Xie Yanzhen admitted that each of these anti-fraud measures implemented by the HKMA and the banking industry will cause additional friction and delays for financial service users.
The Monetary Authority of Singapore released its annual report as of the end of March this year on Tuesday (July 15). Mr. Xie Jiezhen, Director of the HKMA, revealed at the annual report press conference that the authorities are discussing further strengthening user authentication tools to prevent phishing scams.
In order to enhance the security of online banking, the Monetary Authority of Singapore is working with banks to discuss the use of the Fast IDentity Online standard hardware cipher. Users' electronic devices must contact this hardware cipher in order to make higher-risk payment and transfer transactions.
This authentication scheme with out-of-band and close-range operations mainly relies on separate communication channels to verify, and cannot be executed remotely, thereby enhancing the security of network banking.
He said: "Although the industry will do its best to reduce inconvenience and give time to adapt to new measures, the entire society must also choose between enjoying higher security and encountering more inconvenience."
The HKMA is currently conducting consumer research to find out the pain points of users in the adoption process and ensure a smoother transition period. Details will be announced later.