Explaining the EMV shift and payment security is difficult — there is a great deal of confusion about what the shift means, what security it really delivers, and its real benefits for merchants. Part of the problem is the fact that the card brands have chosen to focus all their marketing on a single oversimplified value statement: the liability shift for card present transactions through non-EMV- compliant terminals. But digging into the specifications and working through the rollout process reveals a much larger change underway, with much broader ramifications.
This paper by Securosis provides a good overview of the ‘liability shift’ and the changing space of payments thanks to the EMV rollout.1
- My favorite part of the liability shift/EMV rollout is that the US is getting all worried about this thing that the rest of the world has been doing for ages. Even North Korea adopted chip cards before the USA. ↩