How platforms can tap into new revenue streams with programmable wallets

As platforms evolve, so do the tools that power their economies. Wallets, once known to facilitate just basic B2C and P2P transactions, are rapidly becoming programmable engines for revenue generation. From embedded finance to modern loyalty programs, the wallet infrastructure is rewriting the monetization strategies.

In this article, we explore how programmable wallets are reshaping platform business models, the key revenue opportunities they unlock, and how platforms can adopt wallet infrastructure to drive sustainable growth.

Why platforms must rethink revenue models

Relying only on traditional revenue sources like advertising, commissions, or subscriptions is becoming less sustainable. With rising competition and margin pressure, platforms need new ways to grow.  For example, by embedding financial services directly into user experiences, platforms can earn more revenue from everyday interactions. 

Programmable wallets create powerful new opportunities to:

• Earn revenue right where users take action
• Increase user lifetime value through incentives and retention
• Optimize operational costs and payment flows

Platforms that embrace wallet monetisation go beyond the intermediary status between payers and payees and become active players in the financial value chain.

What are programmable wallets, and why do they matter?

Programmable wallets support complex logic, such as conditional payouts, multi-party settlements, and loyalty mechanisms, all via an API or platform-native workflows. 

They make it possible to:

• Define how, when, and under what conditions funds move.
• Offer embedded finance services like savings, multi-currency accounts, or FX without building a banking infrastructure.
• Launch rewards or cashback programs directly tied to user behavior.
• Apply different pricing or commission rules by user type, transaction, or region

Where the revenue lies: Key wallet monetization models

Below are several strategic opportunities to generate additional revenue through wallet integration.

Premium features & subscriptions

Offer wallet-based services like faster payouts, automated invoicing, or additional financial tools as part of a paid tier.

Cross-border payments and FX margins

Platforms handling international payments may capture more value through spreads or markups on foreign exchange.

Loyalty, rewards, and cashback

Drive repeat engagement through wallet-linked rewards. Cashback, gamified spending, or tiered loyalty programs (e.g., “Spend €50 in a week, get €5 back”) increase both usage and monetisation.

Wallet upgrades for users earning on platforms 

Vendors, freelancers, and riders can benefit from features like instant payouts, analytics dashboards, or goal-based savings. Platforms can charge small fees for these premium features or bundle them into paid plans.

Smart refunds and predictive billing

Create auto-reload flows and intelligent refund cycles. Platforms can use wallets to automate refunds and balance top-ups. For example, if a user takes rides often, the wallet can automatically reload before the balance runs out. This reduces failed payments, improves the user experience, and gives the platform more predictable cash flow.

Gamified payment experiences

Inspired by popular strategies in the food, beverage, and ride-sharing industries, use wallet-based challenges (e.g., “Order 3 times this week for bonus points”) to increase engagement and monetize through partnerships or upsells.

Social & group payments

Let users pool money in a shared wallet for things like group gifts, shared bookings, or joint subscriptions. Platforms can monetise this by offering extra perks like higher cashback, premium features, or loyalty rewards for group activity.

The benefits go beyond monetization

While programmable wallets create new revenue opportunities, their greater value lies in giving platforms more flexibility in how they move money,  and more control over their financial operations.

Flexibility over money flows

Define custom logic for fund distribution, FX conversion, payout timing, and split billing, all programmable via APIs.

Multi-acquirer setup

Avoid vendor lock-in by working with multiple acquirers like Mangopay, Stripe, or Adyen and settling payments in place.

Faster financial operations

Automate reconciliation, settlements, and reporting. Wallets unify multiple payment sources into a single ledger view, reducing manual ops and financial overhead.

Global scalability

With built-in compliance tooling (KYC, AML, PCI), wallets help platforms expand across borders faster, with lower regulatory friction.

Watchouts: Common pitfalls in wallet monetization

While the opportunities are compelling, wallet monetization is not without risks. Here’s what to plan for:

Regulatory complexity: Different markets have different requirements. KYC, AML, PSD2, and PCI-DSS compliance should be addressed upfront.

User onboarding: The best wallet features won’t matter if users struggle to activate or verify their accounts.

Fee fatigue: Avoid layering too many fees as hidden costs chip away at trust and reduce long-term loyalty.

UX/UI missteps: Wallets should feel seamless, intuitive, and mobile-first. Proper labelling and UX flows are critical to adoption.

Platforms must take a product-led approach to wallet integration, treating them as core user-facing products. 

How platforms are monetizing wallets

Several forward-thinking platforms have already unlocked the potential of a wallet infrastructure. 

• Vinted uses wallets to manage peer-to-peer transactions and captures FX revenue during cross-border exchanges.
• Malt simplifies freelancer payouts through embedded wallets, reducing payment friction and offering advanced financial tools.
• Chrono24 leverages wallet-based escrow to build trust in high-ticket transactions while monetising on speed, assurance, and margin.

How to get started with wallet monetization

Launching a wallet-driven revenue model requires thoughtful execution. Here’s your roadmap:

• Select a flexible wallet provider:  APIs, compliance, modularity, and partner support are key.
• Identify your user personas: Tailor features for buyers, sellers, freelancers, riders, or creators.
• Map your monetization logic: Will you monetise via FX, tiers, loyalty, or transaction margins?
• Prioritize compliance and security: KYC, AML, transaction monitoring, and data protection should be considered from day one to meet regulatory standards and scale safely.
• Design for onboarding and usability: Wallets should feel as native as the platform itself.
• Measure and iterate: Use wallet analytics to understand flows, segment behaviors, and test monetisation strategies.

The bottom Line

Payments have long been seen as a cost center. After all, they still are a necessary expense tied to processing fees. Programmable wallets reframe payments as a revenue opportunity, enabling platforms to monetise transactions, embed financial services, and build new revenue streams. Now, the more payment volume a platform handles, the greater the opportunity to earn from it.

That’s where Mangopay comes in, bringing everything together: programmable wallets, embedded payments, FX capabilities, loyalty tools, and compliance. No stitching together multiple vendors, no fragmented data. Just one stack purpose-built for platform growth.

Want to learn how Mangopay can help you integrate programmable wallets and monetise smarter? Contact us.