WhatsApp Launches Instant Cryptocurrency Payments Via Chat

WhatsApp has launched an in-chat cryptocurrency payment service feature for a small number of users in the United States, thanks to Novi integration, a digital wallet owned by Meta (previously known as Facebook). The news was announced by Novi’s incoming head Stephane Kasriel and WhatsApp’s Will Cathcart.

The service allows users to send and receive money “instantly, securely, and with no fees” and is powered by Novi, Meta’s digital wallet that launched as a pilot six weeks ago, with payments made using Pax Dollars (USDP), a stablecoin pegged to the US dollar issued by Paxos. The payment system works in a WhatsApp chat the same way as sending regular attachments.

The user simply taps the plus (+) icon and then select Payment from the popup menu to transact. Payments are transferred instantly. When a recipient receives the USDP via WhatsApp, he or she can withdraw the equivalent US dollars from the bank.

WhatsApp Launches Instant Cryptocurrency Payments Via Chat

The user simply taps the plus (+) icon and then select Payment from the popup menu to transact. Payments are transferred instantly. When a recipient receives the USDP via WhatsApp, he or she can withdraw the equivalent US dollars from the bank.

The excellent features of this service are:

  • There’s no upper limit to the number of times the Novi system can be used to send and receive money through WhatsApp.
  • There are no fees associated with either keeping a balance in a Novi account or withdrawing it to a bank account.
  • The service works in the chat platform supported by the end-to-end encryption of WhatsApp.

This payment program is available for selected users in the US as of now and is an outcome of Meta’s cryptocurrency plans which were officially announced in 2019.

When the cryptocurrency plans where announced by Meta back then, the idea was to develop a cryptocurrency called Libra linked to a Facebook digital wallet called Calibra. Libra has since changed to Diem, and Calibra is now Novi. However, instead of Novi using Diem, Meta has decided for Novi to adopted the Paxos stablecoin in partnership with Coinbase.

This feature is different from the WhatsApp payment systems already offered in India and Brazil, since these use use traditional fiat currencies instead of cryptocurrency.

Read more about the service on the Novi website.


Sydney Chako

Mathematics, Chemistry and Physics teacher at Sytech Learning Academy. From Junior Secondary School to Tertiary Level Engineering Mathematics and Engineering Science.

0 Comments

Leave a Reply

Avatar placeholder

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.