Mostly used e-wallet technology
Since the start, the payment models have undergone an incredible transformation from the barter system to cryptocurrencies. within the era, money exists in both digital and physical form. the previous is getting more prominent because the technology is making digital money safer, more accessible, and convenient via e-wallets. Here are the highest e-wallet technology trends to seem for in 2020.
The digital money concept has mitigated many of the challenges that happen with traditional monetary transactions like lack of transparency, accountability, accessibility, mobility, security, and lots more. the recognition of the web has acted as a platform for electronic money transactions and made the payment experience convenient.
For the last five years, a replacement mode of payment has emerged within the digital payment market, it’s called mobile payment or e-wallets. And thanks to its quick access and convenience, the e-wallet payment mode has become the foremost popular payment method among all.
Considering the very fact that the worldwide digital wallet transactions had reached $4,296 billion in 2018 and are expected to succeed in $13,979 billion by 2022, the e-wallets looks like the longer term of payments.
The most interesting thing to understand is that the innovations within the e-wallet ecosystem have just started. subsequent few years will witness advanced technologies integrating into the mobile payment system to form it safer and convenient.
The year 2020 will see the emergence of biometric identification as a verification method for financial transactions. it’s supported the biological and structural characteristics of the customer and involves fingerprint recognition, iris recognition, and face recognition.
The reason behind why biometric identification is going to be popular within the near future is that the rise within the cases of fraud and fraud. The biometric identification comes as a secure and reliable solution for mobile payments. As biometric security involves an individual’s unique characteristics, it helps in addressing the challenges like lack of customer trust with e-wallets.
Types of biometric identification
Here we’ll offer you a basic understanding of the kinds of biometric identification methods and the way they’re used. If you aren’t curious about knowing that, you’ll skip to subsequent technology trend – Smart Speaker Payments.
One of the foremost commonly used biometric identification methods is fingerprint scanning. Since most of the mobile devices are now equipped with fingerprint scanners, it becomes feasible to rely heavily on this technology. Though fingerprint sensing isn’t a fool-proof technology, it’s inexpensive and a viable option for biometric identification.
The face recognition technology is predicated upon measuring and comparing the individual’s faceprints to grant access. Faceprints are the various measurements of one’s face and when a sufficient number of faceprints are matched, the system grant access to the user. Many high-end mobile devices have the face recognition feature and a fintech company can incorporate such features for the users of such devices.
The voice identification technology measure the speaker’s voice profile by combining variety of knowledge points and compare them with the benchmarked/stored database to grant access.
The technology also includes the speaker’s throat and mouth movements while producing voice. this system eliminates the validation errors posed by imitation of voice or voice change thanks to sickness.
There are two sorts of eye scanners are used commercially, one is retina scanners and second is that the iris scanner. Retina scanners read and compare vessel patterns within the eye which gets visible by projecting a bright light towards the attention . Whereas the iris scanner looks for the unique patterns within the colored ring that exists round the eye pupil.
Both the attention scanning techniques are susceptible to security hacks. for instance , one can trick the scanners employing a photograph. It becomes also hassled to use if the individual is wearing contact lenses or eyeglasses.
Smart Speaker Payments via e-Wallets
Smart home assistant is that the latest trend within the speaker market and therefore the e-wallet industry has started leveraging its benefits. It actually successfully commercialized way back in 2014 when Amazon took a stride by launching its first smart speaker, Alexa. Several other market players have entered this market segment because the home automation has become mainstream in recent years.
A report by Statista states that within the month of November in 2017, 82% of the smart speaker assistant users used voice commands to hunt information. Whereas, 35% of the users used the assistant to form the acquisition of clothing, home care, etc.
The report further states that 28% of the users made payments or send money via smart speaker assistants.
Another report by business insider predicts a jump within the number of smart speaker payments. BI stated that by 2022, almost 77.9 million people will use the smart speaker payment systems as compared to 18.4 million in 2017.
Despite the ups and downs within the market, the amount of cryptocurrency wallet users have increased throughout time. Till now (beginning of 2020), over 40 million cryptocurrency-based e-wallets are existing.
Statista reports that the amount of cryptocurrency wallet users have escalated from 6.7 million within the half-moon of 2016 to 34.6 million within the half-moon of 2019.
However, it’s said that buying cryptocurrencies using e-wallets may be a convenient thanks to start with cryptocurrency investments. it’s obvious that you simply would wish a digital wallet to store the digital currency you’ve bought. The beginners need easy to use and understand e-wallets to store their digital money.
The uk is seeing the most important growth of NFC payments. you’d find busses and tube stations accepting phone payments via NFC. China is additionally utilizing NFC technology for nearly all of its conveyance .
e-wallets that are already using this technology are Samsung Pay, Apple Pay, and Google Pay. this is often how payment via NFC works – NFC enabled phones to speak to payment gateways via NFC card machines employing a close proximity frequency identification. It allows a secure and hasslefree contactless payment option.
NFC wins over PIN authentication because it transfers the encrypted data to the POS devices instantly. the united kingdom finance believes that the usage of NFC based contactless payments will surge within the coming future and can stand at 36% of all the payments by 2027.
For the last five years, AI (AI) has improved tons . the present possible application of AI in e-wallet ecosystem is customer-facing AI-powered ChatBots. E-commerce businesses are adopting these intelligent chatbots to deal with the customer’s concerns including payments.
Artificial Intelligence technology is mature enough to automate the payment process with the prior approval of consumers . Some e-wallet development service providers have already started testing automatic mobile payment capabilities using AI.
Digital Wallets boosting International Remittance
Many countries across the world count International Remittance as a serious portion of their GDP. International remittance is that the transfer of cash by an individual working in foreign soil to his/her family residing within the native country.
Using e-wallet services, people are transferring money to their families with none hassle. Gone are the times when someone has got to attend the bank and fill during a form for foreign transfer. Technology has brought people closer to every other.
The innovation in mobile development space has paved the way for e-wallets and therefore the financial services have started seeing the positive impact of it for the last five to 6 years. Now, is that the time if you’re trying to find a technology solution provider which will develop your e-wallet application. Rest, the selection is yours.