Bringing Web2-Like Onboarding Experience to Web3 | Sami Start - Transak

hey guys can everyone hear me all right thank you hi I'm Sammy I'm the co-founder and CEO of transac and I'm here today to tell you a little bit about fat onramps and how they work so just before I get started um who here knows what a Fiat onoff ramp is okay that's cool this makes it a lot easier that wasn't the case a few years ago and and who here has heard of transac before okay few people okay cool um oh okay um cool so for for those who don't know transact transact is a Fiat hofr it's basically a way to buy crypto um the major difference between us and something like coinbase or Kraken is number one we are a B2B solution so it's a widget um an if frame that gets integrated into your app and it allows the end user to buy cryptocurrency in order to onboard into that app um so we serve some customers like metamask trust wallet um we serve games like dentaland or immutable x uh and we also serve Finance applications um we have around 300 active apps um the major ma the other major difference is that we are non-custodial So when you buy crypto from us you send us Fiat uh and we send you crypto to your wallet that's hosted by you um or a wallet that's hosted by the app that you're using so it's more in that kind of um non-custodial dap um ethos okay so I just want to cut to the Chase and tell you what we guys actually um tell you guys what we actually do so on RAM product is buy crypto with Fiat okay so you can pay using card payments you can pay using Bank transfers um and we sport local payment methods around the world and it's just a little box looks like that um let's say in your application you click buy crypto this would pop up we would take the user through kyc they would buy crypto um and then they would continue using your app um we also offer sell crypto so you can send crypto from your wallet to us um we will then off-ramp that and send a bank transfer to your bank um or we can off-ramp into your credit card so we recently announced a partnership with Visa in order to do that um we can also sell nfds so this is a product called nft checkout and this is quite a unique offering so what we're actually doing is we're calling your smart contract um and we can sell you an nft it can be a primary sale it can be a secondary sale so like a uh um on the secondary market and then we can also batch sell nfts so you can buy a bunch of nfts at once um and then um we can also do transact one which is kind of like nft checkout but for any protocol so let's say you could onramp from Fiat into like compound Finance or you can unlock some content on chain or something like that so we can execute any smart contract as part of the onramp um and then the final product that we offer is corporate onr ramp so this is instead of an individual buying crypto so our transactions tend to be in the hundreds of dollars um we can sell um crypto to corporates or high net worth individuals and this can be in the millions of dollars or tens of millions of dollars okay and and we've done transactions of that size um we've raised over $20 million uh and this is from a combination of um crypto native VCS like Anoka and consensus um we've also raised from more traditional Banks like UOB um or SBI or KX um and we have around 90 employees currently um I'm personally based in Miami but we have Team all over the world um cool so now you guys know what we do um I wanted to talk a little bit more about the space and and how I see it and just share my knowledge uh and and why we're doing this so last year we had around half a billion people in crypto this is statistics across like crypto St exchanges wallets daps and that's pretty cool um that's really good for me to see having been in this space for like quite a few years and what we're projecting is that by next year we'll have over a billion people in the space and hopefully in many years to come that will be pretty much everyone um and we're starting to see a lot of the big names in the space coming in and that's really exciting however there's a big problem which is that using a blockchain application is really hard it's really really hard for a normal person and I think all of us in in this room are like quite crypto native and for a normal person and I've watched friends or family try to sign up to use a crypto application you've got to set up a wallet you've got to buy crypto you've got to pay gas fees um and that's very not only is that very overwhelming um but it takes hours and it often can't be done in one sitting and and that's very very intimidating and so what we're trying to do is is we're trying to solve that and and and with transac we make it so that an app can onboard their user in just 10 minutes and let me break down what that means so don't worry if you can't read everything on this slide um it's supposed to be complicated because uh it's kind of shedding light on how many steps it takes for someone to use a blockchain application so this could be anything this could be a defi app like a this could be a game um I'm not going to read out all the steps but the the tldr of this slide is that you have to set up a wallet and you have to leave the application in order to do that you have to you have to buy cryptocurrency and not only do you have to buy cryptocurrency but you actually have to leave the application in order to do that which is just straight away that's a bad user experience you don't want your user to leave your app you want them to onboard in inside your app and if you send them somewhere like coinbase or Kraken those companies may offer competing products to what you're doing so that's just not a good idea from a ux point of view now not only do you have to buy crypto let's say like usdc you would also have to buy eth or you would have to buy Matic or whatever gas token is required to use that dap um then you would have to do an allowance transaction you would have to execute that smart contract um you would have to deal with private Keys it's very very intimidating um um and Fiat onramp solves part of that so what Fiat onramp does is it means that you can buy crypto inside that app so a few examples of that is I want to invest in a finance app okay now I can buy crypto inside that finance app I want to play a game I want to buy a sword and kill a dragon I can do that inside that app um that makes your user experience that much smoother and what I showed you our product it's like this little box it looks really simple but actually doing that is is really really hard um and it involves um a bunch of parts so the first I'll just go through this very quickly and then we'll go in more detail later on in each of these things so the first part of of what we do is we have um Fiat coverage so we have to have Banks payment methods in all the different countries um which itself is is very operationally heavy uh a lot of employees in a lot of countries a lot of operational Partnerships um kind of boring real world stuff right the stuff that like most crypto companies don't want to take care of because um it's really really tough then we also connect in with with most of the major blockchains so we've built interfaces into ethereum Bitcoin polygon arbitrum and we can send and receive crypto on all of those chains um and support hundreds of tokens um the next part of that is is kyc AML and fraud so doing payments is actually pretty simple you're just taking a number from one place to another place um the real challenge with payments is doing that in a safe and secure way that's compliant so we've built up a ton of licenses regulatory licenses um and risk and practical compliance operations so that we can kyc users we can do risk operations um and we can be compliant and do that globally so we kind of do all the compliance and boring stuff so that your app doesn't have to do that um and then the final part of that is putting all of it into a really nice user um sorry developer experience so there are many places where you can buy crypto um transact is a place where you um okay way back um transac is a place where you can integrate that into your app um and we offer a lot of customizations in order to do that and and we make your developer experience really nice um now with products like transact one and nft checkout we also take out all of the steps of executing the smart contract so now with with transact one and nft checkout you no longer need to buy the gas token you no longer need to execute the smart contract and we really compressed down that user Journey um we don't Pro provide wallets um but there are plenty of great companies who do that um such as magic or web three or or privy um and and others um and um if you if you do that whole experience you can really compress this user Journey down and do everything inside your application and um we're starting to see some apps that do that and actually start to Target web to users main mainstream users and I really think that that's where crypto needs to be right now and so um I'm very very um happy to see that coming to fruition in 2024 and I think this is the year when when uh people can access all of those developer tools and they can start to make an a a blockchain application that just can be used by a normal person off the street so that's really cool um so let's talk a bit about global entities and licenses so what transact does is is we have entities all over the world um we have entities in UK Europe US Canada Australia etc etc etc um we then set up bank accounts in all of those regions um we get local licenses um which is very operationally heavy um transact is definitely a crypto company but internally it looks a lot like a fintech what we do um so we're we're setting up a lot of licenses all over the world some regions we process the payments natively in that region uh locally in that region and and then there's a whole bunch of other regions which we process cross border so we're in um around 170 countries all over the world and we're in around 10 countries locally um we also put a lot of effort into our risk engine so um if you don't have a really really good risk engine a lot of bad stuff can happen you can have money laundering you can have fraud scams um just to name one example of something thing that I've seen that is quite emotional um is like an old person could get scammed um someone could call them up they could say hey we've got this great investment for you um why don't you put your life savings into this that person could be 70 years old and that person could be tricked into buying crypto on transact and sending it to a scammer um and and what our risk engine does is it allows us to to determine what is a bad transaction and what is a good transaction and so we only allow good transactions obviously um that's a very very complex problem it involves a lot of rules a lot of um different signals so we're looking at the user's IP address their device Biometrics um we're looking at um their geolocation we're doing a lot of background checks looking them up on a lot of databases and then we're putting that all together into a CO cohesive risk score and then um we're we're either allowing that transaction or not allowing it and so we take responsibility for all of the chargebacks um we take responsibility for all of the fraud and and risk that comes with doing a Fiat to crypto or crypto to Fiat transaction um so now going into a bit more detail on our developer experience so transac is primarily an if frame it's like a little uh box that so as a developer you would um you would have like a by crypto button inside your app and then the if frame would pop up um inside your application so if it's a desktop it would be a little box inside your inside your desktop app if it's a mobile um it would be like a mobile responsive screen that would fill the screen of the user um so that's kind of a UI based thing on top of that we have a whole bunch of apis and query parameters to customize that so some examples of of API parameters that you might want to use is you might want to change the design of that use your color scheme of your website um you may also want to pass in the wallet address of the user so if you order know the wallet address of the user you don't want to to already uh have to like put that information again um another example is that if you're a app that only supports Bitcoin you might want a hard code transact to only show Bitcoin or if you're on only on polygon you would only want to show polygon if you're only in the US you'd only want to show the us so we provide all of those customizations um we try to provide something that's very very simple you can do it out of the box very very easily um but then as you get deeper and deeper into our product you can do a lot of customizations and then you can also um use products like nft checkout um transact one um and then you can also um in in our developer dashboard you can set Commission on top of us so like let's say you wanted to charge like 1% on top of us that could be a re Revenue generating thing for your app so that's all part of our developer experience and um we have a team of develop developer integration Engineers kind of like stripe we try to have that strip like experience and then so some of our partners like metamask um splint lands so metamask has been a partner of ours for over three years now um and they really love us for our high geographical coverage um and our conversion rates um gaming part such as splint lands they really love us because we can support transactions under $5 um we can do very very light kyc processes for those small transactions and we can also offer uh batch selling of nfts so we've kind of customized that to really really fit um to fit into the gaming experience cuz when you're like let's say you want to buy a sword and kill a dragon you don't want to think about like doing a heavy kyc process um and you don't want to be limited into doing like larger transactions um and then finally um financial apps like kyber swap or meta wealth they really like us because we offer larger transaction sizes so we can do like tens or hundreds or hundreds of thousands or millions of dollars in a transaction um and then we also have a lot of customization parameters on our apis and so um that's very very well suited for financial applications um so that's everything um I think I have a few minutes if anyone has any questions um otherwise thanks so much for your attention all right thank you very much guys