Mastercard, a global card payment technology company, announced the worldwide launch of its new Payment Passkey Service at Global Fintech Fest 2024 in Mumbai, to make online shopping more secure and easier than ever.
Following the initial pilot program in India, the company is set to roll out the Mastercard Payment Passkey Service to more consumers and financial institutions around the world over the coming months.
Debuting first in India as a pilot with some of the nation’s largest payments players, including payment aggregators such as Juspay, Razorpay and PayU, online merchants such as bigbasket and leading banks such as Axis Bank, the service will give millions of consumers more control and peace of mind when checking out online.
Despite the rising popularity of one-time passwords (OTPs) due to their ease of use, they are increasingly vulnerable to online scams such as phishing, SIM swapping and message interception. In India, the incidence of fraud cases has surged by nearly 300% in the last two years, as reported by the Reserve Bank of India’s Annual Report for 2023-2024.
By replacing traditional passwords and OTPs, the Mastercard Payment Passkey Service makes transactions not only faster but also more secure against fraud and scams. With payment passkeys, consumers can say goodbye to the hassle of forgetting or accidentally sharing their passwords or OTPs.
By combining the tokenization of payment credentials with seamless biometric authentication, Mastercard is bringing EMVCo, World Wide Web Consortium and the FIDO Alliance industry standards together to speed and secure the checkout experience.
The Mastercard Payment Passkey Service uses tokenization to secure a consumer’s payment details and biometric data, ensuring that no data is shared with third parties and is useless to fraudsters and scammers. The service is a game changer for online checkout:
- Shoppers choose their Mastercard when checking out as a guest or select a card already stored securely on file with a merchant.
- To confirm the payment, users can use biometric authentication mechanism features on their device – whether it’s a fingerprint, face scan or PIN.
- Upon successful authentication, the payment is instantly completed.
“By introducing the Mastercard Payment Passkey Service in India, we’re advancing secure online checkout and our vision for a token economy. Through innovative technology that enhances security and convenience, we’re creating a more transparent commerce ecosystem for all. As we continue to lead the way in digital payments, our commitment to achieving a tokenized future is stronger than ever,” said Jorn Lambert, chief product officer at Mastercard.
