Mobile Wallet System – A Remarkable Evolution in the Way of Handling Money

When barter systems existed, and the concept of money wasn’t introduced, the transaction process was not very fair and authentic. People would trade services for goods and vice versa. More often, the value of products and services was not fixed, and this led to a lot of unfair exchange due to the lack of a powerful medium called money.

Later, when money was introduced, the whole process of availing goods and services took a massive leap in terms of value taken into account. Now, money is a universal medium of exchange used all over the world. There are different currencies for different nations whose amount of money is determined by the global currency market. When the process of availing goods and services has evolved so much, so should usage of money. Following the before, the statement is digital wallet apps.

What is a digital wallet app?

Many entrepreneurs have started to invest in digital wallet app development for their apps or an open wallet system. A digital wallet app is an application on your phone that helps you pay for goods and services through online transactions without the need for hard cash. The digital wallet or e-wallet app requires you to link your bank account, and your money is transferred through the apps to whichever domain you want.

Types of mobile wallet applications

There are different kinds of mobile wallet applications that are used in various domains. They are

Open wallet

The apps provide all financial services like buying goods and services, transferring funds to other accounts. They also aid in withdrawals from the ATMs or banks. It is an all in one mobile wallet app. The user needs to link their bank account in the digital wallet with which they can carry out all the payment processes. It is a safe and secure way of money handling, and the admin of the app needs to ensure the same for the users.

Closed wallet

These kinds of apps are payment wallets integrated into an existing service app. This helps users quickly carry out their payment process because they avail frequent services from these apps. Taxi booking apps, online shopping apps, Movie booking apps, and much more use closed wallet apps to enable users to pay with ease.

Semi-closed wallet

The apps can be used for both online and offline transactions. They need approval from the national bank for its functioning and license. They can be used for availing goods, services, and other financial services.

Apart from the above, it is needed to understand that the wallet apps are segregated as a hot wallet and cold wallet. A hot wallet app aids in the quick online transactions of money and works with the internet. The cold wallet app has no connection with the internet and worlds, mainly based on storing and saving money.

In investing in a Mobile wallet application development, decide on which of the above apps suit your business needs, and approach an excellent mobile application development company.