NFC is part RFID (radio-frequency identification) and part Bluetooth. Unlike RFID, NFC tags work in close proximity, giving users more precision. NFC also doesn’t require manual device discovery and synchronization as Bluetooth Low Energy does. The biggest difference between RFID and NFC is the communication method.

RFID tags have only a one-way communication method, meaning an RFID-enabled item sends a signal to an RFID reader.

NFC devices have a one- and two-way communication capability, which gives the NFC technology an upper hand in use cases where transactions are dependent on data from two devices (e.g., card payments). Mobile wallets like Apple Pay, Samsung Pay, Android Pay, and other contactless payment solutions are all powered by the NFC technology.

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