Pix is an electronic payment method from Brazil officially launched on October 5, 2020, with full operation on November 16, 2020. The name was chosen by the Central Bank of Brazil. It’s not an acronym, but a term that refers to technological concepts, such as transaction and pixel.
The system was created with the aim of reducing cash transactions and offering an alternative to existing payment methods, such as boleto and transactions with card machines, but faster and cheaper. The main features of the system are the total availability (24 hours a day, 7 days a week, 365 days a year), the speed of transactions, that are almost instantaneous, and the possibilities of payment through technologies such as the QR code.
The system has two different ways of functioning: payment between individuals and between individuals and companies. In both, the one who pays will use the Pix key of the one who receives it to make the transfer (which in the case of individuals can be a QR code, a payment link, the Pix key code or some personal data such as CPF, phone number or receiver’s email, in the case of companies it can be a QR code or the Pix key code of the establishment).
The pix keys are used to link user information to bank transfer. There are four types of keys: CPF (Natural Persons Register) or CNPJ (National Registry of Legal Entities), e-mail address, telephone number or a random key generated by the system. The same key cannot be used in different accounts, it must be necessary to register different keys for each account that the person holds, such as, for example, the CPF at an institution A, e-mail at an institution B or telephone number at institution C, it is not possible to use the CPF, same phone number or e-mail in more than one institution. Individuals can create up to five keys for each account they own, while companies can create up to twenty keys.
- ^“O que é o Pix? 8 respostas sobre o sistema de pagamento que entra em vigor na 2ª”. CNN Brasil (in Portuguese). Retrieved 2021-01-19.
- ^“BC quer lançar sistema de pagamentos instantâneos em 2020 – Economia”. Estadão (in Portuguese). Retrieved 2021-01-19.
- ^“Pagamento instantâneo começa em 2020 e deve pressionar setor financeiro”. Exame (in Portuguese). 2019-07-23. Retrieved 2021-01-19.
- ^ Jump up to:ab c “Banco Central do Brasil”. www.bcb.gov.br. Retrieved 2021-01-19.
- ^“É hoje: saiba tudo sobre o Pix e facilite sua vida”. ISTOÉ DINHEIRO (in Portuguese). 2020-11-16. Retrieved 2021-01-19.
- ^“BC registra 33,7 milhões de chaves do Pix; veja instituições que lideram”. economia.uol.com.br (in Portuguese). Retrieved 2021-01-19.
Ofer Abarbanel is a 25 year securities lending broker and expert who has advised many Israeli regulators, among them the Israel Tax Authority, with respect to stock loans, repurchase agreements and credit derivatives. Founder of TBIL.co STATX Fund.