Video Transcription

Hey everybody. It’s Justin Owings from B2B Vault: The Payment Technology Podcast with your host Allen Kopelman, and we’ll be providing educational information about the business of payments, FinTech or financial technology, decentralized finance, and the technology businesses need in today’s world. And in today’s episode, we’re going to be talking about cash credit or crypto and no further ado. Here’s your host, Allen Kopelman. Hey everybody. Welcome to B2B Vault. So here today with Justin and Rocky. We got our graphic designer Samantha in here taking some pictures of us for the social media graphic designer or graphic designer slash social media person Slash multi-head Right? Exactly. We all wear multiple hats around here. So today, cash credit or crypto. So in today’s episode, let’s get right into it. And we’re going to talk about the cash lifestyle, you know, while the government is trying to promote this cashless society, cash is not lacking. We just compared 2019, 2020, 2021 numbers on our portfolio, right?

And it was on the same amount of machines we’re up 20% nice. So that means 20. And that number of withdrawals was up 20%. And we saw when we were tracking it during the years where the pandemic was going on strong, every time they would stand that stimulus checks withdrawals at the ATM Shaddock. So we saw a lot of action with that. So, you know, the lifestyle of us currency and coin is a large system. The federal reserve runs it. There are twelve regional federal reserves. You know, it’s cool that you can learn about the federal reserve in the movie. Catch me if you can. I love that movie, right. With Leonardo DiCaprio, right in that movie, he plays likes in here too. Yeah. Tom Hanks is the FBI. He’s trying to catch Leonardo DiCaprio. It’s a real-life story about how he’s, you know, making fake checks. And then they figure out how he’s doing the fake checks. Cause he’s Rocky. What are you doing today? He’s doing the fake checks because he’s writing a check-in in California, but then the routing numbers from an east coast bank. So then they don’t know what they don’t catch him for, for a long time, especially back then. That was like the sixth. That was like the seventies. Right. I think that was suddenly like the set 1970s, 60 seventies, mid-seventies. Yeah. It was like in the seventies, you know? So he was so, you know, he would write a check-in California using an east coast routing number.

So by the time, it took time to get over there today, we’re in the electronic age, everything’s moving faster, but you still have these federal reserves. And then, at the bottom of the check, you always see the routing number. Those routing numbers are tied to the federal reserves. So there, they’re all regional, you know, so, you know, they’re printing money, and the financial institutions still use armored cars. You see Brinks trucks out everywhere and other service providers, private, you know, Lumis other ones, there are tons of them. And you know, so according to the federal reserve, cash transactions make up 20% of the spending done each day. That’s just on what they track. I was going to say that seems low. Right. But you know, they don’t know for sure, but they don’t know like there’s private, ATM’s, people is tipping, you know, you go to the airport, you give the guy a tip, you go to a hotel, like when you get cashback at you know, like when you go to the grocery store, right. Well, they’re not necessarily tracking that through the federal reserve. They just see cash transactions of people taking money to the faculty. So they know how that works. How people make money and how people take money to the bank. So they know how that works, but you know, and now with the new crazy tax thing that they put out Biden put out with Venmo cash app and all that, right. They put that, that, that out, and now people will probably use the cash more because they’re not going to want to pay those taxes. Do you know what I mean? They’re not going to want to pay the taxes. So you’re going to see a lot of cash going on with that. So now, you know, debit cards and credit cards, it’s not the same, the same thing. So the debit card is, you know, a credit card with the visa, MasterCard logo, that’s tied to your bank account. And you know, there’s a lot that you could get money out of the ATM with those.

And you can make a point of sale transaction, buy something on the internet, and not everybody qualifies to get a credit card. So they end up with these check cards, especially young people. And the other thing that happens is that some people misbehave with the check card and then end up with an ATM card. So they have only to go places where you can put in your PIN to make a point of sale transaction because that is only accepted there. Or they have to go to the ATM and get cash to pay whatever they’re doing. And also, people can use these cards to get cash back at a lot of businesses like grocery stores. Some convenience stores allow it, not all, but some groups, you know, CVS, are like pharmacies. They allow you to get cashback, but only specific businesses can give cash back. The average debt is 200, 2000, and 3000 per person. Well, no, that’s the that’s on the current. We’re on the credit card page now. So now we’re talking about credit cards. So we’ll move. We moved on from debit cards to credit cards on the credit card. The next thing we’re talking about is the credit card lifestyle. So went over to the cash lifestyle, the debit card lifestyle. Now we’re talking about credit cards. Lifestyle credit cards are over 500 million credit cards issued in the US, so each person United States is somewhere between two and three credit cards. I’m sure these people have plenty more. Plus, you have specific store cards. That’s not even counted for that. You know, and then you have what’s called charge cards. The charge card is like Nordstrom or, you know, like NACS Macy’s card. Some of them are just store cards. So it’s from the store. You have to pay the store, and that’s it like a target card. Some of them also come with a Visa or MasterCard logo.

If you qualify together, it’s like Costco as a Citibank card, and you can use it at Costco, and they give you discounts, and then you can use it other places, and you can get a cashback on your card. And then the average debt, which means the average person has a debt of two to 3000 per person. So it’s holding that much debt. I pay my credit card. The bill comes; it’s paid. Yeah. I’m not anywhere near that, But you know, people carry right. I mean, the problem with that, The fortunate, right? Like we’re fortunate to be able to make some payments side so that, you know, I’m going to have that kind of debt. But Yeah, the problem with that is, is that what’s been going on with the economy and the fed the average, I think I read the average interest rate is somewhere between 14 and 21%. And you know, if you’re not paying your bill and your interest rates will go up, and if you’re just paying the minimum, you’re never going to get the bill paid off. Right? So it’s crazy. Believe me. I have had times in my life where I ran up a bunch of credit, and it was a problem. And then many people who use credit cards want to use them for rewards, cashback, points, and miles for travel. They pay their bill in full, even people carrying a balance. They’re going to use, and they want to use certain cards. Like I have friends of mine, they’re; oh, very particular, oh, this card is for gas. Cause it’s 5% cashback on gas. This one’s for eating at restaurants because they give the most for eating and people know this stuff. Not They’re either one that’s For guests. So people collect points and then cash it out for credit to their credit card, you know? And then you have this whole buy now pay later scheme that’s going on. And it’s been, it’s gotten a lot of young people into a lot of Caroll, and there’s also been a ton of fraud involved with people, you know, get a fake credit card, but then they use it for buy.

Now pay later, they get the goods. And then there’s a lot of losses from these buy now pay later companies and them putting people into a lot of debt. And that’s a kind of a problem, and I think it’s targeted at a younger demographic. After all, they see the pay in four installments. They don’t necessarily see the whole picture is that’s added on. Well, it’s low. The interest is 5%. So it’s less than your credit card. It’s low, but still, you know, they, you know, I don’t know. I think that they’re, you know, the kids aren’t ready to understand that kind of responsibility where, Well, it’s like we had another talk. I told you back when I was a chef, and I was doing some consulting work or consulting at a university. And I was surprised that when I went out to the quad, that’s where they call it the big area for those who didn’t go to college. I had a big open area, and they have a lot of like tables set up for different clubs and organizations on the campus. And maybe some local restaurants come out and give out coupons, and stuff like the pizza places, you know, like burgers won’t get the students in there. But I was; I noticed a credit card company out there, and they were signing kids up for credit cards. Most campuses now have banned allowing that cause they got kids in a lot of trouble, you know? So that was kind of crazy. Hey, real quick, be sure to follow B2B vault on Spotify, iTunes, YouTube, Google podcasts, iHeartRadio, Stitcher, Amazon prime; what’s the other Pandora overcast, overcast? were, should be on Tidal within the next couple of days here.

Just in the process of, of you know, going through all that. But yeah, if you want to check out any past episodes, you can find us on Spotify, and you can check out the actual video of the podcast on YouTube. If you want to, you know, really do you know the fall, get all of it. You know, you can go to B2B vault that info of that B2B vault, check us out there, and follow us on Instagram, Facebook, and Twitter at B2B vault back to you, Allen. All right. So now we’re going to talk about something new. This is pretty cool. Crypto credit cards. Okay. So I have crypto, so I have a Coinbase account, and you know what I have in my wallet, the Baloo Coinbase credit card. And it’s pretty cool. It’s a cool-looking credit card, you know, and has the EMV chip on there. And the way it works is you can charge on that credit card. You can pay them back by cashing out your crypto, or you can pay the bill. you know, add to your checking account. You can also tie it in where you can like stake your crypto, which I’m not doing because now I was reading, you can’t buy any Ethereum right now where you can buy a theory. Still, it’s hard to sell because now they’re coming out with this Ethereum to they’re going to do this some split thing where they split the Ethereum. I don’t know what’s going on with that. It’s pretty crazy. But this has been a slow adoption of consumers adopting these crypto credit cards. Coinbase. There’s a couple, I think by ants, and I see crypto.com is saying they’re going to come out with a credit card. So they work differently, and you can earn crypto by using their credit card. It was or little pieces. Yeah. I’ve just seen an advertisement about there’s another company that’s giving you crypto for driving. Yeah. There’s some crazy stuff going on now. Like they want you to put apps on, like I saw a thing, like put an app on your phone, and I guess it’s mining crypto. I saw some other stuff, you can put a program on your computer, and it combines crypto. I’m sure it’s minor, minor amounts of crypto.

And I don’t know how much it can be. I mean, I should. And then I saw some other guys call me about a business they’re starting, where they have an app. And then, by using the check-in feature, I don’t want to give away what they’re doing. So by using a check-in feature and putting a post on the app, you would earn crypto their coin. And then those coins can be redeemed for things down the road. But you know, crypto is is, is a big thing. 5% of Americans have a crypto credit card and earn some cryptocurrency. 82% surveyed, consumers are not interested in crypto rewards, and they don’t have a card that can earn crypto 13% of consumers don’t have the card that can earn crypto, but they’re interested in it. So it’s, you know, it’s gaining traction. So if you have a merchant account, people can pay you because these cards are linked to Visa or MasterCard. So there’s nothing special about it. You know nothing. I think this is like the trades, like people like who, who invoice what type of clients is Like B2B. People would send that an invoice. What about home remodeling companies? You know, they’re invoicing their clients a lot too, right? Yeah. Right. I feel like that sector should hop on board with this. Well, that’s up to the customer. What kind of credit card do they have in their wallet? I mean, it’s not like they’re accepting crypto. There is cash. You have crypto don’t know they can pay. Right, right. But they’re not paying with this. They’re paying with their credit with the credit card, and then they’d have to sell the crypto if they wanted to use it. Whereas if they used our system, which we’ll get to later. Right. But let’s finish talking about like the, so many people are interested in this crypto, you know, crypto credit cards. People don’t have them, but they’re going to get them. You’re going to see them around. I’ve gotten calls from merchants. Hey, some guy’s trying to pay me with a Coinbase visa. Okay, listen, it’s going to go through its visa, nothing special about it.

So it’s a regular credit card. We’ve gotten calls from people asking us about, you know, different like union pay and some other credit cards that are out there that are connected to the discover network and MasterCard network. So, they all work credit cards from different countries and stuff, but they all work. They all work through Visa and MasterCard. So, you know, crypto credit cards in 2021 took 2.5 billion in transactions. So that’s something to pay attention to, you know, and those people are earning crypto and the adjustments on accepting crypto at your business. Yeah. You know, businesses need to think about it. It’s cash. So, you know, 20% of people are using cash. Another percentage of people, whatever. We don’t know what that is. Let’s say 60%, 70% are using credit and debit cards. Right. So, you know, that’s 90%, 10% of people, what are they doing? So they’re using cryptocurrency. Why? Because you have, you should be accepting crypto in your business because sooner or later, either you’re taking crypto or your competition’s going to take crypto, that’s, and then you are not lying. Consumers want to spend their crypto because they’re part of this, whatever we want to call the gen Z gen X, right. Millennials. But they’re part of this whole movement. And right now, the government doesn’t like that so much. And you know, Biden today signed the executive order to do some more investigating into cryptocurrency. I don’t know. They’ve put out a lot of stuff. The sec has put out stuff. The IRS has put out things about cryptocurrency, you know, requirements for crypto companies. You know, they’re looking at the NFT world through the sec and, and IRS and the IRS now Biden has got like the federal reserve task force. He’s got, I don’t know.

I saw what I read in the article. It didn’t make any sense to me. Like for task force things, I don’t understand, like, why don’t you just form like one, one thing. Right? And then some central bank cryptocurrency thing. I don’t know. Why don’t you just like, get, like, get, you know, but one person in charge of it and let them disseminate it down to everybody. So there’s like one set of rules. I hope that there’s not some 75-year-old white guy overseeing the task force. That’s my problem. No, but that’s the problem. And the government problem is you have all these older adults, no matter what they are, sorry for saying the same. People need to pay tax on crypto. I’m good with that. If you’re making money, you need to pay taxes. Okay. It doesn’t matter what that money is. Whether it’s crypto profits or cash profits or, you know, whatever. It’s not a hard concept to no, but I’m just saying, like, that’s not hard to understand. Okay. So whatever they, you know, they put in this thing, they want their crypto companies to send out 10 99 Ks. Okay. I’m down with that. They did it to the credit card companies. Now they’re doing it to the Venmo and the Cash app and all that. They got to put out the 10 99 Ks do. Okay. Crypto companies, they’re going to have to put out the 10 99 Ks. Listen, we just put a statement of compliance on our websites because we went and talked to our providers who are providing our crypto solution. Right. And we said, Hey, you know, due to these new rules, are you guys SOC two certified? Yes. Are you guys going to comply with the IRS? 8,300? Yes. You know, so will you do the IRS wants the 10 99? K, are you doing that? Yes. They’re all set to do the compliance. So whatever the solution, we offer NPS coin. So you can get NPS going. Dotcom is a completely compliant solution with all the rules that the government has set forth so far. I think the other stuff they’re going to come out with will be more focused on other kinds of stuff. But I mean, this stuff for the IRS, we’re compliant with the sec, we’re compliant, but businesses need to start taking crypto. And especially for high dollar transactions, that’s where the money’s going right now. You know, you can do it. How does it work? It’s easy. You got it, and we have an easy-to-use dashboard.

It looks like credit card processing. You don’t need to know anything about crypto because we’re, you’re going to send your invoice or your transaction set up in dollars. The customer pays with their crypto, and you get dollars in your bank account. That’s all you need to know. If you want to add what we call the shopper fee, you can add a shopper fee to that. You can do a one-click. Someone can scan a QR code and make a payment. So you can send them an invoice. They can click and make a payment. Do they can do, you can link it up on your website. We have plugins for that. They can make a payment. We can show you how it all works. Billions and cryptocurrencies are being spent on goods and services. We have a map in the video, but why do you need to incorporate crypto into your payment scheme? There are over 300 million crypto users worldwide. Crypto will be used for high dollar transactions, international transactions, and large transactions. You can attract new customers to your business because you take crypto, and your competition doesn’t pay cryptocurrency. I mean, in North America alone, they say that roughly 28 million people are using crypto. Yeah. Yeah, yeah. And it’s big in Asia. People want to sell worldwide. This is a way to sell worldwide. There are no chargebacks. So if you get a customer in Asia, they want to buy your goods here in America. Why don’t you need to take a credit card or a wire? You can get the crypto to send them the invoice. Let them pay you in crypto; get the crypto. But you get dollars in your bank account. So you get you, you get what you want, your money. You don’t need to understand what’s blockchain, how to buy crypto, sell crypto, trade crypto, cash it out, get it in your account, and all that. You don’t. We’re not asking you to understand that holding and bull no coding knows magic. It works just like processing. No, no. It’s working. Like processing a credit card every day, we have hundreds of clients who send out an invoice. Somewhat today, I sent someone an invoice. They clicked on a link. They paid with a credit card, right? They paid with a credit card and the money in one to two business days. It’s going to be in my bank account. I had another guy today. They wanted to pay me an invoice once to pay in cryptos. I sent him an invoice. The guy did a click. He paid; I looked on the dashboard.

It was green. And now we’ll get a deposit. And 20, 20, 24 to 48 hours, we’ll get a deposit for that invoice in our debit account, right. To the right to my bank account. Like credit cards, the same thing we’re going to get is getting a deposit. What do you think about that? Rocky? Do you like the Rockies over here visiting the studio always keeps me and Justin company entertained? Entertain comes in here to give us snacks. And you know, we can tell what he likes to conversation or not. But crypto cryptocurrencies growing; what have we done? We set up a transactional system for merchants. So you can accept cryptocurrency and get your bank account. So we can put in the account us dollars, Australian money, euros, or Canadian dollars. So we can work in multiple countries no matter where you’re located. So you can do it. With one click in person, invoicing e-commerce, this market will be driven by consumers. There are thousands, millions of consumers with cryptocurrency, the Gen Z, the gen X gen Y, the millennials, you know, where they’re shopping. They’re shopping, where they take crypto. If you don’t take crypto, I had a car dealer on the phone the other day. So I called this car dealer up, and he’s been kind of ignoring the phone call. So I called him on the phone. I say, listen, I want to talk to you about something. Can I get 15 minutes of your time? What do you want to discuss? I said, what if I can help you sell one extra car a month or one extra car, a quarter? Is it worth it for you to take a 15-minute phone call for me tomorrow? He called, I texted him, and he texted me back. Yes. I want to hear what you have to say. So I told them, now they’re signing up for the crypto because I explained to them if you advertise it, right, people will come to your business. Okay. There are pages on Facebook where people are discussing this. The number one thing discussed on Twitter every day is cryptocurrency, and NFT is okay. I don’t think anything more has been discussed. Kodak black is being discussed again. This has been trending since he came into the music scene. Literally. I don’t think there’s been a day on Twitter that he hasn’t been trending. He’s trending every day while he was in jail. And that he got, and he got pardoned to your buddy, but yeah, Trump part and then listen to everybody. Every president pardons a bunch of people they split. They have to.

Yeah. That’s like their shtick. That’s their thing. Like every single president, they’re always pardoning people before they get out of office. They got a part of people who knows, but it’s number one thing. Discuss cryptocurrency, crypto, crypto, crypto, crypto. So, you know, join the decentralized finance movement with all the rest of the young people. Gen Z, gen X, gen Y, the millennials join in. There’s no monthly fee. You only pay when you use the system. So there’s no risk, and there are no chargebacks. I’ve been trying to explain to my dad. I’m like, you know, it’s the same way. Like how you went from eight tracks cassette tape. Right? A lot of people didn’t like it. They were afraid of the transition. They thought the quality of music wasn’t going to be the same, but guess what? It worked out fine. Everybody was happy. Cassettes lasted longer. Well, I don’t know if it lasted longer because they were still a mess. Yeah. It was still a mess, but the track was Cool. But You know, it’s just like, it looked cooler. It looks like a video game. I remember putting those things in there anyway, but yeah. So like crypto and the us dollar, everything advances the right technology. It was just like a business. My dad had a store when I was a little boy. Right. So I remember going to my dad’s store. Everybody came in with cash, and my dad had me sit by the cash register, and he’s like, oh, you got to learn how to make a change. Right. So I remember, you know, was very careful. Like my dad used to tell me, oh, someone hand you a 20, put it on top of the cash register, you know, ring up their sale. Oh, it’s $18 and 22 cents. And then you got to give them their change.

You know, people were really into that. That was it. That was the way you did it. Then I remember my dad one day, he’s like, oh, I’m going to take credit cards. Now you had this book, and this huge book was like a hundred pages. Long. Someone would come in with their credit card back then; it was bank Americard wasn’t even, wasn’t even like MasterCard visa, you know? And then there was an American express too, but there was this book. So my dad would, you would go in the book, and you would look at the first four digits and the last four digits. And if it wasn’t in the book, the card was good, and they’d send you a new book every week. Then we had to get out this imprint machine, make a good copy of the card, write everything down. The person would sign it. And then my dad would have to take all those slips to the bank used to whack my dad, I think about five or 6%. Wow. Now it’s way less, right. Five or 6%. Right. And then he would get the cash, and you would get that they would just deposit into his bank account. I think it took like three to five days, you know, back then. And it was all papers. So you had to take those slips to the bank, you know, every day or every couple of days with your cash to put it in your checking account. You know, then there were little credit card machines, right. And the credit card machines got more sophisticated with a printer and a pin pad. And now they’re little computers.

Now people have a point of sale system and all registered systems processing all these credit cards, right. Crypto is covered there. It’s coming. I mean, I’ve been reading about, you know, some of the POS terminals that have offered crypto, but I would be aware of what’s going on with that because some of these companies have a lot of, they have a lot of limitations of what they can do. And also, you know, I don’t think the market is there yet for where someone’s going to walk into a hamburger shop and say, oh, I want to pay with some doge going. And nothing has happened Over in like in other countries. Like I see a little bit, yeah, a little bit. The Sheba Inu Coin is big in China and Asia rather. And they opened a, like a coffee shop. And so, you know, she, Bitcoin is accepted there among other, I don’t know, you probably need like about, about what three, 400 Sheba’s to pay for it. I mean, yeah. I mean, even A panning, the movies did that just for, just to get some press. Many people, even Elon Musk, say, oh, you want to pay for a Tesla with dogecoin. Okay, great. But you know, a lot, what we’re doing is a little different because with Bitcoin Bitcoin cash, like going into Ethereum, we can cash it out to cash right away, all these altcoins, which is hundreds and hundreds and hundreds of them. We talked about one of my friends who told me he bought this altcoin in another podcast. It was $3,000. And now the thing’s worth like 30 cents. I would be tripping. It, the guy was saying, oh, there’s going to be the next big coin, you know? But yeah, you have to be careful what you’re investing, and you know, like we’re not financial advisors. I tell people like you want to take crypto in your business, you got to use our system. You can check it out on our website, NPS coin.com.

You can check it out worldwide. Digital payments.com. You’d see what we’re doing. We’re doing credit card processing for crypto exchanges, the metaverse, NFT marketplaces, and whatever you can imagine. That’s out there. You got the NFT game. We have over 20 years of experience in the credit card industry. We’ve worked in the gaming industry. We worked in the video game industry. We’ve worked in a lot of high-risk industries. So we’re familiar with working with higher-risk type merchants. We represent three banks currently looking for this business; we’re consultants. So we will help you. We work for you. And then, you know, we don’t charge you a dime. You can contact me, and you can, I’ll put my link tree and the, in the podcast notes and you can contact me, and you can set up an appointment, no charge, but you know, you have to understand you take Crip. You’re sending, and we’re the only one of the only companies doing this. You’re asking for dollars. You pay yourself with cryptocurrency and then get dollars in your bank account. So you’re avoiding a couple of things. One, you’d have to take possession of the crypto because currently, there’s no way to set up a business. Crypto wallet, all crypto wallets are issued to a person. Cause you have to give them your driver’s license and your social. So there’s no way. So what we’re doing is we’re avoiding all that. You’re not taking possession of the crypto. So you don’t have any extra work for your accountant to do. Cause you never take possession of the crypto. You’re going to get the 1099 K, which the IRS requires for credit card transactions and now crypto transactions. So you’re going to be all set from a compliance standpoint. Okay. So check us out worldwide Before you move on. I just, you before, if you get the mention, you know, if you’re not sure how or why you should be accepting crypto, contact us and we’ll consult with you and show you how you can accept it and where you can and what type of products people are selling. And you know, there’s just a lot of, Yeah, we talked today to, we talked today. I talked to one guy that owns a jet thing where they’re flying people down to The Bahamas jet charters. And they also do. They do the thing where you can rent the jet and fly it somewhere, and you can also get it. They can help you get a seat on somebody’s private jet. That’s looking to fill up the seal up the seats.

So they do all that. I was taught. The guy goes, oh, what do you do? I said, oh, I see you moved into the office complex, and say, tells me. I said you guys take crypto. He is like, no, but I want to send him some information. And we’re also working on talking to a yacht company, car dealerships, jewelry stores, art galleries, you know, like I said, buying a high-end ticket on, let me tell you, we have one jewelry store that’s processed about $400,000. I would say the average transaction size was about 35 grand. Nice. The lowest was 15. The highest was 143,000. I don’t know what that person bought, but it must’ve been something good for 140 sounds. Very nice. So check it out. Very sparkly. So, you know, catch B2B vault on all the, what do you call those? The PD DSP DSP digital service providers. We’re just about everywhere on, on all these podcasts networks; check out the website, B2B vault.info. Follow us on social media. You know, listen, you can always find us on social media. We’re on LinkedIn. I’m on LinkedIn, Alan Kopelman. You can find us on Facebook and Twitter. The contest is still going on. We have a contest. You can win an Amazon tablet, 32 gigabytes on our contest. We’ll post the contest link in the show notes. So make sure to join the contest get our newsletter. You can find out more about cryptocurrency from us. Like I said, set up an appointment that now’s the time to get set up with crypto before your competition does. So everybody peace out. B2B vault, Carpe diem, everybody has a great day.