diff --git a/routstr/balance.py b/routstr/balance.py
index 883c4673..5693d04b 100644
--- a/routstr/balance.py
+++ b/routstr/balance.py
@@ -74,35 +74,55 @@ async def wallet_info(key: ApiKey = Depends(get_key_from_header)) -> dict:
 
 
 class TopupRequest(BaseModel):
-    cashu_token: str
+    payment_data: str
+    payment_method: str | None = None
 
 
 @router.post("/topup")
 async def topup_wallet_endpoint(
+    payment_data: str | None = None,
+    payment_method: str | None = None,
     cashu_token: str | None = None,
     topup_request: TopupRequest | None = None,
     key: ApiKey = Depends(get_key_from_header),
     session: AsyncSession = Depends(get_session),
 ) -> dict[str, int]:
     if topup_request is not None:
-        cashu_token = topup_request.cashu_token
-    if cashu_token is None:
-        raise HTTPException(status_code=400, detail="A cashu_token is required.")
+        payment_data = topup_request.payment_data
+        payment_method = topup_request.payment_method or payment_method
+    elif cashu_token is not None:
+        payment_data = cashu_token
+        payment_method = payment_method or "cashu"
+    elif payment_data is None:
+        raise HTTPException(
+            status_code=400,
+            detail="Payment data is required. Provide 'payment_data' or 'cashu_token' (deprecated).",
+        )
+
+    if payment_data is None:
+        raise HTTPException(status_code=400, detail="Payment data is required.")
+
+    payment_data = payment_data.replace("\n", "").replace("\r", "").replace("\t", "")
 
-    cashu_token = cashu_token.replace("\n", "").replace("\r", "").replace("\t", "")
-    if len(cashu_token) < 10 or "cashu" not in cashu_token:
-        raise HTTPException(status_code=400, detail="Invalid token format")
     try:
-        amount_msats = await credit_balance(cashu_token, key, session)
+        amount_msats = await credit_balance(payment_data, key, session, payment_method)
     except ValueError as e:
         error_msg = str(e)
         if "already spent" in error_msg.lower():
-            raise HTTPException(status_code=400, detail="Token already spent")
+            raise HTTPException(status_code=400, detail="Payment already processed")
         elif "invalid" in error_msg.lower() or "decode" in error_msg.lower():
-            raise HTTPException(status_code=400, detail="Invalid token format")
+            raise HTTPException(status_code=400, detail="Invalid payment data format")
+        elif "could not detect" in error_msg.lower() or "unknown payment method" in error_msg.lower():
+            raise HTTPException(status_code=400, detail=error_msg)
         else:
-            raise HTTPException(status_code=400, detail="Failed to redeem token")
-    except Exception:
+            raise HTTPException(status_code=400, detail="Failed to process payment")
+    except NotImplementedError as e:
+        raise HTTPException(status_code=501, detail=str(e))
+    except Exception as e:
+        logger.error(
+            "Topup endpoint error",
+            extra={"error": str(e), "error_type": type(e).__name__},
+        )
         raise HTTPException(status_code=500, detail="Internal server error")
     return {"msats": amount_msats}
 
@@ -165,35 +185,38 @@ async def refund_wallet_endpoint(
     elif remaining_balance <= 0:
         raise HTTPException(status_code=400, detail="No balance to refund")
 
-    # Perform refund operation first, before modifying balance
+    # Determine payment method from stored metadata
+    # For backward compatibility, if refund_mint_url exists, assume cashu
+    # TODO: Store payment_method in database for proper multi-method support
+    from .payment.registry import get_payment_method, initialize_payment_methods
+
+    initialize_payment_methods()
+    payment_method_name = "cashu"
+    if key.refund_mint_url:
+        payment_method_name = "cashu"
+
+    method = get_payment_method(payment_method_name) or get_payment_method("cashu")
+    if not method:
+        raise HTTPException(status_code=500, detail="Payment method not available")
+
+    metadata = {
+        "mint_url": key.refund_mint_url,
+        "currency": key.refund_currency,
+    }
+
     try:
-        if key.refund_address:
-            from .core.settings import settings as global_settings
-
-            await send_to_lnurl(
-                remaining_balance,
-                key.refund_currency or "sat",
-                key.refund_mint_url or global_settings.primary_mint,
-                key.refund_address,
-            )
-            result = {"recipient": key.refund_address}
-        else:
-            refund_currency = key.refund_currency or "sat"
-            token = await send_token(
-                remaining_balance, refund_currency, key.refund_mint_url
-            )
-            result = {"token": token}
-
-        if key.refund_currency == "sat":
-            result["sats"] = str(remaining_balance_msats // 1000)
-        else:
-            result["msats"] = str(remaining_balance_msats)
-
+        result = await method.refund_payment(
+            remaining_balance_msats,
+            key.refund_currency or "sat",
+            key.refund_address,
+            metadata,
+            session,
+        )
+    except NotImplementedError as e:
+        raise HTTPException(status_code=501, detail=str(e))
     except HTTPException:
-        # Re-raise HTTP exceptions (like 400 for balance too small)
         raise
     except Exception as e:
-        # If refund fails, don't modify the database
         error_msg = str(e)
         if (
             "mint" in error_msg.lower()
@@ -201,7 +224,7 @@ async def refund_wallet_endpoint(
             or isinstance(e, Exception)
             and "ConnectError" in str(type(e))
         ):
-            raise HTTPException(status_code=503, detail="Mint service unavailable")
+            raise HTTPException(status_code=503, detail="Payment service unavailable")
         else:
             raise HTTPException(status_code=500, detail="Refund failed")
 
diff --git a/routstr/core/main.py b/routstr/core/main.py
index 81212a01..0c4b0b60 100644
--- a/routstr/core/main.py
+++ b/routstr/core/main.py
@@ -83,6 +83,11 @@ async def lifespan(_: FastAPI) -> AsyncGenerator[None, None]:
         await _update_prices()
         await initialize_upstreams()
 
+        from ..payment.registry import initialize_payment_methods
+
+        initialize_payment_methods()
+        logger.info("Payment methods initialized")
+
         btc_price_task = asyncio.create_task(update_prices_periodically())
         pricing_task = asyncio.create_task(update_sats_pricing())
         if global_settings.models_refresh_interval_seconds > 0:
diff --git a/routstr/payment/__init__.py b/routstr/payment/__init__.py
index 55f5a854..b021302c 100644
--- a/routstr/payment/__init__.py
+++ b/routstr/payment/__init__.py
@@ -1,8 +1,23 @@
 from .cost_caculation import CostData, CostDataError, MaxCostData, calculate_cost
+from .payment_methods import PaymentMethod, PaymentResult
+from .registry import (
+    detect_payment_method,
+    get_all_payment_methods,
+    get_payment_method,
+    initialize_payment_methods,
+    register_payment_method,
+)
 
 __all__ = [
     "CostData",
     "CostDataError",
     "MaxCostData",
     "calculate_cost",
+    "PaymentMethod",
+    "PaymentResult",
+    "detect_payment_method",
+    "get_all_payment_methods",
+    "get_payment_method",
+    "initialize_payment_methods",
+    "register_payment_method",
 ]
diff --git a/routstr/payment/methods/__init__.py b/routstr/payment/methods/__init__.py
new file mode 100644
index 00000000..75cd223a
--- /dev/null
+++ b/routstr/payment/methods/__init__.py
@@ -0,0 +1,9 @@
+from .cashu import CashuPaymentMethod
+from .lightning import BitcoinLightningPaymentMethod
+from .usdt import USDTPaymentMethod
+
+__all__ = [
+    "CashuPaymentMethod",
+    "BitcoinLightningPaymentMethod",
+    "USDTPaymentMethod",
+]
diff --git a/routstr/payment/methods/cashu.py b/routstr/payment/methods/cashu.py
new file mode 100644
index 00000000..492b1c13
--- /dev/null
+++ b/routstr/payment/methods/cashu.py
@@ -0,0 +1,134 @@
+from cashu.wallet.helpers import deserialize_token_from_string
+from sqlmodel import col, update
+
+from ...core.db import ApiKey, AsyncSession
+from ...core.logging import get_logger
+from ...wallet import recieve_token, send_to_lnurl, send_token
+from ..payment_methods import PaymentMethod, PaymentResult
+
+logger = get_logger(__name__)
+
+
+class CashuPaymentMethod(PaymentMethod):
+    @property
+    def name(self) -> str:
+        return "cashu"
+
+    @property
+    def display_name(self) -> str:
+        return "Cashu eCash"
+
+    async def validate_payment_data(self, payment_data: str) -> bool:
+        if not payment_data or len(payment_data) < 10:
+            return False
+        if "cashu" not in payment_data.lower():
+            return False
+        try:
+            token_obj = deserialize_token_from_string(payment_data)
+            return token_obj is not None
+        except Exception:
+            return False
+
+    async def process_payment(
+        self, payment_data: str, key: ApiKey, session: AsyncSession
+    ) -> PaymentResult:
+        payment_data = payment_data.replace("\n", "").replace("\r", "").replace("\t", "")
+        if not await self.validate_payment_data(payment_data):
+            raise ValueError("Invalid Cashu token format")
+
+        try:
+            amount, unit, mint_url = await recieve_token(payment_data)
+            logger.info(
+                "Cashu payment processed",
+                extra={"amount": amount, "unit": unit, "mint_url": mint_url},
+            )
+
+            if unit == "sat":
+                amount_msats = amount * 1000
+            else:
+                amount_msats = amount
+
+            stmt = (
+                update(ApiKey)
+                .where(col(ApiKey.hashed_key) == key.hashed_key)
+                .values(balance=(ApiKey.balance) + amount_msats)
+            )
+            await session.exec(stmt)
+            await session.commit()
+            await session.refresh(key)
+
+            metadata = {
+                "mint_url": mint_url,
+                "currency": unit,
+            }
+
+            return PaymentResult(
+                amount_msats=amount_msats,
+                currency=unit,
+                payment_method=self.name,
+                metadata=metadata,
+            )
+        except Exception as e:
+            logger.error(
+                "Cashu payment processing failed",
+                extra={"error": str(e), "error_type": type(e).__name__},
+            )
+            raise
+
+    async def refund_payment(
+        self,
+        amount_msats: int,
+        currency: str,
+        refund_address: str | None,
+        metadata: dict[str, str | None],
+        session: AsyncSession,
+    ) -> dict[str, str]:
+        mint_url = metadata.get("mint_url")
+        if currency == "sat":
+            remaining_balance = amount_msats // 1000
+        else:
+            remaining_balance = amount_msats
+
+        if remaining_balance <= 0:
+            raise ValueError("No balance to refund")
+
+        try:
+            if refund_address:
+                from ...core.settings import settings as global_settings
+
+                await send_to_lnurl(
+                    remaining_balance,
+                    currency or "sat",
+                    mint_url or global_settings.primary_mint,
+                    refund_address,
+                )
+                result = {"recipient": refund_address}
+            else:
+                token = await send_token(remaining_balance, currency, mint_url)
+                result = {"token": token}
+
+            if currency == "sat":
+                result["sats"] = str(amount_msats // 1000)
+            else:
+                result["msats"] = str(amount_msats)
+
+            return result
+        except Exception as e:
+            logger.error(
+                "Cashu refund failed",
+                extra={"error": str(e), "error_type": type(e).__name__},
+            )
+            raise
+
+    def extract_metadata(self, payment_data: str) -> dict[str, str | None]:
+        try:
+            token_obj = deserialize_token_from_string(payment_data)
+            return {
+                "mint_url": token_obj.mint,
+                "currency": token_obj.unit,
+            }
+        except Exception:
+            return {
+                "mint_url": None,
+                "currency": None,
+            }
diff --git a/routstr/payment/methods/lightning.py b/routstr/payment/methods/lightning.py
new file mode 100644
index 00000000..5dac0cea
--- /dev/null
+++ b/routstr/payment/methods/lightning.py
@@ -0,0 +1,134 @@
+from ...core.db import ApiKey, AsyncSession
+from ...core.logging import get_logger
+from ..payment_methods import PaymentMethod, PaymentResult
+
+logger = get_logger(__name__)
+
+
+class BitcoinLightningPaymentMethod(PaymentMethod):
+    @property
+    def name(self) -> str:
+        return "lightning"
+
+    @property
+    def display_name(self) -> str:
+        return "Bitcoin Lightning Network"
+
+    async def validate_payment_data(self, payment_data: str) -> bool:
+        if not payment_data:
+            return False
+
+        payment_data = payment_data.strip()
+
+        if payment_data.startswith("lnbc") or payment_data.startswith("lntb") or payment_data.startswith("lnbcrt"):
+            return True
+
+        if payment_data.startswith("lightning:") or payment_data.startswith("LIGHTNING:"):
+            invoice = payment_data.split(":", 1)[1]
+            return invoice.startswith("lnbc") or invoice.startswith("lntb") or invoice.startswith("lnbcrt")
+
+        return False
+
+    async def process_payment(
+        self, payment_data: str, key: ApiKey, session: AsyncSession
+    ) -> PaymentResult:
+        if not await self.validate_payment_data(payment_data):
+            raise ValueError("Invalid Lightning invoice format")
+
+        payment_data = payment_data.strip()
+        if payment_data.startswith("lightning:") or payment_data.startswith("LIGHTNING:"):
+            payment_data = payment_data.split(":", 1)[1]
+
+        logger.info(
+            "Processing Lightning payment",
+            extra={"invoice_preview": payment_data[:50]},
+        )
+
+        # TODO: Full implementation requires:
+        # 1. Lightning node integration (e.g., LND, CLN, LDK, or similar)
+        # 2. Invoice verification and payment checking
+        # 3. Amount extraction from invoice (decode BOLT11 invoice)
+        # 4. Payment status polling or webhook handling
+        # 5. Atomic balance updates after payment confirmation
+        # 6. Error handling for expired/invalid invoices
+        # 7. Support for both mainnet and testnet
+        #
+        # Example libraries to consider:
+        # - pyln-client (for Core Lightning)
+        # - lndgrpc (for LND)
+        # - bolt11 (for invoice decoding)
+        #
+        # Example flow:
+        # 1. Decode invoice to get amount and expiry
+        # 2. Check if invoice is already paid (query node)
+        # 3. If not paid, wait for payment confirmation (poll or webhook)
+        # 4. Once confirmed, credit balance atomically
+        # 5. Store invoice hash in metadata to prevent double-spending
+
+        raise NotImplementedError(
+            "Lightning payment processing not yet fully implemented. "
+            "Requires Lightning node integration and invoice verification."
+        )
+
+    async def refund_payment(
+        self,
+        amount_msats: int,
+        currency: str,
+        refund_address: str | None,
+        metadata: dict[str, str | None],
+        session: AsyncSession,
+    ) -> dict[str, str]:
+        if not refund_address:
+            raise ValueError("Refund address required for Lightning refunds")
+
+        logger.info(
+            "Processing Lightning refund",
+            extra={"amount_msats": amount_msats, "refund_address": refund_address},
+        )
+
+        # TODO: Full implementation requires:
+        # 1. Lightning node integration
+        # 2. Create outgoing invoice or use keysend
+        # 3. Send payment to refund_address
+        # 4. Handle payment failures and retries
+        # 5. Track payment status and confirmations
+        #
+        # Example flow:
+        # 1. Validate refund_address (Lightning address or node pubkey)
+        # 2. Create invoice or use keysend if supported
+        # 3. Send payment via Lightning node
+        # 4. Wait for payment confirmation
+        # 5. Return payment hash/preimage
+
+        raise NotImplementedError(
+            "Lightning refund processing not yet fully implemented. "
+            "Requires Lightning node integration and payment sending capabilities."
+        )
+
+    def extract_metadata(self, payment_data: str) -> dict[str, str | None]:
+        payment_data = payment_data.strip()
+        if payment_data.startswith("lightning:") or payment_data.startswith("LIGHTNING:"):
+            payment_data = payment_data.split(":", 1)[1]
+
+        # TODO: Decode BOLT11 invoice to extract:
+        # - Amount
+        # - Expiry timestamp
+        # - Payment hash
+        # - Description
+        # - Network (mainnet/testnet)
+        #
+        # Can use bolt11 library:
+        # from bolt11 import decode
+        # invoice = decode(payment_data)
+        # return {
+        #     "amount_msats": invoice.amount_msat,
+        #     "expiry": invoice.expiry,
+        #     "payment_hash": invoice.payment_hash,
+        #     "description": invoice.description,
+        #     "network": invoice.network,
+        # }
+
+        return {
+            "invoice": payment_data,
+            "currency": "sat",
+        }
diff --git a/routstr/payment/methods/usdt.py b/routstr/payment/methods/usdt.py
new file mode 100644
index 00000000..bf4d22cf
--- /dev/null
+++ b/routstr/payment/methods/usdt.py
@@ -0,0 +1,145 @@
+import re
+
+from ...core.db import ApiKey, AsyncSession
+from ...core.logging import get_logger
+from ..payment_methods import PaymentResult, PaymentMethod
+
+logger = get_logger(__name__)
+
+
+class USDTPaymentMethod(PaymentMethod):
+    @property
+    def name(self) -> str:
+        return "usdt"
+
+    @property
+    def display_name(self) -> str:
+        return "USDT (Tether)"
+
+    async def validate_payment_data(self, payment_data: str) -> bool:
+        if not payment_data:
+            return False
+
+        payment_data = payment_data.strip()
+
+        # USDT can be on multiple chains: Ethereum (ERC-20), Tron (TRC-20), etc.
+        # For now, we'll accept transaction hashes or payment addresses
+        # Ethereum address format: 0x followed by 40 hex characters
+        eth_address_pattern = r"^0x[a-fA-F0-9]{40}$"
+        # Tron address format: T followed by 33 alphanumeric characters
+        tron_address_pattern = r"^T[A-Za-z1-9]{33}$"
+        # Transaction hash: 64 hex characters (Ethereum) or 64 hex (Tron)
+        tx_hash_pattern = r"^[a-fA-F0-9]{64}$"
+
+        return bool(
+            re.match(eth_address_pattern, payment_data)
+            or re.match(tron_address_pattern, payment_data)
+            or re.match(tx_hash_pattern, payment_data)
+        )
+
+    async def process_payment(
+        self, payment_data: str, key: ApiKey, session: AsyncSession
+    ) -> PaymentResult:
+        if not await self.validate_payment_data(payment_data):
+            raise ValueError("Invalid USDT payment data format")
+
+        logger.info(
+            "Processing USDT payment",
+            extra={"payment_data_preview": payment_data[:50]},
+        )
+
+        # TODO: Full implementation requires:
+        # 1. Blockchain RPC integration (Ethereum/Tron node)
+        # 2. Transaction verification and confirmation tracking
+        # 3. Amount extraction from transaction
+        # 4. USDT contract address verification
+        # 5. Support for multiple chains (Ethereum, Tron, Polygon, etc.)
+        # 6. Exchange rate conversion (USDT -> BTC/sats)
+        # 7. Atomic balance updates after confirmation
+        # 8. Handling of reorgs and chain splits
+        #
+        # Example libraries to consider:
+        # - web3.py (for Ethereum)
+        # - tronpy (for Tron)
+        # - Multiple confirmations required (typically 6+ for Ethereum, 20+ for Tron)
+        #
+        # Example flow:
+        # 1. Parse payment_data (address or transaction hash)
+        # 2. If address: monitor for incoming USDT transfers
+        # 3. If tx_hash: fetch and verify transaction
+        # 4. Verify USDT contract address matches
+        # 5. Extract amount from transaction
+        # 6. Wait for required confirmations
+        # 7. Convert USDT amount to BTC/sats using exchange rate
+        # 8. Credit balance atomically
+        # 9. Store transaction hash in metadata to prevent double-spending
+
+        raise NotImplementedError(
+            "USDT payment processing not yet fully implemented. "
+            "Requires blockchain RPC integration, transaction verification, "
+            "and exchange rate conversion."
+        )
+
+    async def refund_payment(
+        self,
+        amount_msats: int,
+        currency: str,
+        refund_address: str | None,
+        metadata: dict[str, str | None],
+        session: AsyncSession,
+    ) -> dict[str, str]:
+        if not refund_address:
+            raise ValueError("Refund address required for USDT refunds")
+
+        if not await self.validate_payment_data(refund_address):
+            raise ValueError("Invalid USDT refund address format")
+
+        logger.info(
+            "Processing USDT refund",
+            extra={"amount_msats": amount_msats, "refund_address": refund_address},
+        )
+
+        # TODO: Full implementation requires:
+        # 1. Blockchain RPC integration
+        # 2. Wallet/key management for sending USDT
+        # 3. Convert BTC/sats to USDT using exchange rate
+        # 4. Create and sign USDT transfer transaction
+        # 5. Broadcast transaction to network
+        # 6. Track transaction status and confirmations
+        # 7. Handle gas fees (for Ethereum) or energy (for Tron)
+        # 8. Support for multiple chains
+        #
+        # Example flow:
+        # 1. Convert amount_msats to USDT using current exchange rate
+        # 2. Determine chain from refund_address format
+        # 3. Load wallet/private key for that chain
+        # 4. Create USDT transfer transaction
+        # 5. Sign transaction
+        # 6. Broadcast to network
+        # 7. Return transaction hash
+
+        raise NotImplementedError(
+            "USDT refund processing not yet fully implemented. "
+            "Requires blockchain RPC integration, wallet management, "
+            "and transaction broadcasting capabilities."
+        )
+
+    def extract_metadata(self, payment_data: str) -> dict[str, str | None]:
+        payment_data = payment_data.strip()
+
+        # Determine chain based on address format
+        chain = None
+        if payment_data.startswith("0x"):
+            chain = "ethereum"
+        elif payment_data.startswith("T"):
+            chain = "tron"
+        elif len(payment_data) == 64:
+            # Transaction hash - would need to query blockchain to determine chain
+            chain = "unknown"
+
+        return {
+            "address": payment_data if not payment_data.startswith("0x") or len(payment_data) == 42 else None,
+            "tx_hash": payment_data if len(payment_data) == 64 else None,
+            "chain": chain,
+            "currency": "usdt",
+        }
diff --git a/routstr/payment/payment_methods.py b/routstr/payment/payment_methods.py
new file mode 100644
index 00000000..6121eae9
--- /dev/null
+++ b/routstr/payment/payment_methods.py
@@ -0,0 +1,48 @@
+from abc import ABC, abstractmethod
+from typing import TypedDict
+
+from ..core.db import ApiKey, AsyncSession
+
+
+class PaymentResult(TypedDict):
+    amount_msats: int
+    currency: str
+    payment_method: str
+    metadata: dict[str, str | None]
+
+
+class PaymentMethod(ABC):
+    @property
+    @abstractmethod
+    def name(self) -> str:
+        pass
+
+    @property
+    @abstractmethod
+    def display_name(self) -> str:
+        pass
+
+    @abstractmethod
+    async def validate_payment_data(self, payment_data: str) -> bool:
+        pass
+
+    @abstractmethod
+    async def process_payment(
+        self, payment_data: str, key: ApiKey, session: AsyncSession
+    ) -> PaymentResult:
+        pass
+
+    @abstractmethod
+    async def refund_payment(
+        self,
+        amount_msats: int,
+        currency: str,
+        refund_address: str | None,
+        metadata: dict[str, str | None],
+        session: AsyncSession,
+    ) -> dict[str, str]:
+        pass
+
+    @abstractmethod
+    def extract_metadata(self, payment_data: str) -> dict[str, str | None]:
+        pass
diff --git a/routstr/payment/registry.py b/routstr/payment/registry.py
new file mode 100644
index 00000000..8a821238
--- /dev/null
+++ b/routstr/payment/registry.py
@@ -0,0 +1,35 @@
+from .methods.cashu import CashuPaymentMethod
+from .methods.lightning import BitcoinLightningPaymentMethod
+from .methods.usdt import USDTPaymentMethod
+from .payment_methods import PaymentMethod
+
+_payment_methods: dict[str, PaymentMethod] = {}
+
+
+def register_payment_method(method: PaymentMethod) -> None:
+    _payment_methods[method.name] = method
+
+
+def get_payment_method(name: str) -> PaymentMethod | None:
+    return _payment_methods.get(name)
+
+
+def get_all_payment_methods() -> dict[str, PaymentMethod]:
+    return _payment_methods.copy()
+
+
+def detect_payment_method(payment_data: str) -> PaymentMethod | None:
+    for method in _payment_methods.values():
+        try:
+            if method.validate_payment_data(payment_data):
+                return method
+        except Exception:
+            continue
+    return None
+
+
+def initialize_payment_methods() -> None:
+    if not _payment_methods:
+        register_payment_method(CashuPaymentMethod())
+        register_payment_method(BitcoinLightningPaymentMethod())
+        register_payment_method(USDTPaymentMethod())
diff --git a/routstr/wallet.py b/routstr/wallet.py
index 34569b85..cd58b21d 100644
--- a/routstr/wallet.py
+++ b/routstr/wallet.py
@@ -104,54 +104,44 @@ async def swap_to_primary_mint(
 
 
 async def credit_balance(
-    cashu_token: str, key: db.ApiKey, session: db.AsyncSession
+    payment_data: str,
+    key: db.ApiKey,
+    session: db.AsyncSession,
+    payment_method: str | None = None,
 ) -> int:
+    from .payment.registry import detect_payment_method, get_payment_method, initialize_payment_methods
+
+    initialize_payment_methods()
+
     logger.info(
-        "credit_balance: Starting token redemption",
-        extra={"token_preview": cashu_token[:50]},
+        "credit_balance: Starting payment processing",
+        extra={"payment_data_preview": payment_data[:50], "payment_method": payment_method},
     )
 
+    method = None
+    if payment_method:
+        method = get_payment_method(payment_method)
+        if not method:
+            raise ValueError(f"Unknown payment method: {payment_method}")
+    else:
+        method = detect_payment_method(payment_data)
+        if not method:
+            raise ValueError("Could not detect payment method from payment data")
+
     try:
-        amount, unit, mint_url = await recieve_token(cashu_token)
+        result = await method.process_payment(payment_data, key, session)
         logger.info(
-            "credit_balance: Token redeemed successfully",
-            extra={"amount": amount, "unit": unit, "mint_url": mint_url},
+            "credit_balance: Payment processed successfully",
+            extra={
+                "amount_msats": result["amount_msats"],
+                "currency": result["currency"],
+                "payment_method": result["payment_method"],
+            },
         )
-
-        if unit == "sat":
-            amount = amount * 1000
-            logger.info(
-                "credit_balance: Converted to msat", extra={"amount_msat": amount}
-            )
-
-        logger.info(
-            "credit_balance: Updating balance",
-            extra={"old_balance": key.balance, "credit_amount": amount},
-        )
-
-        # Use atomic SQL UPDATE to prevent race conditions during concurrent topups
-        stmt = (
-            update(db.ApiKey)
-            .where(col(db.ApiKey.hashed_key) == key.hashed_key)
-            .values(balance=(db.ApiKey.balance) + amount)
-        )
-        await session.exec(stmt)  # type: ignore[call-overload]
-        await session.commit()
-        await session.refresh(key)
-
-        logger.info(
-            "credit_balance: Balance updated successfully",
-            extra={"new_balance": key.balance},
-        )
-
-        logger.info(
-            "Cashu token successfully redeemed and stored",
-            extra={"amount": amount, "unit": unit, "mint_url": mint_url},
-        )
-        return amount
+        return result["amount_msats"]
     except Exception as e:
         logger.error(
-            "credit_balance: Error during token redemption",
+            "credit_balance: Error during payment processing",
             extra={"error": str(e), "error_type": type(e).__name__},
         )
         raise