PayPal Co-Founder Launches Mobile Payments Startup
Feb. 28, 2013
One of PayPal’s original founders has launched a new mobile payments startup. Max Levchin this week unveiled Affirm, which will enable online and mobile purchases by essentially extending a digital charge card to users. Affirm will authenticate consumers using Facebook after which it will guarantee payment to merchants and collect from the consumer within 30 days. Levchin said in published reports that Affirm will simplify purchases on mobile devices by reducing the payment process to two taps: one to choose Affirm as the method of payment and another to confirm the order (first-time users must log on to their Facebook account and accept the Affirm application).
The venture is the first from Levchin’s incubator HVF, which he launched after selling his social application company Slide to Google in 2010 for $182 million. The first merchant to launch with Affirm is 1-800-Flowers.