Blackbird Labs, a restaurant loyalty platform founded by Ben Leventhal, who is also the co-founder of Resy and Eater, has introduced a new payment system called Blackbird Pay. This system will allow restaurants to accept payments in cryptocurrency, making it a unique offering in the dining industry. With the backing of American Express and Andreessen Horowitz (a16z), Blackbird Labs raised over $24 million last year, capitalizing on the growing interest in Web3 technologies.
The primary goal of Blackbird Pay is to provide diners with rewards and exclusive perks at their favorite restaurants. By using the $FLY cryptocurrency, customers can earn loyalty points for dining at participating restaurants or purchase tokens within the Blackbird app using Coinbase’s USDC stablecoin. This innovative payment platform not only benefits diners but also offers advantages to restaurants by allowing them to avoid high merchant card fees.
In a statement shared with CoinDesk, Blackbird Labs explained that restaurants on the Blackbird Pay network only pay a flat fee of 2% per transaction, as opposed to the typical credit card fees that can be as high as 3.75%. This cost-saving measure can significantly impact a restaurant’s bottom line, making it an attractive option for businesses looking to increase revenue streams.
The seamless payment experience provided by Blackbird Pay also enhances the dining experience for customers. By allowing diners to pay their check in-app at any point during their meal, Blackbird eliminates the need for the traditional “Let’s get the check” moment, allowing customers to leave whenever they’re ready, similar to having a house account at the restaurant.
Powering this payment platform is the new Blackbird Mainnet, a layer-3 blockchain built on top of Coinbase’s Base chain. Leveraging Base as a layer-2 network provides users with a fast and cost-effective option for transactions on the Ethereum blockchain, ensuring a smooth and efficient payment process for both diners and restaurants.
Ben Leventhal, co-founder of Blackbird Labs, brings over two decades of experience in the restaurant industry to the table. Having previously founded Resy and Eater, Leventhal understands the challenges faced by restaurants, particularly in terms of profitability. He believes that by focusing on rewards and payments, Blackbird can help restaurants improve their operating margins and overall strategy, ultimately leading to greater profitability.
In an interview with CoinDesk, Leventhal emphasized the importance of supporting the restaurant industry, which is often comprised of small, independent businesses that lack individual leverage compared to larger players in other sectors. By providing a platform that addresses the unique needs of restaurants, Blackbird aims to empower these businesses to grow revenue predictably and reduce fees associated with payment processing.
Overall, Blackbird Pay represents a significant step forward in revolutionizing dining payments, offering a win-win solution for both diners and restaurants. By embracing cryptocurrency and blockchain technology, Blackbird is paving the way for a more efficient and rewarding dining experience in the digital age.
