Salt Edge has released a new open source tool to support strong customer authentication (SCA) and dynamic linking processes.
The new service, Salt Edge Authenticator, was built to improve online commerce and customer protection in the new open banking world. It handles payment transactions, accessing payment accounts, and other types of authorization.
The technology does not replace a bank’s existing authentication solution but adds an additional layer.
Salt Edge CEO Dmitrii Barbasura said, “Since SCA plays such a crucial role in the user journey for open banking, Salt Edge believes that in order to push the open banking movement forward, it’s paramount to have a good, secure and easily accessible solution – Salt Edge Authenticator.
“This solution can be quickly customized for different regulatory standards in different countries, for different banking systems. As the official requirements change, we can adapt the Authenticator user flow in real-time to keep it frictionless and user-friendly.
“We are especially proud to make this project open-sourced since it is developed to protect customers. After all, each of us is a customer and needs to pay online more and more often – it’s nice to know we did a very important job of making this process safer.”
SCA is a European-wide regulation which comes under PSD2. It stipulates that online transactions must be backed with two-tier authentication. This means payments need to have a combination of verification types. There are three possible options for merchants to utilise: knowledge-based verification such as a password or a PIN, an item in possession like a credit or debit card, and finally biometrics which is most commonly a fingerprint.
A lost of trouble has been caused by SCA, with numerous enforcement extensions being issued. It was due to be implemented in September 2019 but is now set for an end of 2020 release.
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