Online service providers like Netflix and Hulu can now accept cryptocurrency for memberships and subscriptions through an easy-to-integrate decentralized payment solution from Monarch. On August 13, at the Blockchain Futurist Conference in Toronto, Monarch announced the launch of the world's first decentralized recurring crypto payment system, solving the longstanding limitation of automatically paying merchants on a recurring basis due to blockchain constraints.
Innovative Mechanism: Permission-Based Smart Contracts
Monarch developed a patent-pending permission-based smart contract system that pays a fixed amount of cryptocurrency to one wallet address on a daily, weekly, monthly, yearly or other recurring basis. This enables any merchant to start accepting recurring payments, and any user to pay onboarded merchants with supported cryptocurrencies. Additionally, businesses can create custom payment plans for products and services, such as 3, 6, 9, or 12-month installment plans for higher-ticket items. Merchants have full control over contract terms and can offer them to customers within minutes after initial setup.
Decentralized vs Centralized: Security and Self-Custody
Coinbase and PumaPay previously offered crypto subscription services, but both are centralized, meaning users do not hold their own private keys, leaving personal data vulnerable. Monarch's smart contract system is fully decentralized, allowing users to maintain control of their private keys and seed—a first for the industry. "Monarch believes in the free market and giving people more control and freedom over their financial lives," said Robert Beadles, President of Monarch. "To commemorate this milestone, we decided to honor Ross Ulbricht, without whom Bitcoin and cryptocurrency wouldn't be what it is today. Users can donate to the Free Ross Fund via MonarchPay's recurring payments."
How It Works and Supported Assets
Merchants can sign up at https://monarchpay.com/ to accept recurring crypto payments. On the consumer side, users set up their smart contract-supported wallet to send recurring payments to selected merchants. The system is Ethereum-based and currently supports ETH and ERC20 stablecoins like TUSD and DAI to mitigate volatility, with all ERC20 tokens to follow soon. Beadles noted: "98% of businesses in the U.S. are small businesses. This simple utility allows them to start using crypto seamlessly with MetaMask. We'll add this to the Monarch Wallet within a few months, and support Badger wallet as well."
Monarch Ecosystem and Partnerships
Monarch Wallet supports over 3,000 cryptocurrencies across iOS, Android, desktop, and Mac OS. Since launching in 2018, it has served more than 300,000 users, offering a one-stop shop for buying, selling, trading, and managing digital assets. The company recently concluded its Token Generation Event, raising over $2 million for further development of Monarch Wallet, MonarchPay, and other blockchain services. Partnerships include an agreement with Ambisafe to release an Alternative Trading System (pending FINRA & SEC approval) that will feature a pre-IPO token for SpaceX. Earlier this year, Monarch partnered with Celsius to allow wallet users to earn up to 8.1% APR on their crypto.
Monarch is advised by Roger Ver (Bitcoin Foundation founder and Bitcoin.com Executive Chairman), Eric Ly (LinkedIn co-founder), David Zimbeck (lead developer at BitBay and creator of first smart contracts), Damon Nam (founder of CoinVest), and other influential figures in the blockchain industry. The company has acquired a broker-dealer license and is awaiting SEC and FINRA approval.