It does not need to run as a Ponzi. It can be achieved by using a line of credit where the service provider (e.g. APT) is essentially a proxy to that credit. The service provider's credit limit is then distributed amongst each end-customer to ensure that it is rarely exceeded. The merchant fee should cover any interest required by the underlying credit provider during the installment period and late fees should cover any interest for holding the debt longer than the intended period.
There used to be credit cards with $500 limits aimed at those wanting their first credit card. BNPL's low entry requirements are reminiscent of those products and with regulation should become capable replacements.
APT Price at posting:
$72.29 Sentiment: Hold Disclosure: Held
