🏦 RBI's new authentication policy will reshape how India's ₹3+ lakh crore annual card payment on e-com ecosystem works
From April 1, 2026, every domestic digital payment in India must be verified with at least two factors, and at least one must be dynamic and unique to the transaction 🔐 (e.g., device-bound cryptographic proof, biometric confirmation, or app-based token), not just SMS OTP by default. This will raise security standards while opening the door to faster, more seamless flows powered by biometrics, device credentials, and risk-based checks.
📱 What changes now
✅ Credit and debit card-not-present payments will increasingly shift from OTP-heavy flows to device-native authentication and token-based approvals, especially for remote and high-risk transactions
✅ Banks and payment players are expected to adopt SDKs in issuer apps and implement device binding, biometrics, and cryptographic signatures; redirections to issuer apps for step-up approvals will become common
✅ Tokenized wallet experiences (like Apple/Google Pay and Samsung Wallet in the West) will gain ground: card credentials stored securely on-device, and each payment approved with a biometric plus a transaction-unique cryptogram 📲
🤔 But what about friction?
⚠️ Yes, there will be short-term friction as the ecosystem transitions away from SMS-first habits
⚡ Over time, a "single secure wallet" experience—where all cards are tokenized and authenticated via one app using biometrics—can reduce friction versus juggling multiple issuer apps and OTPs
🎯 Why this matters
🛡️ Stronger protection against phishing, SIM swaps, and OTP interception
⚡ Faster approvals with fewer failure points, especially on stable devices
🌍 A more resilient, globally aligned security posture that supports long-term growth
🚀 Our vision at Orbit Wallet
💡 Started with a simple idea: build a digital wallet that lets people securely store, manage, and transact with their cards—without compromising on speed or security
🔒 Now, we're proactively enabling card tokenization and device-based authentication to make payments safer and smoother while staying fully compliant with the new directions
🎯 The goal: one secure place for all cards, biometric approvals in a tap, and dynamic proofs for every transaction
🔮 What to expect next
📱 More merchant checkouts offering wallet-style biometric pay
🏦 Issuer apps prompting quick, in-app confirmations for sensitive or high-risk payments
📉 Gradual de-emphasis of OTPs in favor of device-bound, risk-aware authentication
⏰ The window to build compliance advantage closes fast.
If you're a #bank, #fintech, #merchant or #PG, this is the moment to redesign authentication journeys—prioritizing device-bound tokens, biometrics, and adaptive risk signals.
Orbit Wallet is building for that future so digital payments can be both safer and simpler. What's your authentication strategy for 2026?
Reserve Bank of India (RBI) #NPCI #Fintech #VCs #tokenisation
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