MCX open to pivot to NFC, if necessary

Thursday 30 October 2014 14:10 CET | News

MCX‘s CEO Dekkers Davidson has unveiled that, if necessary, the mobile payments network would pivot to NFC, online media outlet reports.

According to the source, that means if retailers strongly prefer the NFC system used by Apple Pay to MCX’s mobile payment app CurrentC’s QR code system, CurrentC could switch to the near field communication (NFC) protocol. Davidson has noted that MCX is working with retailers on “other technology that goes beyond QR codes” already. And specifically, MCX merchants are excited about Bluetooth Low-Energy (BLE) solutions.

In response to the New York Times’ allegations that it would make retailers pay fees for breaking their exclusivity agreements and using other mobile payment methods like Apple Pay, Davidson has said he was aware of the reporting around this matter, but that “it’s simply not true, there are no fines”.

MCX is a mobile payment technology company started by a consortium of retailers led by Walmart, CVS, Rite-Aid, Target and other retail chains. Started in 2011, MCX was tasked with creating a mobile payments method that would allow the retailers sidestep the 2% to 3% fee they pay credit card companies when their customers pay via swipe in brick-and-mortars.

MCX’s app is expected to launch in early 2015, but has made waves because its exclusivity deals with CVS, Walmart and Rite-Aid led those retailers to stop supporting the newly launched Apple Pay method that employs NFC readers already installed at the stores.

Davidson has also detailed a hack of its email system, saying its email provider was hacked, though he wouldn’t disclose the name of the provider. He says the hack exposed dummy zip codes and the email addresses of some beta testers of the CurrentC system. The CurrentC app itself was not affected. 

MCX did anticipate interest from hackers, which is why payment credentials are not stored on device, but are stored on secure server in the cloud which was designed to anticipate regular attacks.

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Keywords: MCX, NFC, mobile payments, CurrentC, QR code, BLE, fees, Apple Pay, Dekkers Davidson
Categories: Payments & Commerce
Countries: World
This article is part of category

Payments & Commerce