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PayPal and Apple have struck a deal to start accepting each other’s payments products within their separate ecosystems.

The pair have agreed to let US merchants accept contactless payments on their iPhones – using Apple’s new Tap to Pay technology – through the PayPal and Venmo iOS apps.

Meanwhile, Apple Pay will be added as an option in PayPal’s unbranded checkout flows on merchant platforms.

And, from next year, US customers will also be able to add PayPal and Venmo network-branded credit and debit cards to Apple Wallet.

From PayPal and Apple to accept each other’s payment products:

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Prosecutors said Glencore Energy UK employees and agents used private jets to transfer cash to pay the bribes.

From Glencore ordered to pay millions over Africa oil bribes – BBC News:

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Mark Gould, chief payments executive for Federal Reserve Financial Services at the Federal Reserve, told PYMNTS that the Fed is fine-tuning its focus to streamline the embrace and use of digital, speedier payments.

Initially, key FedNow features (already in pilot) will include bill pay and request for payment, or RFP. In the case of the latter, with additional technology in place, a cellphone, utility provider or other biller could send a consumer a text with a link to click to complete the transaction. FedNow RFP will enable the exchange of rich data, such as underlying transaction details, which can serve as a useful record and allow billing organizations to streamline their reconciliation processes.

Other initial FedNow features and use cases will include account-to-account transfers and liquidity management transfers.

From Fed’s Prepares Instant Payments ‘Easy Button’:

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The People’s Bank of China ordered Tencent, Meituan and other large platforms to share user data, ranging from shopping records to travel history, with two state-backed groups, Baihang and Pudao, by early next month, according to people briefed on the negotiations.

Baihang and Pudao would in turn provide a feed of the data to banks for a fee, in order to help them assess potential borrowers’ creditworthiness, but the internet groups are resisting the arrangement, the people said.

Last year, the PBoC moved to ban online platforms from the direct sale of their user data to banks, citing fears about the possible misuse of personal information. But one central bank adviser said the practice had continued because lenders did not want to pay the higher fees charged by Baihang and Pudao.

From China’s central bank struggles to force tech groups to share user data with state | Financial Times:

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Many Chinese banks, especially smaller regional lenders, rely on internet companies’ troves of user data and analytical tools to identify creditworthy borrowers. According to public records, outstanding bank loans issued jointly with online platforms increased 22 per cent last year over 2020, compared with just 12 per cent overall loan growth.

However, a study by Renmin University in Beijing found that internet companies would incur as much as an 8 per cent increase in costs after surrendering data and analysis to the credit scoring groups.

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The idea of a privacy gradient comes from architecture and refers to the way that public, common spaces are located by the entrance to a building and as you progress through the building the spaces become more private until you reach the most private ‘inner sanctum’.

From Strange Attractor | Tackling Twitter abuse:

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BBS signatures and progressive disclosure

 

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According to several digital asset lawyers, the popular disclaimer “this is not financial advice” — may not actually protect them in the eyes of the law.

From Saying ‘not financial advice’ won’t keep you out of jail: Crypto lawyers:

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Large technology firms and financial start-ups are bundling payments with digital services, such as online marketplaces, messaging apps and financial services (for example lending and insurance). While banks continue to provide the underlying payment rails for these solutions, they are losing access to the customer interface.

From Cold hard (digital) cash: the economics of central bank digital currency:

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According to data from Juniper Research (September 2022), global spending on digital identity verification checks will rise from US$11.6 billion in 2022 to US$20.8 billion in 2027, and is expected to reach US$40 billion.

From Digital identity verification to top $40 billion in 2032 – What is new? – Security Boulevard:

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Third, a CBDC could help to preserve privacy. Private enterprises typically seek to profit from the personal data they can collect when people make digital payments, which can discourage their use in the first place – an inefficient outcome. A CBDC could be designed to provide users with more control over their data, for example over whether they choose to share personal data with third parties to receive more personalised services. This can foster efficiency and welfare in the digital economy (Ahnert et al., 2022b).

From Cold hard (digital) cash: the economics of central bank digital currency:

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JPMorgan Exploring Applications of Digital Identity

The bank’s potential digital wallet would enable people to choose digital identity credentials they want to share across Web3, DeFi and the metaverse

From JPMorgan Exploring Applications of Digital Identity – Blockworks:

 

The banking giant published a video detailing a planned solution enabling people to choose the identity credentials they want to share in their interactions across Web3, the metaverse and DeFi protocols.