In the fast-evolving world of financial services, one thing is clear: the future of banking is mobile. As consumer expectations shift toward seamless, instant digital experiences, traditional methods of authentication – especially passwords – are quickly becoming obsolete. For banks in digitally progressive markets, adopting advanced digital identity solutions isn’t just a matter of convenience – it’s a critical step toward future-proofing customer trust and regulatory compliance.
The mobile-first future of banking
Mobile banking is the primary gateway to financial services. According to McKinsey’s recent trends, over 70% of customers in Western Europe are willing to use mobile, or app-based, banking solutions. This statistic is currently out of line with the percentage of customers already using or those who prefer to use mobile banking – 47% and 40% respectively – thus,indicating there is a market opportunity to expand digital banking offerings. With this shift, the vulnerabilities of outdated authentication methods are becoming increasingly apparent. Passwords can be forgotten, phished, stolen, or guessed – leading to costly breaches and eroding customer confidence.
To meet the demands of modern banking, institutions need to ensure both security and simplicity. This is where mobile-based digital identity, underpinned by cryptographic security, steps in as a transformative force.
Enter SplitKey+: a new standard in mobile identity
Cybernetica’s SplitKey+ is redefining the standards for mobile-based digital authentication and signatures. Designed with the stringent security and usability demands of banks in mind, SplitKey+ is a cryptographic authentication and digital signature solution that offers more than just passwords – a multi-factor authentication (MFA) method can be tailored according to each user’s preferences, consisting of a combination of PIN, pattern or biometrics.
The SplitKey key protection technology has been – and still is – used by all major banks in the Baltic countries; Estonia, Latvia and Lithuania since 2017 without one single private key being compromised.
Here's how SplitKey+ benefits banks navigating the mobile-first method:
1. Seamless user experience
From ease of onboarding new customers to continuous frictionless authentication and transaction authorisation, SplitKey+ is a unique solution on the market. The experience that the product has to offer reduces drop-off rates, improves satisfaction, and aligns with the expectations of tech-savvy customers in Europe.
2. Uncompromised security
SplitKey+ uses a patented cryptographic protocol that distributes the private key across multiple secure environments – ensuring that it never exists in full on any single device or server. Even if a phone is lost or a server is compromised, the digital identity remains secure. This architecture mitigates the risks stemming from phishing, SIM swapping, and device theft.
3. Compliant by design
Banks operating in the EU must navigate a complex regulatory landscape, from PSD2 to eIDAS. SplitKey+ is built to comply with these frameworks, as it complies with the European QSCD (Qualified Signature Creation Device) requirements and PSD2 (Payment Services Directive). This gives banks a future-proof solution that meets both security and legal requirements.
4. Seamless integration
For banks, the path to innovation must also be practical. SplitKey+ turns every smartphone into a secure authentication device, omitting the need for special hardware. Furthermore, it is designed to integrate easily with existing digital banking infrastructure. Whether it's authenticating users or signing high-value transactions, SplitKey+ can be embedded without overhauling backend systems.
5. A platform for growth
Digital identity is not just about secure logins – it’s a gateway to a broader ecosystem of digital services, from instant loan approvals to cross-border onboarding. SplitKey+ lays the foundation for banks to expand services securely, driving customer loyalty and new revenue streams.
A passwordless and more secure future begins now
As the banking sector accelerates into a digital-first era, mobile-based digital identity is emerging as the key aspect of secure and user-friendly financial services. Cybernetica’s SplitKey+ empowers banks to go beyond passwords, delivering the trust, compliance, and seamlessness that the future of banking demands.