Coffee vNext is a proof of concept application that demonstrates the usability of the MintChip technology in the vending machine industry. Although, the benefits of coinless vending machines are apparent for the consumers, there are still many hurdles for the merchants. Chief among them are related to micro transactions and reliability. Micro transactions with credit cards are simply not advantageous for the merchants due to the fees imposed on them. Nevertheless, alternatives exist such as PayPal or combining many transactions together. The second hurdle is from a technological standpoint. A vending machine accepting credit cards must involve several parties before the payment can be completed. First, it must establish communication (often wirelessly) between itself and the vendor. This is often done via a third party such as a phone company. Afterwards, banks and credit card companies must be contacted to validate the payment. Once completed, this information must be returned to the vending machine for processing. Needless to say that there is a reasonable chance of failure in the process.
Coffee vNext solves both of these problems. On one hand, by using MintChip, the merchants will not be subject to the large transaction fees imposed today. On the other hand, MintChip allows the payments to be done without involving any third party. Payments are "saved" in the vending machine and can be "downloaded" by the vendor at an opportune time in a similar way as current vending machines are filled up and emptied.