For many years, the international payment systems Visa and MasterCard have dominated the global financial and technological market. However, now the situation is changing before our eyes - local payment systems and cryptocurrencies are entering the scene. In the new analytics, prepared by the press service of the PayOnline electronic payment system, an overview of the largest payment systems in the world, the key competitors of the leading MPS and forecasts for the development of the situation.
What is the power of international payment systems based on? When the issuing bank transfers money under a transaction made by its client in favor of the acquiring bank, it directs the transaction to one of the IPS. On each such operation, the MPS earns a small amount (say, $ 2 commission from $ 100 payment). MPS process millions of transactions every day. The table below compares the average daily payment turnover of the world's largest payment systems.
Average daily payment turnover of the world's largest payment systems.
The Chinese payment system China UnionPay is approaching a significant event, in the near future it will be able to surpass MasterCard in terms of payment turnover. It has already left the payment market veteran American Express far behind, surpassing it by $ 5,000 million. Today, China UnionPay is the world leader in the number of bank cards issued (3.4 billion cards), far ahead of Visa (2.5 billion cards) and MasterCard (1.9 billion).
Bitcoin, a cryptocurrency, has also shown very good progress. Despite the readiness of users to the fact that the cryptocurrency will go through all the downturns of the technology maturity cycle (from the English - hype cycle), Bitcoin has already surpassed Western Union in terms of turnover and is "stepping on the heels" of the Discover payment system. Bitcoin payments are just 27% below PayPal's daily transaction volumes.
In addition, it is worth taking a look at the graph prepared by the Nilson Report to get an idea of how the situation in the payment system market will develop in the near future. This chart shows the position of China UnionPay, Visa and MasterCard in the Asia Pacific region.
The number of China UnionPay, Visa and MasterCard transactions in the Asia-Pacific region.
While Visa and MasterCard are working to spread EMV and NFC standards, they are overlooking competitors that can not only catch up, but also surpass them. So shouldn't they look back and see the approaching pursuit in time?
What is the power of international payment systems based on? When the issuing bank transfers money under a transaction made by its client in favor of the acquiring bank, it directs the transaction to one of the IPS. On each such operation, the MPS earns a small amount (say, $ 2 commission from $ 100 payment). MPS process millions of transactions every day. The table below compares the average daily payment turnover of the world's largest payment systems.
Average daily payment turnover of the world's largest payment systems.
The Chinese payment system China UnionPay is approaching a significant event, in the near future it will be able to surpass MasterCard in terms of payment turnover. It has already left the payment market veteran American Express far behind, surpassing it by $ 5,000 million. Today, China UnionPay is the world leader in the number of bank cards issued (3.4 billion cards), far ahead of Visa (2.5 billion cards) and MasterCard (1.9 billion).
Bitcoin, a cryptocurrency, has also shown very good progress. Despite the readiness of users to the fact that the cryptocurrency will go through all the downturns of the technology maturity cycle (from the English - hype cycle), Bitcoin has already surpassed Western Union in terms of turnover and is "stepping on the heels" of the Discover payment system. Bitcoin payments are just 27% below PayPal's daily transaction volumes.
In addition, it is worth taking a look at the graph prepared by the Nilson Report to get an idea of how the situation in the payment system market will develop in the near future. This chart shows the position of China UnionPay, Visa and MasterCard in the Asia Pacific region.
The number of China UnionPay, Visa and MasterCard transactions in the Asia-Pacific region.
While Visa and MasterCard are working to spread EMV and NFC standards, they are overlooking competitors that can not only catch up, but also surpass them. So shouldn't they look back and see the approaching pursuit in time?
