What is Pelago?
Pelago is a decentralized Web3 payment gateway developed by PolyFlow, designed to bridge the gap between traditional finance and the crypto ecosystem through PayFi (Payment Finance) infrastructure.
The Problem We Solve
Traditional cryptocurrency payment solutions face several challenges:
| Challenge | Traditional Approach | Pelago Solution |
|---|---|---|
| High Gas Fees | Each transaction pays individual fees | Aggregated settlements via liquidity pools |
| Custody Risk | Funds held by payment processor | Non-custodial, direct wallet transfers |
| Complex KYC | Extensive merchant verification | Streamlined on-chain KYC |
| Settlement Delays | 2-7 days for fiat conversion | Real-time or scheduled batch settlement |
| Privacy Concerns | Transaction data exposed | Zero-knowledge proof protection |
Core Technology Stack
Key Components
1. Payment ID (PID)
A decentralized identity system based on the W3C DID standard that enables:
- Self-sovereignty: Users control their own payment identities
- Verifiable Credentials: On-chain reputation and credit scoring
- Privacy: Zero-knowledge proofs hide sensitive transaction details
2. Payment Liquidity Pool (PLP)
The world's first liquidity pool-based payment aggregation system:
- Reduced Costs: Multiple payments bundled into single on-chain transactions
- No Impermanent Loss: Liquidity providers earn stable yields
- Instant Finality: Payments confirmed in seconds, settled in batches
3. Smart Contract Gateway
Replaces traditional payment gateways with trustless smart contracts:
- No Custody: Funds flow directly to merchant wallets
- Transparent: All transactions verifiable on-chain
- Programmable: Custom payment logic and automation
Supported Blockchains
| Network | Status | Stablecoins |
|---|---|---|
| Stellar | ✅ Live | USDC |
| Ethereum | ✅ Live | USDC, USDT, DAI |
| Polygon | ✅ Live | USDC, USDT |
| Arbitrum | 🔜 Coming | USDC |
| Solana | 🔜 Coming | USDC |
Use Cases
- E-commerce: Accept crypto payments on online stores
- Cross-border Payments: Instant international settlements
- Supply Chain Finance: Tokenized receivables and financing
- Subscription Services: Recurring crypto payments
- AI Agent Payments: Automated machine-to-machine payments (x402 protocol)
Next Steps
Ready to integrate Pelago? Start with our Quick Start Guide.