From Traditional Transfers to Pix: Understanding Brazil’s Payment Revolution
A three part series into the details of a infrastructure revolution in Brazil's payment market.
After deciding to leave my last job, I started talking to many companies and investors in the UK and Europe to explore new opportunities and think about my next big step. Whenever I told my story and spoke about the products I built or the changes we promoted in the Brazilian market through Stone’s policymaking team, one topic always came up as a unanimous interest: Pix, the Brazilian Fast Payments system that took over the country by storm. Its adoption rate makes it one of the world’s most successful implementations of any payment system. However, I have a specific perspective on its success and the elements contributing to this outcome. So, I decided this was a great moment to start a personal blog, helping me organise my thoughts and explain more in-depth how the payments landscape has evolved in the country during the last decade.
This is it! I will start with a three-part series exploring Brazil’s payment landscape before and after Pix. The dynamic world of payments is ever-changing, and Brazil stands as a testament to innovation, growth, and transformation. From the complex web of traditional payment methods to the groundbreaking introduction of Pix, the country’s financial landscape is rich with lessons, triumphs, and glimpses into the future. In this comprehensive three-part series, we’ll guide you through Brazil’s intriguing payment history, unravel the core elements that made Pix a remarkable success, and venture into the exciting possibilities ahead. Whether you’re a financial enthusiast, tech aficionado, or curious explorer, this series promises a captivating ride through the maze of payments in Brazil.
Part 1 – “Beyond Cards and Codes: Unraveling Brazil’s Pre-Pix Payment Maze” – I explore the fascinating world of Brazil’s payment systems before Pix. From the everyday ‘Boletos’ to the entangled world of TEDs and DOCs, we uncover the systems, schemes, and strategies that shaped Brazil’s financial ecosystem.
Part 2 – “Pix Foundation: The Elements of Success” – Discover the secret recipe that led to the success of Pix. I’ll dissect the infrastructure, policies, and innovations that allowed Pix to take the country by storm.
[Coming soon] Part 3 – “Future Discussions: From Nupay to Payment Initiation, What Does the Future Look Like?” – Fasten your seatbelts as we travel into the future of Brazilian payments. What awaits beyond Pix? I’ll delve into emerging concepts like Payment Initiation in the scope of Open Finance and explore interesting strategies some players are adopting, like Nupay from Nubank.