How Does Biometric Authentication Enhance Compliance & Security?#
Biometric authentication (e.g., Face ID, Touch ID,
Windows Hello) is a key component of modern digital
security, enhancing both compliance and user protection. When combined with passkeys
and WebAuthn, biometrics provide a seamless yet highly secure authentication method
that aligns with PSD2’s Strong Customer Authentication (SCA) requirements.
How Biometrics Improve Security#
1. Phishing Resistance#
- Unlike passwords, biometric credentials cannot be phished or stolen.
- Attackers cannot trick users into providing a fingerprint or face scan on fraudulent
websites.
2. Hardware-Backed Security#
- Biometric authentication occurs in secure
hardware modules, such as:
- Secure Enclave (Apple)
- Trusted Platform Module (TPM) (Windows)
- Trusted Execution Environment (TEE)
(Android)
- These modules prevent unauthorized access to biometric data.
- Traditional authentication methods (passwords, OTPs) are vulnerable to:
- Credential stuffing
- Man-in-the-middle (MITM) attacks
- Data breaches
- Biometrics eliminate these risks by removing passwords from authentication flows.
How Biometrics Support Regulatory Compliance#
1. Meets PSD2’s Multi-Factor Authentication (MFA) Requirements#
- PSD2 mandates that authentication includes at least two of the following:
- Something You Know (e.g., PIN, password)
- Something You Have (e.g., device with passkey)
- Something You Are (e.g., fingerprint, face scan)
- Passkeys with biometrics inherently fulfill this requirement by combining
device-bound security with biometric authentication.
2. Ensures Dynamic Linking in Payment Authentication#
- PSD2 requires transactions to be cryptographically bound to
authentication.
- Biometrics securely verify the user’s presence during sensitive transactions,
reducing fraud risk.
3. Secure and Private Data Storage#
- Biometric data is never stored in the cloud; instead, it is kept locally on the
device in a secure enclave.
- This ensures compliance with GDPR and other data protection regulations.
4. Reduced Fraud & Lower Compliance Costs#
- Financial institutions face PSD2 non-compliance penalties if fraud rates exceed
thresholds.
- Biometrics significantly lower fraud risks, reducing the need for additional
security measures.
Why Passkeys + Biometrics Are the Future of Authentication#
- Seamless user experience: No need for users to remember passwords.
- Highly secure: Prevents phishing, replay attacks, and
credential theft.
- Regulatory compliance: Meets PSD2’s SCA requirements with
hardware-backed authentication.
Conclusion#
Biometric authentication enhances both security and compliance by providing
phishing-resistant, hardware-backed authentication that aligns with PSD2, SCA, and
global security standards. When combined with passkeys and WebAuthn, it eliminates
password risks, enhances fraud prevention, and ensures seamless multi-factor
authentication.

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