This edition of Today in Payments explores the explosive growth of digital wallets and virtual cards, the rising consumer demand for one-click checkout, and the gradual adoption of cryptocurrency at the point of sale. It also highlights the continued relevance of ACH payments, which are quietly surging thanks to B2B healthcare transactions and same-day capabilities. From emerging technologies to established infrastructure, the payment landscape is evolving fast.
Welcome to Today in Payments, I’m your host, Patti Murphy, here with your weekly dose of payments notes.
The payments landscape has undergone a profound transformation over the past decade, with digital wallets and virtual cards emerging as pivotal forces. Indeed, a decade of relentless innovation—largely driven by fintech advancements and widespread smartphone adoption—has fundamentally reshaped consumer payment habits. Digital payments, once deemed “alternative,” now dominate online transactions and are rapidly gaining ground at physical points of sale.
This is according to a new report from UPay, a payments and loyalty app based in the UK that claims a global presence.
Digital wallet spending grew nearly tenfold over the past decade, from $1.6 trillion in 2014 to $15.7 trillion in 2024. It's projected to double again by 2030, exceeding $28 trillion—more than the U.S. GDP in 2023.
Virtual cards are gaining traction among both businesses and consumers due to their enhanced security features and ability to streamline expense management, especially for online transactions and B2B payments. Virtual card payments are expected to total $5.4 trillion this year and are forecast to nearly triple by 2030, reaching $14.3 trillion. Growth will come largely from B2B automation and surging e-commerce volumes, the report states.
While merchants are embracing digital wallets, BNPL, A2A, and real-time payments, many are neglecting a frictionless final step in the purchase process: one-click checkout.
That’s a key takeaway from a new PYMNTS Intelligence–Worldpay report.
Among global shoppers surveyed, 84% said one-click checkout is an important factor in choosing where to shop, and 18% pick retailers solely based on whether that option is available.
Other noteworthy data points: 99% of cross-border shoppers want to use their preferred payment method, and 94% want to pay in their local currency—underscoring the need for merchants to offer seamless, localized experiences for international buyers.
Additional findings from the research include:
Digital wallets account for 66% of global e-commerce.
BNPL has grown from a $2.3 billion niche to a $343 billion force in just ten years.
Account-to-account payments, supercharged by systems like India’s UPI and Brazil’s Pix, are expected to reach $3.8 trillion in value by 2030.
An article recently published in Restaurant Finance Monitor offers compelling insights on payment acceptance, specifically: Should a Restaurant Consider Accepting Payment in Bitcoin? It outlines the pros and cons of integrating a cryptocurrency gateway into a restaurant’s website or POS system via an API, selecting a gateway that supports the most cryptocurrencies, and understanding how quickly it converts digital currency to cash—mitigating price volatility.
A major benefit for restaurateurs, the article notes, is cost. Referencing Debut Infotech—a blockchain and AI services firm—it states that most crypto gateways charge just 0.5% to 1.5% per transaction, compared to the 2%–4% typically charged by credit card processors.
However, one potential challenge is tax implications. The IRS requires merchants to reflect the fair market value of cryptocurrency on the day it is received as part of gross income. When the digital currency is later sold, that transaction is also subject to capital gains tax. The more consumers pay with crypto, the more complex a company’s financial statements and tax filings become.
According to the Federal Reserve, in 2023 (the most recent year with data), only 1% of Americans used cryptocurrency to pay for purchases. For context, research by Security.org shows that 28% of U.S. adults—approximately 65 million people—own cryptocurrency.
We often focus on digital wallets, virtual cards, cryptocurrencies, and other emerging payment methods—but let’s not forget the ACH, one of the original players in electronic payments.
ACH payment volume grew by 5.5% on a daily average basis in the first half of the year, according to NACHA. In total, the ACH processed 17.25 billion payments from January 1 to June 30. In dollar terms, the growth is even more striking: the network processed $45 trillion in payments—a 6.8% increase compared to the same period last year.
Key drivers of ACH growth include:
Same-day ACH, which saw year-over-year volume growth of 15%
B2B payments, which grew 10%, largely driven by healthcare—claims payments to doctors, dental practices, and hospitals
Consumer payments, which rose 6%, including recurring bill payments, donations, subscriptions, and account-to-account transfers (such as funding digital wallets)
Looking ahead, we can expect even more ACH transactions as the government phases out paper check issuance.
That’s all for Today in Payments. Stay tuned for your weekly dose of payments notes.