Brazil has suspended the WhatsApp digital payment in the country over trust concerns.
The country’s central bank said Tuesday, it has requested Master Card and Visa to halt payments and money transfer services via WhatsApp in the country.
The bank said the decision was to “preserve an adequate competitive environment that ensures the functioning of a payment system that’s interchangeable, fast, secure, transparent, open and cheap.”
WhatsApp, which is owned by Facebook, is the most popular mobile messaging app in the world, with more than 1.5 billion monthly users globally, according to market tracker Statistica.
The in-app payment feature, which could be accessed directly within a conversation with a participating business, was free for users.
Businesses were to be charged a small fee similar to a typical credit card transaction.
Brazil’s suspension of the feature will let the Central Bank evaluate the possible risk to the country’s banking system, including potential threats to “competition, efficiency and data privacy,” the central bank said.
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