PolkaPay
Connecting Polkadot to Brazilian payments
Platform that lets Brazilians buy and sell DOT, the asset of the Polkadot network, using PIX directly between people, without going through a centralized exchange.
Overview
Platform developed at LatinHack that connects Brazilians who want to buy or sell DOT using PIX, without having to go through a centralized exchange. Security for transactions between strangers is ensured by smart contracts that hold the asset until payment confirmation, preventing fraud.
The problem
Brazilians struggle to acquire DOT. Availability on local exchanges is low, liquidity for the DOT-to-real pair is almost non-existent, fees range from three to five per cent and the process is bureaucratic. As a result, Polkadot has very low penetration in the country due to the lack of a simple on-ramp.
Approach
Eases access to DOT in Brazil using the country's most common payment method. Creates a direct market between people, increasing liquidity for the DOT-to-real pair, and removes the centralized intermediary that typically charges high fees. Operation security is handled by the smart contract, which only releases the asset after payment confirmation.
Impact
Democratizes access to Polkadot in Brazil through PIX, removes centralized-exchange fees and increases DOT-to-real liquidity through a direct person-to-person market.