It is compatible with both ApplePay and Android Pay
June 22, 2015: Dinube, Europe’s first payment network that enables consumers to replace credit/debit cards with their smartphones, announces the latest rollout by the $1 billion European supermarket chain BonPreu. Dinube’s groundbreaking new payment network uses tokenisation, Near Field Communication (NFC) technology and biometric fingerprint security to make card-based payments a thing of the past.
Available from today at 170 new locations, the BonPreu chain is the latest European retailer to integrate Dinube as its next-generation, digital payment network.
Dinube is Europe’s first all-digital payment network, developed by MIT graduate Jonathan Hayes. Dinube links directly to a user’s bank account, which means users do not have to own a credit/debit card or pay cardholder fees. The 100% digital solution instantly stores full receipts and loyalty card information in the cloud. Users can retrieve all their purchasing data simply by logging into the network. Additionally, Dinube’s unique tokenization system is used in combination with the smartphone fingerprint scan to ensure maximum security for in-store and online customers alike.
“Dinube puts customers in control of their data, giving them a secure, private and simplified purchasing solution from their smartphone – for free,” explains founder and CEO Jonathan Hayes. “We have built new payment rails so that, at last, traditional retail businesses have an alternative to the outrageous transaction fees they are charged for accepting legacy payment networks. Dinube’s model also promotes growth of a retailer’s top line, by helping them to curate the shopping experience with the most convenient, secure and personalized digital payment solution on the market.”
Dinube’s proprietary privacy algorithms were developed by a Stanford Ph.D. and enable users to maintain full control over every part of their personal data. Its technology makes in-person and online purchases as anonymous, secure and easy as using cash.
Digitisation can make cashless payments more efficient and attractive, yet European merchants have hesitated to adopt this new form of technology because until now, solutions have been modelled around legacy systems that have not provided clear, new benefits for both consumers and retailers. Although EU legislation aims to cap the cost of credit card fees, the impact on debit-card fees is less clear. Card schemes in the UK, for example, have opted to alter the structure of interchange fees from a fixed price per transaction (8p) to 0.2% of transaction value (capped at 50p-75p). According to some merchants, this means that transactions above £35 will be more expensive to process. A typical UK debit card transaction is £48, so the cost of debit transactions is actually set to increase. The accumulation of these fees can be detrimental to any company — especially to small businesses but also to large supermarket chains, whose margins are often narrow. The result is that some merchants will have no alternative but to surcharge customers for higher-value debit card transactions.
The company’s network is already built into the payment gateway operated by Informática El Corte Inglés, the IT services arm of Europe’s largest department store group, El Corte Inglés , as well as the contactless NFC pinpads of Ingenico Group, the global leader in payment solutions.
Businesses looking to streamline customer payment methods as part of their omnichannel strategy can easily integrate Dinube into their existing payments infrastructure, without needing any new hardware. By only charging businesses a flat transaction fee for purchases over 10 Euros, and allowing them to make smaller transactions for free, the Dinube network entirely changes the payment solutions playbook.