Ewallets
An ewallet, or electronic wallet, is a digital tool that stores payment credentials and sometimes funds to enable electronic transactions. They can be mobile apps, desktop wallets, or integrated with card networks. Ewallets can be categorized as closed wallets (issued by merchants for their own products), semi-closed wallets (accepted at a limited set of merchants and do not permit cash withdrawals), and open wallets (can be funded and used broadly, including cash withdrawals and transfers).
Users set up an account, link bank accounts or cards, and/or load funds. Payments are authorized via
Benefits include speed and convenience, reduced need for physical cards, broad merchant acceptance, easy transfer of
Risks include security threats such as phishing and device loss, privacy concerns, dependence on internet access
Regulation and standards: Wallet providers holding customer funds may be subject to financial regulations, including KYC/AML