What is a digital wallet? How they work in Singapore (2026)

Key Takeaways:

• A digital wallet is a secure, software-based tool that stores your payment details — card numbers, bank accounts, or loyalty cards — so you can pay in-store, online, or in-app using your phone or device.

• Singapore has several widely used digital wallets, including Apple Pay, Google Pay, GrabPay, and DBS PayLah!

• Airwallex Payments lets Singapore businesses accept digital wallet payments and 160+ local payment methods globally, without needing separate integrations for each market.

What is a digital wallet? In a nutshell, it’s a secure, software-based tool that stores your payment details — such as your credit card, debit card, or bank account information — so you can pay without reaching for a physical card.

You use it on your smartphone, tablet, or smartwatch to make purchases in-store, online, or in-app.

In Singapore, digital wallets are accepted everywhere from hawker stalls to retail stores and online checkouts. From Apple Pay to GrabPay and DBS PayLah!, the options are varied, and each works differently.

This guide explains what a digital wallet is, how it works, and which wallets are most widely used in Singapore.

How does a digital wallet work?

Digital wallets use two core technologies to process payments: tokenization and near-field communication (NFC). Together, they make payments fast, contactless, and secure.

Tokenization

When you add a card to a digital wallet, your actual card number is never stored on your device or shared with merchants. Instead, the wallet generates a unique code — called a token — that represents your card for that transaction.

Even if a merchant's system is compromised, your real card details stay protected.

Near-field communication (NFC)

NFC is the short-range wireless technology that lets your phone or watch communicate with a payment terminal. When you tap to pay, your device and the terminal exchange data over a distance of a few centimetres. The transaction completes in seconds.

QR code payments

Not all digital wallets use NFC. Some — particularly GrabPay and DBS PayLah! — rely on QR codes. You scan a merchant's code (or show yours to be scanned) to complete a payment.

In Singapore, most QR payments run through the SGQR standard, which consolidates multiple payment schemes into a single code displayed at the point of sale.

Types of digital wallets

Not all digital wallets work the same way. There are three main types, each suited to different use cases.

1. Device-based wallets

These wallets are built into your device's operating system. Apple Pay, Google Pay, and Samsung Pay are the main examples. They use NFC to enable contactless payments in-store and can also be used for online checkouts.

2. App-based wallets

These are standalone apps where you load funds or link a payment method. GrabPay and DBS PayLah! fall into this category. They typically combine payment functionality with other features — rewards, transfers, or in-app purchases — within their own ecosystem.

3. Closed-loop wallets

Closed-loop wallets can only be used within a specific merchant or platform. A coffee chain's loyalty app, for example, or stored-value cards like EZ-Link, are closed-loop — they are accepted only where the issuer has set up acceptance.

These are useful for frequent, specific purchases, but not for general spending.

Digital wallets in Singapore

Singapore has one of the highest digital payment adoption rates in Southeast Asia. Whether you're paying at a hawker centre, booking a ride, or shopping online, you will likely have several wallet options at checkout.

Here is a breakdown of the most widely used digital wallets in Singapore today:

The information in this table has been reviewed to be accurate as of 9 June 2026.

If you’re running a business, the more payment methods you accept, the higher your conversion rates. Airwallex lets Singapore businesses accept digital wallet payments and 160+ local payment methods globally. Learn more about Airwallex Payments or sign up for an account.

1. Apple Pay

Apple Pay is built directly into iPhone, Apple Watch, Mac, and iPad — there is no separate app to download. You add a credit or debit card to the Wallet app, then double-click your device's side button and hold it near any NFC-enabled terminal to pay.

In Singapore, Apple Pay is accepted at a wide range of retailers including FairPrice, Cold Storage, Uniqlo, Guardian, Starbucks, 7-Eleven, and Best Denki. It also works for in-app and online purchases wherever the Apple Pay button appears. Supported cards include those issued by DBS, POSB, OCBC, UOB, Citi, HSBC, Standard Chartered, and Revolut.

Apple does not charge any fees to use Apple Pay. Your actual card number is never stored on Apple's servers or shared with merchants. Each transaction uses a unique token instead.

2. Google Pay

Google Pay works on Android devices and Chrome browsers. You save your card details once, and they appear automatically at checkout across Android apps and websites. For in-store purchases, you tap your phone at any NFC-enabled terminal.

Google Pay uses built-in fraud alerts and encryption to keep your transactions secure. Your personal information and transaction history are never sold, and you can manage your privacy settings directly within the app.

3. GrabPay

GrabPay is the payment service built into the Grab app: the same app you use to book a ride, order food, or shop on GrabMart. You can use GrabPay to pay within the Grab ecosystem and at participating merchants in Singapore.

GrabPay transactions earn GrabRewards Points, which can be redeemed for discounts on future purchases. The wallet also connects to Grab's broader financial services, including insurance and savings products, all within one app.

4. DBS PayLah!

DBS PayLah! is available to both DBS and POSB customers, as well as Singaporeans and permanent residents without a DBS/POSB account, who can sign up using Singpass.

Beyond payments, the app lets you book rides, buy movie and event tickets, order food, pay bills, and manage your DBS/POSB card reward points, all in one place.

For payments, PayLah! supports NETS QR, FavePay QR, PayNow QR, SGQR, and UnionPay QR merchants. You can send money to anyone using just a mobile number, QR code, or payment link. SGD funds held in PayLah! are insured up to S$100,000² by the Singapore Deposit Insurance Corporation (SDIC).

5. ShopeePay

ShopeePay is Shopee's official e-wallet, regulated under the Payment Services Act by the Monetary Authority of Singapore (MAS) and issued by ShopeePay Private Limited. You access it directly within the Shopee app; there is no separate app to download.

You can use ShopeePay for online purchases on Shopee, in-person payments at ShopeePay-accepting merchants, and peer-to-peer transfers to your contacts. Top-ups are done via PayNow. Payments are secured by a personal PIN or Face ID.

Unverified accounts can hold a balance of up to S$1,000. If you verify your account, your wallet upgrades to ShopeePay PLUS, which allows transactions of up to S$5,000.¹ ShopeePay also offers coins cashback and exclusive discounts at participating online and offline merchants.

6. Dash

Dash is an all-in-one mobile wallet operated by SingCash Pte. Ltd. It goes beyond everyday payments: the app also lets you send money overseas to more than 35 countries, purchase insurance, and invest through a robo-advisory service.

For payments, Dash supports Visa contactless, QR code payments, and public transport fare payments. You can also top up prepaid mobile accounts and pay overseas utility bills from within the app.

7. EZ-Link

EZ-Link is a stored-value card designed primarily for public transport in Singapore. You load credit onto the card and tap to pay on MRT trains and buses. EZ-Link is also accepted at a growing number of retail outlets.

Unlike the other wallets above, EZ-Link is a closed-loop system: it works only where EZ-Link acceptance has been set up. It is most practical for commuters who want a fast, low-friction way to pay for transport without opening an app each time.

PayNow and SGQR: Singapore's payment infrastructure

Most digital wallets in Singapore connect to two underlying systems that make cross-wallet payments possible. Here are the two systems:

PayNow

PayNow is a peer-to-peer fund transfer service developed by the Association of Banks in Singapore. It lets you send and receive money instantly using just a mobile number, NRIC or FIN number, or UEN (for businesses).

Most major Singapore bank apps and digital wallets — including DBS PayLah! and ShopeePay — support PayNow transfers and top-ups.

SGQR

SGQR is Singapore's unified QR code standard. Instead of displaying separate QR codes for GrabPay, PayLah!, NETS, and other schemes, merchants display a single SGQR label. Your wallet app reads that code and routes the payment through whichever scheme it supports.

This means you can use almost any Singapore digital wallet at any SGQR merchant, regardless of which specific wallet you carry.

Are digital wallets safe?

Digital wallets are generally considered more secure than physical cards. They use multiple layers of protection that make it significantly harder for your payment details to be stolen or misused.

Tokenization

When you add a card to a digital wallet, your actual card number is replaced with a unique token. This token (which is not your real card number) is what gets shared during a transaction. Even if a merchant's system is breached, your actual card details are never exposed.

Biometric authentication

Most digital wallets require you to verify your identity before a payment goes through. This is typically done through fingerprint recognition or Face ID. A stranger who picks up your phone cannot complete a payment without passing this check.

Device encryption

Payment data stored on your device is encrypted. On both iOS and Android, this encryption is tied to your device's security chip, meaning the data cannot be read even if someone extracts it from the hardware directly.

What happens if you lose your phone?

If your phone is lost or stolen, you can remotely lock or wipe your device using Find My (Apple) or Find My Device (Google). This disables any digital wallets stored on it. You can also contact your bank or card issuer directly to suspend the linked card.

Regulatory oversight in Singapore

Digital wallets operating in Singapore must be licensed under the Payment Services Act and regulated by the Monetary Authority of Singapore (MAS).

This means wallet providers are required to meet security, anti-money laundering, and consumer protection standards set by the regulator. ShopeePay, Dash, and GrabPay are among the providers regulated under this framework.

How businesses accept digital wallet payments in Singapore

If you run a business in Singapore, accepting digital wallet payments is increasingly expected by customers. Here’s how it works:

In-store acceptance

For contactless payments like Apple Pay and Google Pay, you need an NFC-enabled payment terminal. Most modern point-of-sale terminals in Singapore support NFC out of the box.

For QR code-based wallets like GrabPay, DBS PayLah!, and ShopeePay, you display an SGQR label at your counter. Customers scan the code using their wallet app and the payment routes through their chosen scheme.

SGQR labels can be requested through your acquiring bank or payment service provider.

Online acceptance

To accept digital wallets online, you integrate a payment gateway into your website or checkout flow. The gateway handles the connection between your store and the various wallet providers.

Most major payment gateways available in Singapore support Apple Pay, Google Pay, and GrabPay as checkout options.

Cross-border payments

Accepting payments from international customers — or paying overseas suppliers — involves more than a local wallet. Businesses that operate across borders need a way to hold and convert multiple currencies without paying high conversion fees on every transaction.

How to accept digital wallets and 160+ payment methods in Singapore

With Airwallex, Singapore businesses can accept 160+ local payment methods, including digital wallets, bank transfers, and other locally preferred options, from a single platform.

Whether your customer wants to pay via GrabPay in Singapore, Alipay in China, or FPX in Malaysia, Airwallex routes the payment without you needing separate integrations for each market.

Airwallex also supports payments in 130+ currencies across 180+ countries — so you can accept what your customers want to pay in, without converting everything back to SGD.

Frequently asked questions (FAQs)

What is a digital wallet?

A digital wallet is a software-based tool that stores your payment details — such as card numbers or bank account information — on your phone, tablet, or computer. You use it to pay in-store, online, or in-app without needing a physical card. Examples include Apple Pay, Google Pay, and GrabPay.

What is the difference between a digital wallet and a mobile wallet?

A digital wallet is the broader term: it covers any software that stores payment credentials, whether on a desktop, phone, or other device. A mobile wallet is a type of digital wallet specifically designed for smartphones and smartwatches, using NFC or QR codes for in-person payments. In everyday use, the two terms are often used interchangeably.

Which digital wallets are available in Singapore?

The most widely used digital wallets in Singapore are Apple Pay, Google Pay, GrabPay, DBS PayLah!, ShopeePay, Dash, and EZ-Link. Each works differently: some use NFC for tap-to-pay, others use QR codes. Most are compatible with Singapore's SGQR standard, which lets you pay at the same merchant terminal regardless of which wallet you use.

Are digital wallets safe to use?

Yes, digital wallets are generally considered safer than physical cards. They use tokenization, which means your real card number is never shared with merchants. Payments also require biometric authentication (fingerprint or Face ID) or a PIN before they go through, so a stolen phone cannot be used to pay without passing that check.

What happens if I lose my phone?

If you lose your phone, you can remotely lock or wipe it using Find My (Apple) or Find My Device (Google), which disables any wallets stored on it. You can also contact your bank or card issuer to suspend the linked card. Your actual payment credentials are not stored on the device itself, so they cannot be extracted from a lost or stolen phone.

Can Singapore businesses accept digital wallet payments from overseas customers?

Yes. Many digital wallets, including Apple Pay and Google Pay, are accepted internationally, so overseas visitors can pay using their home wallet at SGQR or NFC-enabled terminals in Singapore. For businesses looking to accept a wider range of payment methods from international customers, Airwallex supports 160+ local payment methods across multiple markets from a single platform.

Sources:

1. help.shopee.sg/portal/4/article/76523

2. dbs.com.sg/personal/deposits/pay-with-ease/dbs-paylah

This publication does not constitute legal, tax, or professional advice from Airwallex, nor does it substitute seeking such advice, and makes no express or implied representations / warranties / guarantees regarding content accuracy, completeness, or currency. If you would like to request an update, feel free to contact us at [[email protected]]. Airwallex (Singapore) Pte. Ltd. (201626561Z) is licensed as a Major Payment Institution and regulated by the Monetary Authority of Singapore.