Written in collaboration with Damien Chow, Chief Product Officer, MineSec.
What comes to your mind when you think of SoftPOS or Software Point-of-Sale? Most people know it as a technology that conveniently turns a mobile phone into a payment terminal that can accept contactless payments without additional hardware dongle or expensive POS terminal. There are lots of SoftPOS use cases in the payments domain, including accepting card payments in taxis, pay-at-the-table, pay-on-delivery, at pop-up stores and on-board ticketing in trains and buses.
While this is undoubtedly a revolutionary advancement, SoftPOS’s capabilities extend far beyond processing payments. SoftPOS’s versatility and security make it an ideal tool for various applications beyond payments, including access control for physical or digital spaces, verification of identities for legal or financial transactions, and authentication for e-commerce and online services.
SoftPOS for Secure Authentication
Logging in to banking applications requires Two-factor Authentication (2FA), a security measure that adds an extra layer of protection beyond just usernames and passwords. In 2FA, users must provide one of the following after entering their login credentials:
- Something you know: This could be a personal identification number (PIN) or answers to “secret questions”.
- Something you have: This could be a mobile phone (validating via an OTP message) or a hardware token device.
- Something you are: This could be a biometric pattern of the user’s fingerprint, facial image, voice print, or iris scan.
With SoftPOS, there is now a more secure and convenient alternative: simply tap your credit card, which is “something you have”, directly onto your mobile phone after entering the username and password to complete your 2FA.
When you tap your credit card onto your phone, SoftPOS leverages the embedded security feature of the credit card called Dynamic Data Authentication (DDA) to ensure the authenticity of the credit card. The credit card data (e.g. Primary Account Number or PAN) will also be sent to the bank in a secure way to validate the card holder and to prevent unauthorized used.
SoftPOS is a game-changer that empowers merchants to accept contactless payments using just a mobile phone. With its secure authentication, improved user experience, and various applications beyond payments, SoftPOS is shaping the future of commerce and revolutionizing the way we transact and authenticate, making it an invaluable asset and catalyst for innovation.
Key Benefits of SoftPOS for Authentication
- Enhanced Security: DDA and NFC technology provide robust protection against unauthorized access.
- Improved User Experience: Tapping a card is a simple, intuitive gesture that streamlines authentication.
- Reduced Costs: SoftPOS eliminates the need for expensive hardware tokens or SMS-based OTPs.
As SoftPOS technology continues to evolve, we can expect even more creative and transformative use cases to emerge. If you want to learn more about the technology and applications of SoftPOS, get in touch with us at [email protected].