Digital Payments Security: Lessons From CanadaWhat Can the U.S. Learn From Canada's Experience With Tokenization, Other Security Measures?
Canada, which has a head start on the adoption of digital payments, has learned some valuable security lessons that could be beneficial to the U.S., says Gord Jamieson of Visa.
"If we look at Canada itself as a market, we're probably one of the leading countries when it comes to the adoption and usage of digital payments," says Jamieson, head of payment system risk for Visa Canada. "Seventy percent of our Canadian personal consumption expenditure is conducted using digital payments."
This high level of digital payment adoption provides a lucrative target for criminals, Jamieson notes in an interview with Information Security Media Group. A critical security solution, he argues, is tokenization.
"We see tokenization as basically the key to addressing fraud within this space," he says. "Tokenization is going to take that account data out of the mix. It's going to be replaced by a token - a proxy value - that today would go through the [payment] rails the same way as a normal transaction for authorization. ... And the beauty of a token is that token is unique to that environment and if it gets compromised, then you simply replace the token."
Jamieson will speak on securing the future of digital payments at ISMG's Fraud & Breach Prevention Summit: Toronto, to be held Sept 11-12.
In this interview (see audio link below photo), Jamieson also discusses:
- The impact of real-time payments on security;
- How Visa deals with an ever-expanding IoT attack surface;
- The technologies, including tokenization and 3-D Secure, that Visa is deploying in Canada to alleviate new forms of payment fraud.
Jamieson is head of payment system risk for Visa Canada. Previously, he served as a member of the Royal Canadian Mounted Police for 20 years. He has over nine years of experience investigating organized crime involvement in forged credit card manufacturing and distribution.