Circulation Of Visa 'Tokenization' Codes Surpasses Physical Cards

Visa (NYSE: V) has announced that the company has issued more than 4 billion web codes worldwide through the Visa Tokenization Service (VTS).

Photo Insert: This historic milestone represents the total number of Visa codes exceeding the number of physical Visa cards in circulation around the world, underscoring the strong security that Visa codes provide to merchants, issuers, and consumers.

This achievement is an important milestone in the development of its proprietary coding service. Visa Tokenization Services are designed to help secure digital payments and further accelerate innovation and acceptance of e-commerce. Visa's total code count has nearly doubled over the past year.

This historic milestone represents the total number of Visa codes exceeding the number of physical Visa cards in circulation around the world, underscoring the strong security that Visa codes provide to merchants, issuers, and consumers.

Jack Forestell, Executive Vice President and Chief Product Officer at Visa, said: “Coding is a simple yet powerful concept pioneered by Visa to hide and de-value sensitive payment data to stay ahead of scammers and make digital payments more secure. Issuing The rising trend of institutions, acquirers, merchants, and consumers transacting with Visa codes further shows that the future of money will be digital, and digital money must be built on trust.”

E-commerce transactions have grown by more than 50% since the outbreak began.

As online shopping becomes more convenient, consumer expectations and demands for simple and secure transactions also increase. Visa's innovations stay ahead of consumer demand with the Visa Tokenization Service, which replaces 16-digit Visa account numbers with a digital code that only Visa can unlock, helping to protect underlying account information from scammers and bad actors.

Code: Safeguard for online shopping

Code is the unsung hero behind e-commerce, and the entire payment ecosystem can benefit from it. Issuers, acquirers, merchants, and consumers have all experienced the benefits of code, such as reduced fraud, ease of use on various devices use, etc. Visa's analysis shows that across more than 8,600 issuers and 800,000 merchants, Visa codes reduce fraud rates by 28% and increase approval rates by 3%. Codes not only help merchants increase sales, but also save them scam-related fees.

The future of authentication will be dominated by code

Since most of people's financial activities currently take place in the cloud, the adoption of advanced technology can help ensure that customer data is protected wherever transactions take place.

The future consumer protection standard "Authentication 2.0" will be based on code and other tools, such as Visa's Cloud Token Framework (CTF). The architecture is designed to enhance security and improve cardless transaction approval rates across various payment experiences and devices.

"This milestone demonstrates Visa's continued investment in making safe, secure and seamless transactions around the world," said Forestell. "The increased adoption of code will help fulfill Visa's mission of helping individuals, businesses and economies thrive."

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