Razorpay, a leading omnichannel payments platform, has unveiled a new biometric authentication solution called ‘Passkey’ to comply with RBI regulations. This technology, developed in collaboration with Mastercard and Visa, allows cardholders to verify online transactions using fingerprints or facial recognition, eliminating the need for OTPs and enhancing the speed and security of checkouts.
In India, authentication challenges like delayed OTPs contribute to about 35% of payment failures, while digital payment fraud poses a significant threat, with over 13,500 internet fraud cases and losses exceeding Rs 520 crore in FY25 according to RBI data.
Razorpay’s solution aims to address these issues by leveraging device-bound secure biometrics and passkey protocols endorsed by major payment networks. By enabling direct authentication on users’ devices through biometrics, the system streamlines the payment process by eliminating OTP delays, manual entries, and redirects, ensuring a smooth and trustworthy payment experience.
This advancement enhances security and convenience for customers, while also boosting reliability and conversion rates for businesses, ensuring compliance with evolving industry standards. By employing payment passkeys that secure card details and prevent unauthorized access, Razorpay’s solution offers a seamless and secure payment experience, facilitating high-value transactions without interruptions.
As biometric authentication and payment passkeys gain traction, Razorpay’s initiative is set to shape the future of digital commerce in India, fostering a landscape where transactions are secure, efficient, and aligned with user intent.
Source: Entrackr : Latest Posts