JPMorgan Chase & Co. is scrapping its Chase Pay electronic wallet.
It will terminate the payment method from all merchant applications and websites by the end of March, according to Yahoo Finance on Wednesday.
The bank decided to terminate the product after acceptance by merchants didn't pick up as quickly as anticipated. PayPal Holdings' service continues to be the preferred option for online retailers looking to give clients an easy way to pay for goods.
"As technology has evolved, so has our strategy for integration at the merchant point of sale," JPMorgan representative Pablo Rodriguez said in a statement.
JPMorgan has been decommissioning Chase Pay for more than a year - first with the Apple Pay-like mobile app in February 2020 and now Chase Pay itself.
Paypal, Google, Apple and Samsung dominate the market for mobile payments. Fewer than 1% of online merchants used JPMorgan's virtual wallet as of the middle of 2019, a study by industry publication Pymnts.com shows. PayPal's service, on the other hand, was adopted by around 70% of online merchants.
Despite a multiyear effort and $100 million in spending, Chase Pay earned little and was deactivated early last year.
During that time, JPMorgan said it would instead concentrate on linking the payment method to applications and websites of merchants like Walmart and Starbucks.
