universal hub works with any type of partner, interacts with them through a single API, and removes the need for bilateral agreements. This cuts down the transaction costs, while providing instant settlement for partners and payment correspondents
The Lightnet network of Trusted Financial Services partners provides the most interoperable, efficient, and cost-effective payments capability available today using fiat settlement options.
- Lightnet is building to become the leading global CeDeFi Bank.
- With 7 licenses acquired (in Singapore, Thailand, Indonesia, and Lithuania), 4 upcoming licenses by Q2 2022 (in Thailand and the Philippines), and another 5 licenses in the application process, Lightnet is well equipped with all relevant licenses required for the payment and remittance business in the region via its network of more than 100 payment correspondents, covering more than 80% of the world.
- Lightnet has already processed a billion transactions with up to 4x growth through its affiliates.
- Lightnet is a global company with offices across 7 countries in Asia, Europe, and North America. It has more than one hundred staff that represent 14 nationalities, through its 9 subsidiaries and affiliates.
Lightnet Strategic Partners
Lightnet has developed a leading list of partners who are dedicated to improving global remittance and believe in Lightnet’s shared vision.
Velo and its crucial role in Lightnet Network
By partnering with Velo, who has all the building blocks to make end-to-end remittance on the blockchain a reality, Lightnet will offer an unparalleled advantage over the competition, by efficiently handling not only fiat transactions, but also digital asset or non-fiat volumes. The Lightnet network of Trusted Financial Services partners will act as pay-in/ pay-out anchors on the Velo Network and will automatically gain access to Velo’s core functionality, including:
- Digital Fiat Issuance through the Velo protocol;
- Digital Fiat Treasury using the Velo Digital Reserve System and Digital Liquidity;
- Digital FX Trading Platform using Velo’s Federated Credit Exchange (FCX).
Lightnet vs. Key Competitors
This combination of being a multilateral hub, combined with the ability to process fiat and non fiat transactions results in Lightnet, leveraging Velo technology, being able to deliver the best international payments capabilities in the world.
Digital FX Trading Platform
As a deep dive into one of these leveraged Velo components, let’s look at the Velo FCX. This platform can be used for digital FX trading as well as aggregating liquidity across chains and order books.
Further, Velo FCX connects seamlessly with our digital fiat credit issuance and digital fiat treasury management platform with friendly UI for Institutional investors and FX/Crypto traders
Lightnet can utilize its blockchain capabilities to complete multiple CeDeFi transactions
- Out of Lightnet’s 4bn US$ of remittance volume in pipeline, at least 10% to 20% would be using Velo, implying an annualized ODL of hundreds of millions of US$ and soon to be a billion which would push us to top 5 in term of actual on chain remittance transactions.
That concludes the brief overview of the Velo and Lightnet partnership and how we are driving real change in the fragmented international payments market. With the combination of Lightnet’s existing and growing network of Trusted Partners, as well as the transformational power of Velo’s blockchain technology, this partnership is on track to revolutionize how value is transferred to every corner of the globe.
We look forward to bringing you more developments as they come to fruition.