US ahead of UK in 3DS2 payment authentication

The US is beating the UK in the rollout of the 3D Secure 2 (3DS2) multi-factor authentication protocol, according to new research.

Data from fraud detection and payment acceptance company Ravelin shows that 68 per cent of transactions in the states now use 3DS2, with a significant 99 per cent authentication success rate.

By comparison, only 7 per cent of UK transactions use 3DS2, with a 55 per cent authentication success rate.

The UK, however, is outperforming the US on frictionless payments whereby authentication and payment go through without any challenges.

40 per cent of UK payments are frictionless, compared to just 22 per cent in the US.

“3DS2 is a vast improvement over 3DS1 in terms of smoothing out the payment experience, but our data shows that merchants in many different countries still have a long way to go to adopt 3DS2 — especially merchants in the UK,” said Martin Sweeney, chief executive, Ravelin. “Once they do, however, it’s important to stress that 3DS2 isn’t a silver bullet when it comes to cutting online payment fraud. Merchants should also be considering using sophisticated machine learning-based tools that can quickly spot and flag anomalies in real time.”

    Share Story:

Recent Stories

The Future of Intelligent Finance
FStech Group Editor Mark Evans sits down with Jason Cao, President of Global Financial Services Business Unit, Enterprise BG at Huawei ahead of its Intelligent Finance Summit which was held on 3rd and 4th of June in Shanghai. This Q&A delves into key trends in digital transformation of the financial services industry as well as a look at how data, robotic infrastructure, intelligent storage and innovative technologies are shaping the future for FSIs.

The Rise of Instant Payments
Instant payments are creating new business opportunities for banks by providing more touchpoints than ever. With these evolutions underway, Featurespace brought leading industry experts together to discuss how they are protecting customers from fraudsters in real time, utilizing innovative and disruptive solutions to reduce fraud. Click here to find out more.

Offloading Cyber Risk in the Cloud
As cyber attacks and data breaches are in the news on an increasingly regular basis - with regulatory penalties and customer trust on the line for financial services firms - it has never been more crucial to be compliant in the cloud.

This video, with Akamai’s EMEA director of security technology and strategy Richard Meeus, will help explain what your company can be doing to make sure it’s not embroiled in the next big fine or front-page scandal.