MasterCard is set to integrate a fully tokenised checkout experience within MasterPass, using the MasterCard Digital Enablement Service (MDES) to facilitate more secure online or in-app shopping.
At the request of issuers enabling MasterPass, MasterCard will now replace the personal account numbers for consumer credit, debit, commercial and prepaid cards stored in MasterPass with a secure token, which is a new 16-digit number representing the existing PAN on the front of a payment card, MasterCard said in a release.
Tokens, which are unique to each bank-connected MasterPass wallet, incorporate EMV-based security protection.
At present, MDES offers tokenisation services for credit, debit, co-brand, prepaid, commercial, private label as well as small business cards, along with tokenisation services for app, ecommerce, and recurring billing card-on-file programs.
The tokenised MasterPass service will be first launched in the US in 2016, and eventually expand across all MDES-enabled markets across the world.
MasterCard chief emerging payments officer Ed McLaughlin said: "MasterPass enables consumers to pay for the things they want with the security they demand, online or in-app, using any device.
"In tokenizing MasterPass, we’re creating for consumers a secure ‘digital stream’ directly from their bank which can be connected through the online and mobile banking tools they already know. Together with our banks, we are creating the easiest and most secure way to pay today."