00:00La Banco Central ng Pilipinas, or BSP, is pushing financial institutions to adopt stronger customer authentication methods,
00:06moving away from traditional text message or email-based one-time passwords, or OTPs.
00:13This in favor of biometrics like fingerprints and facial recognition.
00:17The BSP emphasizes that server-side biometric authentication, which verifies identity within the bank's secure backend system,
00:25significantly reduces the risk of account takeover, device compromise, spoofing, and unauthorized credential changes.
00:34While OTPs may still be used for verifying mobile number ownership,
00:39BSP-supervised financial institutions, or BSFIs, are expected to transition away from interceptable methods for high-risk activities.
00:49The central bank stressed that compliance with these new controls will impact the legal standing of a bank.
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