digital wallets
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From Adoption to Security: What Does 2024 Have in Store for Digital Wallets?

Payments are arguably the face of fintech. When you think about financial technology, it is easy to think about solutions which are making payments faster, easier and more accessible.

We conclude our paytech focus at The Fintech Times by investigating digital wallets and what the future holds for them – what will make the technology take off or make it crash and burn?

Greater security 
Ramani Ramachandran, CEO, Router Protocol
Ramani Ramachandran, CEO, Router Protocol

The simplicity of digital wallets is what makes them so popular according to Ramani Ramachandran, CEO, Router Protocol, the decentralised network. As a result, more firms will put a greater emphasis on

“In 2024, more people will come to trust digital wallets due to enhanced security features.  Digital wallets have made online shopping much easier and it is one of the main features of why digital wallets are so popular. The world is also focusing more on contactless payments as compared to cash or cards, especially after the COVID-19 pandemic.

“Digital wallets will become more secure and easier to use in 2024, with a big focus on user experience and the promotion of non-custodial solutions.”

Greater identity verification 
Bogdan Dinu, chief product officer, Thunes
Bogdan Dinu, chief product officer, Thunes

Bogdan Dinu, chief product officer, Thunes, the cross-border payment infrastructure, notes how digital wallets will impact security across developed and emerging markets.

“As mid-size and larger enterprises grow beyond national boundaries, they enter new markets and must interoperate with local payment methods. In many cases, they need to connect to a rising number of local digital wallets in addition to or instead of bank accounts.

“These e-wallet interactions are significant for social media, gaming and content creation platforms. These newer payment methods are notable for their heavy use by Generation Z users. Uniquely, digital wallets are well suited for accepting and paying micro-payouts, small transactions of less than $1, vital in many emerging markets.

“Finally, we’ll see improved solutions to confirm the identities of digital wallet owners and to reduce fraud. This could lead to the development of comprehensive global databases and a universal mechanism to facilitate transactions based on aliases or identifiers, regardless of the sender’s banking details or location. The ultimate goal is to make sending payments on wallets as easy as sending a WhatsApp message—an ambitious aim.”

Greater adoption is going to happen
Amy Waldhauer, chief commercial officer, Stax
Amy Waldhauer, chief commercial officer, Stax

The need for alternative payment methods is an absolute must for any retailer says Amy Waldhauer, chief commercial officer, Stax, the paytech. She explains how digital wallets will, as a result, see greater adoption in 2024.

“In 2024, we can expect to see regulatory agencies like the CFPB focusing on non-banks who offer services like digital wallets and payment apps. Tech companies are also providing payment services to their customers but aren’t currently subject to the same regulations as fintech companies and banks.
Social shopping (purchasing items directly from TikTok or Instagram) will also become especially prevalent among Generation Z and Generation Alpha.

“Gen Z customers enjoy shopping both online and in-store, giving them a variety of options to choose from. Not only do they want multiple shopping options but they expect to have multiple payment options available to them, specifically digital wallets.

“Seventy-seven per cent of younger consumers are more likely to trust businesses that offer their preferred payment methods. Some will even go as far as to leave the items they intend to purchase if the payment method they want isn’t available. Because of this demand, we expect to see social media platforms, retail apps, and e-commerce stores implement the use of digital wallets if they haven’t already met Gen Z’s consumer + security needs.”

Digital wallets will help firms learn who their customer is
Barry Stearn, VP Global program owner, FreedomPay
Barry Stearn, VP Global program owner, FreedomPay

Barry Stearn, VP Global program owner, FreedomPay, the payments platform notes how all payment channels are going to be driven by the consumer and the democratisation of finance in the future.

“One of the biggest payment innovations of today is digital wallets. It took contactless payments 10 years to reach their tipping point – at which all consumer groups and demographics became comfortable with using them – and now we’re set to witness a nearly £138billion shift to digital wallets over the next decade as 46.3 per cent of shoppers look for even easier ways to pay. With the rise of digital wallets, retailers are striving to unlock new levels of personalisation across channels, putting smartphones at the heart of it.

“But the real power of this payment method is that it serves as an ‘identity strategy’ which links to data analysis: once you know who your customer is, you can drive messaging that is relevant to them back through a digital channel.

“We’ve come a long way in terms of digital payments, but they only mark the beginning of a much larger discussion around the concept of horizontally integrated payments and an enriched omnichannel approach to commerce. In the future, we’re going to see more payment methods driven by the consumer, democratisation of payments, and increasingly advanced payment options, such as token and biometric technology.”

Personalising digital wallets

Personalisation is the ultimate key to success in finance and for Sanjay Daswani, international business development, Wildfire Systems, the white-label monetisation platform, this is how digital wallets will improve in 2024.

“We hope to see an acceleration of digital wallets improving on their ability to provide personalised financial insights and services, such as auto-categorisation of spending and savings goals. And hopefully, as digital wallets enhance financial visibility and control, and enable customers to earn rewards within their wallets, adoption will continue to increase.”

Cross-border transactions will benefit as a result of digital wallets
Bassem Elsayed Mostafa, lead market analyst and owner ,GlobeMonitor Market Research Agency
Bassem Elsayed Mostafa, lead market analyst and owner ,GlobeMonitor Market Research Agency

Bassem Elsayed Mostafa, lead market analyst and owner, of GlobeMonitor Market Research Agency, the market research firm, identifies various ways in which digital wallets will advance in 2024, and the knock-on effect these will have on the rest of the payments industry.

“The year 2024 is poised to be a transformative period for digital wallets. With the growing emphasis on contactless transactions and the integration of advanced technologies like blockchain and AI, digital wallets are expected to become more secure, user-friendly, and versatile.

“We might witness an increase in cross-border transactions facilitated by digital wallets, further integration with loyalty programs, and even the incorporation of digital identity features. As the digital economy expands, digital wallets will become an increasingly integral component of both personal finance management and commercial transactions.

“The evolution of digital wallets is a testament to the dynamic nature of the fintech industry, and their growing importance cannot be understated in our rapidly digitalising world.”


  • Francis is a journalist and our lead LatAm correspondent, with a BA in Classical Civilization, he has a specialist interest in North and South America.

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