Online payments are indispensable in our everyday existence. Whether you order a new device, take out a subscription or book hotel reservations, chances are that you will pay digitally. But how exactly do these systems work and how is safety guaranteed?

The evolution of online payment
The way we pay has changed enormously in recent years. Where cash and transfers have previously been dominant, online payment systems have provided a revolution in ease and speed.

E-commerce and technology have ensured that new payment methods have been developed that have become safer and more accessible. In our country, among other things, iDEAL is one of the most popular payment methods for your online purchase because it is linked to your bank account.

In addition, we see that companies such as PayPal, Apple Pay and Google Pay, the way in which we make digital payments worldwide have changed considerably.

From credit cards to virtual wallets
For a long time, credit cards and debit cards were the most popular payment methods, which has now been taken over by digital wallets. A digital wallet safely stores your payment information so that you can pay data faster and without repeated input.

Think of Apple Pay or Google Pay with which you can contactlessly pay on your smartphone or smartwatch. This is easier and safer because you no longer use your physical payment card.

Another advantage is the additional safety layer. In a payment, your card information is not released to the seller, so that the chance of fraud and counterfeit is considerably reduced.

Cryptocurrencies and Online entertainment
Cryptocurrencies such as Bitcoin and Ethereum are increasingly becoming a payment option online. Thanks to blockchain technology, payments can be made safely without the need for a bank or other central party.

Although cryptocurrencies are not yet widely accepted for everyday purchases, there are more and more sectors where they are becoming popular. Think of tech companies, international payments and the world of online entertainment.

A good example of this is the rise of innovative payment methods within the online entertainment sector. Especially within legal online casinos, transactions are being carried out more and more safely and more efficiently. This way, players can easily enjoy the best casino slots with reliable payment options such as iDeal and credit cards. This shows that digital payment systems continuously adapt to the needs of users, where safety and convenience are central.

How safe are online payment systems?
Security is one of the most important priorities for online payments. Payers and banks set up several ways to combat fraud.

  • Two factor authentication (2FA)-additional control by means of an SMS code, fingerprint or face end-to-end encryption-information is sent encrypted to keep hacks.
  • AI-controlled fraud detection-modern payment systems analyze transaction patterns and can automatically block suspicious activities.

For consumers it is important to be vigilant and act, among other things by using strong specific passwords and avoiding suspicious sites.

Future of online payment
Online payment methods are evolving considerably. Innovations such as biometric verification (fingerprint and face recognition) make payments safer and faster.

In addition, more use is made of contactless payments. A large part of supermarkets and stores encourage the application of mobile wallets to speed up payments.

Artificial intelligence and the Internet of Things (IoT) also have a more important role. Suppose Smart Devices can pay independently, such as a refrigerator that orders and paves groceries.

With the further digitization of our payment transactions, there is a good chance that cash will be used less and less often. However, safety will always remain a priority to protect consumers against cyber crime.

The conclusion that we can draw of online payments is faster, safer and more accessible than before. From digital wallets to cryptocurrencies, the world of payment is always on the eve of new forms of payment.

While safety will always be an important part, new technologies ensure that digital payment has become fluent and reliable. The future of online payment promises even more convenience and innovation, where traditional payment methods are slowly disappearing to the background.

This article was created in collaboration with Unibet.nl