Mastercard has announced the launch of its Payment Passkey Service in Latin America, introducing a new authentication system that uses device-based biometrics to enhance security and simplify online transactions. The service will debut in January 2025 through partnerships with Sympla, a leading Brazilian events platform, and Yuno, a Latin American-based global payments orchestrator. The expansion follows Mastercard’s broader initiative to eliminate passwords by 2030 in favor of more secure authentication methods.
The Payment Passkey Service replaces traditional authentication methods like one-time passwords (OTPs) with biometric verification, such as fingerprints or facial scans. Building on FIDO-based passkey standards that have gained significant industry adoption, the system uses tokenization technology to substitute primary account numbers (PANs) with secure tokens, preventing the sharing of card information with third parties and protecting against data breaches.
The Latin American launch, initially announced in August 2024 with plans for an Indian pilot program, comes as the region’s e-commerce market is projected to reach $180 billion in 2024. The implementation aims to address security concerns related to online scams, including phishing, SIM swapping, and message interception. The rollout builds upon Mastercard’s previous digital identity initiatives in the region, including a partnership with Brazil’s Idwall to develop comprehensive digital identity solutions.
“Payment passkeys align perfectly with Yuno’s strategy to quickly adopt and implement innovations. Being the first orchestrator to deploy them with Mastercard demonstrates our commitment to market leadership,” said Juan Pablo Ortega, co-founder of Yuno. “By simplifying authentication and reducing friction in the payment process, payment passkeys drive higher conversion rates, more satisfied customers, and a better payment experience for everyone.”
“Mastercard is committed to building a payment experience where convenience and security coexist,” said Silvana Hernández, executive vice president of Core Products for Mastercard Latin America and the Caribbean. “Partnering with Sympla and Yuno marks a significant step forward in advancing payment authentication in the region.”
Following the initial deployment with Sympla and Yuno, Mastercard plans to expand the service’s availability throughout Latin America. The rollout represents a significant step in the company’s global strategy to modernize payment authentication and matches the growing industry movement toward passwordless authentication solutions that prioritize both security and user experience.
Sources: PR Newswire, The Paypers, Mastercard Newsroom, FF News
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