Back when Steve Jobs announced the iPhone, most people only saw a smarter, better phone, with a bunch of features they didn’t know what to do with. But in time the various industries discovered the potential of this pocket-sized computer, rolling out new services, new ways to use it. Among them, an ever-growing service that allows users to use their phones as payment devices, much like virtual credit cards.
Paying online was never this easy
There are several ways in which you can transfer money over the internet, from the traditional remittance to a series of electronic methods. Some of them are listed at casinopokiesonline.com.au
, but there are many others – some available worldwide, others for residents of certain countries only. But this was not always the case. For years, online money transfer was a service offered by a single company, a groundbreaker on the market – PayPal. The next years saw a rapid development of online payments, with new operators emerging, and their services becoming more widespread and secure. But due to the low penetration of mobile internet connections, these services were most of the times restricted to the land-based internet – and desktop devices.
Mobile payments in the new century
Although mobile payment systems were introduced in the late 1990s, they didn’t start to grow in a meaningful manner until the early 2000s. Although more than 90 million people purchased various products and services using their mobile phones by 2003, many markets were tardy in adopting this new way of money transfer. Some of the options introduced in these times are still available today – like the one when you send a text message to a certain number to pay for a product or service, which will appear on your phone bill at the end of the month. But with the emergence of smartphones, mobile payments have become more seamless and handy than ever.
Using your smartphone as a credit card
The introduction of services like Apple Pay, mobile payments have taken an evolutionary step. Users don’t need to have their credit cards on them anymore – they only need their smartphone. Apple Pay and its likes store the users’ credit card information in a safe virtual wallet on the device. Payments are made using technologies like BLE (Bluetooth Low Energy) or NFC (Near Field Communication). Users don’t need to swipe their credit cards anymore – they can simply hold it close to the merchant’s POS, enter a PIN code, and voilá – their payment has been done.
Mobile payments are becoming increasingly popular among smartphone users. According to an estimate, up to 90% of smartphone users will have made a payment using their device by 2020. And the value of such transactions is estimated to exceed $60 billion by next year.