The Challenge
Mastercard Cloud-based Payments (MCBP Tokenization) standard version 1.0 was first introduced in December 2014. This standard allowed purely software-based tokenization of payment cards. This marked the beginning of a new era in contactless payments.
Our client, being known as an innovative bank in their region, approached us with the idea of building the first tokenization system in their region, based on MCBP Tokenization ver.1.0. In early 2015, there were no successful implementations of this technology in the country and contactless card acceptance penetration was quite low (around 3,000 contactless terminals only).
To implement this project, our client needed a time-tested and reliable partner. Our client chose D8 Corporation because of our previous work history with the bank and our level of flexibility.
Solution We Offered
We offered a Tokenization Platform in its first version, that was initially built around the MCBP Tokenization standard. Our client wanted to build a separate digital wallet product, instead of just integrating payment functionality into their mobile bank.
MCBP Tokenization standard is built around Host Card Emulation (HCE) technology. HCE technology turns any NFC-enabled smartphone into a contactless card. Users can then make purchases at any contactless POS terminal by just tapping their phone.
At the time, our client had the in-house card management system (CMS) installed, so integration between the CMS and the Tokenization Platform went very smoothly, as D8 Corporation had ready-to-use API for integration with the CMS system.
In this project, we used one Thales payShield 9000 HSM, integrated with our Tokenization Platform server, in one location at our client’s data center. Integration with Thales payShield 9000 went smoothly and all minor challenges we encountered were solved almost instantly, thanks to Thales excellent and fast-working support team.
As for the mobile wallet, we created a separate wallet for mobile cards, running on NFC-enabled Android phones. We developed this application according to our client’s brand guidelines.
The last step in the process was the certification of the mobile application and implementation server side with Mastercard. We assisted our client through all steps of the certification process. As a result, our client was able to successfully obtain all required certifications.
The Results
- Enabled cards digitization to a 300,000+ cardholders
- Onboarding rate of 1% per day and growing
- Project completed in under 5 months
- Bank won the "Bank of the Year" once more
