Soon, you will be able to send money on WhatsApp
What's the story
Since last year, WhatsApp, one of the world's biggest messaging apps, has been testing a payments service in India. The model was only tested with a select few users, but now, reports indicate that the Facebook-owned company might finally be gearing up to bring it for all users. Here's everything you need to know about it.
Issue
The roll-out was affected because of the regulations
WhatsApp has long been trying to make its payments service widely available for users in the country. They had the complete infrastructure in place to take on payment giants like PhonePe, Paytm, and Google Pay, but couldn't launch the service publicly due to the data localization restrictions from the Indian government. The government wanted the data to be stored on local servers.
Solution
Notably, the issue might have been resolved now
Now, after months of delay, WhatsApp's Global Head Will Cathcart has confirmed that the payment service would be rolled out for every single WhatsApp user in India by the end of this year. Cathcart said the company wants to make sending money as easy as sending a message and, therefore, will make the payments service available to its 400 million Indian users.
Work
Taking time to ensure regulatory compliance
Previously, WhatsApp's competitors had argued that the company's payments infrastructure is not fully compliant with the Indian regulations. However, in response, the company had said it won't roll out the service publicly without completing all the necessary formalities and complying with the norms of the Reserve Bank of India. Now, it seems that the work will be done by the end of this year.
Advantage
Bonus for the local businesses too
With payments, WhatsApp will not only simplify the lives of regular users but also aid businesses. Basically, small and medium enterprises would be able to market/sell products as well as receive money through the same chat window. Not to mention, WhatsApp for Business is already up and running, which would give the company an added edge over players like Google Pay and PhonePe.