MasterCard announced yesterday (Oct. 19) that it will integrate its tokenized checkout experience within MasterPass, which will provide the security benefits of tokenization for online and in-app shoppers who use MasterPass.
By using its MasterCard Digital Enablement Service, MasterCard can provide the fully tokenized experience for a customer to shop more securely during their eCommerce shopping experience — regardless of if that consumer is shopping in-app or on a Web browser.
By using their MasterPass-enabled bank issued wallets, consumers are able to benefit from MasterCard’s security and convenience of the features built into its digital wallet solutions. MasterPass enables issuers to deliver digital payments across channels and devices around the world — and is able to do so with just a few clicks (and no lengthy numbers). The “Buy with MasterPass” button is available through more than 250,000 merchants globally.
Now, at the request of issuers that enable MasterPass, MasterCard will replace the personal account numbers for consumer credit, debit, commercial and prepaid cards stored in MasterPass with a secure token — which is the 16-digit number which replaces the account numbers.
"We continue to see exponential growth in online purchases and in the role of connected devices in enabling commerce. Our customers want a simple way to make purchases online, which Citi MasterPass delivers by reducing checkout to just a few clicks. Integrating tokenization is important to our digital payments strategy, and will deliver another layer of security for our customers,” said Barry Rodrigues, Head of Citi Enterprise Payments Solutions at Citi.
According to MasterCard, since the announcement of MasterCard Digital Enablement Service, millions of MasterCard accounts at hundreds of banks have been tokenized for use in popular digital wallet services including Android Pay, Apple Pay and Samsung Pay. The tokenized MasterPass service will first be available in the United States in 2016, and expand across all MDES-enabled markets worldwide.
"MasterPass enables consumers to pay for the things they want with the security they demand, online or in-app, using any device. In tokenizing MasterPass, we’re creating for consumers a secure ‘digital stream’ directly from their bank which can be connected through the online and mobile banking tools they already know. Together with our banks, we are creating the easiest and most secure way to pay today,” said Ed McLaughlin, Chief Emerging Payments Officer at MasterCard.
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