From QR Codes to Palm Scans: Is China Setting the New Global Standard for Digital Payments?
From QR codes to palm scans, the way people pay is undergoing a quiet revolution— and China is leading the charge.
No phone. No wallet. Just a wave of the hand.
That’s now all it takes for Chinese tourists to pay at Singapore’s Resorts World Sentosa. As of 1st May, Weixin Pay has quietly rolled out its palm-scan payment system, with coverage at Adventure Cove and several other entertainment and retail locations within Sentosa. Singapore is the first country outside of China where this technology has been deployed.
The move comes just months after Tencent unveiled the system at the Singapore FinTech Festival in November 2024, announcing a partnership with Visa to bring its palm payment technology to global markets. As part of this collaboration, Singapore’s leading banks, DBS, OCBC, and UOB, are among the first to join in support. The technology has been trialed at locations such as AIchemist café, offering a fast, contactless, and secure payment experience.
But as the rest of the world watches, not everyone is ready to embrace this next leap. What’s holding back the global rise of biometric payments? And why is a technology that seems so seamless still stuck in pilot mode in so many parts of the world?
QR Code: The Revolution Was in the Application, Not the Invention
The story of QR code begins far from China, where it was invented by Denso Wave, a subsidiary of Toyota, in 1994. Originally created to track automotive parts, the two-dimensional code was simple yet powerful, it is capable of storing much more information than traditional barcodes. Despite its capabilities, QR codes remained largely confined to industrial use for years before gaining commercial appeal elsewhere
It wasn’t until the West began to recognize their potential in the early 2000s that QR codes began to gain traction outside of Japan. Companies in Europe and North America began experimenting with QR codes, particularly in marketing and advertising. Brands used them on posters, billboards, product packaging, and even in magazines to provide quick access to websites, promotional content, or mobile apps. The appeal was clear — a simple scan with a smartphone could instantly connect a consumer to digital content, without the need to type in a URL.
However, despite these efforts, QR codes in the West remained somewhat underutilized for years. This was partly due to the lack of native QR code scanning capabilities in early smartphones and a general lack of consumer awareness, their true commercial breakthrough was still far from realized.
That is, until China came into the picture.
While QR codes had existed for years, it wasn’t until the mid-2010s that China saw an explosive rise in mobile payment systems, with WeChat Pay and Alipay at the forefront of the revolution. These platforms didn’t just adopt QR codes—they transformed them into an integral part of daily life.
QR codes were reimagined in China as a tool for frictionless payments. Their low cost, ease of use, and compatibility with smartphones made them the perfect vehicle for a population rapidly leapfrogging credit cards and moving straight from cash to digital wallets.
China leads the world in digital payments, with Alipay and WeChat Pay dominating the landscape. According to a Statista report, approximately 90% of online payment users in China rely on these platforms for e-commerce and brick-and-mortar transactions.
From escrow transactions on e-commerce platforms to WeChat red envelopes (e-Hongbao), and across street vendors, hospitals, convenience stores, restaurants, and taxis, digital payment became the backbone of a vast, cashless transaction ecosystem. With millions of payments processed daily, “scanning a code” and “click to pay” became as instinctive as reaching for the wallet—only faster, safer, and far more convenient.
China’s real breakthrough wasn’t just about the code itself—it was about the context in which the technology was applied. China’s success in digital payments can be attributed to a confluence of factors: the widespread penetration of mobile internet, the rapid expansion of e-commerce, a strong consumer appetite for convenient payment solutions, and the supportive yet regulated policies with effective oversight. These elements have collectively made China a global frontrunner in the digital payment arena.
The Evolution of Digital Payments
As mobile payments gained popularity, smartphones started integrating fingerprint recognition technology in the mid-2010s, allowing users to securely unlock their devices and authorize payments with a simple touch. The added security of fingerprint payment systems boosted consumer confidence, encouraging a move away from traditional payment methods.
But while fingerprint recognition was a convenient step forward, it still relied on a physical touchpoint—a fingerprint scanner. The next major leap came soon after, the face scan payment was enabled by the advanced AI and machine learning capabilities of newer smartphones, which allowed users to complete transactions simply by looking at their phones.
China is the global pioneer in processing facial recognition payments. Major tech companies like Tencent (via WeChat Pay) and Alibaba (with its Alipay service) have integrated face scanning for payments in stores, subways, fast-food chains, and other public spaces. Consumers could now authenticate payments with nothing more than a glance, making transactions not only quicker but also contactless - a feature that became especially important in the wake of the COVID-19 pandemic.
Is China Once Again Leading the Next Payment Frontier?
While facial recognition payments mark a significant advancement in digital transactions, they are not the ultimate solution. In recent years, however, incidents such as “FaceTime scams” and other crimes involving facial recognition have raised growing concerns among users about the security of biometric technologies.
Against this backdrop, the next major evolution is already on the horizon: the palm scan payments. By harnessing even more advanced biometric data, palm scanning offers enhanced security and convenience, positioning itself as the next leap forward in the digital payment revolution.
In May 2023, WeChat’s Palm Scan Payment system made its debut in China, enabling passengers on Beijing’s Airport Express train and students at Shenzhen University to pay using only their palm. By September, the service officially launched across more than 1,500 7-Eleven convenience stores in Guangdong province, marking its first large-scale commercial rollout.
To activate, users align their palm with the sensor on the palm scan device, then scan the screen’s QR code to register on their mobile phones. Upon successful registration, users can make payments by scanning their palms directly. After making a payment, users receive an instant notification of the deducted amount on their mobile phones.
While China leads the way in palm scan payments, another major player in the biometric payment space - Amazon One, launched in the United States in 2020, has struggled with widespread adoption. Challenges such as privacy concerns and regulatory hurdles highlight the stark differences in how biometric payments are perceived across cultures and regulatory environments.
Privacy in the Digital Age: The Amazon One Experience
Since its launch, Amazon One has been rolled out across Whole Foods, Amazon Go stores, as well as various stadiums and airports across the United States, with over 3 million registered users, highlighting the proliferation of palm payment technology in the west.
However, in markets like the United States, where traditional payment methods like credit cards and mobile wallets still dominate, persuading consumers to switch to a biometric payment system like Amazon One has proven challenging too. The lack of immediate incentives to switch, combined with a natural resistance to adopt unfamiliar technology, has limited the growth of Amazon One’s user base.
More importantly, the issue lies in trust. Biometric data, such as palm prints, is highly sensitive, and many consumers are concerned about how their personal data is collected, stored, and used. These concerns have contributed to a trust deficit that has slowed the widespread adoption of Amazon One, especially in privacy-conscious regions.
Hence, without strong privacy regulations, biometric payments will struggle to gain traction in the West, where consumers are wary of technologies that store sensitive personal data without clear protections.
Global Experiments Beyond China and the U.S.
According to Global Market Insights, the global palm payment technology market size was valued at USD 68.4 million in 2024 and is estimated to grow at a CAGR of 26.1% from 2025 to 2034. While Tencent and Amazon are two of the most visible players in palm scan payments, they are far from alone.
Fujitsu’s PalmSecure system has been integrated and adopted in some Ministop convenience stores in Japan for cardless payments and in banking kiosks for secure identity verification. While PalmSecure has gained traction through strategic partnerships—such as with AEON Credit Service, its adoption remains somewhat niche compared to mainstream QR or mobile wallet payments. Nonetheless, Fujitsu continues to invest in scaling the technology, most notably with its PalmSecure Millions Edition, capable of handling up to 10 million registered users, signaling its ambition to expand into high-volume environments like transportation hubs and large retail networks.
According to the UK Finance 2023 report, 38% of all payments in the UK were made using contactless methods, highlighting a clear shift in consumer preferences. This trend signals strong potential for palm payment technology to gain traction, especially as the market continues to embrace touch-free, biometric-based solutions.
The palm payment technology industry in Brazil is projected to reach a value of USD 14.4 million by 2034, driven by significant investments from local fintech companies. In June 2024, InoveBanco—a Brazilian fintech firm based in Campinas, partnered with Tencent to introduce palm scan payment services. This collaboration aims to provide faster, more secure payment options for consumers, marking a significant step forward in Brazil’s growing digital payment landscape.
It's clear that one of the most compelling opportunities lies in the enhanced convenience biometric systems offer for high-traffic environments such as public transportation, financial services, and healthcare facilities. In these settings, speed and ease of use are critical, and the collection of personal data is secure, managed by trusted institutions.
For instance, in July 2024, Mastercard announced the adoption of palm payment and the utilization of biometric authentications. This reflects the rise in the use of palm payment technology in banks and other finance-related areas.
Dubai's transportation system is being enhanced with the introduction of pay-by-palm technology at metro stations. The Roads and Transport Authority (RTA) is working to upgrade the commuter experience at Dubai Metro, reflecting the sector's progressive approach in keeping pace with rapid technological advancements.
However, despite the promising outlook, several challenges must be addressed before biometric payments can achieve widespread adoption.
The greatest barrier to widespread adoption may lie in concerns over privacy and data security—issues inherent to any use of biometric technology. Globally, including in China, people are becoming increasingly cautious about sharing their biometric data with corporations and government entities, as awareness of the potential risks continues to grow.
Another major challenge is the regulatory environment. Laws like the General Data Protection Regulation in Europe, state privacy laws in the United States, and China's Personal Information Protection Law impose strict rules on biometric data usage. These varying regulations complicate the rollout of biometric payment systems globally, highlighting the need for a consistent, international privacy standard.
Is Palm Scan Technology the Future of Payments?
Overcoming these technological barriers and improving reliability in real-world applications will be essential for furthering the adoption of palm scan payments.
What do you think? Would you be open to using your palm to make payments?
Tell us in the comments below!