What does this mean?
After the sunset date, merchants who fail to make the transition to EMV 3D Secure will be unable to send transactions using the 3D Secure 1.0 protocol for authentication, which will result in lost transactions.
Why is this happening?
Sunset of 3D Secure 1.0 is a necessary measure aiming to step away from legacy technology that is ineffective in addressing modern usability requirements and security challenges.
3D Secure 1.0 vs EMV 3D Secure
3D Secure 1.0 (3DS1) was initially released in 1999 as a browser-based security protocol. Since then technology, shopping preferences and types of risk have changed considerably, calling for major improvement of the original technology.
EMV 3D Secure (3DS2) was designed to address the shortcomings of the original protocol. It enables sending more transaction data, promotes frictionless cardholder authentication at checkout, and anticipates various mobile and in-app secure authentication flows. Additionally, since EMV 3D Secure was developed in sync with PSD2, it is by design compliant with the requirements of the directive.
How to approach this?
Merchants and payment service providers are strongly encouraged to prepare for the 3D Secure 1.0 sunset by transitioning to EMV 3D Secure before October 18th 2022 for Mastercard transactions and October 15th 2022 for Visa transactions.
Make sure your business is ready for sunsetting of 3D Secure 1.0. Should you have any questions about the upgrade or the implementation of EMV 3D Secure, please feel free to get in touch with us.