NFT as the new Swiss bank accounts for the Web3 era

Swiss fintech company Fiat24 is revolutionizing banking infrastructure using Web3 technology, employing ERC-721 tokens to represent clients' on-chain IDs and ERC-20 tokens for deposits.

From the early days of online banking, building user trust in new technologies has been challenging. Transitioning from paper-based documentation to fully online systems required time for users to adapt. In the Web3 era, adopting non-fungible tokens (NFTs) to replace current e-banking methods will also take time. However, Fiat24 is paving the way by utilizing ERC-721 for client IDs and ERC-20 for deposits.

ERC-721: NFTs Beyond Simple Images

NFTs have evolved from simple digital collectibles to powerful tools that can redefine various sectors, including real estate, experiences, and ticketing. As smart contracts replace centralized programs, NFTs become crucial because they can store metadata that smart contracts interact with, enabling different services for different NFT holders.

For Fiat24, NFTs represent client identities, allowing the platform to verify users within its ecosystem. These NFTs serve as legal proof of ownership, access keys to accounts, and contain all necessary logic for banking activities. Fiat24 links the last digits of a client's Swiss IBAN account to their NFT number, offering features beyond those of typical Swiss bank accounts.

ERC-20: A Streamlined Payment Network

Customer account balances are managed using ERC-20 tokens, with all operations executed through smart contracts. This setup allows customers to manage their banking directly through noncustodial wallets like MetaMask and easily convert digital assets to fiat currency. The blockchain's "atomic swap" feature enables simultaneous asset exchanges without intermediaries, improving efficiency and accuracy compared to traditional payment networks like SWIFT and SEPA. ERC-20 tokens support automated financial processes, eliminating the need for banks and speeding up transactions while reducing costs.

The Synergy of ERC-721 and ERC-20

Combining NFTs for identity verification with ERC-20 for transaction recording, smart contracts can replicate all traditional banking functions. Fiat24 is rebuilding banking structures with Web3 technology, integrating with traditional networks like SWIFT, SEPA, Visa, and Mastercard to sync payment information via ERC-20 tokens directly on the blockchain.

Swiss IBAN NFTs

Owning a Fiat24 NFT confers numerous benefits, including representing a Swiss IBAN. After completing KYC verification, this IBAN functions like any European bank account, enabling seamless conversion of digital currencies to fiat and providing a Visa debit card for account access.

Fiat24's Visa debit card is available after burning one Fiat24 platform token (F24), and the project operates on Ethereum's layer 2, Arbitrum. Supported by the Arbitrum DAO and receiving ARB tokens, Fiat24 is positioned to innovate banking with upcoming airdrops.

Integrating Web3 technology into banking heralds a shift towards more decentralized, efficient, and secure financial systems. As fintech companies adopt blockchain solutions, traditional banking processes will evolve, offering greater flexibility and innovation worldwide.

Learn more about Fiat24

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