Recently a lot of fans are curious about how our crypto digital wallet and payment work. Our payment solution has fasten the bitcoin payment process. As you may not know, a bitcoin transaction need at least 9 blocks confirmation in order to consider the transaction is confirmed, otherwise, the transaction has the potential to get reverted. Why the transaction get reverted if you ask, it is because your transaction in the block is being mined by a miner who has slow network connection, but another block which does not have your transaction included has been mined successfully at the same time by another miner with faster network and their block has been confirmed by majority of the peer nodes. Therefore, it is better not to assume all transaction will be confirmed in the matter of time.
Problem
Bitcoin transaction confirmation is slow. A block is propagated every 10 minutes, and to get 9 block confirmation, you need to wait 1 hour and 30 minutes to get your transaction confirmation. If you are trying to buy a cup of coffee using bitcoin, are you willing to stand in front of the cashier and wait for your payment is being confirmed for at least 1 hour? I doubt so.
Workaround, Not Solution!
Hence, we come out a workaround to solve this problem. If you understand how bitcoin work and how data are distributed among peers in a decentralized network, you should know there is a no silver bullet for the slow transaction confirmation problem. However, there is a project worth one's while to look into which has the capability to solve today's cryptocurrency common slow transaction problem: IOTA. It is a whole new solution design, it has no blockchain concept, it has no "mining" transaction confirmation concept, it uses Directed Acyclic Graph (DAG) or so called Tangle technique which rely on the network peers to co-audit and co-govern transactions with each other. The more the peers participate in the network, the faster the transaction to be confirmed and the harder the data can be tampered eventually the higher the security.
Back to FiiiPay payment solution, we go for hybrid. The reason is it is not feasible to just purely rely on decentralized network to achieve everything. I know a lot crypto fans out there are condemning about any cryptocurrency that has centralized service is not a good crypto and it could be a scam project which I actually disagree. If you truly understand how blockchain work, you should realize that in order to fasten the transaction confirmation, you need to sacrifice the security by increasing the fault tolerance level, the transaction audit is going to be lenient, validation work is reduced, hence it is vulnerable for attack.
Hybrid Payment Network
Firstly, we treat bitcoin and other cryptocurrency wallet as a bank account instead of a digital wallet. In order for the users to start using FiiiPay, they have to transfer bitcoin from their bitcoin wallet to our bitcoin wallet. Each FiiiPay user account will be given a unique bitcoin address. We have a separate cryptocurrency service, FiiiFinance, responsible to track the amount of bitcoin which has been deposited to the particular address that owned by particular FiiiPay user account.
The deposited bitcoin from the user will be recorded in our centralized database. From here onward, users proceed to transfer bitcoin to another FiiiPay user, or start making bitcoin payment to merchants who use FiiiPOS. All the transaction happen within our payment network. Therefore, we are no different from PayPal or Alipay.
Scalability & High Availability
Our architecture design is a distributed system design that support load balancing, it can easily scale by adding hardware to the network when the demand is getting higher. Currently, a single server can support up to 1500 transaction per second, for three servers can support up to 4500 transactions per second. Furthermore, it promote high availability by having multiple servers online at the same time.
Network Security
The API servers are only exposed to the public in strict firewall rules network zone, the FiiiFinance and KYC sensitive data servers are hosted in trusted zone which are interconnected within a secured tunnel virtual network. Our digital assets, the crypto nodes, are separately setup in different region. It is our risk mitigation strategy to avoid creating a single point of contact for hacker to access into our nodes.
Data Protection & Disaster Recovery
Since all the crypto transaction are happening within our network, our database to be of utmost importance to ensure the data are well kept and recoverable due to technical failure or disaster, and also making sure performance meet the expectation and does not affect the user experience.
Artificial Intelligent
FiiiFinance will be equipped with machine learning capability to review all the crypto withdrawal request submitted by the FiiiPay and FiiiPOS users. It collect all the withdrawal timestamp, IP address, geolocation, device ID, operating system, withdrawal amount, crypto type, etc data. Based on the user app usage behavior, pattern and the withdrawal request history, it can raise alert to the finance team and put the withdrawal transaction on hold for human review when it detect unusual activity for a particular account. This security measurement can ensure the lower risk of the crypto to be stolen by the hacker who has gained access to a FiiiPay/FiiiPOS user account.
Summary
Hybrid Payment Network is a workaround for all crypto common slow transaction confirmation problem. It enable any crypto payment to be made immediately. This solution is not new as it is commonly found in today's cryptocurrency exchange platform.
Our FiiiPay Beta version is ready for download. Feel free to share your thought at the comment section below.
iOS - AppStore
Android - PlayStore
If you are interested in our multi-cryptocurrency POS machine - FiiiPOS, please drop me an email at sylvester.lee@fiiipay.com
If you are interested in our project, please visit our website at https://fiii.io
Facebook - https://www.facebook.com/fiiipay/
Telegram - https://t.me/fiiicoin
Problem
Bitcoin transaction confirmation is slow. A block is propagated every 10 minutes, and to get 9 block confirmation, you need to wait 1 hour and 30 minutes to get your transaction confirmation. If you are trying to buy a cup of coffee using bitcoin, are you willing to stand in front of the cashier and wait for your payment is being confirmed for at least 1 hour? I doubt so.
Workaround, Not Solution!
Hence, we come out a workaround to solve this problem. If you understand how bitcoin work and how data are distributed among peers in a decentralized network, you should know there is a no silver bullet for the slow transaction confirmation problem. However, there is a project worth one's while to look into which has the capability to solve today's cryptocurrency common slow transaction problem: IOTA. It is a whole new solution design, it has no blockchain concept, it has no "mining" transaction confirmation concept, it uses Directed Acyclic Graph (DAG) or so called Tangle technique which rely on the network peers to co-audit and co-govern transactions with each other. The more the peers participate in the network, the faster the transaction to be confirmed and the harder the data can be tampered eventually the higher the security.
Back to FiiiPay payment solution, we go for hybrid. The reason is it is not feasible to just purely rely on decentralized network to achieve everything. I know a lot crypto fans out there are condemning about any cryptocurrency that has centralized service is not a good crypto and it could be a scam project which I actually disagree. If you truly understand how blockchain work, you should realize that in order to fasten the transaction confirmation, you need to sacrifice the security by increasing the fault tolerance level, the transaction audit is going to be lenient, validation work is reduced, hence it is vulnerable for attack.
Hybrid Payment Network
Firstly, we treat bitcoin and other cryptocurrency wallet as a bank account instead of a digital wallet. In order for the users to start using FiiiPay, they have to transfer bitcoin from their bitcoin wallet to our bitcoin wallet. Each FiiiPay user account will be given a unique bitcoin address. We have a separate cryptocurrency service, FiiiFinance, responsible to track the amount of bitcoin which has been deposited to the particular address that owned by particular FiiiPay user account.
The deposited bitcoin from the user will be recorded in our centralized database. From here onward, users proceed to transfer bitcoin to another FiiiPay user, or start making bitcoin payment to merchants who use FiiiPOS. All the transaction happen within our payment network. Therefore, we are no different from PayPal or Alipay.
Scalability & High Availability
Our architecture design is a distributed system design that support load balancing, it can easily scale by adding hardware to the network when the demand is getting higher. Currently, a single server can support up to 1500 transaction per second, for three servers can support up to 4500 transactions per second. Furthermore, it promote high availability by having multiple servers online at the same time.
Network Security
The API servers are only exposed to the public in strict firewall rules network zone, the FiiiFinance and KYC sensitive data servers are hosted in trusted zone which are interconnected within a secured tunnel virtual network. Our digital assets, the crypto nodes, are separately setup in different region. It is our risk mitigation strategy to avoid creating a single point of contact for hacker to access into our nodes.
Data Protection & Disaster Recovery
Since all the crypto transaction are happening within our network, our database to be of utmost importance to ensure the data are well kept and recoverable due to technical failure or disaster, and also making sure performance meet the expectation and does not affect the user experience.
Artificial Intelligent
FiiiFinance will be equipped with machine learning capability to review all the crypto withdrawal request submitted by the FiiiPay and FiiiPOS users. It collect all the withdrawal timestamp, IP address, geolocation, device ID, operating system, withdrawal amount, crypto type, etc data. Based on the user app usage behavior, pattern and the withdrawal request history, it can raise alert to the finance team and put the withdrawal transaction on hold for human review when it detect unusual activity for a particular account. This security measurement can ensure the lower risk of the crypto to be stolen by the hacker who has gained access to a FiiiPay/FiiiPOS user account.
Summary
Hybrid Payment Network is a workaround for all crypto common slow transaction confirmation problem. It enable any crypto payment to be made immediately. This solution is not new as it is commonly found in today's cryptocurrency exchange platform.
Our FiiiPay Beta version is ready for download. Feel free to share your thought at the comment section below.
iOS - AppStore
Android - PlayStore
If you are interested in our multi-cryptocurrency POS machine - FiiiPOS, please drop me an email at sylvester.lee@fiiipay.com
If you are interested in our project, please visit our website at https://fiii.io
Facebook - https://www.facebook.com/fiiipay/
Telegram - https://t.me/fiiicoin
