Mastercard launches OTP-free online transaction

This ensures that payment credentials are not shared with third parties. 

Mastercard has introduced the latest enhancement in its Mastercard Payment Passkey Service which eliminates the need for static or one-time passwords (OTPs) and enables on-device biometric authentication through facial scans or fingerprints.

Despite the popularity of passwords and OTPs, these methods are increasingly vulnerable to online scams. Around 80% of confirmed data breaches globally are related to weak or stolen passwords.

Through the enhanced features, consumers only need to enrol their Mastercard card once to use payment passkeys. Upon checkout, shoppers select their Mastercard card and then confirm payment using biometric authentication. 

This ensures that neither the consumer's payment credentials nor biometric data are shared with third parties, rendering the data useless to fraudsters and scammers. 

“Just as contactless technology made in-person payments seamless and ubiquitous, Mastercard sees the opportunity to bring that same experience to online checkout," said Sandeep Malhotra, executive vice president, Products & Innovation, Asia Pacific, Mastercard. 

“With biometric authentication with payment passkeys, shoppers are spared the hassle of cumbersome checkouts while merchants enjoy both speed and security," Malhotra added.