Keyless Helps WithLess Move Beyond MFA

Keyless Technologies, a provider of privacy-preserving biometric authentication solutions known for its zero-knowledge biometric architecture, has partnered with WithLess, a European SaaS platform specializing in subscription and renewal management, to enhance security measures and comply with the Strong Customer Authentication (SCA) requirements of the Payment Services Directive 2 (PSD2). The partnership addresses the growing need for more secure authentication methods in financial services, as PSD2 regulations require multi-factor authentication for electronic payments above €30 in the European Economic Area.

WithLess, which operates in Italy and the United Kingdom, previously used SMS-based multi-factor authentication (MFA) to secure transactions. However, concerns about vulnerabilities such as phishing and SIM swapping led the company to explore more robust solutions. These vulnerabilities have been particularly problematic in Europe, where SMS-based fraud resulted in millions of euros in losses during 2023. Keyless’ biometric authentication technology was chosen for its ability to provide strong security measures while preserving user privacy by ensuring that no sensitive biometric data is stored, leveraging a distributed architecture that fragments and encrypts biometric templates.

The collaboration addressed three key challenges for WithLess: ensuring that payment processes complied with PSD2 SCA requirements, introducing biometric authentication for high-assurance actions, and integrating the system seamlessly without disrupting user experience. Keyless’ solution dynamically links transaction details, such as amount and account number, to prevent tampering, and adds a layer of biometric verification for sensitive operations, such as changes to account details. This approach reflects the growing regulatory emphasis on robust authentication methods across financial services globally.

Integration was reportedly completed in less than two weeks, leveraging Keyless’ API and software development kit (SDK). The transition to biometric authentication has allowed WithLess to replace SMS-based one-time passwords (OTPs) with facial recognition technology, reducing risks associated with account takeovers.

“The simplicity and effectiveness of Keyless’ API allowed us to deploy an advanced biometric authentication system in record time,” said Thomas Alisi, Co-Founder and CTO of WithLess.

The partnership reflects an increasing trend in the SaaS industry toward adopting biometric authentication to meet regulatory requirements while addressing security vulnerabilities. By moving to a biometric-based system, WithLess aims to ensure compliance with evolving financial regulations and reduce the risks associated with traditional MFA methods.

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November 27, 2024 – by the ID Tech Editorial Team