Nxt-ID Board Approves IoT Payments Spinoff

“At its outset, PartX’s platform revolves around the tokenization of payment card details, which helps to secure digital transactions.”

Nxt-ID, the parent company of wearable payments specialist Fit Pay, is launching a spinoff subsidiary that will manage its IoT payments activities.

The spinoff, which was recently approved by Nxt-ID’s Board of Directors, will be called PartX, Inc. Beyond operating Fit Pay as a subsidiary, PartX will oversee a proprietary tech platform concerned with payments, authentication and credential management, and other security-focused technologies and services pertaining to the Internet of Things and e-commerce. It will seek to develop new solutions with an eye to the IoT, digital security, and healthcare markets.

At its outset, PartX’s platform revolves around the tokenization of payment card details, which helps to secure digital transactions. The spinoff is a technology partner with Visa’s Token Service for COF, or Credential-On-File, token requestors.

Fit Pay, meanwhile, is already a notable player in the emerging wearable payments market. It has provided mobile payments technology used in wearable devices associated with the Garmin Pay mobile payments system.

The spinoff of PartX will see the transfer of 100 percent of issued and outstanding common stock of Fit Pay from Nxt-ID to PartX, as well as the transfer of Nxt-ID’s FinTech assets to PartX.