by Sergio Goschenko
Mobile payments are thriving in Argentina, leaving behind other traditional payment methods, including credit and debit cards. According to the central bank’s monthly report on retail payments, this kind of payment has thrived, representing 60% of the payments operations made, while plastic-based payment media has stagnated, registering a fall in use.
Electronic contactless payments have been thriving in several countries of Latam, given the penetration of mobile cell phones in the area. The latest monthly report on retail payments issued by the Central Bank of Argentina has found that mobile payments are thriving in the country, leaving behind legacy payment media.
According to the report, mobile devices are being more greatly leveraged to make payments due to the rise of banking apps and mobile wallets. Just in October, 162 million of these transactions were made, registering an increase of 7.1% when compared to the transactions made during September. The number doubles the number of transactions made during October 2021.
In fact, payments made using these apps represent 60% of the whole number of payments made, a rise from the 51% of December 2021. In comparison, payments made with debit cards have stagnated, with 66.45 million transactions made in September 2022, falling 9.35% compared to the number of transactions made in July.
The digitization of the payments arena in Argentina has been steadily progressing since the launch of Transferencias 3.0, an open payments program that implemented interoperable QR payments, allowing institutions other than private banks to offer payment services.
On this, the central bank of Argentina stated:
The objective, in fact, was to promote the formation of an open and universal digital payment ecosystem, and to achieve greater inclusion of those sectors that still do not use financial services, one of the management axes of the monetary body.
The report also shows a sustained rise in QR payments, registering more than 5 million payments made using this tool in October. This represents a rise when compared to the numbers corresponding to September when 3.15 million payments were made using QRs, which was considered a record at that time.
Bitso, a Latam-based exchange, was one of the first cryptocurrency exchanges to allow users to make payments directly from their wallets, taking advantage of this tech in September.
What do you think about the rise of mobile and digital payments in Argentina? Tell us in the comments section below.
Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late to the game, entering the cryptosphere when the price rise happened during December 2017. Having a computer engineering background, living in Venezuela, and being impacted by the cryptocurrency boom at a social level, he offers a different point of view about crypto success and how it helps the unbanked and underserved.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Bill ‘On Digital Currency’ Caps Crypto Investments for Russians, Opens Door for Payments
Russia’s recently revised bill “On Digital Currency” limits crypto purchases for non-qualified investors while providing legal ground for some cryptocurrency payments, according to local media. The draft law, proposed by the Russian finance ministry, also introduces strict requirements for platforms … read more.
Oman to Incorporate Real Estate Tokenization in Virtual Assets Regulatory Framework
Real estate tokenization is set to be incorporated into Oman Capital Markets Authority (OCMA)’s virtual asset regulatory framework. According to an advisor with the authority, the tokenizing of real estate will open investment opportunities for local and foreign investors. Real … read more.