(by Zero Hedge) – Major US banks, including Wells Fargo, Bank of America, JPMorgan and others, will enter the digital wallet space in the second half of this year to take on Apple Pay and PayPal.
Early Warning Services LLC (EWS), the banking company that operates the Zelle money transfer service, will manage the new digital wallet, according to the WSJ. The wallet has yet to be named, but will be separate from Zelle and allow shoppers to pay at merchants’ online checkouts with linked debit and credit cards.
EWS plans to offer the new digital wallet later this year and can handle up to 150 million debit and credit cards during the initial launch. Consumers in good standing with the banks will be able to opt for the new service.
The goal of the digital wallet is to take on third-party wallet operators like Apple and PayPal, according to people familiar with the matter. They said banks are worried about losing business if a digital wallet is not released soon. Although the Goldman Sachs consumer unit that runs the Apple Card is a money-losing business, there is a plan to launch a high-yield, buy-now, pay-later savings account.
The move to electronic and contactless payments has been gradual, but could soon kick into hyperdrive if enough consumers adopt the new EWS wallet. It was during the Coronavirus pandemic that the government, the Federal Reserve and corporations urged people to avoid unnecessary physical transactions that increased the push towards a cashless society.
Remember that the pivot to a cashless society was clear as day. Perhaps the shortage of coins during the pandemic was proof. And anyone who dared mention a looming cashless society was considered a “conspiracy theorist.”
Just remember who is also shaping the world and influencing politicians and corporations away from a cash economy:
Dethroning cash as king. How digital payments enable a shift from the cash economy https://t.co/FUYE2KHVfn @WEFUpLink pic.twitter.com/QpRmA61JXz
— World Economic Forum (@wef) February 22, 2022
The dystopian view is that a cashless society could mean that governments and corporations will have even more control over our wallets, and that’s scary.