09 Jul PAYMENTS FUTURIST: WHAT’S NEXT FOR ONLINE AND P2P APPS AND SERVICES?
Top payments futurists and keynote speakers make no secret that the landscape of fintech and online money transfers is continuously evolving. Likewise, customers and businesses are always interested in new innovations, given their ongoing and continued desire for faster, more convenient transactions. Working with fintech and financial services institutions as payments futurists, expert consultants, and keynote speakers, let’s talk about some of the many new ways out there to pay and get paid:
- Digital Pocketbooks: Mobile wallets enable consumers to make payments using their smartphones or other mobile devices. Popular solutions here in recent years have included Apple Pay, Google Pay, Samsung Pay, and others. As digital solutions, these tools securely store financial information, allowing users to make contactless payments in stores, online, or within mobile apps.
- Peer-to-Peer (P2P) Payments: As payments futurists note, these services enable individuals to send money directly to one another using their smartphones or computers. Think companies like Venmo, PayPal, Zelle, and Cash App when it comes to the topic – services which often facilitate instant transfers between bank accounts or within their respective networks.
- Contactless Payments: Such offerings use near-field communication (NFC) technology to enable secure transactions without physical contact between the payment device (such as a card or smartphone) and the payment terminal. Transfers are made by tapping or waving the payment device near the terminal… a method that is commonly supported by credit and debit cards, as well as mobile wallets.
- Scannable Options: Quick Response (QR) code payments allow users to scan dedicated codes using their smartphones to initiate transactions, which can be displayed by merchants, invoices or within mobile apps. The payment is typically processed through a mobile wallet or a dedicated payment app linked to the user’s bank account.
- Cryptocurrencies: Offerings here such as Bitcoin, Ethereum and others are digital or virtual currencies that use cryptography for security. Options provide decentralized and often anonymous transactions, allowing users to make payments across borders without traditional financial intermediaries. Although still relatively niche, cryptocurrencies are rapidly gaining acceptance in certain industries and among tech-savvy consumers.
- Biometric Payments: Tools leverage unique physical characteristics such as fingerprints, facial recognition, or iris scans to authenticate and authorize transactions. As a form of authentication, it can be integrated into mobile wallets, payment apps or dedicated biometric payment devices, offering a convenient and secure way to make payments.
- Micro-Buys: In-app payments allow users to make purchases and transactions within mobile applications, with microtransactions commonly used for mobile gaming, digital content subscriptions, and e-commerce apps. Such options often leverage stored payment credentials or integrate with mobile wallets for a seamless checkout experience.
- Internet of Things (IoT) Payments: Imagine connected devices enabling transactions without human intervention. For example, smart home devices, wearables or connected vehicles can facilitate automated payments for services or consumables, eliminating the need for manual authorization.
- Speech-Activated Solutions: Voice-activated payments utilize voice recognition technology to initiate and authorize transactions. Virtual assistants such as Amazon’s Alexa, Google Assistant, or Apple’s Siri can be integrated with payment systems, allowing users to make purchases or send money through voice commands.
- Central Bank Digital Currencies (CBDCs): Think digital currencies issued and regulated by central banks. As digital representations of fiat currencies, options aim to provide a secure and efficient means of payment while maintaining the stability and control typically associated with traditional currencies. Several countries are exploring or piloting CBDC initiatives.
