The PAYTECH Book

Preface

Join us on a journey through the fascinating world of payments. If you bring together consumers and businesses demanding change and a better customer experience, regulators enabling competition and technology making change possible, the future of payments is exciting, summarized in the term “PayTech”. We will share our vision for how the digital world will unfold, what this means for cash, plastic cards, digital wallets and mobile money and the financially excluded, and how cooperation will allow the payments industry to satisfy consumers’ and companies’ growing needs for instant, convenient and secure payments.

We will explain the changing role of money in our lives, introduce the concept of programmable money and its adoption in a world of open banking, commonly accepted standards and digital identity. We also cover the impact of the network effect in payments, and how overlaying data-driven insights enables more effective marketing at the point of purchase. Cybersecurity and its importance in a world of increasingly sophisticated criminals is explained, and how data analytics and artificial intelligence can prevent fraud and money laundering.

McKinsey forecasts that payments will become a US$2 trillion business by 2020.¹ Payment transactions are increasing as economic activity grows, and the demand for payments is expected to rise globally as developing countries build their infrastructures and become more financially inclusive and as the emergence of the digital ...