Pix is an
instant payment
Instant payment (sometimes referred to as real-time payment or faster payment) is a method of electronic funds transfer, allowing for almost immediate transfer of money between bank accounts. This was in contrast to the previous transfer times o ...
platform created and managed by the monetary authority of
Brazil
Brazil, officially the Federative Republic of Brazil, is the largest country in South America. It is the world's List of countries and dependencies by area, fifth-largest country by area and the List of countries and dependencies by population ...
, the
Central Bank of Brazil
The Central Bank of Brazil (, ) is Brazil's central bank, the bank is autonomous in exercising its functions, and its main objective is to achieve stability in the purchasing power of the national currency. It was established on Thursday, 31 Dece ...
(BCB),
which enables the quick execution of payments and transfers. Pix was announced in the summer of 2019, and was fully operational on November 16, 2020.
[ The "Pix" brand name and logo were created in-house by the ]Central Bank of Brazil
The Central Bank of Brazil (, ) is Brazil's central bank, the bank is autonomous in exercising its functions, and its main objective is to achieve stability in the purchasing power of the national currency. It was established on Thursday, 31 Dece ...
in 2020. It rapidly became the main payment system in the country and there are studies from other countries to adopt its technology.
History and usage
The electronic payment project began at the end of 2016, when the Brazil's Central Bank published a report on the project.
The Central Bank of Brazil launched Pix in part to spur competition in the country's banking industry. Bloomberg
Bloomberg may refer to:
People
* Daniel J. Bloomberg (1905–1984), audio engineer
* Georgina Bloomberg (born 1983), professional equestrian
* Michael Bloomberg (born 1942), American businessman and founder of Bloomberg L.P.; politician a ...
referred to the system as "ubiquitous" in Brazil in October 2021, a year after Pix's release. As of November 2021, it has been reported that the system has already made more than 6 billion transactions totaling to an amount of R$3.75 trillion or about US$682 billion. In 2023, Pix was the main payment system in Brazil, totaling 42 billion transactions.
As of February 2024, Italy is considering a bilateral agreement with Brazil to implement the mechanism.
Features
The Brazilian instant payment ecosystem (Pix) was created with the aim of reducing cash transactions and offering an alternative to existing payment instruments, such as bank slip or boleto
''Boleto bancário'', simply referred to as ''boleto'' (English language, English: bank ticket) is a payment method in Brazil regulated by (FEBRABAN).
A boleto, which can be considered a proforma invoice, can be paid at Cash machine, ATMs, bran ...
and ATM, as well as being faster and more affordable. The main advantages of Pix are its full-time availability, the speed of transactions using the system, low-cost functionality, convenience, versatility, open environment, and safety.[
]
Ecosystem
Pix is a structured ecosystem that allows carrying out financial payments and transfers instantly. The BCB is responsible for the management and operation of Pix's operational frameworks: the instant payment System (SPI),[ which is the only infrastructure for instant payments settlement; as well as the "Transaction Accounts Identifier Directory" (DICT), the database linking Pix keys/aliases and the users' transactional account information.][
]
Pix aliases and keys
Pix allows instant payment between individuals and among individuals, companies, and government (P2P, P2B, B2B, P2G, and B2G). To perform an instant transfer or payment, the payer will need the receiver's Pix alias or key (the "nickname" used to identify the payee's/receiver's transactional account). For individuals, the keys/aliases can be personal data - such as their CPF number
The CPF number (', ; Portuguese for "''Physical Persons Register''") is the Brazil, Brazilian individual taxpayer registry, since its creation in 1965. This number is attributed by the Receita Federal do Brasil, Brazilian Federal Revenue to Brazi ...
, e-mail address, cell phone number, random keys (a randomly generated UUID
A Universally Unique Identifier (UUID) is a 128-bit nominal number, label used to uniquely identify objects in computer systems. The term Globally Unique Identifier (GUID) is also used, mostly in Microsoft systems.
When generated according to the ...
), and a QR code (static or dynamic). Companies can use their CNPJ number. Importantly, individuals can create up to five keys for each account they own, while companies can create up to twenty keys; each Pix alias must be associated with only one transactional account; and to pay with Pix it is not necessary to register a Pix alias/key, using the same information that is required to transfer money through other systems of the (TED and DOC).
See also
* Instant payment
Instant payment (sometimes referred to as real-time payment or faster payment) is a method of electronic funds transfer, allowing for almost immediate transfer of money between bank accounts. This was in contrast to the previous transfer times o ...
References
{{Digital payment providers
Payment systems
Government of Brazil
Banking technology