UK-based fintech venture Mode has launched its Open Banking-powered QR payments service and bitcoin rewards solution with The Hut Group’s tech platform.
Mode’s integration into The Hut Group (THG) was originally scheduled for roll-out over 12 months starting from the end of Q3 2021, however, the fintech company stated that it has been “heavily accelerated” and Mode can now be found on all 30 plus THG brands at checkout, months ahead of schedule, including Lookfantastic, Myprotein and The-Hut.com.
The move will allow UK customers to pay without cards and accrue bitcoin with every purchase through Mode’s cardless QR code-based payments method that allows shoppers to make instant payments and rewards them with Bitcoin Cashback, immediately after purchase, via the Mode app.
The solution counters traditional loyalty and cashback programmes, explains Mode, which often entails rewards that are hard to withdraw or slow to redeem.
Mode, a first-of-its-kind in the UK, has also launched a checkout feature for shoppers who do not have the app, which leverages Open Banking technology to allow them to also make seamless payments via their bank account, and earn instant Bitcoin Cashback at THG brands.
THG shoppers checking out with Mode for the first time will receive 10 percent Bitcoin Cashback while existing customers will receive 5 percent for new and repeat purchases.
Mode payments and bitcoin rewards go live with THG
While QR payments have been ‘the norm’ in China for years, they are yet to challenge legacy card systems’ dominance in the UK. Mode adds that by bringing QR payments to the mainstream in the UK, it offers merchants low transaction charges - 0.5 percent, compared to 1.3-2 percent interchange fees by major card providers. It also offers THG merchants a “cheaper, safer and smarter alternative to card payments that caters to the needs of today’s digitally-native consumers”.
Ryan Moore, chief executive of Mode, said in a statement: “We’re delighted to bring about the next generation of retail payments and loyalty, in partnership with THG’s globally renowned tech platform, THG Ingenuity. Consumers can pay via Mode, and accrue instant Bitcoin rewards which they can safely store via our trusted, FCA registered app.
“This marks a step forward in delivering on our aim to make Bitcoin accessible to all and put it in the hands of as many people as possible. Those who pay via Mode will gain passive exposure to the revolutionary store of value asset without taking on the individual risk of investing, which we anticipate will significantly widen our market to reach those who are new to Bitcoin.”
John Gallemore, chief executive of THG Ingenuity, added: “We are constantly innovating and providing new solutions to THG brands and THG Ingenuity partners. Mode’s payments solution will provide our customers with additional payment opportunities to suit their needs and is another step in the platform’s evolution.”