WhatsApp money transfer feature clears regulatory hurdle

WhatsApp launched its digital payments feature for users in Brazil last June, but it was quickly removed amid concerns from the country’s central bank. The Facebook-owned messaging app received approval for in-app money transfers from the bank Tuesday and will be up and running soon according to a report from Reuters.

WhatsApp users in the country will be able to send each money transfers using Visa or Mastercard as processors. The feature will be limited to peer-to-peer payments only and will not be able to make purchases at a business.

“[We] are making the final preparations to have payments on WhatsApp available in Brazil as soon as possible,” a WhatsApp spokesperson said in a statement to Forbes.

The initial concerns from Brazil’s central bank centered on WhatsApp not being recognized as a financial services company and that its usage could bring up anti-competitive and data privacy issues.

WhatsApp rolled out digital payments in India in November. The company didn’t immediately respond to a request on when other countries will see the feature.

Source:-cnet