Apple’s iPhone supports contactless payments where you can tap an iPhone against a supported payment terminal to make payments using Apple Pay. However, receiving payment on an iPhone is a different story and typically retailers would need an extra device like those made by Square.
However, that will soon change because Apple has since announced a new iPhone feature called Tap to Pay on iPhone. This basically turns an iPhone into a payment terminal of its own where retailers can now accept payments using their iPhones where customers can tap on it using credit/debit cards, or other devices like an iPhone or Apple Watch that has Apple Pay setup.
This feature was initially reported towards the end of January where it was revealed that the feature could come in an upcoming update, and now it looks like Apple has made it official. The launch of this feature shouldn’t be too surprising because back in 2020, Apple actually acquired a company called Mobeewave that was working on the tech, so it looks like the acquisition has finally borne fruit.
That being said, Apple is going about this in an interesting way because Tap to Pay on iPhone won’t be a native iPhone feature. Instead, it’s more like an underlying framework that developers can use to develop apps to support it. This means that retailers will need to find a payment platform that supports the feature if they want to use it. Stripe is expected to be the first to support the feature this coming spring.