Visa Europe has expanded its Visa Europe Payment Tokenisation Service (VEPTS) to support cloud-based mobile payments.
The expansion of the tokenization service allows banks and other firms to integrate tokenisation into services where payment credentials are stored in the cloud such as banks’ own mobile payment apps, wearables and other connected devices as well as for internet browser-based wallets, retailer-specific checkout offerings like Visa Checkout and card on file payment options.
This expansion allows more entities to operate in the payments ecosystem, from financial institutions to technology partners, all through one tokenisation platform offered by Visa.
These entities will also be able to develop new, or to improve existing, digital products to meet increasing consumer demand for convenience and security.
Visa said tokenisation allows for a fast and easy way to link a credit card to a digital payment service as well as keep details secure when paying in store or online.
Visa Europe executive director of product enablement Sandra Alzetta said: "By 2020, our projections are for one in five consumers to pay for items using their smartphone on a daily basis and for payments on mobile or tablet to account for more than 50 percent of Visa transactions.
"Looking at contactless as an early indicator, where adoption has doubled and spend has trebled in the last year, we believe this projection could well be a conservative estimate.
"By expanding our service to make tokenisation available to our client banks through a number of new technology partners, consumers will have access to all manner of fantastic new payment experiences accessible through their mobile phones, tablets and all manner of other ‘connected’ devices."