Kred’s Christmas gifts 🎄
Markets slow. Offices close.
Payments don’t.
This Christmas, Kred unwraps the real problems global payments carry all year. 🧵
🎁 Pre-funding
Problem: Capital must be locked before money moves. Around ~$9–11T sits trapped in pre-funded accounts globally, parked “just in case,” earning nothing and staying idle by default.
Kred: Replaces pre-funding with just-in-time settlement credit—drawn only when needed and repaid as payments clear.
🎁 Settlement delays
Problem: Payments run 24/7, but settlement doesn’t. Holidays, FX cutoffs, and time zones stretch settlement by hours or days, even as volume keeps flowing, leaving funding gaps behind.
Kred: Fronts short-term liquidity so payments don’t wait for banks to reopen.
🎁 Frozen capital
Problem: Buffers, reserves, and pending payouts lock capital in place. Millions sit idle per PSP, held for reconciliation instead of growth, with opportunity cost compounding daily.
Kred: Turns idle stablecoins into continuously recycled settlement liquidity.
🎁 FX risk
Problem: Treasury teams over-buffer to manage FX timing risk. Intraday exposure, unpredictable conversion windows, and uncertainty push excess capital to sit unused.
Kred: Predictable on-chain credit reduces uncertainty and oversized buffers.
🎁 Year-end crunch
Problem: Volumes spike from bonuses, payouts, and closing balances just as banking hours shorten and holidays stack up, widening settlement gaps when timing matters most.
Kred: Provides liquidity so payments clear on time—even during holidays.
Takeaway 🎄
While markets freeze, Kred delivers.
While offices close, liquidity flows.
🎅 Fun fact: the biggest payment spikes happen during holidays.
PayFi doesn’t take time off.
