The device uses Bluetooth to connect with smartphones and works in combination with an app. To make payments, customers need to insert their card into the device and enter the pin number.
payleven said that with this system transactions are as secure as on a traditional card terminal and merchants are fully protected, and merchants can process all types of cards, including Visas.
Earlier in 2012, Visa Europe denied iZettle, another m-Pos device provider, to process Visa cards due to security concerns over the use of chip-and-signature.
payvelen co-founder and chief executive, Alexander Zumdieck, said: Since the foundation of payleven, we have focused our efforts on developing a chip-and-pin solution. Visa only allows chip-and-pin authorisations for European mobile POS solutions. With chip-and-pin, payleven now offers a comprehensive solution for all cards and is therefore leading the European market.
The product will be released later this month in payleven international markets including UK, Germany, Italy, The Netherlands, and Poland.
In the UK, similar solutions have already started becoming available. In January 2012, US Bancorp subsidiary Elavon launched MobileMerchant, an EMV-enabled m-POS, and has recently announced the expansion of the service to Ireland.
British mobile solution Powa announced in September that a chip-and-pin version of its swipe-and-signature m-POS will be available soon.