Credit card highlighted feature aims at letting and inviting users to buy Bitcoin easily, conveniently and 100% safe from a credit card. The system will do heavy backend lifting like producing identity, real-time charges, detection of fraudulent activities, and payment approval while at the same time giving the very straightforward and clear experience to the user. This move is meant to facilitate the access to cryptocurrency by instant conversion of fiat to crypto and not needing bank transfers or third-party services to do so.
User flow
Initially, the user picks the cryptocurrency purchase option and makes Bitcoin selection. Payment by credit card is the next choice. The user interface asks the user to input their desired amount of fiat or the desired amount of Bitcoin. Upon entering the amount, the system retrieves a live quote indicating the exchange rate, processing fee, network fee, and the exact Bitcoin quantity the user will get.
In case the user has not used a credit card before or the amount exceeds compliance limits, the system requests to perform identity verification. After that, the user either adds a new credit card via the payment processor or picks the one that has been previously tokenized. As soon as they validate the transaction, the system moves to the payment authorization stage.
Payment and risk processing
Once the user confirms the purchase, the platform instantly and securely sends the credit card information to the payment processor for authentication. The risk engine on the other hand, is also evaluating the transaction details concurrently. The engine investigates different factors like possible fraud, high-risk card numbers, unusual spending patterns, geographic limitations, and AML alerts. The user gets fast notifications regarding the card issuer’s decision whether to decline the request or not, if there are any regulatory restrictions on the payment processing, or if the transaction requires further investigation. In case authorization and risk checks both receive a green light, the system proceeds to the crypto purchase completion. A Bitcoin buy order is raised, executed, and ready for settlement.
Settlement and wallet delivery
The user’s wallet is credited with Bitcoin immediately after the order is executed. This may happen either through an internal ledger transfer or by an on-chain transaction according to the platform’s architecture. A transaction receipt containing the amount charged, the amount of Bitcoin delivered, the exchange rate, and all other fees is then sent to the user. In case of any delays in transaction finality, the system displays a distinct “Processing” status with a time frame for expected completion.
Compliance and security
The feature resounds KYC and AML requirements. The identity verification is initiated when it is required by either the regulation or the transaction behavior. Any suspect activity is recorded and examined. The platform is always PCI compliant which means that raw card data will never be stored and the tokenization will always be applied to all saved payment methods. All sensitive operations are protected and monitored so that fraud, misuse, or data leakage cannot happen.
Technical requirements
A dependable quoting service that offers live Bitcoin prices and fees is a must for the platform. It should also incorporate an authorization service that can connect to different payment processors and a risk engine that can assess transaction safety at that very moment. The system, post-authorization, is to place a buy order for Bitcoin and log the transaction in the user’s account history. An order status endpoint or a tracking feature will make it possible for the users to check completed or pending purchases at any time they want.
Success criteria
The whole thing must come off as smooth, clear-cut, and speedy. In usual circumstances, a customer should finish an order in less than 60 seconds. The system has to very distinctly state costs, charges, and outcomes at each stage. Either the transactions have to be completed without any issues or they have to fail with a clear reason given. The legal obligations should be fulfilled without impairing user-friendliness.