How to Tell if a Digital Wallet Is Right for You

November 17, 2021 by Susan Paige

As the Bitcoin market continues to evolve and other cryptos slowly gain legitimacy, it’s become increasingly important to invest in digitized ways of life. First and foremost, this involves making purchases without the use of a physical card or cash.

For now, most businesses still focus on cash and credit/debit payments—but this is quickly changing as more consumers opt for digital forms of payment. The more demand there is from consumers, the greater the number of businesses there will be that supply virtual payment portals.

Though many fintech advisors have their eye on crypto, most consumers are still playing catch-up when it comes to digital wallets. First and foremost, consumers want to know whether a given company accepts payment from wallets like Apple Pay, PayPal, or Zelle before downloading an app. 

Slowly but surely, companies are expanding their options for payment methods. For example, online casinos tend to offer some of the fastest deposits and withdrawals in the world for players—but not every group accepts digital wallet options.

The easiest way to see which payment options are accepted is to check out a company’s payment options page. To get started, look for a how-to guide that covers the basics which will then offer tips on deposits and withdrawals, as well as other gaming features like mobile play and exclusive deals.

Not sure if a company accepts transactions from digital wallets? Just look for a how-to guide like the one mentioned above. Instructions will be transparent and helpful. Still not sure if a digital wallet is right for you in the first place? Keep reading below for the basics.

Variations in Digital Wallet Type & Usage

For those who may be a little hazy on the details still, a digital wallet is an electronic wallet. It lets users access their credit and debit cards, as well as their banking accounts, virtually; they can make payments, send money, and much more right from a mobile device.

While many may at first be hesitant to leave behind their trusty wallet, the benefits of digital wallets are manifold. They’re efficient, secure, and handy; many apps also let users track their expenses and split bills.

For example, Cash App contains all the services of a digital wallet, while also providing an added level of security. Cash App users can only access bank information and make transactions through fingerprint scanning.

For Android users, the Samsung e-wallet is the convenient choice, as the app’s technology lets users make payments at stores that only offer payment through a magnetic strip (which typically only works for physical card payments).

The Apple Pay app is the inverse; it’s more suitable for iPhone and MacBook holders since all devices can be connected. With Apple Pay, users can store their bank details, travel transits, boarding pass, ID card, and other essentials in their digital wallet.


Misconceptions in Security

According to Statista, the popularity and use of the digital wallet will double within the next few years. Clearly, as shown in the section above, the variation in digital wallets will continue to expand as interest in virtual payments increases.

However, many consumers remain concerned about the security of a digital wallet—if a phone is stolen, doesn’t it put someone’s information at risk? In reality, there are varying security levels that consumers can prioritize when choosing a wallet that’s right for them.

For example, some digital wallets offer encryption. This means the information isn’t stored on the phone’s hardware. Instead, it’s encrypted via the app, which means sensitive information is tokenized into random numbers, which are only legible after a user enters the relevant security information.

Moreover, digital wallets often require one or more verification methods. This is done through the use of a digital signature that is directly linked to the phone number of the smartphone device being used. Because of these features, no one can complete the transaction unless they have the number.

Currently, the majority of digital wallets require two-step authentication. This means a user will need to log in from a familiar device, then provide a password, which will then trigger an OTC (one-time code) that will allow a user to log in.

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