Renowned messaging app WhatsApp has revealed fiat digital payments on its platform, with Brazil becoming the 1st country to experience a global release.
In line with a recent official press-release published by WhatsApp earlier today, users who have Visa & Mastercard debit or credit cards from Banco do Brasil, Nubank, as well as Sicredi can now attach instant payments to their messages.
However for now, there’s an unspecified monetary limit imposed due to AML and CFT concerns. Moreover, WhatsApp users in Brazil cannot proceed with above 20 in-app transactions per day.
WhatsApp is reported to serve over 120 Mln users just within Brazil, or roughly around 57% of the entire country’s population.
While the official press-release doesn’t mention any jurisdictions aside from Brazil, Facebook CEO Mark Zuckerberg said on his personal page that more countries are expected “to join soon.”
This Time Its Fiat, Not Crypto’s
Payments are implemented via Facebook Pay, which is a new payment system developed for Facebook affiliated apps like Messenger, Instagram, and WhatsApp in 2019.
The company stressed within the past, Facebook Pay “is built on existing financial infrastructure and collaborations,” and isn’t associated with the Novi (ex. Calibra) wallet that will operate onto the Libra network.
WhatsApp might use different payment systems for fiat electronic payments depending upon the countries its operating. In India, where the messaging giant has reportedly been testing in-app payments for months, WhatsApp is getting ready to be used alike with a locally developed solution called UPI, supposedly due to pressure from domestic regulators.
Nonetheless, WhatsApp remains expected to support Libra Coins at some point within the future. Unlike worldwide WhatsApp fiat payments in countries like Brazil and India, Facebook has been marketing Libra as an international solution for the unbanked.
In line with a recent official report from Novi, a Facebook-owned digital wallet, it’ll be integrated into WhatsApp once it’s released, supporting payments in in-house stablecoins along with LibraUSD, LibraEUR, Libra GBP, as well as a multi-currency coin called LBR.