Mastercard (NYSE: MA) today introduced a vision for digital identity in today’s increasingly connected world. A new paper, Restoring Trust in a Digital World, presents a detailed framework of how digital identity will work, starting with the individual sitting at the heart of every digital interaction.
Guiding this model are Mastercard’s Principles of Digital Identity that will underpin the system. These principles focus on data rights and ownership, confidentiality, consent, transparency, security and inclusion. They amount to a fundamental individual right: “I own my identity and I control my identity data.”
|Inclusion||Everyone has a right to a digital identity|
|Ownership||Individuals own their identity and personal data|
|Simplicity||An individual’s use of their digital identity should be simple and intuitive|
|Confidentiality||An individual has the right to keep their digital identity information private|
|Consent||An individual’s digital identity should not be used or shared without their explicit consent or as permitted by law|
|Transparency||Individuals have the right to understand how their digital identity data is used and shared|
|Security & Integrity||Identity data and transactions that involve an individual’s digital identity should be held with the highest standards of security and integrity|
|Data Rights||Individuals should have the right to access, correct and delete their identity data, and the right to recourse if their rights are violated|
|Fair Use||An individual’s identity data will be used only for legitimate, fair and non-discriminatory purposes|
|Choice||Individuals should have a choice of a digital identity provider and the right to opt out|
“The big question for digital interactions in a hyper-connected age is: how do you trust someone you don’t know, can’t see and isn’t present in person?” said Ajay Bhalla, president of Cyber & Intelligence Solutions for Mastercard. “This is an area we’ve been exploring for some time, in discussion with a range of different groups. It’s with this insight that we imagine a world where a person’s identity and the devices operating on their behalf can be verified immediately, safely and securely, where access is gained without passwords and data is exchanged only with consent.”
Mastercard’s model embodies privacy-by-design and does not aggregate identity data. It will enable digital interactions to occur with minimal data exchanged and only when needed, and will safeguard data and the use of data effectively such that the users are in control, with a person’s identity securely bound to their smartphone.
Access to a digital identity will unlock new and enhanced experiences for people as they interact with businesses, service providers and their communities online, introducing a more efficient online shopping experience, a more seamless process for opening a bank account or filing taxes, and streamlining use of e-mail, social media and entertainment platforms. It will also reduce the risk of fraud and identity theft.
Ajay Bhalla said: “Digital identity requires a collective effort. Building on our strategic partnership with Microsoft and working with a range of industry players, we are committed to facilitating the network and helping define the rules and governance. Together, we have a real opportunity to transform digital engagement so that it is convenient and doesn’t compromise on security.”
Notes to Editors
Please visit www.mastercard.com/digitalidentity to read the report in full, including a number of case studies of digital identity in action. These cover easing the burden of proof, local solutions with global interoperability, fraud reduction, improved commercial interactions and inclusion.
During 2018-19, Mastercard gathered together leading experts and interested parties from around the world with a view to exploring the opportunities presented by digital identity.[i] Mastercard’s own definition draws on those discussions, its own discussions with governments, partners and other stakeholders, and its longstanding expertise in the fields of authentication and verification.
In Mastercard’s view digital identity is:
3. A Solution for Digital Identity Verification
Mastercard is helping to change the way we establish identity in an online world, so that we move from:
[i] “Future of Digital Identity: Insights from Multiple Expert Discussions Around the World”,
Future Agenda in partnership with Mastercard, 2019
[ii] “Identification for Development, Africa Business Plan”, World Bank Group, 2018
[iii] UN Sustainability Goal 16.9 was established to provide legal identity for all by 2030
[iv] “2018 Identity Fraud: Fraud Enters a New Era of Complexity”, Javelin Strategy & Research, 2018
[v] Synthetic Identity Fraud Working Group, Auriemma Group, 2017
Mastercard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry. Our global payments processing network connects consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. Mastercard products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MastercardNews, join the discussion on the Beyond the Transaction Blog and subscribe for the latest news on the Engagement Bureau.