3 August 2022

Stitch for crypto platforms: Enabling seamless funding and withdrawals

Head of Business Development Grant James walks us through how Stitch can enable crypto platforms to offer seamless fiat wallet funding and....

Grant James, Head of Business Development

|4 Minutes, 32 Seconds read

Head of Business Development Grant James walks us through how Stitch can enable crypto platforms to offer seamless fiat wallet funding and withdrawal experiences, and enable recurring deposits, through our LinkPay and Payouts API.

The growth of blockchain-enabled businesses and cryptocurrencies has enabled the move to a new, decentralised, transparent way of transacting and investing, solidifying the status of this new global asset class through a multitude of use cases including low-cost money transfers, investments and savings.

These technologies have inspired a wave of creativity across the financial sector, particularly in South Africa, where business builders and enthusiasts unite to build what many dub “the future of finance” – from blockchain-based savings tools like upnup, to a number of exchanges and investment platforms, like Luno, Easy Crypto, Yellow Card, OVEX and more, all of which allow retail and institutional players to easily buy, sell and hold cryptocurrencies.

The latest data from the United Nations Conference on Trade and Development (UNCTAD) suggested that Kenya has the highest proportion of crypto owners in Africa, with South Africa coming in second. Globally, South Africa ranks ninth, with 7.1% of the population owning digital currencies. With new laws regulating cryptocurrencies set to be introduced in the next 12-18 months, strong payment rails that enable easy, and most importantly, safe, access to the digital asset space are likely to be pulled into sharp focus. As such, it will be more important than ever for crypto platforms to leverage secure, reliable payments partners.

The payments challenge: The need for fast, secure deposits

To purchase crypto via an exchange, users need to first deposit funds into a store of value – often a fiat wallet.

Due to price volatility, timing is critical in the crypto space. Today, many exchanges enable fiat wallets to be funded via card payments or manual transfers. These methods often take several days to settle in the exchange’s account, meaning the buyer will have to wait until this happens to purchase crypto. This latency could result in the buyer missing out on a market opportunity once prices have shifted. Moreover, card processing fees remain expensive, and coupled with higher degrees of fraud and significant chargebacks, merchants are often take on increased, unnecessary risks.

Consumer-Crypto-Purchase-ProcessIn an effort to provide a better experience for their users, depending on the payment method, some platforms make funds available for users to make a crypto purchase as soon as the exchange receives a notification that a successful payment was initiated. However, on the exchange side, this introduces an element of risk as they still have to wait for the funds to settle in their account.

Head of Emerging Markets at Easy Crypto, Lloyd Brown, describes how arduous the existing process is and the effect it can have on conversion rates and retention for crypto businesses.

“The role of the payments experience is fundamental to retaining customers. Prior to integrating with Stitch, that was a real challenge for us. Customers had to set up a manual bank transfer and make sure they enter the right reference number and wait for the money to clear.”

The solution: Stitch LinkPay


Stitch LinkPay

With Stitch LinkPay, however, users can link a fiat account to a crypto platform to make fast, secure deposits into a crypto exchange or platform via Instant EFT – from a verified account. The platform receives notification of a successful LinkPay payment instantly so they can make the funds available for use.

In addition, the Stitch solution is vital for businesses like upnup that enable customers to save using crypto through frequent, automated deposits. Once an account is linked and authorised by the user, the upnup platform is able to pull headless deposits from their accounts to enable regular contributions to a crypto wallet.

That solves for the money in. What about money out?

The payouts challenge: A high-friction user experience

Across exchanges, withdrawals often present a point of friction, which might deter users from adding funds due to their inability to withdraw funds back to their fiat account.

A typical payout process might look like this:


The manual process above involves many steps for the user as well as the exchange or crypto company executing the payout. These processes add user and organisational friction, leaving both in search of better ways to optimise the experience.

The solution: Frictionless withdrawals to a verified account

With Stitch Payouts, users that previously linked an account with Stitch LinkPay can initiate seamless, secure withdrawals to the same verified account – or add a new account that Stitch will verify – with no extra steps required.

This solves a fundamental challenge in every crypto journey: friction.

For the exchange, this process removes the need to manually verify details and upload files or CSVs, as payment instructions are simply sent and executed over API. Stitch has two settlement options:

  • Instant, using RTC (Real Time Clearing)
  • Same day (T+1)

With Stitch, the process looks like this:Consumer-Crypto-withdrawel-Process-linkpayThe Stitch API creates simplicity in organisational processes and removes friction for customers by using technology to automate previously manual processes. For crypto exchanges specifically, Stitch can facilitate instant deposits as well as automated and/or instant withdrawals and payouts, reducing the uplift required by internal teams and allowing businesses to focus on building great products their users will love.


If you’re interested in learning more about how your blockchain business can leverage Stitch for seamless deposits and withdrawals, reach out to the team at sales@stitch.money.