ClassifEye, a developer of secure fingerprint authentication technology, announced that Cashpor India, an Indian microfinance institution (MFI), has adopted ClassifEye’s camera-phone-based transactions and authentication solution. Casphor hopes to broaden its customer base and allow their agent-serviced customers to improve their financial reach. Cashpor India is piloting the service in parts of Uttar Pradesh and Bihar.
Rami Cohen, CEO of ClassifEye, noted, “The economics of bringing trusted authentication methods to huge rural environments, such as India, have been a tremendous obstacle to profitably expanding MFI activities.”
ClassifEye’s solution is driven by imaging technology that uses camera phones. MFI customers can manage loans, make deposits and execute other operations via field agents who are equipped with internet-enabled cellular phones. The solution does not require any additional hardware such as fingerprint sensors, USB keys and code generators. The user simply downloads the ClassifEye software directly to their phone and takes a picture of his finger with the phone’s camera. The software then authenticates the user’s fingerprint and authorizes immediate access to the phone. The process takes less than a minute and eliminates the need to remember a password. According to Cashpor the service has been successfully tested by leading banks and MFIs.
According to a recent consumer survey by fingerprint sensor manufacturer AuthenTec, the majority of mobile phone users would like to have fingerprint authentication on their devices. Over 69 percent of the respondents in the survey said they will feel more secure about conducting mobile financial transactions through their mobile phone if it featured a fingerprint sensor. The survey was not limited to India, but does reveal some general user trends
ClassifEye attempts to address some of the potential constraints in their technology design by using algorithms and software that can analyze images of relatively poor quality, whether from bad lighting conditions or angles. ClassifEye also uses software that requires relatively low processing speeds.
Charlie Moore, Managing Director of Nobska Ventures, an Israeli investment firm, said, “We believe that ClassifEye can dramatically accelerate expansion of mobile commerce applications in the US and abroad. Our discussions with major carriers and equipment manufacturers confirm that many will strongly prefer ClassifEye’s technology”
Cashpor Financial and Technical Services (CFTS) was started in 1996 to give access to financial services in the form of small amounts of credit, to poor rural women. Cashpor India has 300,000 active loan clients with a portfolio of USD 150 million.
ClassifEye is an Israel-based company with local operations in India. Funding has been provided by Nobska Ventures, Israel’s Office of Chief Scientist, and Bio-Key International.
Scott Everett, Research Assistant
Additional Resources:
MICROCAPITAL STORY: “Rural Users Yet To Take a Call on Mobile Banking”, October 14, 2008
AUTHENTEC: Home, “Survey Shows Strong Interest in SMS Privacy, Demand for Convenient Fingerprint Security in Cell Phones”, October 27, 2008
TMCNET: Home, “Indian MFI Cashpor Improves Financial Reach with ClassifEye”, November 10, 2008
TEXTUALLY: Home, “ClassifEye technology guards camera phone identity”, November 7, 2008
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