Mastercard has announced its strategic investment in Hypr Corp., an enterprise-facing producer of decentralized authentication solution. The venture marks Hypr’s joining of the latest class of Mastercard’s Start Path program, an international initiative that bolsters companies that show promise in transforming modern commerce at scale.
“People need the peace of mind that their personal information, their money and their identity are secure in the digital age,” said Bob Reany, executive vice president of global products and services for identity solution at Mastercard. “We are committed to advancing a consumer-centric vision of security grounded in giving people the ability to maintain control of their data. Hypr’s technology is a smart way to keep critical data where it belongs — close to the consumer.”
Having just received Series A funding round of $8 million driven by RRE Ventures, Hypr will further be able to enter Mastercard’s robust payment ecosystem. “The importance of secure authentication has never been greater,” said Roman Kadinsky, chief operating officer of Hypr. “Working with Mastercard allows us to bring our decentralized authentication systems to more devices and payments across the IoT.”
Given consumers’ ongoing shift toward mobile commerce, the partnership comes at a pertinent time. For example, according to Adobe Analytics data, of the $65.1 billion spent beginning Nov. 1, mobile shopping represents almost 49 percent — more than 40 percent being comprised by smartphones — of visits during the popular shopping period. What’s more, the data showed that these visits have converted to more than 32 percent of revenue secured during this time.
Adobe Analytics data forecasts that this throttling usage will contribute to the reaching of $107.4 billion in online revenue — the first time e-commerce will reach the paramount benchmark. This necessitates innovative and targeted security measures be deployed by both individual consumers and merchants.
Under Hypr’s solution, payment credentials are ensured to be decentralized that introduces a new layer of necessary security and privacy at scale. What’s more, institutions deploying Mastercard’s services will be able to deliver customers with speedy and safe banking experiences.
In addition to extending its services to Mastercard enterprise customers, Hypr will also work with the financial corporation to identify and source new areas for Mastercard to launch mobile or online biometric authentication — such as fingerprint, face, hand or retina acknowledgment — solutions, a Hypr spokesman said.
Additional participants in Mastercard’s Start Path program have included FluidAI, PayKey, Moneytree, Supersmart and Razorpay, among others.
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