Mxit and Standard Bank South Africa have joined forces to provide real money transactions to Mxit's 10-million active South African users through the Mxit Money application.
From today, Mxit users will be able to send money to anyone with a cell phone and to other Mxit users for free. They can deposit and withdraw cash as well as buy airtime and electricity using money from their Instant Money account via Mxit Money.
Instant Money is an electronic currency from Standard Bank used predominantly for person-to-person money remittances where one or both parties are usually unbanked. Instant Money is also used to facilitate online payments without the need for a credit card or bank account.
Mxit Money is a gateway for mobile payment services that enables its users to transact using their mobile phones. Users can access Mxit Money as a contact within the Mxit platform or by downloading the stand-alone iPhone application.
Mxit's vast community has always been able to transact on its platform using the virtual currency Moola. This partnership allows the community to extend payments into the physical trading environment for the first time.
Mxit CEO Alan Knott-Craig says this will open the social network up to immense retail and trade possibilities giving South Africans a great opportunity to capitalised on the growing trend towards mobile payments.
"This partnership allows us to offer users the ability to transact in the real world from within their social network. Mxit Money becomes the portal to a digital marketplace of 10 million users who, with real money, can purchase content and access applications from our development partners," says Mr Knott-Craig.
"To top it off, Standard Bank, an African bank, is showing the world how to integrate the old world with the new. A bank and a social network are working together to make life easier. Our users win, our partners win and the bank wins."
The mobile payment space is fraught with technical, regulatory and user adoption challenges. Standard Bank South Africa has succeeded in addressing these with its Instant Money offering, which gives customers the ability to securely transfer, withdraw and spend their money.
"In a competitive and ever-changing marketplace, it is essential for banks to provide innovative solutions," says John Campbell, Head of Beyond Payments, Standard Bank's innovations unit.
"By partnering with a social network and integrating into the Mxit Money platform, we have demonstrated that Instant Money can be used both in the digital and real world to access funds, affect payments and transfer real money between people. We are proud to lead the digital sphere with Mxit, which continually evolves to meet changing customer and market needs. This is another demonstration of its leadership"
The Mxit Money application was developed by Mxit and mobile development house FireID.
How to use Mxit Money
Standard Bank Group facilitation of Woolworths' ground-breaking acquisition wins Deal of the Year ....
Standard Bank Arranges USD 1.25 Billion Eskom Bond Sale to International Investors