When WhatsApp tried to launch the transfer service last
June, the central bank said it could damage Brazil's existing payments system
in terms of competition, efficiency and data privacy, adding that the service
had failed to obtain the needed licenses.
The regulatory friction was the latest setback for
Facebook's effort to use its social media platforms to compete with banks and
fintechs in allowing fast electronic funds transfers.
The regulatory approval comes months after the central bank
launched its own instant payments system in November, called Pix, which has
since been widely adopted.
After initially trying to avoid becoming a financial
services company in Brazil and seeking to piggyback on Visa and Mastercard's
existing central bank licenses, WhatsApp surrendered to regulatory pressure,
obtaining formal approval as a payments initiator using Visa and Mastercard as
processors.
Both card networks also had to obtain new permits to operate
with Facebook's messaging app, which itself will be regulated by the central
bank.
Still, WhatsApp is only allowed to do peer-to-peer payments,
not involving merchants, unlike the free Pix service, which can be used to pay
businesses and individuals. Facebook is still seeking approval to operate with
merchants.
"(We) are making the final preparations to have
payments on WhatsApp available in Brazil as soon as possible," a WhatsApp
spokesperson said in a statement. The messaging platform, which has over 120
million users in Brazil, did not say when it will start offering the service.
0 comments:
Post a Comment