When will plastic cards disappear and how will payments be made?

Companies such as Amazon with Amazon One and Apple with Face ID are already actively using biometric technologies to make payments.

However, Mastercard offers more large-scale implementation of biometric technology, which is expected to completely replace traditional credit cards by 2030. This should provide more secure and simplified payment procedure.

Biometric payments rely on using a person's unique characteristics, such as palm scanning or facial recognition, to verify transactions. Their security is ensured by random codes that cannot be reused, which significantly reduces the risk of fraud.

Where will it be applied

Although “physical” cards will not disappear immediately, new technology will be gradually introduced with the goal of completely replacing them by 2030. Users will need devices that support biometric identification, such as biometric POS terminals in stores or smartphones and tablets with fingerprints or facial recognition.

Early adopters of this technology will include a variety of industries, including retail, banking, healthcare and hospitality.

Advantages

The new form of payment has many advantages. Biometric identification is much more difficult to fake, reducing the risk of fraud. In addition, users will not need to have physical cards and remember codes for them, and transactions will be faster and easier.

Risks

Despite all the benefits, there are also some risks. Biometric data is unique and cannot be changed, making it vulnerable to hacking. There are also concerns about confidentiality and how this data is stored. Although the technology provides greater security, there may be technical difficulties in recognizing biometric data, such as errors in recognition or poor quality equipment. Additionally, access to this technology may be limited in areas with less developed technological infrastructure, creating inequality in use.

Devices

To make biometric payments, you need special devices. Basically it will be biometric POS terminals with fingerprint, palm or face recognition. There are also mobile phones and tablets with built-in biometric capabilities, such as Apple Face ID and Samsung Fingerprint, to verify transactions in real time.

Accuracy

The accuracy of biometric technologies is generally very high, with success rates ranging from 95% to 99%, depending on the device and method used (facial recognition, fingerprints, palm scanning). However, there may be factors that affect accuracy, such as low lighting conditions when recognizing faces.

However, the technology is constantly being improved to reduce the number of failures and errors. By 2030 will be gradually introduced biometric payment methodssuch as palm scanning and facial recognition, to replace physical credit cards and improve transaction security. To provide security of biometric payments, Mastercard will use encryption technologies to protect biometric data and store information in secure databases, which will reduce the risk of hacking.

Besides the technology will include unique codes for each transactionwhich cannot be reused, which will increase the security of transactions. Compliance with international data security standards and strict controls will further enhance protection.

First countries

The first countries to introduce biometric payment technology are countries with developed technological infrastructure, such as the USA, UK, Germany, France and Japan. The retail, banking and hospitality sectors will be the first to adopt this technology.

According to available data, new biometric payment technology can change the way transactions are conducted by offering security, speed and convenience. Although physical cards will not be phased out immediately, the transition to this new form of payment seems inevitable, with the goal of full adoption by 2030. However, concerns remain about privacy protection and access to this technology in less developed regions.

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