Digital banking is becoming more popular in Nigeria as operators use the best technology tools to solve Nigerians’ problems with transactions and hire people who are good with technology. The Central Bank of Nigeria has approved licencing digital payment platforms to offer microfinance banking and Point of Sale (PoS) services in Nigeria. This is to help more people get access to financial services.
Fintech platforms are becoming more like banks.
Even though these platforms are only online, they are everywhere and have helped Nigerians solve a lot of financial problems recently.
The banks are part of the fintech ecosystem, but they do the same thing as traditional banks that are located in real places. A report says that these fintech platforms work under different types of licences and offer a variety of financial services through mobile apps and other channels. As of February 2023, the CBN database shows that about 894 companies have been given licences to be microfinance banks.
But only a few companies that are fully digital can be called “digital banks.” A few digital banks are the only ones that haven’t gotten licences from the CBN to offer PoS services.
Some of the names of the banks are:
Kuda Bank releases SofPoS, which lets users accept card payments from their phones and puts an end to free transfers.
Nigeria’s first digital bank, Kuda, has added a new feature to its Kuda Business app. This feature includes Sales Mode, Kuda Payroll, and business registration, according to our news source.
TechPoint said that the Nigerian neo bank is about to launch a feature called “SoftPoS,” which will let users accept cardless payments from smartphones. SoftPoS lets customers accept contactless cards and turn their smartphones or tablets into a secure payment terminal or Point of Sale. (PoS). Also, Nigerians have started looking for alternatives as fintech firms have taken over the ecosystem and made it better. This is because bank customers have been having trouble lately and can’t use mobile apps and other digital touchpoints.
Many Nigerians have been helped by these licenced mobile operators during a time when transactions were failing like never before.