Axis Bank in India is launching wearable technology for contactless payments that is intended to encourage the mainstream adoption of cashless transactions.
The Wear N Pay devices include a wristband, keychain and a loop that Axis Bank customers can use for contactless payments. The wearables can be incorporated into existing accessories or worn independently, and are connected to users’ bank accounts.
“Contactless payments are the future of the payments industry in India,” Sanjeev Moghe, EVP, head of cards and payments, Axis Bank said in a press release. “To tap into this market, our Wear ‘N’ Pay program brings convenience to contactless payments at a budget-friendly price point, offering a safe and secure mode of payments on the go.” He added that the devices are designed to seamlessly fold into daily life, which will help advance the adoption of cashless transactions. The wearables are directly linked to users’ bank accounts and function just like a debit card.
The third-largest private-sector bank in India, Axis is the first financial institution (FI) to offer wearable tech for contactless payments. The bank teamed up with Thales and Tappy Technologies to design and develop the wearables, which exclusively use the Mastercard platform.
“Thales has always been a key driver to launch innovative and secure digital solutions,” saïd Emmanuel de Roquefeuil, vice president and country director, Thales in India. He added that the time is ripe for innovative payment solutions that are not only contactless, but also secure, and that “wearables arise as an optimal alternative.”
Vikas Varma, COO, South Asia, Mastercard, said the company is “constantly innovating technologies” that give people an easy way to make contactless payments fit their daily lives. “Given that the wearable tech space is an integral part of driving contactless payments, this launch and partnership is a further testimony to Mastercard working toward building a secure and inclusive payments ecosystem,” Varma said.
In a PYMNTS interview, Sameer Shetty, head of digital banking at Axis Bank, said that artificial intelligence (AI), combined with video onboarding, can all but abolish identity fraud. With ironclad authentication processes, it will be more difficult for hackers to impersonate users and steal identities and money.
The market for omni-connected wearable tech is estimated to be worth about $70 billion annually, despite the manufacturing dropoff caused by the COVID-19 pandemic. Forecasts expect double-digit percentage growth in the years ahead.
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