It's less work than pulling paper money out of your wallet.
But this simple interaction masks a web of communication among dozens of parties — banks, credit card issuers, merchants, and more — that work behind the scenes to ensure that each transfer of funds can occur within seconds.
And, despite our increasingly global society, cross-border payments and transfers in some parts of the world are an area that is still trapped in a process that takes multiple intermediaries and days to finalize.
Less than 10 years ago, online merchants were forced to use complicated and proprietary software to support online transactions, racking up costly fees and an awkward experience that often forced their customers to leave the merchant’s website to confirm a purchase.
With a few lines of code cut-and-pasted into any website, Stripe made it possible for merchants to process credit cards seamlessly, creating the digital payment process and online experience we know and expect today, which is radically simple and virtually invisible.
On the consumer front, Zelle and Venmo are delivering a similar peer-to-peer payment experience while banks are moving quickly to support new immediate inter-bank payments initiatives.