Comment by dghlsakjg
11 hours ago
Nitpick: Credit Card volume is on the order of 4-5 trillion (depending on source) in the US. Add in debit and prepaid cards on card payment rails and it is around 10 trillion.
11 hours ago
Nitpick: Credit Card volume is on the order of 4-5 trillion (depending on source) in the US. Add in debit and prepaid cards on card payment rails and it is around 10 trillion.
Appreciate recent numbers. FedNow (us instant payments) has not been around long, growth will take time. My point was you don’t need Venmo or CashApp, almost any bank or credit union will do today and the volume is substantial.
I expect it to take at least 5-10 years for instant payments to replace Zelle, credit, and debit cards in the US.
Brazil’s Pix is Coming for the Card Industry - https://paymentscmi.com/insights/brazil-pix-impacts-card-ind...
> Brazil’s card industry seems to have already come to terms with the loss of market share to Pix. For 2024, Abecs sees the debit card “moving sideways,” growing only between 0.4% and 0.7% compared to the previous year. This trend is consistent globally: Visa earnings reports reveal that its debit volume has been in monthly decline since February 2024.
> The numbers around Brazil’s RTP [Pix] are indeed superlative. Central Bank data shows that over 40% of all payments in the country are currently made through Pix. The system is used by more than 90 percent of the adult population, has over 15 million businesses and moves 20% of the country’s total transactional volume.
> As it gains new features, Pix will continue to cut into banks’ interchange revenues and compete with the card industry, not only in terms of ‘stealing’ transactions from these legacy players but by allowing a new stack of solutions to be built on top of its scheme. What the Brazilian Central Bank created is a new payment rail that allows for fewer intermediaries and, therefore, for cheaper solutions.