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Exploring The Evolution Of Online Payment Solutions


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Over the past ten years or so, consumers have been blessed with new payment opportunities, which have brought added convenience. In the past, it was only possible to pay with check, cash, and possibly a money order. As time has drug on, the Internet and technology have brought about new payment solutions, which make it possible to send money anywhere easily and more affordably.

Within this guide, you’ll find a complete overview of the evolution of the payment system.

Gold And More.

Before the American dollar originated, Americans often bought items with gold. Before that, other forms of currency were used and they were immensely different from today’s currencies. Livestock, shekels, shell money, and crude metal coins were used by various civilizations in the past. Although these things might seem a little bit odd now, they worked well for the Romans and other group of people, who came before you. The Gold Standard was introduced to England in 1816 and eventually to the United States in 1900.

After a few economic scares, the Federal Reserve of the United States introduced gold-backed reserve notes, which would late become the United States Dollar. The USD would eventually drop the gold standard in 1971.


Around the 1920s, consumers began taking a shirt towards convenience with the implementation of charge cards. Charge cards gave consumers the ability to put items on their tabs. Credit cards were officially introduced in the 1950s. Diners Club were the first to release a card with American Express and Visa entering the trade eight years later. Although charge cards were basic, they were effective and make it possible for customers to make their purchase, without carrying physical money. Nonetheless, they were eventually wiped out by more innovative and more convenient technologies.

Online Shopping.

Although PayPal was introduced in 1998, consumers have been buying and selling online since 1994. Although the specifics vary depending on who is telling the tale, it is widely speculated that one of the first online purchases came in the form of a pizza from Pizza Hut. Nonetheless, most people think about PayPal, when they consider online payment solutions. PayPal was the first big online payment system and it eventually helped bring about mobile payments. PayPal was originally introduced as Confinity and was founded by several big names, including Max Levchin, Luke Nosek, Ken Howery, and Peter Thiel. Elon Musk got involved in March of 2000, when Cofinity merged with Musk’s X.com.

PayPal eventually introduced the world to eBay and the pair has been inseparable ever since. 

Mobile Payments.

Surprisingly, it was a non-tech related company that is officially recorded as introducing the mobile commerce system. In 1997, Coca-Cola developed and released vending machines, which were able to accept payments through text messages. At the time, the system didn’t seem impactful, but it truly was. It may have started with payment by text, today mobile payments are made by thousands, if not millions, of people each and every day. In fact, mobile payments have transformed into a trillion-dollar market and everyone is getting involved. Millennials and even today’s seniors use mobile phones to make payments.

Suffice to say, the online and mobile payment system is going nowhere and both will undoubtedly see continued growth in years to come.