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Brazil's government-run payments system has become dominant

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666 points jcartw | 4 comments | 08 Apr 25 10:59 UTC | HN request time: 0.815s | 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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m00dy ◴[08 Apr 25 11:58 UTC] No.43620658[source]▶
> Cryptocurrencies don't stand a chance.

Pix can't facilitate cross-border micro payments.

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diggan ◴[08 Apr 25 12:03 UTC] No.43620699[source]▶
> Pix can't facilitate cross-border micro payments.

No reason it couldn't. Bizum (mobile payments in Spain) started with just Spain but can now be used for payments across & to/from Spain, Italy, Portugal, and Andorra.

Bizum is also a member of European Mobile Payment Systems Association which I think will eventually lead to all members being able to make transfers to other members, but that might a somewhat dream rather than actual reality today.

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graemep ◴[08 Apr 25 12:10 UTC] No.43620770[source]▶
All Eurozone countries, all bu one an EU member (and that one is very small has a very close trade deal with the EU) so not really cross border except from a certain legalistic angle.

The practicalities are very different from transferring between say Brazil and the US.

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1. Y_Y ◴[08 Apr 25 12:24 UTC] No.43620889[source]▶
> so not really cross border except from a certain legalistic angle

Is this a joke? Of course it's cross-border, it crosses international borders. It works because the countries involved put in the work to make it easy. The fact that you can't use Pix in the US has no bearing.

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2. graemep ◴[08 Apr 25 12:52 UTC] No.43621170[source]▶
> The fact that you can't use Pix in the US has no bearing.

The comment I replied to was claiming Bizum operating "cross border" showed that Pix could do so, so it is very much relevant in context.

It is a very special case of cross border. It is technically cross border but does not have the difficulties of cross border in all of the rest of the world outside the EU.

In any case it is arguable whether these are separate countries or just states of the EU. It has a common currency, a parliament that can legislate (in certain matters - rather like the US Congress) for the whole EU, courts, a central bank, a public prosecutor and many other "national" institutions etc. it also have the symbols of a state such as a flag and a national anthem (albeit both shared with the Council of Europe), EU passports state they are EU as well as the issuing country's name etc.

Even if you do regard it as a cross border one it is very much atypical and cannot be replicated elsewhere.

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3. Y_Y ◴[08 Apr 25 13:27 UTC] No.43621559[source]▶
The United Nations has a flag and anthem too.

The umbrella interoperability initiative that includes Bizum is Swiss (neither EU nor Eurozone).

Maybe you have a radical viewpoint, or maybe you're just unfamiliar with the subject matter, but individual EU countries are very much separate entities, notwithstanding many helpful treaties.

There are lots of transnational entities like the EU and monetary unions like the Eurozone.

There's nothing so special about this arrangement that means it couldn't happen elsewhere.

https://empsa.org/news/leading-european-mobile-payment-solut...

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4. graemep ◴[08 Apr 25 15:13 UTC] No.43622738{3}[source]▶
> The umbrella interoperability initiative that includes Bizum is Swiss (neither EU nor Eurozone).

and yet Switzerland is not one of the countries where Bizum can be used?

The UN does not have a common currency or a parliament etc.