How to Build a Future-Ready Mobile Wallet Platform

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How to Build a Future-Ready Mobile Wallet Platform
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Relevance of Mobile Wallet
Gone are the days when you had to carry a fat,
heavy wallet in your pocket. Mobile Wallets have
rapidly become a preferred choice, especially for
those who are constantly on the go. With the
widespread use and launch of various mobile
wallet platforms, one can pay for almost any
product or service and transfer money with this
technology. From paying for your morning cup of
coffee to booking tickets for your next vacation,
it makes it easy to get things done in both big
and small ways.   As mobile wallets have
revolutionized the way we use our money. No
matter what we buy, a payment wallet is handy in
the modern day and age. This blog will discuss
the emergence of mobile wallets, popularity, and
important things to consider while creating a
future-ready mobile wallet platform. 
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The Emergence of Mobile Wallets and the Key
Reasons Why it is Gaining Popularity
The covid-19 pandemic has changed the payment
landscape forever with mobile wallets. It has
shifted towards contactless and digital payment,
driving the growth of the payment app globally.
Being a popular payment method, such as Google
Pay, Apple Pay is embraced across the globe by
consumers and businesses to generate revenue and
increase transaction volume. Moreover,
flexibility, convenience, security, and ease to
use are the key reasons it is gaining popularity.
  The digital payment industry is changing fast
as new players push to offer mobile money
solutions to merchants and consumers. It makes it
easy to store your credit cards, rewards cards,
gift cards, and more in one place without
carrying other physical cards.
Mobile payment solutions are growing in
popularity, and the technology behind them
continues to advance. There are many reasons why
people are moving away from traditional payment
methods towards digital, including faster
checkouts and increased security with cards that
never leave your pocket.
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What is a Mobile Wallet Platform?
A mobile wallet is an application installed on a
mobile device, such as a smartphone or tablet,
that allows you to store your money digitally
without needing cash or a physical wallet. It
allows you to link information like credit card
numbers and bank account details, enabling you to
use these payment options to make online
purchases, pay bills, and even send and receive
money. You can also track your monthly
expenditure and recharge your DTH, mobile, and
data packs. These types of wallets offer
consumers ease and convenience. It is
categorized into four main segments open,
closed, semi-closed, and semi-open wallets. Each
has different functions, such as
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• Open mobile wallets are issued by banks for
  purchasing goods and services and transferring
  and withdrawing money. Examples of mobile money
  wallets are PayPal and Vodafone M-Pesa.
• Semi-open mobile wallet is a digital wallet that
  allows users to store and use their financial
  assets for transactions within a closed network
  of merchants or service providers.
• Semi-closed mobile wallets let you make payments
  to merchants. For example, you can receive money
  in semi-closed wallets in your bank account but
  cannot withdraw it as cash. Examples of wallets
  are Paytm, Freecharge, and Mobikwik.
• Closed mobile wallet is designed for use within a
  specific closed network of merchants or service
  providers. Unlike semi-open or semi-closed mobile
  wallets, closed wallets do not allow users to
  withdraw cash or transfer funds to other users
  outside the network.

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Reasons Why Businesses Should Have a Mobile
Wallet Platform
As we have understood what payment application
is, lets see how it has impacted the business
world. How their utilities are changing the
landscape of payments, and how it helps
businesses to manage and organize funds.
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Cashless Transactions at the Tap of the Button
It helps customers go cashless and cardless, as
there is no need to carry money. There is no
chance of losing the card or cash while
traveling, and it is more convenient too.
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Safe and Seamless
It is becoming a fast and convenient payment
mechanism with growing times. It is simple to
use, and there is no need to carry cash or a card
as one might have a chance of losing it. With low
transaction fees, it allows users to send and
receive payments quickly and instantly. A
seamless payment experience can improve the
customer experience with virtual wallets by
providing more payment options, streamlining the
payment process, and providing a frictionless
mobile experience. So, it's wise to embrace
payment wallet as it is secure because they use
only encrypted data to keep you worried about
being misused.  
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Fast and Streamlined Payment
No matter what you want to purchase, be it
groceries or clothing, mobile wallet transactions
are much faster than credit cards or cash. You no
longer have to wait for your card to get swiped
or count the amount in your pocket. With the app,
you only need to 'tap and pay. Moreover, you can
make online and offline payments with a single
mobile wallet app.
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Multiple Payment Methods
Another valuable advantage is storing multiple
card numbers and detailed account info in one app
and choosing whatever payment mechanism one
wants. Customers and store owners add, edit, and
select various subscription payment methods. For
example, the shopper can use a combination of any
cards such as credit, debit, gift, cash, and
invoices. If any payment has been rejected, the
pending payment status is changed.
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Key Features to Consider While Creating a
Future-Ready Mobile Wallet Platform
Nowadays, users like the young generation want to
experience the best when it comes to their
financial lives. They are keen to use smartphones
for a faster payment process. This is why
customers seek cutting-edge, highly secure
financial solutions. Lets have a look at the
features to be considered
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Increase Security
It is considered a more secure option rather than
debit and credit cards because of their powerful
encryption. It can be secured with plenty of
robust technologies, such as passwords,
tokenization, biometrics, security questions,
point-to-point encryption, out-of-band
authentication, and one-time password (OTP) via
SMS.
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Addition and Optimization of New Services
One can manage day-to-day business transactions
and track progress with mobile money solutions.
With a dashboard, you can monitor your business
performance and ensure it meets your
expectations. You can also optimize your business
by analyzing data regularly to find ways to
improve it further. It will help you
simultaneously optimize your business operations
and reduce unnecessary complications. Similarly,
personal financial management or personal finance
is managing your money to meet your personal
goals and save for the future. This includes how
much money you have and what to do with it,
managing debt and creating an emergency fund,
saving for retirement, and how to prepare for
unexpected expenses such as car repairs or
medical costs. It can also help you how to leave
when you can no longer work.
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Decentralized ID (DID) Integration
Integrating decentralized identity solutions
gives users more control over their personal data
and a single identity point for multiple
services. By allowing users to store their
digital identities and credentials securely on a
mobile wallet, the service becomes a quick and
easy way to access services without storing
multiple passwords or usernames.
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Merchant Payments via Contactless
Technologies(NFC or QR Code Scanning)
Contactless payments are becoming increasingly
popular, especially with the advent of mobile
devices. NFC (Near Field Communication) and QR
code technology provide users a secure payment
between POS devices and smartphones. NFC (Near
Field Communication) is a contactless remote
technology that works within a close distance (up
to 10 cm). QR code is short for Quick Response
code and is similar to a barcode. The user can
quickly scan the QR code via the camera on a
smartphone. The smartphone interprets the
barcode, and a related application or website
opens.
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Summing Up
Mobile wallet platforms are advancing
technological innovation to create what consumers
want regarding apps and platforms that offer
convenience and security with their purchases. It
is a way to enhance convenience, security, and
experience on the go. For businesses, they help
streamline processes while also increasing sales.
They also provide user-friendly mobile wallet
solutions that can be adopted anytime and
anywhere. MobiFin is a digital wallet solutions
provider with extensive industry knowledge and
experience. For over a decade, we have enabled
businesses worldwide to keep up with
technological advancements and enter new markets
seamlessly.
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Thank You