Latest E-wallet Technology Trends For 2021

If we want to sum up 2021 in one word, we don't have words to express it. As we all know, the ravages of COVID-19 engulfed the world, and humanity quickly adjusted to the new environment, thanks to how far we have come in technology. As we survive the massive disruptions around us, it has been amazing to see how much progress is being made in contactless technology in every sphere of life. As the credibility of e-wallets grows with each passing day, it is interesting to see what the future of pay looks like.

In its early stages, payment models have gone through a tremendous transformation from barter systems to cryptocurrencies. But now, in this modern era, money is available in both digital and physical forms. In addition, technology is making digital money through e-wallets safer, more accessible and convenient. Here are the top and latest e-wallet trends to watch in 2021.

E-Wallets Technology Trends

1.Biometric Authentication

The year 2021 will see the increasing use of biometric authentication as a verification method in the fintech sector. Due to theft and fraud, digital payments may see more biometric-based authentication applied, such as iris recognition, fingerprint scanning, facial recognition, heartbeat analysis, vein mapping, and more. Biometric security incorporates some of the unique features of an individual and at the same time helps to address challenges like lack of customer trust with e-wallets.

The reason why biometric authentication will soon become popular is the increase in the identification of fraud and theft cases. In this scenario, biometric authentication comes as a secure and reliable solution for e-wallet payments.

2.Increase in QR Codes

There will be an increase in digital payments made with the help of QR codes, and you will not even need a contact number to pay to anyone. QR codes make the payment process very easy. Users can easily scan the QR to transfer money, and this also reduces the scope for any errors that can occur mostly when giving numbers. QR codes are very flexible and inexpensive and can be used by vendors of any shape and size. This is the reason why it is the most commonly used payment method.

3.Smart Speaker Payments via e-Wallets

Digital payments will lead to an increase in smart speaker payments. More and more apps will integrate with the phone's voice AI and develop their own to enable voice payments. Smart home assistant speakers are becoming very popular in the market right now, and the e-wallet industry has also started reaping its benefits. It became more popular in 2014 when Amazon launched its first smart speaker, Alexa. Now many other market players have also entered this market to get success.

4.E-Wallets Boosting Foreign Remittance

Overseas remittance means the transfer of money by a foreign worker to his family in their country of origin. Many countries around the world consider foreign remittances as a major part of their GDP (growth domestic product). With the help of e-wallet services, people can transfer money to their families without any hassle and in a more secure manner. Gone are the days when one had to go to the bank and fill up a form for foreign transfer. Moreover, technology has brought people closer to each other.

5.Increase in Frictionless Payments

A frictionless experience basically means a smooth check-out process for any consumer. Retailers were already seeing a shift in consumer preference for shopping online and on mobile devices. This includes shorter check-out lines at stores, self-check-out options that minimize contact, auto-renewing subscriptions, one-click payments, and more.

6. NFC Based Payment

The United Kingdom is witnessing the biggest growth in NFC (near-field communication) payments. You will now find bus and tube stations accepting phone payments via NFC. Contactless card transactions have seen a rise in the past few years as you can make payments to anyone with just tapping your card.

Near-field communication enabled mobile phones to first communicate with payment gateways through NFC card machines using proximity radio frequency identification to allow the option of a secure and fast contactless payment. This technology is powered by NFC itself and will grow tremendously with the times to come. E-wallet apps like Google Pay, Samsung Pay and Apple Pay are already using this technology.

7. AI and Machine Learning To Prevent Frauds

The integration of AI (Artificial Intelligence) or ML (Machine Learning) software in digital payments will enable tracking problems like piracy frauds in a more efficient manner. In the coming years, AI and ML-based apps and systems will gain expertise in fraud and theft prevention. The current potential application of AI in the e-wallet ecosystem is customer-facing AI-powered chatbots. E-commerce businesses are adopting these intelligent chatbots to address customer concerns including payments.

8.Cryptocurrency E-Wallets

Now the number of cryptocurrency wallet users is increasing all the time. And, it is also said that using an e-wallet is a convenient way to buy a cryptocurrency and start investing in cryptocurrency. To store the digital currency you have purchased, you will need a digital wallet.

Conclusion

The innovation of mobile development apps has opened the way for e-wallets, and its positive impact is beginning to be seen in financial services as well. So now is the time to find the right technology solution provider to develop your e-wallet app quickly and effectively.