Cost-saving
Digital payments are quickly becoming the preferred method of payment worldwide due to their efficiency and speed, which save time and energy. Moreover, they offer cost savings since they are not subject to the expenses associated with printing paper money and distributing it to banks.
Transparency and security
Digital payment methods enhance the traceability and accountability of payments, which reduces the risk of corruption and theft. Additionally, digital payments often offer advanced security measures to protect against fraud and unauthorized transactions.
Financial Inclusion
Allows for easy access to a range of financial services, including savings accounts, credit, and insurance products, for those who may face physical barriers to accessing traditional banking services.
Women's participation in the economy
Digital payments allow women to have control over their finances, providing them with greater financial independence and opportunities to participate in the economy.
Inclusive growth
Inclusive growth benefits all financially excluded people by unlocking economic opportunities and enabling a more efficient flow of resources in the economy.
Benefits that Digital Payments offer
Wise
A British company based in London that provides international money transfer services. This company operates online and has a mobile app, making it convenient for users to manage their international payments from anywhere.
Related apps
Paypal
General and flexible is an American company with global reach that operates an online payment system that supports money transfers between users and serves as an electronic alternative to traditional payment methods such as checks and money orders.
Venmo
Allows its users to send and receive money through a simple mobile phone application to another user with a Venmo account. In addition, it has the particularity of working as a social network.
Zelle
A United States-based electronic payment system owned by Early Warning Services. It has partnered with leading banks and credit unions across the U.S. to bring a fast, safe and easy way to send money to friends and family. Money moves quickly - directly from bank account to bank account.
What does Digital Payment mean?
Digital or electronic payments refer to the transfer of value from one payment account to another using a digital device such as a mobile phone, point of sale terminal, computer, or another digital channel. They include payments made through bank transfers, mobile money, debit, credit, and prepaid cards.
Biometric authentication
Biological characteristics, such as fingerprints, facial features, or the voice recognition, are used to verify a person's identity. The convenience, speed, and accuracy of this technology are the reasons why it is increasingly being used in payment systems to secure transactions and prevent fraud.
The tech-savvy generation
Gen Z is accustomed to and dependent on the convenience of technology. As they become a larger part of the consumer market, it is likely that businesses and other organizations will increasingly adopt new digital payment technologies, providing faster and more convenient ways to make payments, especially for online transactions.
From cards to codes
The EMV technology (Europay, Master Card, Visa) introduced customers to a more secure mechanism for payments. They use temporary codes that are updated for every transaction, this enhances the security of money movement. The future of plastic cards is bound to be overshadowed by cutting-edge payment services that offer more effective methods for customers.
Smart speaker payments
Smart speakers, such as Alexa, Siri, and Cortana, have gained widespread popularity in recent years as a convenient way for users to give voice commands for various tasks. In fact, 35% of users have used these smart speakers to make purchases, including household items, groceries, and clothing. The future of smart speakers looks bright, as major tech companies are investing in the development of advanced versions of these devices.
Machine learning
A type of artificial intelligence that involves training algorithms to make predictions or decisions based on data. This can help identify patterns and trends that may not be immediately apparent to humans and improve various aspects of the payment process, such as detecting fraudulent transactions and notifying the customer immediately.
The future of Digital Payments
Disclaimer: the information provided is for informational purposes only and is not intended as a recommendation or endorsement of any particular product, service, or course of action.
B2B Finance
What is B2B Finance?
B2B finance refers to the financial activities and services that support B2B transactions. This can include loans, lines of credit, factoring (the selling of accounts receivables), and other financing options that businesses may use to manage cash flow, purchase inventory or equipment, or invest in growth opportunities. B2B finance also encompasses financial technology (fintech) solutions such as online lending platforms, digital invoicing, and payment processing services that streamline B2B transactions and make them more efficient.
Contactless payments
B2B finance refers to the financing of commercial transactions between businesses. It is a set of financial products and services designed to help companies to finance their commercial operations.
Digital Wallets
These payment systems allow users to store their payment information, making it easier to purchase items without repeatedly entering their card information. This feature is especially useful for making repeat purchases online or in-store. Examples of these systems include Apple Pay, Google Pay, and Samsung Pay.
Peer-to-peer digital payments
Allowing users to search for other users and perform online transactions between themselves, this solution links the payer's and payee's bank accounts to withdraw and deposit funds.
Social media payments
Facebook, Instagram, and Pinterest business accounts offer a social shopping solution, including in-app purchases. The advantage is that the user doesn't need to leave the platform's environment to make a purchase.
Crypto payments
This type of payment is made using a cryptocurrency wallet, which is a software program that allows individuals to send and receive digital currencies and track their balance. They can be faster and cheaper to process, as they do not require intermediaries like banks or payment processors. They can also offer a higher level of security, as they use advanced cryptographic techniques to secure transactions and protect against fraud.
Open banking apps
Open banking apps allow individuals to access and manage their financial accounts from multiple banks and financial institutions in a single place. They use APIs (Application Programming Interfaces) to connect to various financial institutions and retrieve data about the user's accounts.
NFTs
A non-fungible token (NFT) is a type of digital asset that represents ownership of a unique item or piece of content, such as a digital artwork, music file, or video. NFTs are typically built on blockchain technology and are stored in a digital wallet, similar to other cryptocurrencies. Unlike other cryptocurrencies, NFTs are not interchangeable and have unique characteristics that make them one-of-a-kind. This uniqueness has made NFTs popular among collectors and artists who want to sell their digital creations as unique pieces of art.
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