Faisal KhanAnswered Jul 5, 2014Hardware security tokens are expensive. The US is not the only country that is slow in providing hardware based token for 2FA (Two Factor Authentication). With over 8,000+ Banks in the US, the task becomes inherently more expensive, especially when customers are not willing to pay for such tokens. A typical hardware token based on a 3-year period costs the bank almost US$ 100-$125 per customer (when fully implemented, cost of hardware device, servers, support, marketing, postage, etc.)
Most financial institutions are now slowly gravitating towards the mobile phone as a secondary mechanism for online authentication. Whilst many see the SMS based alerts for 2FA as a great solution (read: cheap), what is even more beneficial are solution providers like Google Authenticator or Authy.
CIOs/CTOs are aware of such alternatives, but somehow are biased when it comes to a single-vendor implementation. Personally, I feel, a customer should have the option to choose, SMS-Phone based 2FA, Google Authenticator or Authy. Let the customer decide.
Most financial institutions are now slowly gravitating towards the mobile phone as a secondary mechanism for online authentication. Whilst many see the SMS based alerts for 2FA as a great solution (read: cheap), what is even more beneficial are solution providers like Google Authenticator or Authy.
CIOs/CTOs are aware of such alternatives, but somehow are biased when it comes to a single-vendor implementation. Personally, I feel, a customer should have the option to choose, SMS-Phone based 2FA, Google Authenticator or Authy. Let the customer decide.