The digital payment ecosystem in Africa has been on an exciting and transformative journey in recent years, experiencing unprecedented growth and demand.
This evolution has been significantly accelerated by the aftermath of the global pandemic, with contactless payments emerging as a key driver of change, especially among banked customers in specific markets.
In this dynamic landscape, innovative technologies like ‘Tap-on-glass’ and mobile point of sale (mPOS) solutions have gained prominence, but the latest breakthrough, the “Kernel in the Cloud” (KiC) technology, promises to revolutionize digital payments in Africa like never before.
Understanding the KiC Revolution
The Kernel in the Cloud (KiC) technology is at the forefront of this digital transformation.
According to Jason Penton, the Chief Product Officer and Co-founder of Banking as a Service (BaaS) and embedded finance provider, Ukheshe, KiC represents the next phase in digital payment solutions.
Unlike its predecessors, such as ‘Tap-on-glass,’ KiC takes digital payments to a new level by enabling seamless interactions between any device and Visa’s cloud-based payment system.
One of the key advantages of KiC is its ability to eliminate the need for individual devices to host payment processing software. This breakthrough means that virtually any mobile device or tablet can be easily transformed into a cloud-connected payment terminal, expanding the horizons of digital payments accessibility.
The Role of Ukheshe in Pioneering KiC Integration
Introduced in 2022, Ukheshe demonstrated its commitment to driving digital payments innovation by comprehensively integrating KiC into its Eclipse API.
This integration has far-reaching implications for businesses, particularly those with multiple mPOS devices.
Through a single wallet on Eclipse, businesses can efficiently manage and streamline their financial operations, simplifying payment processing for outlets or devices across various locations.
Visa’s Perspective on KiC
Visa Sub Saharan Africa recognizes the significance of KiC in advancing financial inclusion and affordability of digital payments, particularly in South Africa. Vahini Jaganath, Senior Director: Head of Digital Solutions for Visa Sub Saharan Africa, underscores their commitment to this partnership. She emphasizes that KiC provides an efficient and secure framework, enabling merchants to process payments promptly on a wide range of devices. This development is pivotal in bridging the gap between traditional Point of Sale (POS) challenges and fostering an environment conducive to innovation.
The Promise of Cloud Acceptance
Jason Penton remains optimistic about the potential of cloud acceptance, especially in developing countries. He points out that traditional POS systems can be prohibitively expensive and challenging to certify, often acting as barriers to smaller and independent enterprises. Cloud acceptance effectively levels the playing field, enabling businesses of all sizes to offer contactless payment solutions comparable to those of larger corporations.
Redefining Convenience and Innovation
In a landscape where large retailers continually seek to enhance customer experiences, KiC is poised to redefine convenience and introduce innovative avenues in payment solutions. It holds significant potential in emerging markets, bridging the gap between traditional POS challenges and fostering an environment conducive to innovation. This revolutionary approach promises a future where payment experiences are streamlined, secure, and universally accessible.
The Kernel in the Cloud (KiC) technology is set to usher in a new era of digital payments in Africa, offering a level of accessibility, efficiency, and security previously unattainable. With Ukheshe’s comprehensive integration of KiC and Visa’s commitment to fostering financial inclusion, the stage is set for a transformative journey that will empower businesses and individuals alike.
The African digital payments landscape is evolving, and KiC is at its forefront, redefining the way we pay and transact in the digital age.
