Instant payment systems are crucial in Latin America
Financial inclusion in Latin America is an issue. Many potential clients are unbanked as we know it in Europe or they do not have access or, simply, they distrust credit cards. Looking for instant solutions adapted to the digital age has become crucial for the development of e-commerce. Online casinos depend on reliable payment methods that are easily accessible to the population. The stakes are high.
Instant payment solutions adapted to the digital age is one of the paths to reach the financial inclusion so important in the age of electronic commerce. ©StockSnap/Pixabay
In 2021, the estimated population for Latin America and the Caribbean exceeded approximately 660 million people. Of these, 300 million would be digital buyers ; and this figure is expected to grow in the coming years by more than 20%.
The evolution of payment systems in the digital age it is a fact, something that has simplified financial transactions. Systems such as Bizum in New Zealand or AstroPay that it wants to consolidate in Europe they have grown and expanded their customer base dramatically. Others like paysafecard they are penetrating new markets with the aim of establishing itself as secure and hassle-free payment solutions.
However, and unlike what happens in Europe, in Latin America the number of unbanked people is considerable. It has also been stressed that certain payment methods do not have the full trust of online customers . This could be the case of Visa or Mastercard type bank cards that, however, do enjoy the trust of the European customer.
In the online player profile published by the DGOJ for our country, widespread payment through bank cards comes to light.
Instant payments in the age of e-commerce
In Brazil, the most widespread means of payment is the well-known ticket . The system consisting of a promissory note through which the issuer receives the amount owed from the payer is supported by the main Brazilian banking and financial entities. It is a very popular system but it has shown limitations, because there is a delay in confirming the payment , which creates problems for the smoothness of transactions.
This is what you want to avoid with instant payment systems. With the generalization of teleworking during the Covid-19 pandemic, a financial vacuum was created in Brazil for electronic transactions. The popular ticket was revealed to be an outdated and ineffective system, and in October 2020 the Central Bank implemented the Pix system .
Pix is an electronic instant payment system supported by the highest financial institution in the country. This is a code, the Pix keys, which it is activated through a registration on the mobile phone and that allows immediate access to the user's bank details. Pix facilitates payments without having to wait for the payment to be formalized. This means that you can make immediate transfers to electronic wallets, for example, or activate accounts with cryptocurrencies.
In this regard, alternative payment methods such as AstroPay or Bizum are very attentive to these movements because facilitate their integration into the market . Thus, a bridge is established between instant payment systems as a preferential option for most of the population and the options offered from digital platforms. In this way, an efficient network of instant digital transactions is created.
Brazil is the largest digital commerce market in Latin America. 30% of transactions would already be made online . On the other hand, the electronic network is one of the best internationally, and the fifth worldwide by extension.
