3D Secure is a security solution for online payments that has been used since 2001 to reduce and prevent online card fraud. The solution has been developed by the card networks and is designed to protect both consumers and companies by authenticating that it is actually the card holder who is carrying out the transaction. How this authentication works depends on what bank has issued the card.
As a result of the EU’s new payment service directive, PSD2, 3D Secure will be used for nearly all European online payments from September 14, 2019. This means that, as a merchant, you have to have 3D Secure implemented on your online store in order to accept payments with European cards. In conjunction with these new rules, the card networks have also developed a new version of 3D Secure, called 3D Secure 2.0. This version is more user-friendly for consumers and makes it possible for customers to be exempted from the demand for authentication through what is called a “friction-less experience”.