China-based smartphone giant Xiaomi launched their own payment service today.
Known as “Mi Pay”, it will be using UnionPay, a Visa-like company since it has a very large market share in Chinese markets. It will also be supporting both debit and credit cards from 20 Chinese banks including Bank of China and possibly the BEA.
According to TechCrunch, Mi Pay is using NFC and can be used for public transportation in 6 Chinese cities. Xiaomi seems to be interested in the potential revenue that payment services offer to providers and with users using Mi Pay, it encourages them to continue upgrading to another Xiaomi phone to continue their Mi Pay services says TechCrunch.
Xiaomi is prepared to bring this service fast. With the latest phone models shipping with fingerprint scanners and wallet apps, Xiaomi has no problem shipping it out for the Xiaomi Mi 5 (which is the only phone it is compatible with to date). One downside is that it is so far only available in China, Xiaomi’s own territory.