A Deep Fintech Company

Crunchfish provides a patented layer-2 offline payment solution designed for payment network providers as well as payment service providers. The company’s Digital Cash solution enables survivability in the face of failure in case of fluctuating internet connections and system failures by striking the perfect balance between security and scalability whilst integrating offline payments in an online world.

Survivability in the Face of Failure:

Offline payments ensure economic resiliency by enabling transactions to occur even in environments with no or unreliable internet or service connectivity. From rural merchants in remote areas to urban customers impacted by network or service disruptions, the ability to perform offline transactions is rapidly becoming an essential feature of modern financial ecosystems.

Despite their growing importance, current offline payment systems face several challenges:

Recognizing these limitations, Crunchfish has engineered a modular offline payment system combining interoperability, security, and scalability into a streamlined architecture that may be integrated with any type of underlying payment scheme.

Offline wallets are the payer component, allowing users to initiate and sign offline transactions securely. In peer-to-peer payment scenarios, offline wallets acts also as receiving components, enabling consecutive offline payments. Crunchfish Digital Cash Offline Wallet is a secure and scalable component that executes within a Virtual Secure Element providing an isolated runtime execution environment.

Crunchfish Digital Cash Offline Wallets supports various other proximity interaction methods (NFC, Bluetooth, Ultrasound), catering to different use cases and ensuring broad compatibility. The QR-based interaction method is highlighted below for its effectiveness in accommodating low-end devices and as a reliable backup system.

Wallet-to-Wallet:

The payer displays a QR code representing their offline wallet transaction, which the payee scans to complete the payment.

Wallet-to-Terminal:

A merchant or payee presents a QR code with a payment request, which is scanned by the payer. The payer generates the offline transaction and displays a QR code representing their offline wallet transaction, which the payee scans to complete the payment.

Offline Payment Demos

Using QR

Using QR and Bluetooth

Using QR and ultrasound

Using NFC and Bluetooth

Consecutive offline payment

Using QR and Face ID

Using telecom

Offline Wallets in Secure Elements

Whether using a software-based virtual secure element, a trusted execution environment (TEE) or an embedded secure chip, offline wallets must at least guarantee isolated runtimes and encrypted storage for sensitive data at rest.

However, operational challenges are present for large-scale deployment of hardware-based solutions, including monitoring, upgrades, and compliance.

Offline Wallet Communication

The architecture enables offline wallets, offline terminals, and the backend servers to communicate in a standardized way across multiple proximity and remote APIs, including:

The PKI framework ensures data end to end security across all communication channels, enforcing the same standards

Offline terminals are the receiving component, an integral part of the payment rail infrastructure provided by the payment networks. They act as universal receivers of offline payments, ensuring that merchants, payees, and the backend across the ecosystem, can seamlessly verify and accept offline transactions regardless of the type of offline wallet used by the payer.

The Reserve, Pay, and Settle approach optimizes offline payments by leveraging existing rails for online settlement rather than relying on separate reconciliation layers. The modularity of this unique approach of offline payments combines the interoperability of EMVCo card payments with the programmable flexibility of Ethereum smart contracts, delivering a comprehensive framework for secure offline transactions.

The Reserve, Pay, and Settle approach optimizes offline payments by leveraging existing rails rather than relying on separate reconciliation layers:

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Explore how Crunchfish’s Offline Payments solution is transforming the future of resilient, modular payments.