With the accelerating process of globalization, cross-border payment fraud is also escalating. Especially after the COVID-19, the cross-border transaction fraud rate has increased significantly. EMV Co released the protocol and specification of 3-Domain Secure 2.2 (abbreviated as 3DS 2.2) in Dec 2018, which expands some new functionalities based on 3DS 2.1. The new functionalities mainly focus on the optimization of application of PSD2 SCA. The purpose of 3DS 2.2 is to prevent and control payment fraud more strictly, optimize the user payment experience of 3DS 2.1, and apply identity authentication to more scenarios.
According to Strong Consumer Authentication(SCA) of PSD2 delivered by EU, cardholders must abide by SCA in Europe. 3DS 2.2 specifies the exemption for SCA, so as to ensure that cardholders can improve their transaction payment experience on the basis of secure transactions.
In addition, 3DS 2.2 also expands 3RI. For some scenarios in which merchants initiate transactions on their own initiative, such as the transaction initiated by entrusted agency through telephone, email or fax, payment authentication can be carried out through 3DS 2.2, and cardholders can be given up to seven days of authentication time.
Beijing HiTrust Technology Co., Ltd., an international partner of UnionPay International, is the first provider in China to obtain EMV 3DS2.0 product certification from UnionPay International, as well as the UnionPay International 3DS third-party service provider. It has currently established the EMV 3DS2.0 product for a lot of commercial institutions, including state-owned banks, joint-stock commercial banks and city commercial banks at home and abroad. HiTrust will introduce an AI calculus tool which analyzes Big Data in a dynamic way. This tool is used in various scenarios encountered by banks and merchants to reduce risk and operation costs and satisfy various personal demands of users for financial services in an easy and swift manner. UnionPay International 3DS Product Authentication Certificate.
Since this year, credit card international organizations have standardized the deployment of advanced verification mechanism of 3DS 2.2 by global banks, and expanded the 3DS 2.1 standard which has been running for nearly 4 years. Visa, MasterCard, JCB, AE, discover and UnionPay international also fully supported EMV 3DS 2.2.