The Rise of Mobile Wallets: Revolutionizing the Way We Pay

Introduction

In recent years, mobile wallets have emerged as a game-changer in the world of payments. With the rapid advancement of technology and the increasing adoption of smartphones, mobile wallets have revolutionized how we pay for goods and services. In this blog, we will explore the rise of mobile wallets and how they are transforming the payment landscape.

Key Facts About Mobile Wallets Apps

According to a recent estimate, the mobile wallets industry would rise at a CAGR of 28.2% from $1043 billion in 2017 to $7580.1 billion in 2027.

The worldwide e-wallet industry is expected to reach $2.1 trillion by the end of 2023. 

As opposed to 34% of women, 38% of men admit to spending more when using a digital wallet. 

Mobile wallet apps are expected to replace cash and credit cards by 2022. 

The increasing trend that e-wallet software development has found itself at the centre of is the culmination of many digital wallets. Before we get into the functionality of mobile wallet apps, let's briefly examine the essential component of mobile wallet app development.

Different Types of Mobile Wallet Apps

When researching how to establish a digital wallet software, one of the first things that every entrepreneur asks is about the many types of mobile wallets.

1) Open Wallets

Open wallets are utilized directly in a third-party or bank app. Customers may utilize the money in their mobile wallet applications to make payments or withdraw monies placed into their accounts and store them in their wallets for future use.

2) Semi Closed Wallets

Semi-closed wallets allow customers to utilize the funds in their wallets to pay for transactions on websites or applications with whom their merchant has partnered.

3) Closed Wallets

These wallets are custom-made for a merchant. Users can only use the wallet for that specific merchant. Consider an e-commerce app that allows you to save money in the app's wallet and use it to pay for an item in your shopping basket.

Regardless of the mobile wallet app you want to design, the functionalities are nearly identical across the board. Let us now look at them.

Features that Adds Value to the e Wallet

1) Syncing data

Your e-wallet must work properly and easily connect users' bank account data with relevant features in your e-wallet. This also assures the effectiveness of your e-wallet. Data sync facilitates data transfer between e-wallets and bank service providers.

2) Global Positioning System

One of the essential to-be-developed features is Global Positioning System (GPS) location-based tracking. This is because many service-based firms now utilize geo-fencing, and GPS functions will be useful in such situations. Users can find local stores that take your e-wallet as payment.

3) The camera included in the app

Develop camera functionality as well, as it will assist two critical activities. One method is to send invoices and receipts. The second option is to use QR codes and instant payments without carrying a wallet.

Trending Features You Can Incorporate into An e-Wallet Mobile App

Beacon technology

To conduct transactions and payments between users in close proximity, employ wireless transmission technologies such as Bluetooth. Users' devices that are close to one other will operate as a beacon for payment.

The QR code

Users may utilize QR code scanning to make cashless and contactless payments. Payments are often made by scanning a QR code presented by users or merchants via the e-wallet software.

Blockchain transactions

Blockchain technology enables transactions to be made safely and quickly, and the processing charge for using blockchain services is very cheap. This is due to the blockchain's decentralised operating system.

What characteristics must a future-ready mobile wallet have in 2024?

Mobile wallets are becoming increasingly popular because of their convenience, security, and ease of use. Customers may execute transactions and send money with ease. However, the sky is not the limit because digital wallet users have access to various capabilities.

In 2024, the following functionalities are required in a future-ready mobile wallet:

Improved security

The primary goal of any mobile wallet is to protect the user's assets and personal information. This includes two-factor authentication, biometric authentication, and sensitive data encryption.

Compatibility between platforms

The mobile wallet should work with a variety of operating systems, including iOS, Android, and even desktop platforms.

Support for many assets

A future mobile wallet should accommodate various assets, including cryptocurrencies, fiat currency, and digital valuables.

Support for Decentralised ID (DID)

Users will have more control over their personal information and a single point of identity for different services if their mobile wallet interacts with decentralized identity solutions.

Integration with other financial services is seamless.

Other financial services, such as savings accounts, investments, and insurance, should be conveniently accessible via mobile wallets. As a result, users will be able to handle all of their financial demands from a single, easy interface.

Integration of DeFi

The mobile wallet should include built-in connection with DeFi platforms and protocols, allowing users to access various financial services such as lending, borrowing, and investing.

Conclusion

Mobile technology is growing by the day, and with constant updates, the mobile payment technique has reached a whole new level. In this aspect, mobile wallets efficiently increase client involvement, giving them a competitive advantage over competing corporations. As a result, businesses should incorporate this payment option into their business plans.

Reveation Labs is a renowned mobile app development firm that specializes in the creation of high-quality mobile apps. To far, the firm has created strong apps for a variety of brands, start-ups, and large corporations. With a large staff of committed developers, the company's well-developed apps may help you realize your business goals.