Strike Announces Cash Back On Purchases – Bitcoin Magazine

Strike, the application from Zap that lets users transact through the Lightning Network using their debit card or bank account, is now offering cash back rewards, according to an announcement that founder Jack Mallers shared with Bitcoin Magazine.

“Today, we are releasing Cashback by Strike, our first Strike Rewards program,” Mallers wrote in the announcement. “Cashback is about as conceptually simple as it gets. You simply scan, confirm, and earn cash that is instantly available in your Strike account.”

As with its Strike product in general, the Zap team emphasized the ease of use behind this product as its most attractive feature.

“It’s a win-win really,” Tom Kirkpatrick, a software engineer with Zap, told Bitcoin Magazine. “Our partnered merchants now have a way to directly incentivize users to pay in bitcoin, and the users don’t even need to know that they are in fact paying in bitcoin because in Strike, that complexity is hidden from them.”

Though it should be fairly simple for users to leverage, the new feature requires some extra handling by the Strike team.

Strike will mark the cash back rewards associated with a partner merchant’s Lightning public key, which serves as a unique identifier. When a user scans a QR code, as outlined in the video above, Strike will decrypt the invoice, scan the public key and display any rewards for the user. The user will get their reward payment immediately into their account after their purchase, and the merchant settles with Strike behind the scenes.

In general, Strike enables Lightning payments without having users touch bitcoin or its complexities by purchasing the BTC for them and transacting it through Lightning on their behalf. For the cash back program, the process works similarly but in reverse: merchants pay Strike the reward back in BTC and Strike then sells that BTC for fiat and credits the user.

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