Venmo boosts privacy, makes new transactions private by default

Venmo is testing a significant app redesign that will make new user transactions private by default.

According to The Verge, the popular payment app is testing a major redesign. A huge new privacy measure sits at the very heart of these upcoming changes.

For the very first time, new users will have their posts set to be viewable only by friends by default. This is a departure from its long-criticised public model.

If a new user does want their posts to be public or just private to them, they can still choose that option. It can be selected during the new onboarding flow.

However, the change does not apply to the millions of existing users. Their transaction and friends list settings will remain public unless they manually change them.

For those unversed, the update follows high-profile privacy blunders. In 2021, BuzzFeed News easily found President Joe Biden's private Venmo account and contacts. The discovery also exposed a network of people in his inner circle and family. The company quickly released a fix to allow users to hide their friends lists.

This wasn't the first time the app's social features had caused alarm. In 2018, the firm settled with the US Federal Trade Commission over privacy allegations.

An executive explained the redesign is about restoring user confidence. Alexis Sowa, SVP of Venmo, said it gives users 'more visibility and control'.

"For us it's critical that they actually have trust in the Venmo experience," Sowa told the outlet in a statement about the new direction for the platform.

The app's redesign is going to be rolled out in stages. A new look for the main transaction feed will arrive first on iOS and Android in the coming weeks.

Later, the app will introduce three new sections called 'surfaces'. These include Send for groups, Money for crypto, and Rewards for tracking any cash back. The redesign is also about setting up Venmo for a much bigger future. Sowa admitted the app is currently seen as 'the place where you split a bill'.

She explained the company wants to 'embrace and address a broader set of consumer needs'. This could one day include things like saving, borrowing, and investing.

"You could imagine a world where we play a much more prominent role in all of those areas of a consumer's life," she hinted about the company's plans.