{"id":27395,"date":"2015-05-10T02:01:35","date_gmt":"2015-05-10T02:01:35","guid":{"rendered":"http:\/\/ci027cfe70500226c3"},"modified":"2015-05-10T02:01:35","modified_gmt":"2015-05-10T02:01:35","slug":"mycelium-gear-offers-merchants-direct-no-fee-payment-processing-1431223295","status":"publish","type":"post","link":"https:\/\/bitcoinmagazine.com\/technical\/mycelium-gear-offers-merchants-direct-no-fee-payment-processing-1431223295","title":{"rendered":"Mycelium Gear Offers Merchants Direct, No-Fee Payment Processing"},"content":{"rendered":"
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Mycelium<\/a> has announced the launch of a new merchant processor, Mycelium Gear<\/a>. Merchants can now receive payments directly into a Mycelium<\/a> or Electrum<\/a> wallet free of charge by installing a payment widget on their website or by integrating its open-source API into their backend.<\/p>\n

In Friday\u2019s announcement on r\/Bitcoin<\/a>, Mycelium Community Manager Dmitry Murashchik states, \u201cMycelium Gear is a merchant processor which demonstrates something that has never been possible before Bitcoin: the ability for merchants to use a full featured merchant processor to receive payments online, and have the money go straight into their own wallets, even if that wallet is running on their own phone in their pocket.\u201d<\/p>\n

According to Murashchik, Gear \u201cgenerates invoices with unique addresses for every customer, automatically calculates the exchange rate, and sends a payment confirmation to the site\u2019s shopping cart software. Basically, instead of coding a basic thing from scratch on your own, you can use advanced shopping cart software that tracks customers, invoices, addresses, revenues, etc., and add this little plugin to it to allow it to process bitcoin transactions too.\u201d<\/p>\n

Gear is built on top of the open-source Straight Server<\/a> payment processor, originally developed by Roman Snitko in 2014. \u201cIt turned out [Mycelium] wanted to build the exact same thing and were looking for people capable of doing that,\u201d said Snitko in an email to Bitcoin Magazine<\/em>. \u201cThey liked that the project was open source and already the most important parts were functioning. So we decided to join our forces on this one.\u201d<\/p>\n

Straight Server uses the BIP32 protocol to generate a new bitcoin payment address for each customer order. As a result, merchants are able to receive payments directly from customers without Mycelium ever touching the funds. Once the payment is sent, Gear is able to track it through the Bitcoin blockchain. This capability is the pivotal feature of Gear: it is a tool that watches the blockchain and detects new transactions at the addresses associated with its clients.<\/p>\n

From there, Gear offers the same features as most other payment processors: webhooks that notify your website of the transaction, automatic currency conversion, and notification of over- and underpayments. A notable exception to this common ground is that Gear bypasses traditional payout structures associated with other payment processors. Funds are transferred instantly and directly into merchant wallets.<\/p>\n

In the comments following the original Reddit post, Murashchik points out that it is also possible to integrate Mycelium Gear with a Trezor hardware wallet<\/a>, with Ledger<\/a> support \u201ccoming soon.\u201d It is also useful for sites that accept donations in bitcoin.<\/p>\n

At the moment, prices can be set in USD and EUR. Bitcoin prices are automatically adjusted based on the price of bitcoin at the time of purchase. Gear has plans to introduce fast EUR withdrawals in the EU in the near future.<\/p>\n

\u201cWhat\u2019s important to emphasize is that there are two things to supporting currencies: setting prices and conversion of received funds,\u201d Snitko explains. \u201cThe first one is easier and we plan to introduce many different currencies in a relatively short period of time. The second one is more complicated due to all the regulatory problems and also the fact that by design Mycelium Gear doesn\u2019t touch the merchants money and thus has no ability to convert them at this point.\u201d<\/p>\n

Mycelium Gear adds to its trustless, hands-off approach to payment processing by eliminating personal information gathering, approvals, and KYC\/AML requirements. According to the company website<\/a>, \u201cBecause Gear doesn\u2019t hold or even touch the money, we don\u2019t need to know any intrusive information about the merchants.\u201d<\/p>\n

\u201cMycelium\u2019s hope is that Gear will encourage even more merchants to adopt bitcoin and completely change the way merchant transactions are done,\u201d Murashchik adds, \u201cthus continuing our goal of decentralizing everything, improving privacy, and eliminating unnecessary third parties in the Bitcoin economy.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Mycelium has announced the launch of a new merchant processor, Mycelium Gear. Merchants can now receive payments directly into a Mycelium or Electrum wallet free of charge by installing a payment widget on their website or by integrating its open-source API into their backend. In Friday\u2019s announcement on r\/Bitcoin, Mycelium Community Manager Dmitry Murashchik states, […]<\/p>\n","protected":false},"author":3420,"featured_media":27394,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[551,3188,1569,477,708],"class_list":{"0":"post-27395","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-technical","8":"tag-merchants","9":"tag-mycelium","10":"tag-payment-processor","11":"tag-payments","12":"tag-transactions"},"author_data":{"id":3420,"name":"Christie Harkin","nicename":"christie-harkin","avatar_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/12\/christie-harkin-promo-image-96x96.jpg"},"featured_image_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/mycelium-gear-offers-merchants-direct.jpg","_links":{"self":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/27395","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/users\/3420"}],"replies":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/comments?post=27395"}],"version-history":[{"count":0,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/27395\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media\/27394"}],"wp:attachment":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media?parent=27395"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/categories?post=27395"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/tags?post=27395"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}