What Does EMV Chip Mean?
An EMV chip is an embedded microprocessor chip in payment cards such as credit and debit cards which stores and protects cardholder data. EMV chip technology was originally developed by Europay, Mastercard and Visa, with the EMV chip storing data on integrated circuits rather than magnetic stripes. The EMV standard is an advancement to combat fraud and to secure and protect sensitive payment data.
Techopedia Explains EMV Chip
The EMV standard is currently managed by a consortium called EMVCo. With the help of complex processing techniques and superior algorithms, EMV chips are bringing better security to payment card users. An EMV chip card ensures the payment data is more secure than on a magnetic-stripe-based card. Data from the magnetic stripe of a conventional payment card can be copied and authentication capabilities are less. The EMV chip provides dynamic authentication capabilities as it generates a unique authentication code for each transaction.
