WhatsApp Payments
The messaging application used by over 2 billion individuals in over 180 countries has announced their newest addition for Brazil-based users: WhatsApp Payments. This feature will allow users and small businesses to seamlessly transfer funds via the widespread application which will be “as easy as sharing photos” according to Mark Zuckerberg.
Mechanism & Security
The feature will leverage the power of Facebook Pay and will be processed by Cielo in Brazil. Individuals will use their Facebook Pay pin code or their built-in device biometrics to ensure only they authorize payments. It will be fee-free for individuals but cost 3.99% for businesses to accept payments.
Facebook & Payments
Facebook has one of, if not the largest, worldwide reach with billions of users. Although controversial and unaccepted by some, it puts them in a unique position to provide better payment services and promote financial inclusion. WhatsApp Payments does not use blockchain technology but it is one step in the direction of people using their smartphones for all types of payments.
This will perhaps create enough awareness for people to use Novi or whichever new technology becomes popular to bank the unbanked and create a more efficient payments industry.
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