Cashless Society and Digital Payment
For the global payments sector, the events of 2020 have reset expectations and significantly accelerated several existing trends.
The transaction value of the digital payments market was USD 5.44 trillion in 2020, and it is projected to be worth USD 11.29 trillion by 2026, registering a CAGR of 11.21% from 2021 to 2026. The global nature of COVID-19 and its impact on e-commerce, therefore, is likely to encourage strengthened international cooperation and the further development of policies for online purchases and supply. The pandemic has made it clear that e-commerce can be an important tool/solution, especially because e-commerce sales can support small and medium businesses that form the backbone for certain economies. This is expected to substantially spur the growth of digital payment methods across various economies.
Furthermore, even before the pandemic, the demand for cashless payments was driven by greater convenience, favorable government policies, and evolving consumer behavior. The governments are also trying to reduce their cost of printing the currencies and counter the fake currency influx that disturbs the economic growth with digitization, thereby, creating an environment conducive for cashless and digital payments.
Digital payment is a way of payment, which is made through digital modes. In digital payments, the payer and payee both use digital modes to send and receive money. It is also called electronic payment. No hard cash is involved in digital payments. As per industry standards, DP is defined only as non-cash transactions done through digital channels. Only consumer transactions are considered through digital commerce (payment processed using online card payments, direct debit, online payment gateways, etc.) or mobile PoS payments (payment processed at PoS using smartphone and wallet transactions).
Now Blockchain technologies are connecting digital financial systems, so they are easily interoperable, efficient, affordable, and accessible. This can reduce the cost and time of cross-border payments and money transfers. Confidence in blockchain technologies are rising as more governments and businesses invest in these areas.
Blockchain technology is showing that we can connect financial infrastructure so that no matter where you are in the world, systems, and forms of value can interoperate with each other.
Here is ‘Tier’.
Tier is a simple, easy and fast payment app developed by Ennova.
Ennova is a Fintech company that provides Tier, a mobile wallet, to register credit cards of various banks in the wallet to provide a service that allows users to conveniently purchase goods in general stores. In addition, pre-paid IC cards issued by Ennova can be registered, and If customers use cards, they can purchase goods at a very low cost or receive various rewards through services provided by Ennova.
Tier is a global simple payment app that can be used in any country or region in the world, from underdeveloped countries to developed countries, and is designed to use various digital payment methods in cooperation with companies in existing payment markets such as banks and credit card companies. In addition to payment, domestic and international money transfers can be used within the Tier app.
Tier is extremely flexible and complements all types of payment schemes on both cards and mobiles with initial settlement offline before the payment is finally settled online.
Michael Kwon, Managing Director of Ennova, said, “Ennova, a fintech solution company, has been steadily conducting research and development for the past 3 years to provide more convenient online/offline payment services to users.” he also added that “In the fast-growing simple payment market after the Covid-19 crisis, the Tier App will provide users with a more convenient payment environment and enable virtual asset payment, providing high discount rates, low fees, and high security.” Furthermore, he said that “Currently, the entry of large companies such as PayPal into the digital asset payment market will attract more attention to the digital asset itself and increase demand, and if Tier App’s unique strengths are well utilized, it will definitely be able to erode demands from markets.”
In addition to using QR payments, the Tier app will be designed to use all electronic payment methods in cooperation with existing payment market companies such as banks and credit card companies. Along with payments, it will be developed to allow domestic and international money transfers to be carried out in the Tier app.
The main features of Tier are;
- P2P money transfer
- Offline QR Payments
- en-Cash charge through QR scanning
- Check the payment history
- Affiliate stores map through GPS
- Event push alram
- Local bank card registration
In the future, through the AUC project, we plan to apply various financial platforms/services of Ennova to the application of DBMS for public data and digital/online payment of fines and public utility charges.
The Tier app is available for download at the Google Play Store.