Capital One Financial has introduced its authentication technology, dubbed AirKey, to help financial institutions bolster their fraud prevention strategies.
Developed over seven years by Capital One, AirKey transforms credit and debit cards into a tap-based authentication method. This is expected to provide financial institutions with a secure and convenient tool for to combat fraud.
AirKey allows customers to authenticate their identity by simply tapping an AirKey-enabled card to a smartphone. This authentication technology can be used across various scenarios, including completing 3D Secure (3DS) transactions and accessing virtual cards.
Capital One emerging payments senior vice president Tom Poole said: “We want to make sure our industry is able to continue strengthening fraud prevention measures for consumers.
“AirKey is easy to use and builds on the trust and familiarity that consumers have with credit and debit cards, and we’re excited to bring this unique technology to other financial institutions.”
According to Capital One, AirKey has become the most popular way for customers to activate their cards, leading to a significant increase in mobile enrolments.
AirKey is already embedded in over 75 million Capital One cards and has been used by the company’s customers for more than four years.
The technology is supported by a robust patent portfolio, with over 300 US patents and more than 400 issued and allowed patents worldwide, said Capital One.
AirKey is said to enhance fraud prevention by providing an additional layer of security, complementing traditional methods such as SMS one-time passwords (OTP). This tap-based authentication can be used for completing 3DS transactions, provisioning digital wallets and accessing virtual card.
The technology also helps increase mobile app enrolment. Additionally, AirKey enhances self-service capabilities, enabling customers to activate new cards and authenticate transactions without needing to contact customer service.
AirKey uses near-field communication (NFC) to allow credit or debit cards to communicate with smartphones. The system works by embedding an applet into the secure element of the card.
The authentication technology is compatible with both iOS and Android operating systems, and users do not need to download any additional applications to use it.
Capital One is collaborating with several partners to make AirKey available to a wide range of financial organisations.
