MUFG, Akamai started blockchain payment network – GO- NET
The high-speed payment network GO-NET (Global Open Network), which uses blockchain, has launched its first service to link payment service providers. GO-NET was revealed in early 2019 as a joint venture between Japan’s MUFG (80 percent) and Akamai, a technology partner.
While it collaborates with Visa and Mastercard, it positions itself as a domestic payment backbone close to the major card networks.
The low cost of GO-NET is one of its main advantages. Merchant acquirer fees, according to MUFG, are a significant expense, especially for small transactions, where the fees can be uneconomic. As a result, GO-NET is well-positioned for smaller purchases, such as card payments at vending machines.
Hitachi is an IoT partner who is looking at integrating GO-NET into its Lumada IoT network. The GO-NET solution boasts a transaction rate of 100,000 per second.
The payments system was linked to Seiko Solutions’ payment processing centre in December and began providing services to Mitsubishi UFJ NICOS, the system’s first customer. The payment network is a messaging service that uses the IOS 8583 message standard, Visa, Mastercard, and ATMs.
The payment centre connectivity for financial messaging is being launched today. This year, more services will be added, including the ability to submit pass-through payment details. Other services to expect include balance and related data and plans for a Blockchain as a Service offering.