You can get the new apk file here: New Google Wallet update - xda-developers
Can I install the new apk over the verison I downloaded from the play store? I dont want to fry the Secure Element.
It worked for me. But just to be sure I first did a reset inside Google Wallet (Settings/Reset Google Wallet) prior to installing this latest version. I don't know if this is really required but better safe than sorry. Once the install was done I only had to re-enter my credentials and I'm good to go. Not a big deal.