Payments Glossary

This glossary describes some general terms that are used in the payment industry to help you demystify the world of payments.

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3DS 1.0

Acronym of Three-Domain Secure, an anti-fraud communication protocol developed by Visa and currently used by other international debit and credit card brands for virtual payments.
When the customer completes a transaction, the issuing bank requests at least one authentication detail in addition to the CVV, such as:

  • One Time Password (OTP)
  • Code sent by SMS
  • Password

3DS 2.0

To improve the 3DS 1.0 protocol, EMVCo launched in 2016 the 3DS 2.0 protocol, with a view to maintaining a healthy balance between transaction acceptance rate and low risk of fraud. In the 3DS 2.0 protocol more contextual information about the paid customer is submitted for evaluation, and authentication is only required when there is a high risk of fraud. Unlike the previous protocol, the payer is not redirected to an external page.