AI is becoming the new player in finance, reshaping how payments are made and managed. EMVCo, an organization behind global payment standards, has taken a significant step in studying agentic payments. For those unfamiliar, agentic payments are transactions where AI agents act automatically on a user’s behalf, from initiating to completing payment processes. This shift responds to advancements in artificial intelligence and consumer convenience, but it also brings new challenges, particularly in security and standardization.
Here’s why this matters. Payments involve intricate systems connecting banks, merchants, processors, consumers, and now AI agents. EMVCo plays a leading role in ensuring that all these parties can interact smoothly and securely. As AI agents start handling payments, there’s potential for misuse, fraud, and gaps in trust unless proper global standards are established. EMVCo has identified this need and is addressing it through adaptations to existing payment specifications, including 3-D Secure and tokenization.
A Closer Look at What EMVCo Plans to Address
Let’s unpack the areas EMVCo is exploring for agentic payments:
- Authentication with Artificial Intelligence
Current systems typically require human action at some point during a payment. For AI-driven payments, EMVCo is exploring how AI agents can securely authenticate transactions independently, in ways that instill trust across all platforms. - Tokenization Standards
Tokenization replaces sensitive payment data with encrypted tokens, adding a layer of security. EMVCo aims to evolve these standards to fit agentic transactions, ensuring encrypted safety in scenarios where humans aren’t directly involved. - Remote Commerce Adaptations
AI payments are often performed remotely, for example, a personal assistant buying a product online. EMVCo is diving into how remote transactions can remain secure when managed by digital agents.
Trends to Watch
Let’s look at where EMVCo’s actions connect with emerging market trends. Major moves are underway globally to integrate AI into payment processes. Visa, for instance, has been designing systems to increase trust in agentic commerce services. Tech players like Google and PayPal have also started building solutions for AI-led transactions. McKinsey projects agentic commerce could hit $5 trillion in global transactions by 2030. The question isn’t “if” AI payments will impact finance but “how prepared” businesses need to be.
Step-by-Step Guide for Businesses: Preparing for Agentic Payments
Agentic payments are coming fast. Businesses should take steps now to adapt, especially for sectors that depend heavily on seamless transactions, like e-commerce and finance.
- Audit Payment Systems
Check whether your current systems can handle AI-driven transactions securely. Update your APIs if necessary. - Collaborate with Payment Organizations
Organizations like EMVCo offer support while shaping global standards. Engage with them to understand compatibility strategies. - Build Trust Protocols
Develop mechanisms to verify the authenticity and security of AI-driven payments. This ensures compliance and reliability for partners. - Educate Teams
Train employees on how agentic AI functions within payment platforms, it’s only as secure as those operating the ecosystem.
Mistakes to Avoid
Some businesses may rush to integrate AI payments without considering backend security. That’s a major risk. Don’t ignore collaboration opportunities with industry leaders like EMVCo. Avoid short-term fixes that sacrifice long-term trustworthiness. Common mistake number three: forgetting to update payment protocols, which limits interoperability when AI agents scale.
Industry Implications
The implications of this initiative are broad. Banks need to rethink compliance frameworks. Merchants get access to innovative payment methods but must manage potential fraud. Consumers gain faster, automated convenience but may worry about security risks. EMVCo’s stance helps mitigate these risks for all involved.
Closing Thoughts
For entrepreneurs, the arrival of agentic payments is both a call to act and an opportunity to innovate. Staying ahead of this trend won’t just protect customer trust; it will open doors to new business models. Follow the developments at EMVCo and align your strategy with evolving standards. Smart businesses prepare early so they can confidently participate as AI transforms how people purchase, sell, and transact. Agentic payments aren’t just about technology, they’re about trust.
FAQ
1. What are agentic payments?
Agentic payments refer to transactions managed by AI agents that autonomously initiate and complete payment processes on behalf of users without direct human action. Learn more about agentic payments
2. What is EMVCo's role in agentic payments?
EMVCo is a global technical body that develops payment standards, ensuring secure and interoperable transactions. It is now working on adapting its specifications for agentic payments to address security and authentication needs. Discover EMVCo's initiative
3. How does tokenization help in agentic payments?
Tokenization replaces sensitive payment data with encrypted tokens. EMVCo is working to update these standards to ensure the safe handling of agentic transactions.
4. What measures is EMVCo taking for secure authentication in AI payments?
EMVCo is developing new authentication models compatible with AI-driven transactions, which will enable AI agents to authenticate securely without requiring direct human interaction. Understand EMVCo's plans for authentication
5. How are remote commerce transactions impacted by agentic payments?
Agentic payments, which often involve AI agents making remote transactions (e.g., online purchases), require advanced security measures. EMVCo is developing new adaptations to secure these processes.
6. What companies are involved in agentic payment initiatives?
Companies like Visa, PayPal, and Google are exploring solutions for secure and trusted agentic payment systems. Additionally, EMVCo collaborates with numerous industry stakeholders to create relevant standards. Learn about Visa's trust protocols for agentic commerce
7. Are there any projections for the growth of agentic payments?
Yes, McKinsey projects that agentic commerce could reach $5 trillion in global transactions by 2030, indicating significant industry growth.
8. How can businesses prepare for agentic payments?
Businesses should audit their current payment systems for compatibility, collaborate with organizations like EMVCo, implement trust and security protocols, and educate their teams about agentic AI functions in payment platforms.
9. What mistakes should businesses avoid when adapting to agentic payments?
Businesses should avoid rushing into implementations without securing backend systems, neglecting partnerships with industry leaders, and failing to update their payment protocols for AI-driven transactions.
10. What is the potential of agentic payments in financial industries?
Agentic payments bring opportunities like faster and more efficient transactions, but the financial industry must navigate challenges related to security, fraud prevention, and compliance protocols.
About the Author
Violetta Bonenkamp, also known as MeanCEO, is an experienced startup founder with an impressive educational background including an MBA and four other higher education degrees. She has over 20 years of work experience across multiple countries, including 5 years as a solopreneur and serial entrepreneur. Throughout her startup experience she has applied for multiple startup grants at the EU level, in the Netherlands and Malta, and her startups received quite a few of those. She’s been living, studying and working in many countries around the globe and her extensive multicultural experience has influenced her immensely.
Violetta Bonenkamp's expertise in CAD sector, IP protection and blockchain
Violetta Bonenkamp is recognized as a multidisciplinary expert with significant achievements in the CAD sector, intellectual property (IP) protection, and blockchain technology.
CAD Sector:
- Violetta is the CEO and co-founder of CADChain, a deep tech startup focused on developing IP management software specifically for CAD (Computer-Aided Design) data. CADChain addresses the lack of industry standards for CAD data protection and sharing, using innovative technology to secure and manage design data.
- She has led the company since its inception in 2018, overseeing R&D, PR, and business development, and driving the creation of products for platforms such as Autodesk Inventor, Blender, and SolidWorks.
- Her leadership has been instrumental in scaling CADChain from a small team to a significant player in the deeptech space, with a diverse, international team.
IP Protection:
- Violetta has built deep expertise in intellectual property, combining academic training with practical startup experience. She has taken specialized courses in IP from institutions like WIPO and the EU IPO.
- She is known for sharing actionable strategies for startup IP protection, leveraging both legal and technological approaches, and has published guides and content on this topic for the entrepreneurial community.
- Her work at CADChain directly addresses the need for robust IP protection in the engineering and design industries, integrating cybersecurity and compliance measures to safeguard digital assets.
Blockchain:
- Violetta’s entry into the blockchain sector began with the founding of CADChain, which uses blockchain as a core technology for securing and managing CAD data.
- She holds several certifications in blockchain and has participated in major hackathons and policy forums, such as the OECD Global Blockchain Policy Forum.
- Her expertise extends to applying blockchain for IP management, ensuring data integrity, traceability, and secure sharing in the CAD industry.
Violetta is a true multiple specialist who has built expertise in Linguistics, Education, Business Management, Blockchain, Entrepreneurship, Intellectual Property, Game Design, AI, SEO, Digital Marketing, cyber security and zero code automations. Her extensive educational journey includes a Master of Arts in Linguistics and Education, an Advanced Master in Linguistics from Belgium (2006-2007), an MBA from Blekinge Institute of Technology in Sweden (2006-2008), and an Erasmus Mundus joint program European Master of Higher Education from universities in Norway, Finland, and Portugal (2009).
She is the founder of Fe/male Switch, a startup game that encourages women to enter STEM fields, and also leads CADChain, and multiple other projects like the Directory of 1,000 Startup Cities with a proprietary MeanCEO Index that ranks cities for female entrepreneurs. Violetta created the "gamepreneurship" methodology, which forms the scientific basis of her startup game. She also builds a lot of SEO tools for startups. Her achievements include being named one of the top 100 women in Europe by EU Startups in 2022 and being nominated for Impact Person of the year at the Dutch Blockchain Week. She is an author with Sifted and a speaker at different Universities. Recently she published a book on Startup Idea Validation the right way: from zero to first customers and beyond, launched a Directory of 1,500+ websites for startups to list themselves in order to gain traction and build backlinks and is building MELA AI to help local restaurants in Malta get more visibility online.
For the past several years Violetta has been living between the Netherlands and Malta, while also regularly traveling to different destinations around the globe, usually due to her entrepreneurial activities. This has led her to start writing about different locations and amenities from the POV of an entrepreneur. Here’s her recent article about the best hotels in Italy to work from.
About the Publication
Fe/male Switch is an innovative startup platform designed to empower women entrepreneurs through an immersive, game-like experience. Founded in 2020 during the pandemic "without any funding and without any code," this non-profit initiative has evolved into a comprehensive educational tool for aspiring female entrepreneurs.The platform was co-founded by Violetta Shishkina-Bonenkamp, who serves as CEO and one of the lead authors of the Startup News branch.
Mission and Purpose
Fe/male Switch Foundation was created to address the gender gap in the tech and entrepreneurship space. The platform aims to skill-up future female tech leaders and empower them to create resilient and innovative tech startups through what they call "gamepreneurship". By putting players in a virtual startup village where they must survive and thrive, the startup game allows women to test their entrepreneurial abilities without financial risk.
Key Features
The platform offers a unique blend of news, resources,learning, networking, and practical application within a supportive, female-focused environment:
- Skill Lab: Micro-modules covering essential startup skills
- Virtual Startup Building: Create or join startups and tackle real-world challenges
- AI Co-founder (PlayPal): Guides users through the startup process
- SANDBOX: A testing environment for idea validation before launch
- Wellness Integration: Virtual activities to balance work and self-care
- Marketplace: Buy or sell expert sessions and tutorials
Impact and Growth
Since its inception, Fe/male Switch has shown impressive growth:
- 5,000+ female entrepreneurs in the community
- 100+ startup tools built
- 5,000+ pieces of articles and news written
- 1,000 unique business ideas for women created
Partnerships
Fe/male Switch has formed strategic partnerships to enhance its offerings. In January 2022, it teamed up with global website builder Tilda to provide free access to website building tools and mentorship services for Fe/male Switch participants.
Recognition
Fe/male Switch has received media attention for its innovative approach to closing the gender gap in tech entrepreneurship. The platform has been featured in various publications highlighting its unique "play to learn and earn" model.
