The Brazilian central bank plans to launch PIX, an instant payment system, much like PayPal but in a national version. As NFCW relays, it should be available next November and allow consumers to make payments, but also money transfers, in seconds, hours or days.
With PIX, the central bank of Brazil wants to make instant payment simple, fast and intuitive
Via QR codes, contactless, mobile number, email address, the Brazilian central bank wants to simplify payments. He also wants to make this system intuitive and fast, allowing instant payments, either in a few seconds, or more in a few hours, or at most in a few days.
For the Central Bank of Brazil (BCB), “The goal is to create solutions that make making an instant payment as simple, intuitive and fast as paying in cash. Payments and transfers from a smartphone will be done intuitively, quickly and securely, every day of the year, with no time limit, and money will be immediately available to the recipient. “
The system will be based on a single centralized settlement infrastructure
PIX, the payment system will be managed by the central bank directly. It will use a single, centralized settlement system. Concretely, the users, sellers or buyers, must have an account with the bank of their choice. Because all financial companies and establishments approved by the Brazilian central bank, with more than 500,000 active customer accounts, will be obliged to participate in the proper functioning of this system. Institutions not approved by the BCB will still be able to participate, but only as indirect participants.
Overall, PIX is expected to lower costs, as the number of intermediaries in the payment chain would be reduced if we compare this method with other electronic payment methods. The speed of payment and availability of funds will also be an advantage retained by the Brazilians.