Pix adds NFC scanning, device biometrics to Brazilian digital payments platform

Brazil’s pioneering instant payment system, Pix, is taking a step forward with the introduction of Pix by Approximation, a feature enabling contactless payments verified by biometrics. The system, set to roll out by February 28, 2025 and was developed in conjunction with Rede Itaú, represents the latest milestone in Brazil’s DPI journey.

Valor Investe reports that payments will be processed by bringing a mobile phone close to a payment terminal, such as a card machine, leveraging bank accounts pre-linked with Google Wallet. The system communicates through NFC (Near Field Communication) technology.

In a short documentary by the Center for Digital Public Infrastructure, it was revealed that Pix doubled the number of people using digital payments over the course of two years.

Mayara Trindade Sano, advisor, department of competition and financial market structure, says: “In 2019, we launched the instant payments forum and developed it in a very participatory manner with the market.

“In February 2020, we launched the brand, which was even inspired by the international lesson that having a unique and strong brand that is easily understood was fundamental for adoption by the population. And in November, we launched Pix for the entire population.”

Payment confirmation is achieved through device biometric authentication, such as facial recognition or fingerprint scanning.

Digital payments powering Brazil’s economy

Since its launch, Pix has redefined Brazil’s payment landscape, facilitating over 71 million Brazilians who, before the launch of Pix, did not use electronic transactions. According to a report by Thunes, digital payments like Pix have enhanced financial inclusion by providing unbanked and underbanked populations with access to secure financial services.

Under an open banking framework, Pix’s network supports nearly 800 financial and payment service providers, catering to 13 million businesses. As Pix expands into B2C transactions, Person-to-Business (P2B) payments now account for one-third of its total transactions.

Pix’s integration with biometric technology reflects broader trends in Brazil’s adoption of DPI, a model lauded for its scalability and ability to drive economic growth.

Pix’s success has drawn comparisons to other DPI models worldwide, including India’s Aadhaar-enabled payment systems. As highlighted in reports by the Atlantic Council, Pix exemplifies how a well-designed DPI can meet diverse policy goals, from reducing transaction costs to enhancing security.

Brazil’s approach, in this case, stands out for its public-private collaboration and user-centric design for widespread adoption.

Positives aside, Pix has also faced criticism, as the growth in transaction volumes and online account ownership has been accompanied by a rise in cybercrime and fraud cases, according to the Atlantic Council.

Article Topics

biometric payments  |  biometrics  |  Brazil  |  digital public infrastructure  |  digital wallets  |  Google  |  Pix