Stablecoins have revolutionized crypto payments by providing a stable unit of account, addressing the volatility issue that plagued Bitcoin and Ethereum. However, the complexity of payment rails has emerged as a new challenge. The author argues that the issue lies in the fragmentation of stablecoins across multiple networks, which creates confusion for merchants and customers alike. The problem is not just about the customer using the wrong chain, but also about the checkout process failing to guide users effectively. The author emphasizes the need for better routing and clearer states in payment systems. They propose a model where customers can pay with their existing assets and chains, while merchants receive the desired assets and chains, all managed through a robust routing system. This approach ensures direct settlement, removes the need for merchant custody, and simplifies the payment experience. The author also highlights the importance of trust points in payment systems, arguing that decentralization is not the sole focus. Instead, it's about identifying and maintaining trust points, such as removing merchant custody and improving routing, to create a seamless and secure payment experience. The ultimate goal is to make crypto payments as simple and user-friendly as traditional payment methods, and routing is the key to achieving this.
