Entersekt Adds FIDO Authentication to Security Suite

Mobile-first FinTech authentication platform Entersekt has expanded its authentication suite to include Fast ID Online (FIDO) authentication, the company announced on Thursday (Sept. 16), in a move that bridges the gap between strong security and good user experience.

Entersekt’s FIDO2-certified solution offers an intuitive alternative to passwords and app-based authentication for log-ins and online payments, and accepts roaming and platform authenticators.

“Eliminating passwords and replacing them with more secure and user-friendly solutions is critical,” said Entersekt Senior VP of Product Christian Ali in the company announcement.

Existing methods of authenticating consumers’ identities and transactions typically rely on outdated, less secure solutions like passwords or OTPs, while more secure solutions often require a mobile app, he said, leading to a major surge in online fraud in the last 18 months.

Poor user experience often leads to cart abandonment — and lost sales — because users are frustrated and banks are at risk, said Ali.

“Our platform allows financial institutions to offer their customers a truly intuitive user experience,” he said. “In Europe, it also allows institutions to comply with strong customer authentication (SCA) requirements under the revised Payment Services Directive (PSD2).”

German issuing processor PLUSCARD recently incorporated Entersekt’s FIDO2 solution in partnership with Netcetera, making it the first European FIDO-certified alternative to app-based authentication.

“We wanted to provide all our customers with a secure solution for authenticating online payments – including customers who do not use smartphone apps,” said Petra Silsbee, head of fraud prevention/dispute management at PLUSCARD, in the Entersekt announcement. “The market-first FIDO implementation provided by Entersekt and Netcetera enables exactly that.”

Last month, Entersekt announced a partnership with Norway’s electronic identification solution BankID, which gives financial institutions (FIs) in Norway a streamlined approach to managing identification protocols.

Related news: Entersekt Integrates BankID to Advance Authentication

“Including the Norwegian e-ID on our security and authentication platform gives Norwegian banks the opportunity to work with a single partner for all their authentication needs, including biometrics, app security and passwordless login features,” Entersekt Vice President of Channel Partnerships Frans Labuschagne said in the company press release.