Taxonomy Archives: Issues & Options

April 30, 2021

QR Code Payments Landscape: Oct 2019

By Glenbrook Partners This is a landscape review of QR Payments models around the world, with an emphasis on developments in emerging economies. In this report, we describe the various models, with particular attention to how QR code implementations connect with the underlying payments systems used to process the payments. Read More
July 7, 2020

Blockchain Technologies

The non-hub model may be more conducive to eventually using the “transport” capabilities of emerging blockchain technologies. The potential for dramatically lower costs with these technologies is of particular interest for financial inclusion. Read More
July 7, 2020

Switch: How Should Transactions be Routed?

This issue pre-supposes that the “scheme interoperability” option has been chosen. (See Issue: Interoperability)Any multi-participant payments scheme requires a switching functionality to pass transactions from one participant to another. There are a variety of models in payments systems today that can be considered. A central “hub” switch is operated by… Read More
July 7, 2020

Participation: What Categories of DFS Providers Should be Permitted?

The Level One Project Guide uses the term “participation” to refer to entities who are direct members of a payments scheme: the Digital Financial Services (DFS) Providers. The payments scheme is the entity which writes and maintains the rules that bind these scheme participants. Note that participation is not necessarily… Read More
July 7, 2020

Mandates on Interoperability

Many countries are also dealing with the question of whether or not interoperability should be mandated by regulation, or left to the market to lead. There are pros and cons to this issue, and there will be considerable variability from country to country in how this is handled, particularly given… Read More
July 7, 2020

Interoperability: How Should Interoperability be Achieved in a Payment System?

A great deal has been written about interoperability, particularly for mobile money schemes in the developing world. Everyone seems to agree, in theory, that interoperability is a good thing, and serves end-users (customers) in their need to exchange transactions with counterparties.In most (if not all) countries, the major bank payments… Read More
July 7, 2020

Governance: Who Should Govern the Payments Scheme Within a Country?

Who governs the payments scheme or organization within a country? With a closed-loop structure, the question is obvious: the scheme is owned and governed by the provider of the system. With an open-loop system, or with interoperating closed-loop systems, there is a question of who governs either the system or… Read More
July 7, 2020

Identity and Biometrics

A persistent identifier, for both consumers and businesses, is a key element in managing fraud. Without this, a bad actor can simply assume a new identity. The use of a national identifier is a “best practice” for emerging digital financial systems. If the national identity system is not sufficiently deployed,… Read More
July 7, 2020

Linking Mobile and Account Identification

Identification is becoming an increasingly interesting and relevant topic in digital financial services. Please view the following articles that discuss mobile identification as well as linking mobile ID to bank account identification. Mobile Pay Players Focused on Biometrics Authentication The expansion of mobile money in the developing world has… Read More
July 7, 2020

Fraud Management: Where Should Fraud Be Managed?

There are many aspects of risk management in the operation of any payment system. In this section, we look specifically at fraud management. In most traditional payments systems, the service providers (normally banks) assume responsibility for detecting fraud in payments to/from their end-customers. This includes correctly managing the “know your… Read More