# Commerce Pass
source: https://developer.mastercard.com/cp-platform/product/commerce-pass/index.md

#### Transitioning marginalised individuals and merchants from cash to digital {#transitioning-marginalised-individuals-and-merchants-from-cash-to-digital}

Commerce Pass is digitising low-value transactions creates a first, low-friction step to migrate marginalised individuals and merchants into the formal economy.

### Key Features {#key-features}

###### Transparent Transaction History {#transparent-transaction-history}

Provides visibility into the digital transaction history between merchants and consumers so that financial institutions can offer appropriate services.

###### NFC Enabled Chip Cards {#nfc-enabled-chip-cards}

NFC chips in the consumer card and merchant terminal enable the instant offline transfer of value, storage of user balances, and PIN and biometric authentication.

###### Facilitate Offline and Online Transactions {#facilitate-offline-and-online-transactions}

Offline transactions are stored in the merchant's terminal until connectivity is available. When connected, stored transactions are uploaded to the Commerce Pass server and to the bank systems so accounts can be debited and credited.

###### Know-Your-Customer {#know-your-customer}

Transactions yield data analytics for customers.

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### How it Works {#how-it-works}

#### POI Terminal to Commerce Pass Server to Consumer {#poi-terminal-to-commerce-pass-server-to-consumer}

![POI to CxP to Customer How it works](https://static.developer.mastercard.com/content/cp-platform/product/cxp/poi-cxp-customer.png)

#### POI Terminal to Customer to Commerce Pass Server {#poi-terminal-to-customer-to-commerce-pass-server}

These are typically initiated by the Financial Institution. Below is an example of a consumer initiating the Cash-IN flow.
![POI to Customer to CxP How it works](https://static.developer.mastercard.com/content/cp-platform/product/cxp/poi-to-customer-cxp.png)

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#### Key Personas {#key-personas}

###### User/Consumer {#userconsumer}

Individual digital account holder who initiate life transactions via Commerce Pass products/services

###### Agent {#agent}

Representative of the Community Pass customer who performs select transactions on its behalf

###### Merchant {#merchant}

Micro and small merchants

###### Agent Admin {#agent-admin}

Community Pass customer administrator who manages agents through their own customer portal

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### Why Use It {#why-use-it}

###### Trade ecosystems in marginalised communities are facing challenges {#trade-ecosystems-in-marginalised-communities-are-facing-challenges}

Small day-to-day transactions let people acquire essential goods, empower merchants to provide for their families, and boost the economy.
Nevertheless, the dominance of cash imposes challenges on their prosperity.

### 1.7B

adults remain unbanked worldwide\*

### $5T

are spent annually in the cash ecosystem\*\*

### 40%

of formal MSMEs in developing countries still have unmet financial needs\*\*\*

### 180M

MSMEs are accepting micro-transactions\*\*

###### Sources, all statistics are global: {#sources-all-statistics-are-global}

###### \* World Resources Institute {#-world-resources-institute}

###### \*\* Dalberg {#-dalberg}

###### \*\*\* SME Financing Forum {#-sme-financing-forum}

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### Use Cases {#use-cases}

###### Cash In {#cash-in}

Consumers can transform cash into digital funds.
Our research has shown that customers feel comfortable to keep cash on their Community Pass card, a first step to digital banking.

###### Cash Out {#cash-out}

Consumers can transform their digital funds into cash through an agent/merchant.

###### MSME Payments {#msme-payments}

Commerce Pass facilitates frictionless and secure low-value MSME payments.

###### Offline Disbursements {#offline-disbursements}

Offline Disbursements enable the bank to reach customers in the last mile with digital payments, creating a strong position for government and NGO contracts.

###### Buy Now, Pay Later {#buy-now-pay-later}

Commerce pass enables MSMEs to digitally offer and track the "Buy Now, Pay Later" form of informal credit to their custom in exchange of goods,
deepening the importance of social capital in the last mile.

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### Resources {#resources}

Commerce Pass

Providing underserved communities with access to essential financial services, while expanding a market segment for issuers and acquirers.

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**Used
By** Issuers, Acquirers **Regions** Global **Supports** ![mastercard card](https://developer.mastercard.com/img/card_mastercard.svg)

#### Navigation {#navigation}

Commerce Pass is a Product of Community Pass. Return to the [Community Pass Homepage](https://developer.mastercard.com/cp-platform/product/community-pass/index.md) to learn more about the platform and other products offered.