70% of American users say security is
their biggest worry when making
mobile payments while
Mobile wallets expected to
become more popular than
debit and credit cards by 2020
50% of cybersecurity professionals are
sceptical about the safety of mobile
According to Visa, the enhanced 3DS
protocol (3D Secure 2) will reduce
card abandonment by 70% and
checkout times by 85%.
Frictionless Flow is perhaps the biggest improvement made to this 16 years old protocol. Thanks to risk-based authentication performed in the ACS, frictionless flow allows issuers to approve a transaction without the need to interact with the cardholder.
The improved 3D Secure protocol, 3DS 2.0, will have a big impact on the payments industry, including the ability to cast a wider net in fraud prevention.
There are now more channels where the protocol can be implemented for secure transactions, including cardholder authentication without directly being linked to a payment, also known as Non-Payment Authentication. This is especially useful for e-wallets that use credit cards.
A big part of the development of 3D Secure 2.0 has been driven by mobile adoption. It’s rapidly becoming the largest online shopping and payments medium. Mobile Integration in 3DS2 is enabled via native mobile SDKs that are certified with EMVCo.
Authentication technology has come a long way since the days of magnetic stripes and signatures. As the way we make payments has changed, so too has the need for innovation to keep transactions secure. The vast majority of Europeans have used a mobile device to make payments, but fraud and security concerns remain the number one deterrent.
– Mike Lemberger, Visa