EMV Cards……….Bringing stability to the payment industry
EMV has played a great role in making fraud to become a thing of the past. Wherever EMV has been implemented comprehensively, including the objective PIN verification by the chip, there has been a significant fraud reduction ratio that has been achieved and sustained. In fact, EMV has become the only available technology to prevent card payment fraud from occurring in an efficient, systematic and globally interoperable way. Also, there has been no other technology that is advertised that has an alternative global deployment and support base and the maturity of EMV. Judging from the real perspective, EMV represents a typical example of a mature ecosystem with established roles and benefits for all stakeholders.
Since over a decade now, EMV possesses underlying standards that have been more stable. The necessary evolutionary changes have been managed carefully in a way that each new release or version is always backward compatible with prior releases. This ensures that the significant investments in software, hardware, communication networks and backend systems are protected. The standards are also accompanied by an efficient certification regime executed by EMVCo and the payment systems making sure the cards and devices interoperate worldwide.
There are huge numbers of industry suppliers from all over the world providing a vast portfolio of certified components. This ensures global competition on price and product quality and innovation. Thousands of banks, processors, and domestic and international payment systems in almost every country on the globe have integrated EMV into the fabric of their daily operations.
Judging from a real-world fraud-prevention standpoint, EMV is significantly more secure than traditional magstripe cards. Through the use of advanced encryption, embedded card risk analysis capabilities, and online and offline authentication, most of the traditional methods used to steal card data or to clone cards using magstripe technology are rendered worthless, or at the very least, very difficult to accomplish.
EMV specifications are the bedrock for contactless and mobile payment transactions. This relates to their functionality and transaction flow as well as to the associated security fundamentals. As a result, a mobile transaction is no different from a card transaction at the POS. Enabling the device side to perform contactless and mobile transactions means to implement these new features and security measures and change hardware and software of the devices