The proposals put forward by the US consumer finance watchdog this week specifically target nonbank companies that offer digital wallets, retail payment apps, or process more than 5 million transactions per year.
Under this scope, the new regulations would only apply to 17 companies in total, including PayPal, Apple and Google, which together retain 88% of the market share and process $13 billion transactions a year.
If approved, this group – which the regulator says has amassed a share of e-commerce payments volume that is similar to or greater than traditional payment methods – would have to comply with the Consumer Financial Protection Act.
