Called pingNpay, the startup plans to create a new category of high frequency, low value payments (below $20 per transaction) aimed at unlocking new digital retail services which will be at the centre of the next development of the internet, Web 3.0.

The venture is the brainchild of Richard Bell, a former Ripple, Visa and Santander executive, and Jeremy Light, who worked at Ripple and led Accenture’s payment consulting business in Europe.

The network plans to launch next year, initially in the UK, using a digital coin backed by the pound.

Eventually, the network will use stablecoins in each country of operation, denominated and anchored in the local currency, 100% backed by liquid fiat assets with a published proof-of-reserve to meet regulatory expectations.

But consumers and merchants will not need to know they are paying or receiving stablecoins since they simply will see payments and balances in their local currency.

Says Bell: "In a world where micropayments are becoming common place, retailers are still finding monetising digital grazing a challenge, and many potential services they could offer have yet to see the light of day.

“No-one has yet to crack the sub-$20 digital payment market. The major card networks can process tens of thousands of payments per second, but even so the cheapest debit card payments cost retailers at least 20p per payment, which represents 20% of a £1 payment.

“pingNpay solves this problem and will unleash a new wave of ecommerce innovation for consumers and the next stage of the internet’s evolution, Web 3.0.”