Is The Future of Payments In Your Palm And Not Your Phone?
Ditch the wallet, just wave your hand and pay. Are Malaysians ready?
Subscribe to our FREE Newsletter, or Telegram and WhatsApp channels for the latest stories and updates.
This story was first published on our tech-focused website www.techTRP.com
Imagine walking into a café, waving your hand over a scanner, and walking out with your coffee paid for—all without touching your wallet or phone.
This vision of seamless transactions is becoming a reality as palm payment technology gains traction globally. But where does Malaysia stand in this biometric revolution?
What Is Palm Payment and How Does It Work
Palm payment technology uses advanced biometric authentication, relying on the unique vein patterns and palm prints beneath the skin. Here’s how it works.
1. Palm Registration: Users scan their palm using a dedicated device. The system maps the vein patterns and converts the data into a secure template.
2. Linking to a Payment Method: The scanned palm is paired with a credit card, bank account, or digital wallet.
3. Authentication and Payment: When making a purchase, users hover their palm over a scanner. The system verifies the data and processes the payment.
Companies like Visa and Tencent have been piloting such systems, with the former conducting trials at selected locations since October 2023.
Global Adoption Pioneers in Palm Payment
Palm payment isn’t new, and its journey began years ago.
• Octobox (2019) A Singaporean company launched palm-based transactions at its unmanned smart stores. Customers could link their palms to the DBS PayLah wallet and pay effortlessly.
• Amazon One (2020) Amazon introduced its palm payment system in the United States, integrating it with Amazon Go and Whole Foods stores. The biometric templates are securely stored in the cloud, ensuring fast and efficient transactions.
Is Malaysia Ready for Palm Payment?
While palm payment has yet to make its debut in Malaysia, our country is no stranger to biometric authentication. Efforts are already underway to integrate biometrics into a number of sectors.
1. Biometric Payment Cards
Modularsoft has partnered with Zwipe to develop fingerprint-enabled payment cards in Malaysia. These cards allow users to authorise transactions with a fingerprint, eliminating the need for PINs.
2. Digital Banking Integration
Malaysian banks like PNB have implemented biometric options such as fingerprint and facial recognition in digital apps to enhance security for online transactions.
3. National Border Control Systems
Malaysia is upgrading its biometric border control systems to streamline security and efficiency at land, sea, and air checkpoints.
The Challenges and Promise of Palm Payment
Palm payment offers unmatched convenience. Your hand is always with you, making it a reliable method that can’t be lost like a card or phone. Yet, significant concerns persist.
1. Privacy and Data Security
Biometric data theft is a critical risk. Unlike replacing a stolen credit card, compromised palm data cannot be reset. Companies must implement robust encryption and storage protocols to protect sensitive data.
2. Fraud Prevention
Experts warn that fraudsters could exploit artificial intelligence and deepfake technology to mimic palm patterns. Systems must incorporate “liveness detection” to ensure that scanned palms are real and alive.
3. Adoption Costs
Palm payment systems require specialised hardware, which could deter small businesses. Moreover, these machines take up valuable counter space and incur higher installation costs.
What Palm Payment Could Mean for Malaysians
If introduced in Malaysia, palm payment could transform sectors like retail, transportation, and healthcare. It aligns with the country’s push for a cashless society and complements existing digital payment methods like e-wallets and QR codes.
However, strong regulations will be essential to ensure that biometric data is not misused or exploited. Policymakers must learn from global pioneers to implement privacy-first solutions.
As countries explore palm payment, Malaysia has the opportunity to leapfrog into the next era of cashless transactions. While challenges remain, the promise of convenience and security may soon outweigh the costs and concerns.
Exactly how close are we to a wallet-free world?
Share your thoughts with us via TRP’s Facebook, Twitter, Instagram, or Threads.
