- Hedera makes a 9 percent surge in the last 24 hours after FedNow integrated Dropp as a service provider.
- Hedera has seen its average daily active account surge by 288 percent after moving from 3,500 to 13,500 in Q2 2023.
The Federal Reserve, in July, launched its instant payment service, FedNow, to enable faster transactions among individuals and businesses. According to the latest update, FedNow has integrated a Hedera-based micropayment platform, Dropp, as a service provider. This resulted in a 25 percent surge in Hedera token (HBAR) in the last seven days. In just 24 hours, the asset has risen by 9 percent.
Dropp enables merchants to digitally accept small value purchases at a low transaction fee by operating as a pay-by-bank alternative to credit card payment. According to reports, Dropp enables payments like HBAR, USD, and USDC.
Dropp makes it possible for digital merchants to offer goods and services at a granular level that is not possible affordably because of the cost of credit card transaction fees. Dropp opens up a digital economy of micro-purchases.
The press release explains that Dropp has a track record of giving consumers control over payments as their credentials are never shared with the merchants. With the Dropp digital wallet, consumers have the option to make a payment with a single click or use QR Code. This feature is available on most popular web browsers and mobile devices.
The Dropp platform is offered to financial institutions as an embedded payment solution. Dropp as a ”payment service“ allows banks to provide customers and merchants with a bank-branded digital pay-by-bank solution for shopping. Dropp’s payment platform is built on a high throughput, low latency distributed ledger technology for instant payment execution. Dropp currently utilizes ACH to fund the consumer wallet and make end-of-day payments to merchants.
Network Activities of Hedera Grows
Using the FedNow service, Dropp plans to partner with banks to provide an innovative option year-round, end-of-day settlement, and instant payment service to merchants. Hedera Hashgraph also describes itself as a unique structured blockchain as a result of the hashgraph consensus. According to the company, it is the only public distributed ledger that uses this and facilitates more than 10,000 transactions per second in addition to a low-latency finality in seconds.
From year to date, Hedera has seen its average daily active account surge by 288 percent. This is a move from 3,500 to 13,500 by the second quarter of 2023. The average daily creation of new accounts saw a 340 percent surge in the same period under review. The report observed that Non-Fungible Tokens (NFT) acted as the main factor for this growth. Also, Karateka was the main driver of NFT activities. Karateka is a Web3 game created by GameOn which reportedly took advantage of Karate Combat’s IP. This is unlike the last year’s growth which was driven by the activities of Decentralized Finance (DeFi).
Hedera has also recorded collaborations with several companies in the past few months including FreshSupplyCo (FSCO). FSCO is known for tokenizing assets across the agrifood supply chain.
Shinhan Bank, a South Korean-based bank finalized a Proof-of-Concept pilot of a stablecoin remittance built on Hedera’s open-source public network.
HBAR was trading at $0.070968 as of press time with a 24-hour trading volume of $352,578,244.
