“…a $3 trillion threshold looms just beyond the sector’s five-year projection horizon”.
(Source: Global payments 2018: A dynamic industry continues to break new ground. McKinsey.com)
Most people, including Digatrade shareholders, have no idea how deep the revenue opportunity is in “fintech”, particularly in the “payments” sector. The world’s payments sector does little advertising, but it looms large in the background, quietly participating in a vast and growing swath of the world’s purchasing transactions, 24/7.
The “payments sector” consists of the organizations that move money and credit electronically for you when you pay merchants with anything other than cash (or you transfer money electronically). These organizations have become so good at what they do that their operations are barely noticeable. Beneath this calm exterior is a teeming collaboration between financial organizations and creative service providers in the private sector that drive growing convenience and security technology. Such innovation enables alternative methods for consumers to spend and transfer money. Companies in this sector now process trillions of dollars annually, enjoying a vast array of fees that are small in each transaction, but accumulate to huge aggregate sums. There are now more than 15,000 non-cash (electronic) payments globally occurring every second. There are hundreds of fee types that merchants and consumers pay, most of which even the merchants and consumers themselves cannot name, but are legitimate in their merchant and cardholder agreements. These fees provide unprecedented convenience – and payment convenience is something that most people and organizations have now proven to be willing to pay for, globally.
Some of these merchant service money flows are so enormous that they are owned cooperatively amongst banks, because the flow is larger than any one of them. These organizations devote most of their effort to maintaining the integrity of their existing systems and often look outside for fresh thinking and innovation to remain competitive. The fortunate private collaborators to this giant apparatus who can prove themselves in co-operative fintech relationships can do extraordinarily well, financially and reputationally. This is the field that Digatrade is now in. Our recently announced first PSP Partnership is, in effect, an invitation to work on the inside of the world payments system.
Digatrade/Securter’s patented technology is designed to dramatically increase the security and convenience of online credit card purchases. Because of the immense flow of online purchases every second of the day internationally, institutions and merchants continuously lose large sums due to unauthorized credit card use and other forms of fraud in “Card Not Present” transactions.
Securter’s protocol enables credit card holders who shop online to divulge less information about themselves, thereby protecting themselves from merchant data hacks. In fact, Securter’s protocol does away with the cardholder providing personal financial information to merchants, yet still ensures payment to the merchant by the credit grantor. This technical accomplishment is only one dimension of the service multiplex that Digatrade/Securter will be introducing through its PSP relationships, thereby earning shared fees from their operation.
The bottom line is that DIGAF shareholders have much to look forward to as our integration with the world’s payments system begins through our Payment Service Provider agreements. We will be sharing more background information about this industry, and our role in it, now that our first PSP agreement enables real progress by DIGAF.