]One of the most popular new ways for people in Canada and across the world to pay for goods and services online at the virtual checkout is to use digital wallets, which are also called mobile wallets, web wallets or e-Wallets.
The question being asked here is, are digital wallets popular in Canada? Let’s dive straight in to find out.
Is A Mobile Wallet The Same As The Pay By Phone Payment Method?
A mobile wallet is not the same as a pay by phone payment system, the latter of which allows users to pay for things online using their mobile number, and anything they purchase is charged to their mobile phone bill. This online payment method still isn’t yet widely accepted.
A mobile wallet, web wallet, eWallet, or whatever you prefer calling it (perhaps an electronic wallet or digital wallet) is completely different. It’s a digital financial service or application, aka alternative payment method (APM), and it can be used to pay for things on millions of websites.
The most well-known digital wallet, which many of you should already be familiar with by now, is PayPal. Others include Neteller, Skrill, Apple Pay, Trustly Wallet, Payz, Samsung Pay, and Google Pay.
They eliminate the need to use credit and debit cards, and when paying for things with digital wallets, you also don’t need to enter any other personal banking information. You can use digital wallets to pay for things like your weekly groceries and Netflix subscription or to top up your iGaming accounts (they can be used for deposits and withdrawals).
You can also use your digital wallet to send and receive money to and from other same-account holders or use it to get paid or pay other people. Some digital wallets also now allow you to buy, hold and sell cryptocurrencies on their platforms.
In other words, digital wallets are modern, secure, convenient, multi-functional, and user-friendly online payment solutions that are now widely accepted.
Are Digital Wallets Popular In Canada?
Yes. According to the latest statistics, digital wallets are now more popular than ever in Canada. In fact, around 50% of all adult smartphone users in Canada regularly use a digital wallet when paying for things at the virtual checkout on their favourite websites.
They are transforming the future of online payments and making the process more simplified and secure.
What To Look For In A Good Digital Wallet
If you are new to digital wallets and haven’t ever used one before but want to start using them instead of using your credit or debit card, there are several things to consider before deciding which one to use.
The key qualities to consider when choosing a digital wallet in 2025 are the following:
- Security
- Device compatibility
- Transaction fees
- User-friendliness
- Accessibility
- Customer service and support
- Promotional offers (e.g., sign-up bonuses, loyalty rewards schemes, frequent use perks and benefits, etc.)
- Additional services (e.g., some also have physical/prepaid cards or crypto trading services, and so on
The best thing to do would be to use one of the major brands, such as Apple Pay, Google Pay, Samsung Pay, PayPal or Neteller, and avoid using digital wallets that nobody has ever heard of.
Before registering your free digital wallet account and downloading/installing their mobile app onto your smartphone, you might also want to check if your preferred websites accept that digital wallet.
For example, you don’t want to register a new PayPal account and then sign up to a new online casino only to find out that it doesn’t accept PayPal. You can head straight to your favourite sites’ cashier/banking section to see which digital wallets they accept before deciding which one to go for.
Also, some digital wallets are only available on specific devices. For example, you can’t use the Apple Pay wallet on Android devices because it’s available exclusively on iOS devices.
Are Digital Wallets Safe?
Yes. These days, digital wallets are perfectly secure, which is why so many people prefer using them. They are also known for being cheaper than traditional online payment methods like credit and debit cards and bank transfers.
The websites where people can use digital wallets also use top-notch cybersecurity measures to protect transactions. Highly sophisticated firewalls and cryptographic encryption are generally used to ensure your payments are always protected, and things like artificial intelligence, Two-Factor Authentication (2FA), Transport Layer Security (TLS) and Secure Socket Layer (SSL) encryption technology are used to enhance your payment protection even further.
Final Thoughts
Digital wallets provide people with a low-cost, quick and easy way to pay for things online, and they work well on any modern desktop computer, laptop, smartphone or tablet device.
Digital wallets like PayPal are typically free to join, although if you want to use them, you will either have to top them up by connecting them to your bank card (or bank account) or get another same-account holder to send you money. You can then start using your new wallet at the virtual checkout as soon as you do either.
However, don’t forget that you must also complete the KYC (Know Your Customer) age and ID verification process when signing up to most digital wallets. It’s for your own protection and eliminates fraudulent activities such as false accounts being set up in your name.