Financial institutions concerned about cybercrime will be investing in next-generation multifactor authentication solutions in the next year to combat cybercrime. 

Deploying these solutions in 2025 is a top priority for FIs as AI-related fraud becomes increasingly sophisticated, according to a Nov. 19 report by cybercrime solutions company Arkose Labs, which surveyed 60 North American financial cybercrime professionals and 18 multifactor authentication (MFA) executives. The report found: 

• 42% of FIs worry about phishing attempts and data breaches; 

• 32% worry about resiliency or time taken to resolve threats; 

• 25% worry about attacks via third parties; 

• 23% worry about social engineering attacks; and 

• 20% worry about ransomware breaches. 

Next-generation MFA is driven by biometrics rather than manually entered passwords, John Gunn, chief executive at MFA solutions company Token, said during a Nov. 20 webinar hosted by research company Datos Insights. 

Biometric MFA be accomplished with fingerprints, face-scanning software or tokenization, which substitutes sensitive data for surrogate data, such as replacing a bank account number with a nonsensitive set of numbers during a transaction.  

“The ability to focus on the workforce, employees and phishing-resistant MFA … has reshaped how [financial institutions and cybercrime executives] are budgeting in 2025,” John Horn, director of cybersecurity at Datos, said during the webinar. 

The survey also found that 59% of respondents believe deploying next generation MFA solutions will add value to overall business operations. 

Deploying MFA

FIs tapping MFA solutions include: 

• Mastercard, which on Nov. 14 announced in a release that it will deploy tokenization for online shopping by 2030. “With this shift we are protecting sensitive data through advanced encryption and tokenization technologies,” Jorn Lambert, chief product officer, said in the release.   

• Bank of America, which in January launched its CashPro platform that uses biometric solutions to enhance security for commercial and corporate customers. 

• JPMorgan Chase, which in 2023 developed an omnichannel payments solution that uses biometrics to create a secure checkout process, part of the bank’s Commerce Solutions portfolio. 

Register here for early-bird pricing for Bank Automation Summit 2025, taking place March 3-4 in Nashville, Tenn. View the full event agenda here.