Mastercard has made the global debut of its Payment Passkey Service, a pioneering solution designed to enhance the security and convenience of online shopping, in India. The service was unveiled at the Global Fintech Fest in Mumbai and is being piloted with major Indian payment players, including Juspay, Razorpay, and PayU, as well as online merchants like bigbasket and banks such as Axis Bank.
The Payment Passkey Service leverages biometric authentication, such as fingerprints or facial recognition, to replace traditional passwords and one-time passwords (OTPs) with a more secure and efficient system. This innovative approach aims to address the significant rise in online fraud in India, which has seen a 300% increase in cases over the past two years.
Utilising tokenisation
By utilising tokenisation, the service ensures that payment details and biometric data are securely protected, rendering them useless to fraudsters. During checkout, consumers can select their Mastercard, authenticate via their device’s biometric features, and complete their purchase instantly, eliminating the need for passwords or OTPs. This not only enhances security but also reduces cart abandonment, improving the overall digital payment experience.
Mastercard’s launch of the Payment Passkey Service in India reflects its commitment to the country’s rapidly evolving payment ecosystem, which aligns with the Reserve Bank of India’s objectives for a safer and more resilient payment infrastructure. The service is expected to set a new standard in online transaction security, with plans for a broader global rollout in the coming months.
Key partners in this launch have expressed optimism about the service’s potential to improve payment success rates and provide a more secure and streamlined experience for both merchants and consumers. The collaboration also aligns with global industry standards such as those set by EMVCo, the World Wide Web Consortium, and the FIDO Alliance, marking a significant advancement in digital payment security.
