PASSWORDLESS! Why Fintech companies are migrating to Passwordless?

GRC (Governance Risk & Compliance) / By
Passwords 🔑 have always been a weak link in security.
  • But in fintech business, where data protection is critical, passwordless authentication is becoming the new standard.
    No more passwords to remember or answer security questions asking for your “mother’s maiden name?” or “name of your childhood crush” 👀
  • Passwords are a security risk: According to a Microsoft article, passwords are involved in 80% of data breaches. In fintech, where sensitive financial data is at stake, relying on passwords alone is a gamble.
  • Better user experience: People find passwords inconvenient. Gartner has stated in one of the reports that 20-50% of IT helpdesk calls are for password resets. With passwordless authentication, users can log in using biometrics (fingerprints, facial recognition), security keys, or mobile apps, making the process faster and more secure.
  • Stronger security: Passwordless solutions leverage technologies like FIDO2 and multi-factor authentication (MFA) to block common threats like phishing and credential theft.

 

How Fintech companies are leading the change?

Many fintech companies are adopting passwordless solutions such as Windows Hello, Face ID, Howdy, FIDO2 keys to secure their platforms. These tools offer enhanced security while improving the user experience.

The benefits:

  • Regulatory compliance: Passwordless authentication supports compliance with regulations like GDPR and PCI DSS, ensuring customer data is better protected.
  • Lower operational costs: Fewer password resets mean reduced IT help desk costs, allowing fintech companies to focus resources elsewhere.
  • Customer trust: By moving to passwordless authentication, demonstrate a strong commitment to security, which is critical in building trust with your customers.

For fintech companies, the shift towards passwordless is a win-win, improving security and enhancing user experience.

How Sinevis can help your organisation?

Sinevis can help an organisation with by evaluating business requirements and selecting a passwordless authentication method, such as biometric authentication, hardware security keys, or magic links via email or SMS. Integrate passwordless authentication into your existing identity and access management (IAM) solution, ensuring compatibility with existing Single Sign-On (SSO) and Multi-Factor Authentication (MFA).

Please contact us.