05 Aug 2021
The Biometric technologies are nothing new. However, with the development of AI their capabilitites have accelerated significantly and the cost for some of them has fallen.
According to Wikipedia, Biometrics are body measurements and calculations related to human characteristics. Biometric authentication (or realistic authentication) is used in computer science as a form of identification and access control. It is also used to identify individuals in groups that are under surveillance.
The scanning of our eyes was a theme in the fantasy and action movies not so long ago. Today, there are pilots in which all you need to make a payment is your face, without bank cards, mobile, cash or remembering a PIN. There are startups like PayByFace, a company, which has enabled selfie checkouts at some stores and restaurants in Romania and Bulgaria.
The development of more biometric solutions and the fast rate of adoption will inevitably drive the prices down. However, some technologies may still stay expensive for a while.
DNA analysis, Iris scanning and retina scanning are the most expensive types to implement, followed by Facial recognition and voice recognition. However, when choosing a particular technology the other aspects need to be taken into consideration as well – accuracy, required devices and acceptability:
Biometric technologies has a significant role in combating fraud which is considered to be the biggest concernt for the payment industry. It also enables new ways of “easy” payments and online identification which provides a competitive advantage to the digital banks and fintechs and enhanced experience for the end user.
Although biometric payments have been increasing in popularity to the point where in 2020, they’re no more a concept in a science fiction movie, the adoption process is still slow in the traditionally reserved financial industry.
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