Bitpay today launched Hodl Pay, a new payment function designed to allow cryptographic users to take Stablcoins against their cryptography holdings and spend without liquidating their assets.
Hodl Pay allows consumers to use their guarantee deposited in AAVE, a leading loan protocol, to borrow Stablecoins and immediately spend them through the Bitpay commercial network. The service is live in multiple layers of layer 2, including Ethereum, Arbitrum, Polygon, Optimism and Base, with the aim of offering a low cost and fast settlement to users.
“Crypto is not just about speculative investments. This is financial property, freedom and election,” said Bill Zielke, Bitpay Marketing Director. “With Hodl Pay, Bitpay offers users an innovative way to spend with confidence today without giving up their future growth.”
The moment of the launch is aligned with a broader tendency in cryptography: more users are reluctant to separate from their long -term holdings, since prices show signs of another bull cycle. When taking stable borrowing such as USDC or DAI instead of selling Bitcoin or Ethereum, users can maintain their exposure to the rise while unlocking immediate liquidity for purchases ranging from luxury cars to everyday retailers.
Through its integration with Aave, Hodl Pay allows any user for a supply position, which means cryptography deposited as a guarantee, instantly borrowed against it. After connecting your wallet through Walletconnect, users can generate a bitpay bill and complete the transaction at the end of the purchase using the stablcoins provided.
From a commercial perspective, the deployment does not require additional integration. Companies continue to receive agreements the next day in Fiat, Crypto or a combination of both, one of the long data of Bitpay. Bitpay states that Hodl Pay will help merchants capture the transactions of greater value appealing to the long -term holders that generally avoid selling.
Nick Dossa, director of concessionaire of the Vegas Auto Gallery, one of the many luxury retailers who accept crypt through Bitpay, welcomed the move. “We are excited to see new options such as Hodl Pay that provide cryptography holders more flexibility to pay luxury vehicles. It is a prospective solution that will help to deepen our connection with the cryptographic community,” he said.
The launch of Hodl Pay occurs when Bitpay continues its impulse to expand the support of layer 2 and consolidate its role as leader of cryptographic payments in the midst of a growing Fintechs competition such as Moonpay and Coinbase Commerce. While the rivals focus on direct wallet integrations or ramps outside the Fiat, Bitpay is positioning directly at the intersection of defi and payments.
With the collection of cryptocurrencies of loans and the adoption of increasing institutional defi, the Bitpay movement could take advantage of an increasing segment of users who wish to take advantage of their digital wealth without liquidating it. It also indicates a growing confidence in the safety and scalability of the protocols defi as AAVE, once considered a niche, now in the nucleus of conventional applications.
The Bitpay commercial directory lists hundreds of companies, from technological retailers to real estate agents, now accessible through Hodl Pay.
As cryptography is increasingly intertwined with conventional financial behaviors, Bitpay is betting on spending without selling could become a decisive issue of this cycle.
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Image credits: Bitpay, Canva
