FaceCash Adds NFC to Its Barcode-based Payment Method

by Mercator Advisory Group 0

Silicon Valley-based FaceCash has added NFC to its repertoire. FaceCash is a service that leverages both mobile technologies and a central server-based authentication scheme to create a new mobile payment method. The company has built a set of mobile apps for iPhone, Android, RIM, and others. To make acceptance easier, it has built FaceCash Register, a free web-based cash register application for the merchant. At the register, the customer presents a barcode on her mobile phone that pops up her photo on the merchant’s terminal. The transaction is complete when the merchant debits the user’s FaceCash account.

The company certainly has no lack of technology vision. Adding NFC to replicate and complement the barcode authentication in the original version makes sense. NFC readers will become cheaper than the expensive image scanners needed to read 1D and 2D barcodes from mobile screens.

But with 20 merchants and 500 users, FaceCash has a long way to go and will need very large “friends” to make a go of it. For good or ill, technical merit is not a leading indicator of future success.

Now, FaceCash has added support for NFC to its Android app, along with an upgrade to its FaceCash Register web-based POS system for retailers.

“With FaceCash you can now replace your cash register, your card terminal, your calculator, and if you choose to send e-mail receipts, your printer and your thermal paper as well,” says Think Computer CEO Aaron Greenspan. “Processing payments will cost a literal fraction of what it used to… Whether you use barcodes or NFC, you still get a better deal, less fraud, and top-notch security overall without the PCI nightmare.”

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