Five Hottest Digital Payment Trends in 2021
The payment industry is constantly evolving. In recent years, digital payments have quickly emerged to become the latest and hottest payment trends with ever-growing popularity among customers, merchandizers and service providers. Among the countless types of digital payments, there are five payment trends which are taking the lead to drive through development for cost reduction, speed and efficiency. Let’s take a look at the top five digital payment trends in 2021 which are going to revolutionize the world, leading to ground-breaking changes in the digital payment industry.
1. 5G Networks
Numerous mobile carriers have newly launched their 5G networks, which refer to the fifth generation of wireless technology. Since 5G networks support higher data transfer rate, increased efficiency and enhanced connectivity to accommodate smartphones and other devices, retailers using 5G technology can process multiple transactions and transfer an enormous amount of data and information at the same time, whilst opening up more possibilities for business transactions and providing better user experience. Transaction speed of digital payment depends on the stability and speed of network. With the fastest 5G network, the overall digital payment transaction will be enhanced.
2. Cloud Technology
Cloud computing refers to payment systems that involve the acceptance and processing of payments via the internet instead of a tangible device running through physical phone lines. Customers and merchandizers using a cloud payment system can enjoy greater convenience and versatility, regardless of geographical boundaries. On top of standard point-of-sale (POS) payment systems, the addition of a cloud payment system enables users to enjoy greater freedom from the restriction of traditional payment methods.
3. Cards to Codes Payments
Numerous banks have already incorporated credit card services into their mobile apps. By simply showing the QR codes generated by these mobile apps, customers can complete their transactions instantly with their credit cards without displaying the physical cards. Not required to bring and present a tangible credit card, this payment method has made our lives easier.
4. Mobile Payment
Third-party mobile and online payment platforms, including AlipayHK, enable users to settle their payments in-store, online and by money transfer efficiently and conveniently. Owing to the outbreak of the COVID-19 and lockdown restrictions in different cities and countries, digital transformation in the contactless payment industry has been accelerated and the use of mobile payment apps has become more prevalent across the globe.
5. Blockchain
To strengthen payment security, blockchain technology uses encryption to secure the transaction data to protect user’s privacy. Owing to its decentralized nature and keeping data inter-related , the use of blockchain can benefit business transactions through greater traceability and enhanced security. AlipayHK remittance service deploys this technology to enhance transaction security and introduces the first cross-border remittance service to digital wallet with the use of blockchain technology in the world.
In the world of digital payments, the pace of technological progress speeds up exponentially. It is worthwhile to keep an eye on the latest payment trends, so that customers, merchandisers and service providers can stay ahead of the curve and reap the benefits of technological advancement.