EMV (Europay, Mastercard, and Visa) is a security framework for how payment terminals communicate with your card. This payment technology is aimed at eliminating common forms of in-person credit card fraud as EMV standards are more difficult for identity thieves to clone. While many believe EMV protocol can only be followed via contact chip card, it can also be followed by contactless payments.
While Coin itself is not currently enabled with a contact EMV chip, Coin 2.0 is equipped with contactless NFC technology that increases merchant compatibility and allows users to transact using EMV payment standards.
- Contact: The most prominent physical feature of a contact EMV card is the visible embedded computer chip on the face of the card. With EMV chip cards, rather than swiping, you dip cards into an EMV-enabled point of sale (POS) terminal and are then prompted to enter a PIN code to authorize and complete the transaction. This process is often referred to as Chip-and-Pin or currently in the U.S., Chip-and-Signature.
- Contactless: NFC (Near Field Communication), also known as Contactless Payments, is a set of protocols that enables data transfer between devices by bringing the devices close together with a simple wave or tap. With NFC, rather than swiping, you tap cards against an NFC-enabled POS terminal to transmit card data. Once the terminal has received the card data, the transaction is completed exactly as it would if your card had been swiped. This process is often referred to as Tap-to-Pay.