Digital Wallet

A digital wallet is essentially an electronic version of a physical wallet. Typically in the form of an app, digital wallets – also known as electronic wallets, e-wallets, or mobile wallets – allow consumers to make contactless payments by tapping an enabled payment terminal.

Users can access all the functions of the digitized items via a mobile or wearable device, without the need to carry the physical cards. Digital wallets can securely store digital versions of payment methods (credit and debit cards, gift cards, cryptocurrency) as well as other items like boarding passes, event tickets, and coupons. Digital wallets also use sophisticated encryption methods when transmitting payment information, providing a more secure transaction.

Also known as an eWallet or mobile wallet.