Wow – a “scoop” I had back in 2006, is now a reality. First from VISA last year: http://readwrite.com/2011/11/02/new-visa-credit-card-comes-wit and now Mastercard this week: http://www.bbc.co.uk/news/technology-20250441.
Originally posted on The Mangle:
Below is a sneak peak at Visa's proposed new high-level security credit card. The card, in trial at the moment, contains a built-in token-based authentication system that is linked back to a central server for authentication. The six-digit code cycles through every 2 minutes, with the algorithm used unique to that card and synchronised to the authentication server. The expiry date for the token matches the expiry date on the card.
There are a few logistical challenges for Visa to overcome. The cards are about double the thickness of normal credit cards, which apparently make them compatible with the majority of card readers, but not all. Also, there is a lot of work to be done with merchants to adapt their systems to incorporate an additional input field – namely a PIN and the 6-digit code.
A source from Visa said, "We are not too worried about this. We are introducing an extra layer of security that can be brought into effect when each merchant is ready. We won't repudiate credit card transactions if the merchant doesn't send through the code number. However, consumers are going to start voting with their feet and using those merchants that can provide them with this capability. This is especially true for online stores."