Digital Payment: Payment Industry Will Change In The Year 2022

Digital Payment: Payment industry will change in the year 2022! These will be the new modes of digital payment.

Digital Payment 2022: During the pandemic, major changes have been seen in the payment industry. At present, more and more consumers are considering digital payments as convenient.

According to Muraleedharan Srinivasan, Head of Payments, FIS, APMEA Region, maintaining the confidence of retailers and consumers has become crucial to stay on top of this rapidly changing industry.

In such an era, many new changes are expected in the year 2022 in the digital payment industry.

BNPL Boom.

Buy Now, Pay Later (BNPL) has registered rapid growth since the pandemic. It makes online buying innovative and smooth.

This leads to an increase in sales, an increase in business earnings as well a lower conversion rate on higher-priced products.

Its capturing fees and interest revenue increase the average order value. In the coming days, the increase in Buy Now Pays Later (BNPL) based service can be seen.

What next for BNPL?

In the year 2022, BNPL will work to make the experience of the traders special. Meaning users will be able to decide from which shop, where, and when to buy from which store or online?

BNPL gives more choice and control to the consumer, allowing the user to see the price difference between different merchants. This makes the shopping experience more reliable among the users.

In the coming days, we can expect to include stocks and crypto as payment options, allowing consumers to invest more in stocks and cryptocurrencies.

In the year 2022, BNPL can prove to be an important payment option for SMBs. This payment option will work to equalize the playing field of large merchants and SMBs.

It will also work to make the consumer payment option flexible to small-medium-sized businesses. Traders may be provided with services operated by banks and financial institutions in the coming year.

In such a situation, the merchant is expected to get the best service. Meaning the consumer will get the most up-to-date payment offering.

Cryptocurrency flood.

In the year 2022, cryptocurrency will see full-year growth. Bitcoin is the original and most popular cryptocurrency. Which was released in the year 2008.

But in the past few years, bitcoin has registered rapid growth in terms of digital assets. There are thousands of consumers of bitcoin.

Cryptocurrency is digital money, which is decentralized. This means that the cryptocurrency is not controlled by any financial institution such as a bank or government.

Transactions made in cryptocurrency are recorded anonymously. All this payment is recorded and secured using blockchain technology.

Crypto allows users to transfer funds around the world in seconds and at a very low cost compared to the costs associated with traditional methods such as wire transfers.

According to the recent Worldpay by FIS Generation Pay report, 20 percent of users today prefer to shop using cryptocurrency.

Crypto is growing rapidly in both size and popularity. This trend will continue till the year 2022.

How will the demand for crypto be met?

Merchants must meet all requirements to accept crypto payments. Merchants must have the right technology, which can be converted into the cryptocurrency of customers.

Platforms such as PayPal, Venmo, Square Cash, and Microsoft all accept cryptocurrencies. Whereas Bakkt from Starbucks provides the facility of payment by converting bitcoin through the app.

Visa has partnered with 60 crypto platforms to allow consumers to spend crypto at 80 million merchants worldwide, while it also plans to launch crypto-linked cards.

Visa has partnered with 60 crypto platforms to allow consumers to spend around 80 million merchants worldwide.

Also, preparations are being made to launch a crypto-linked card from Visa, which will allow customers to transact in digital assets. Also, there will be a facility to accept cryptocurrency.

Interoperability issue.

Interoperability can become a big issue due to the rapid growth of crypto.

Various crypto use cases (e.g., Defi, NFT, stablecoin, etc.) are vastly increasing the number and types of cryptocurrency tokens, and this has created a vast cryptocurrencies world.

In such a situation, how users and businesses can transact in different blockchain protocols, tokens, etc. will be a major issue of discussion.