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Brazil's government-run payments system has become dominant

(www.economist.com)
666 points jcartw | 4 comments | 08 Apr 25 10:59 UTC | HN request time: 0s | source
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SwiftyBug ◴[08 Apr 25 11:48 UTC] No.43620583[source]▶
I've been living in Brazil for the last 20 years.

Pix revolutionised the way we transact in Brazil. I've used Pix to pay for things that cost only cents, and I have a friend who bought her house using Pix. The system just works for any transfer amount. And it's so easy to use.

Its speed is truly baffling, and so is its reliability. Never have I failed to make a Pix payment because of downtime. I never cease to be amazed by how fast money arrives in my Brazilian account when I make a withdrawal directly from my EUR wallet on Wise. I receive a push notification from my Brazilian bank before Wise finishes running the animation of confirmation of withdrawal. It's like magic.

And it's so widespread that nowadays I don't even question whether someone accepts Pix. When I get in a taxi, no matter how old the driver is, it's certain that they take (and prefer) Pix.

I've even had homeless people ask me for Pix instead of change on multiple occasions.

Cryptocurrencies don't stand a chance.

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oulipo ◴[08 Apr 25 11:55 UTC] No.43620630[source]▶
Interestig, but this is also worrying to know that the government now knows exactly what you bought, where, when, and for how much. They can also (if there's a rogue government) create fake transactions to implicate you in things you haven't done
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forty ◴[08 Apr 25 12:04 UTC] No.43620706[source]▶
Is it much more worrying than having Visa being able to do that? Especially when you see how the US is going downhill, I think it'd rather take the risk of having to deal with hypothetical local fascist state.
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1. ryandrake ◴[08 Apr 25 12:11 UTC] No.43620772[source]▶
There’s pretty much no practical difference between Visa knowing all this stuff and the government knowing it. All Visa’s data is at most one subpoena away and that’s the optimistic scenario.
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2. kevincox ◴[08 Apr 25 12:18 UTC] No.43620828[source]▶
Of course there is a difference the other way. With a government run payment system only the government knows it. Not the government and some for-profit corporation.
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3. darkwater ◴[08 Apr 25 12:27 UTC] No.43620916[source]▶
And maybe even some other government which was an ally until a new old president is elected.
4. dkga ◴[08 Apr 25 22:45 UTC] No.43627208[source]▶
You cannot seriously believe that. Visa or any other private card processing company would actively seek to exploit it for its financial gains within the limits of the rules. The central bank (which is not "the governmentTM") would use the data to make sure the system is functioning properly or some other public policy goal. That's all the difference in the world.