Key Takeaways:
- Apple has announced its new “Tap to Pay” feature on iPhone.
- Stripe will be the first host to this feature, followed by other platforms.
- Apple’s primary concern still lies in user privacy.
With companies like Tesla starting to accept Bitcoin as payment, Apple is also gearing up to launch a new feature to enable users to pay “small businesses to large retailers”. This new feature will turn the user’s iPhone into a point-of-sale device using near-field communication technology, or NFC.
On February 8, Apple announced its Tap to Pay feature on iPhone. Apple’s Vice President of Apple Pay and Apple Wallet, Jennifer Bailey, says, “As more and more consumers are tapping to pay with digital wallets and credit cards, Tap to Pay on iPhone will provide businesses with a secure, private, and easy way to accept contactless payments and unlock new checkout experiences using the power, security, and convenience of iPhone.” Therefore customers of Crypto.com Visa Card, Coinbase Card, and other similar cardholders will now be able to spend their cryptocurrencies to make payments via this new feature.
Irish-American fintech, Stripe will be the first platform to offer this new feature by Apple to its customers, followed by the Shopify Point of Sale app this spring. Apple says that it will be adding more platforms and apps to use this feature within this year. “In collaboration with payment platforms, app developers, and payment networks, we’re making it easier than ever for businesses of all sizes — from solopreneurs to large retailers — to seamlessly accept contactless payments and continue to grow their business.”, says Jennifer.
In addition, Apple also ensures its customers that user privacy will remain their primary concern and is at the core of all the design and development of all its payment features. Apple will also not store any transaction data with itself as all transactions will be encrypted and processed via the Secure Element.
In its announcement, the company has informed that it is collaborating with the leaders of payment platforms and app developers “across the payments and commerce industry” to make this feature soon available to all the merchants across the U.S. Additionally, this feature on iPhone will also work with contactless credit and debit cards like American Express, Discover, Mastercard, and Visa.
