WhatsApp has announced that it has finally launched its digital payment service which had been under development for a while, was launched in Brazil.
Facebook, which is arguably the world’s most dominant social media company, has recently been diversifying into financial technology.
The new WhatsApp payment feature is enabled by Facebook Pay which was launched last year. The company said that the immediate objective is to make it possible for WhatsApp users to send money just as easily as they send messages.
WhatsApp payment solution works in such a way that users would be required to have a unique six-digit pin, or better still use their fingerprint. This is a security measure that is intended to prevent unauthorised access by third parties.
Users would also be required to link their WhatsApp to debit or credit cards. This will be done on either the Visa or Mastercard networks.
The company said that the immediate objective is to make it possible for WhatsApp users to send money just as easily as they send messages.
Facebook hopes that users of its Facebook Pay (i.e., both regular users and businesses) can be able to seamlessly use their card information across the rest of Facebook’s sister companies, including Instagram.
Sending money or making a purchase on WhatsApp is free for people. Businesses will pay a processing fee to receive customer payments, similar to what they may already pay when accepting a credit card transaction.
Payments on WhatsApp are beginning to roll out to people across Brazil beginning today and we look forward to bringing it to everyone as we go forward.