SUBANG JAYA: The number of application-based digital wallets using a QR code payment system is growing rapidly globally and Digi.com Bhd has joined the league of mobile payment gateway companies with its own vcash.
Vcash is accepted by over 80 merchants with over 500 physical touch points, and by year-end that will be increased to 2,000.
The current merchant list includes supermarkets, eateries, food truck operators, and even SME businesses. MOLPay and iPay88 have also signed on to adopt vcash as a payment option.
Vcash is an e-wallet that you can use to pay, send, request and store money using the smartphone.
Vcash is not limited to the over 12 million Digi subscribers, anyone with a smartphone can use it to facilitate electronic money transfers by downloading the app and pay for services.
Globally telcos are capitalising on their digital platforms to ride on the digital wave and fintech boom in order to generate new revenue streams or they will remain dump pipe providers thereby limiting their own capabilities to venture into new areas.
“For Digi it is a natural next step. We are taking the lead by driving towards a cashless society even though cash remains our biggest competitor,’’ Digi chief digital officer Praveen Rajan (pic) said at the launch of vcash at Digi office yesterday.
He said Digi has projected that its venture into the digital space will turn in 10% revenues by 2020.
For vcash, Digi is charging 0.8% in transaction fees to merchants, which it believes is lower than competition.
Vcash is an initiative by Digi to capitalise on the digital business in partnership with Valyou Sdn Bhd, which is owned by Digi’s major shareholder, Telenor. Valyou has the licence to offer e-money services.
Bank Negara has issued about 30 licences to e-money issuers including banks and non-banking institutions, and several other telcos.
Digi’s rivals, such as Axiata Group Bhd , offers e-money via Boost, while Telekom Malaysia Bhd has Kiple via P1 and Maxis Bhd is also working on a similar initiative.
“We are willing to work with any telco, bank or any smartphone, and vcash is not limited to Digi users, it caters to everyone,’’ Rajan said.