OKX Slams Traditional Payment Rails With Self-Custodial Crypto Pay Launch

OKX just fired a shot across Visa’s bow—its new self-custodial payment system lets users spend crypto without surrendering custody to middlemen. The move threatens to undercut the 3% processing fees that legacy finance creams off every transaction.

How it works: Merchants get stablecoins, users keep keys. No more ’your keys, our vault’ compromises. Early adopters include e-commerce platforms tired of getting nickel-and-dimed by payment processors.

The catch? Volatility remains crypto’s Achilles’ heel—try explaining to a coffee shop why their latte revenue just dropped 10% overnight. But for the crypto faithful, it’s another step toward cutting banks out of the equation entirely.

How OKX Pay works

Users can send assets directly to other OKX Pay users by selecting their contacts or entering OKX usernames or IDs, no complicated wallet addresses needed. According to OKX, users will also benefit from fast transfers and flexible options.

“Settlement is almost instant and there are no limits to how much you can send and receive (subject to necessary compliance and risk controls),” OKX.

What is more, users won’t have to worry about losing their funds if they lose their seed phrases or devices. The goal, according to OKX, was to make transfers feel like Web2 applications, like Venmo and CashApp.

In addition, OKX Pay will reward users based on the yield generated from their deposits. OKX states that rewards will come from “low-risk on-chain protocols,” including staking, which the app handles automatically. Importantly, the assets are not locked, allowing users to withdraw and use their funds at any time.

OKX emphasized that the main goal of this project is to build a self-custodial solution that removes complexity. By eliminating the need for private key management, OKX hopes to drive broader adoption of self-custody, still the safest method for storing crypto assets.