Xiaomi launches Mi Pay in China Today


Xiaomi and China UnionPay, one of the world’s largest payment networks, jointly launched Mi Pay today, a revolutionary way to pay with Xiaomi smartphones in China.

Xiaomi also announced that it now supports public transportation cards from six cities. With this, Xiaomi becomes the first smartphone company in the world to support contactless payments through both bank and public transportation cards. Mi Pay will supports debit and credit cards from 20 banks to begin with.

Up to eight cards can be tied to any one device. Mi Pay users also get to benefit from promotions and rewards offered by the banks.

Users can simply add their China UnionPay and public transportation cards to the Mi Wallet app as shown below.

Mi Pay bind card Process

In stores, instead of having to swipe a card when making payment, users just have to hold their device near China UnionPay’s QuickPass-enabled POS terminals and the bank card details will popup. After fingerprint verification, the device is then activated and can be used as a bank card. This results in an extremely simplified payment process: users can complete their transactions just by holding their smartphone near the POS terminal with a finger on the fingerprint scanner.

Xiaomi uses NFC for Mi Pay. NFC has been there for a while now; Hopefully, this will help change the landscape of mobile payments and increase the adoptions.

Near-field communication is a set of standards for smartphones and other mobile devices to establish radio communication with each other by touching them together or bringing them into close proximity, usually no more than a few centimeters. – Wikipedia

Other than hardware-level security, Xiaomi has also incorporated multiple authentication mechanisms that protect user information in these scenarios: adding a bank card, smartphone theft or loss, and attempted fraud. For example, users have to be logged in to their Mi Account when they are adding a bank card, which ensures the safety of their personal data. For transactions, Mi Pay employs tokenization to protect plain text credit card information, and makes users verify their fingerprint for maximum security. If a device is lost, users can turn off Mi Pay through the official website, and find their device using Mi Cloud.

Mi Pay could help resolve the frauds w.r.t Mobile Payments and data breaches. This can also be a simple substitute to the 2 factor authentication and OTP as well.