Carding Forum
Professional
- Messages
- 2,788
- Reaction score
- 1,177
- Points
- 113
The innovation promises not only increased security, but also peace of mind.
Singapore is going to abandon the use of one-time passwords (OTP), delivered via SMS, to log in to bank accounts. This was announced by the Monetary Authority of Singapore (MAS) and the Association of Banks of Singapore (ABS) on Tuesday, July 9.
Over the next three months, major retail banks in the country will gradually stop using OTP to log in to accounts of customers who already use digital tokens. This decision was made in order to strengthen protection against phishing, when scammers deceive customers by forcing them to disclose a one-time access code.
Instead, the agencies recommend using digital tokens, i.e. authenticator apps on smartphones that generate a new one-time password every 30 seconds. Usually, when using such applications, potential victims are not even notified about attempts to access their account, which can have a positive impact on both security and emotional balance.
Brian Tan, a partner at Reed Smith law firm, said the decision was not unexpected, given that fraudsters have learned to circumvent the current OTP system, despite its two-factor nature.
The question of how this innovation will affect those who do not have or do not want to use modern smartphones remains open. In particular, this applies to neo-Luddites and the elderly. In 2020, Singapore has already faced a similar situation, when it had to develop a special physical device-a tracker to track interactions with coronavirus patients.
However, the director of the Association of Banks of Singapore believes that, despite the possible inconvenience, such measures are necessary to prevent fraud and protect customers.
Singapore's smartphone ownership rate reached 97 percent in 2023, but the country still runs digital inclusion programs for some segments of the population, including low-income seniors. So, only 46 percent of Singapore residents over the age of 60 update their smartphones on time, according to data for 2022. They also lag behind in activating two-factor authentication and performing security checks when making online transactions.
Despite possible availability issues, this decision symbolizes a global shift in cybersecurity and the evolution of digital banking security. Singapore continues to be at the forefront of such practices and serves as an example for other countries in the field of financial technology and digital security.
Source
Singapore is going to abandon the use of one-time passwords (OTP), delivered via SMS, to log in to bank accounts. This was announced by the Monetary Authority of Singapore (MAS) and the Association of Banks of Singapore (ABS) on Tuesday, July 9.
Over the next three months, major retail banks in the country will gradually stop using OTP to log in to accounts of customers who already use digital tokens. This decision was made in order to strengthen protection against phishing, when scammers deceive customers by forcing them to disclose a one-time access code.
Instead, the agencies recommend using digital tokens, i.e. authenticator apps on smartphones that generate a new one-time password every 30 seconds. Usually, when using such applications, potential victims are not even notified about attempts to access their account, which can have a positive impact on both security and emotional balance.
Brian Tan, a partner at Reed Smith law firm, said the decision was not unexpected, given that fraudsters have learned to circumvent the current OTP system, despite its two-factor nature.
The question of how this innovation will affect those who do not have or do not want to use modern smartphones remains open. In particular, this applies to neo-Luddites and the elderly. In 2020, Singapore has already faced a similar situation, when it had to develop a special physical device-a tracker to track interactions with coronavirus patients.
However, the director of the Association of Banks of Singapore believes that, despite the possible inconvenience, such measures are necessary to prevent fraud and protect customers.
Singapore's smartphone ownership rate reached 97 percent in 2023, but the country still runs digital inclusion programs for some segments of the population, including low-income seniors. So, only 46 percent of Singapore residents over the age of 60 update their smartphones on time, according to data for 2022. They also lag behind in activating two-factor authentication and performing security checks when making online transactions.
Despite possible availability issues, this decision symbolizes a global shift in cybersecurity and the evolution of digital banking security. Singapore continues to be at the forefront of such practices and serves as an example for other countries in the field of financial technology and digital security.
Source
