I wonder what incentives these new players have to provide a medium to transfer money on their platform? Why should I give my credit card to Facebook or Snapchat?
It doesn't really make sense for me. I would much rather use a vendor that's sole purpose is to provide a means of money transferring. I don't need the convenience of typing a sigil followed by the amount to send money to friends. If I really can't electronically send them money, I will go out of my way to give them cash at a later date.
Do one thing. Do it well. vs Do everything. Do it OK.
Companies have always started in the former, and expanded to the latter to not only diversify their "investments" (using that very loosely), but increase revenue.
It just makes sense. And from a tech company it makes sense in a world where internet banking is still only adopted by ~60% of consumers. (I know, surprised me too.)
It doesn't really make sense for me. I would much rather use a vendor that's sole purpose is to provide a means of money transferring. I don't need the convenience of typing a sigil followed by the amount to send money to friends. If I really can't electronically send them money, I will go out of my way to give them cash at a later date.