- Facebook is experimenting with a peer-to-peer (P2P) payment system based on QR codes.
- The payment method will make it easier for people in the United States to transfer and receive money.
- The service will be part of Facebook Pay, which allows users to send money to friends, family, and companies via Facebook, Instagram, and WhatsApp.
Facebook is introducing a new payment system. The payment technique is comparable to Venmo’s and PayPal’s QR code-based banking systems in which to send money, users must scan a particular QR code. The payment method is now only available on Facebook Messenger, where users will see a new “Scan” option in the Facebook Pay carousel. Users over the age of 18 who already have a Visa, Mastercard, PayPal, or prepaid debit card can use the latest QR code feature to transfer money.
Though QR codes are really not the safest way to execute a payment, they do make it simple for individuals to send money to one another. For example, when PayPal launched QR code-based transactions for companies last year, They saw a 19% rise in overall sales volume from buyers who are using the QR code service in 2020.
In 2019, Facebook Pay was launched to make payment methods more convenient for its users. Subsequently, it enlarged the payment channel to include Instagram and WhatsApp among its other sites. Currently, Facebook Pay allows users to make payments on Facebook Marketplace, Facebook Shop, Instagram Buy, and online donations. In addition, Novi, Facebook’s cryptocurrency wallet, was released this year. Novi’s goal was to store Facebook’s cryptocurrency Diem, which is expected to launch sometime this year if official approval is granted.
Facebook is expanding and so are other brands, there is no longer the concept of having a single product and doing it right. Companies are now investing and putting all their eggs in different baskets. This is all attributed to the efficiency and effectiveness of modern online systems.