NOWPayments Launches Zero-Fee Crypto Payout System Using Email Addresses

Crypto payment gateway NOWPayments has launched a new infrastructure designed to eliminate network fees for business-to-consumer payouts by replacing traditional wallet-based transfers with an email-based system. The company argues that businesses conducting mass payouts have long accepted unnecessary costs and operational complexity tied to blockchain transactions.

In a statement, NOWPayments CEO Kate Lifshits challenged the industry's existing payment models. "The market has spent years competing over who can charge less per payout," Lifshits said. "We are asking a more important question: why should businesses pay per payout at all?"

A Shift from Wallets to Emails

The new system aims to simplify the payout process for companies that manage large volumes of transactions, such as affiliate platforms, marketplaces, gaming companies, and payroll providers. Traditionally, these businesses must collect and validate individual crypto wallet addresses, manage potential network errors, and bear the cost of blockchain transaction fees for each payment.

NOWPayments' solution bypasses this process by allowing companies to send funds directly to a recipient's email address. According to the company, this method offers several key benefits:

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• Zero network fees and zero service fees for the transaction.
• Near-instant delivery, stated as under one second.
• Reduced instances of failed payouts and lower associated support costs.
• Automated recipient onboarding.

Economic and Operational Implications

NOWPayments asserts that the primary impact of its new infrastructure is economic. By removing transaction fees and simplifying financial workflows, businesses can significantly reduce operational expenses. The company estimates that while some businesses may save thousands of dollars annually, those processing hundreds of thousands of payouts could see cost reductions in the hundreds of thousands.

To help companies quantify potential savings, NOWPayments has released a cost calculator on its website. "The future of crypto payouts is not wallet-to-wallet. It is person-to-person: identified by email, delivered instantly and free to move inside the ecosystem," Lifshits stated, positioning more complex systems as "legacy infrastructure."