Paynetics and phyre Launch Digital First Mastercard with Telecom VIVACOM
On July 28, 2020, BaaS provider Paynetics, digital wallet provider phyre, and Bulgarian telecommunications company VIVACOM announced the launch of one of the first Digital First Mastercard payment solutions in Central and Eastern Europe. The partnership makes VIVACOM the first telecom operator in the region to offer its customers a Mastercard-branded digital payment card. Paynetics provides the underlying licensed banking and card issuing infrastructure, while phyre contributes the digital wallet and mobile app technology.
VIVACOM distributes the product to its existing telecom subscriber base, embedding financial services into its consumer offering. The Digital First approach prioritizes mobile and digital card issuance over physical cards. This collaboration demonstrates the embedded finance model where non-financial brands leverage BaaS providers to offer payment products.
No financial terms of the partnership were disclosed. The initiative reflects broader European trends toward embedded payments and the role of BaaS in enabling non-bank distribution of financial services.
- Validates the BaaS model for enabling telecoms to embed payment products without obtaining their own banking licenses
- Signals growing embedded finance adoption in Central and Eastern Europe beyond Western European markets