Everything will change from today


The online payments landscape will undergo a major shift in the near future. Starting from 2030, MasterCard It will eliminate the need for Europeans to manually enter card numbers during online transactions, regardless of platform or device. In an announcement scheduled for Tuesday, MasterCard will announce that by 2030 all cards issued on its European network will Tokenization.

MasterCard New Technology

This means that the familiar 16-digit card numbers we see will be replaced by randomly generated card numbers “Token.” MasterCard has been working with banks, fintechs, retailers and other partners to transition to this new system, aiming to implement One click payment button By 2030, this policy will cover all online platforms.

Additionally, users will no longer need to re-enter passwords because MasterCard Introducing master key This will replace traditional passwords. biometric authentication, Fingerprint recognition, for example, will also facilitate one-click payment at checkout.

This newly implemented Tokenization This will ensure that while the cards are stored on the retailer's website or in a digital wallet, they can be automatically updated if changed or updated. MasterCard It is believed that this will significantly reduce fraud rates on e-commerce websites, especially if implemented globally.

Researched by Market research firm Juniper Research The estimated losses come from Online payment fraud By 2028, this number may exceed US$91 billion, and the global figure will exceed US$362 billion in the next five years. This is a problem that needs to be solved now before the data materializes and becomes real numbers. This can be done through the new help Tokenization Used by companies like MasterCard, WHO reports that its technology adoption rate is growing at a rate of 50% every year, and currently about 25% of the world's e-commerce transactions are conducted on its network.

Europe was chosen as the region for the launch because of its long history of payments innovation, such as contactless payments and online banking, which allow users to share banking details to access new financial products.

Valerie Nowak, executive vice president of product and innovation, Mastercard Europe “In Europe, we see Tokenization Gain momentum throughout the ecosystem; convenience and reduced fraud rates are self-evident. We believe achieving this vision by 2030 is a win-win-win for shoppers, retailers and card issuers.

Is this the future of cards?

The evolution of payment methods has undergone significant changes over the decades, from the introduction of credit card in the 1950s and 1960s online payment system This became common with the spread of the internet in the early 2000s. Initially, credit card payments involved bank staff checking the card number against a list of invalid numbers or contacting the card-issuing bank to verify the identity of the payer. The process then progresses to using a “zip-zap” machine to print the card number on a copy paper package. In the 1970s and 1980s, magnetic stripes and electronic payment terminal Become popular, then launch microchip The card stores information about the cardholder, card number and expiration date.

MasterCard Anticipate transition to this new “Embedded” payment system This will be as important as the shift to chip and PIN technologies or the widespread adoption of contactless payments, which are now common in developed economies around the world.

MasterCard technology aims to enable Online payment experience Just as seamless as contactless payment in-store. Consumers will be able to make one-click payments on a variety of devices, including smartwatches, home assistants, and even cars. This coming shift reflects MasterCard Committed to improving the security and convenience of online transactions, it marks an important step forward in the development of digital payments.



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