SmartMetric Brings Biometric Authentication to the Estimated 1.6 Billion Chip and PIN Cards Used Around the World
March 24, 2014 - NEW YORK, NY
SmartMetric, Inc. (OTCQB: SMME): According to a recent reported statement by the National Retailers Federation, JPMorgan Chase in the United States that has been issuing chip and signature credit cards now, following the large scale Target card fraud, has decided to switch its USA EMV roll out to chip and PIN.
SmartMetric, the developer of chip and fingerprint payment cards, welcomes the move by JPMorgan Chase to adopt chip and PIN in the United States in line with the 1.6 billion chip and PIN EMV cards already being used in the banking sector around the world. The use of chip and PIN EMV cards when deployed has seen a dramatic reduction in fraud; for instance, card fraud rates in the United Kingdom dropped a staggering 50% to 60% five years ago following the adoption of chip and PIN EMV payment cards. The reliance on PIN codes, however, has remained the weak link in the security chain seeing fraudsters developing methods to defeat PIN security.
The SmartMetric fingerprint scanner built into a person's card adds biometric security as a second authentication layer onto chip and PIN cards providing a much stronger level of security to that of cards that rely solely on PINs. The fingerprint of the card owner is used to turn on the card's EMV chip, allowing the card to then accept a PIN code at the retailer's card reader. This new biometric card technology by SmartMetric has the potential to save billions of dollars a year for the card and banking industry. The biometric card technology is backward compatible with existing EMV card systems according to SmartMetric's President and CEO, Chaya Hendrick.
SmartMetric is readying to commence manufacturing of both its fingerprint EMV cards and its MedicalKeyring that is used to store a person's medical files protected by the user's biometrics. The company last year did a limited release of its MedicalKeyring resulting in limited sales. Following the experience gained the company reconfigured its product and used the opportunity to make further advances to its internal electronics, bringing about substantial cost savings. With the new electronics SmartMetric has seen a manufacturing cost reduction for both the card and MedicalKeyring of over 50%. The company has also made significant advances in protecting its electronics from heat, pressure and reverse engineering allowing both of its products to be contract manufactured rather than SmartMetric having to build and operate its own facility. This allows SmartMetric to go into mass production much quicker than previously planned according to the company President.
The SmartMetric fingerprint card is fully compatible with existing chip card systems. According to EMV.co there are more than 1.6 billion EMV chip cards issued by banks around the world. SmartMetric has designed its technology to be able to be adopted by card issuers while conforming to existing card specifications.
SmartMetric, Inc. (OTCQB: SMME) is the owner of a USPTO issued patent covering the use of smartcards (EMV cards are smart cards) that connect to networks. The company develops biometric smart cards including EMV and access control cards used for payments, security and identification. For information on SmartMetric and its technology please go to www.smartmetric.com.
Safe Harbor Statement
Certain of the above statements contained in this press release are forward-looking statements that involve a number of risks and uncertainties. Such forward-looking statements are within the meaning of that term in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors.
Chaya C. Hendrick
President & CEO