Thread by @zdlabs

Huge news to the L2 Ecosystem: @Visa is proposing an automatic payments system on #Ethereum using @StarkNetEco! Let's break it down to understand how would that work 🧵🧵

1/ Blockchain adoption is increasing the demand for products with a great user experience and functionality that support real use cases. @Visa is proposing #AccountAbstraction to enable automated programmable payments through smart contracts.

2/ Using account abstraction, @Visa would be able to allow self-custodial wallets to pull funds automatically rather than requiring user participation every time. This is huge for #crypto, opening the possibility to become more than just a drop in the #CeFi ocean.

3/ The problem? A #SmartContract cannot start a transaction by itself, it must always originate from a user account and be signed by the user #PrivateKey. So, if a person is going on vacation and needs to execute a transaction on a particular day, it will be a problem.

4/ What can be done today? Associating a secret or private key known only by the receiver and using it to generate an Elliptic Curve Digital Signature Algorithm (ECDSA), bringing us back to the presented problem: who’s going to do it in a trustless way if you're unable?

5/ What enables the Solution? Account Abstraction (AA). AA is a proposal that attempts to combine user accounts and smart contracts into just one #Ethereum account type by making user accounts function like smart contracts, allowing a solution for #AutoPayments!

6/ AA proposes having more flexibility in the process of validating a transaction on the blockchain, enabling:

- Multi-owner accounts via multisig signature verification.
- Using post-quantum signatures for the verification.
- A “public” account with no signature verification.

7/ What is the solution? Delegable Accounts, a new type of account contract. The main idea is to extend validity rules for transactions to include a pre-approved allow list, delegating the ability to initiate a push payment to a pre-approved auto payment #SmartContract .

8/ How would it work IRL? Merchants will be able to deploy their own auto payment smart contract, so when users access the company's website, they’ll see a request to approve auto payments and see what the contract can do in the user's name, e.g.:

- Charge up to U$200 per month.

9/ After the user approves the contract, the merchant triggers a payment by calling the charge function, causing the user's account to initiate a push payment commanded by a whitelisted address. Pretty simple, right? But there's still debate on how AA should be implemented.

10/ @Visa's Method: AA on @StarkNetEco, Why? Because StarkNet's account model is the abstract account model explained before. The difference, compared to Ethereum, is that on StarkNet it's the who (address) that matters, not the how (signature). That enables #DelegableAccounts.

11/ This is a huge advance in crypto. Recurring payments are a feature that recurring blockchain infrastructure lacks, and @Visa is starting to solve this. @StarkNetEco is the best partner to implement scalable features like this. LFG! Like and follow for more! 🔥🚀