OPay Fortifies Platform Against fraud, Introduces KYC Requirements
Nigerian fintech company OPay is stepping up its security measures by introducing KYC (Know Your Customer) requirements to combat fraud and impersonation, according to a recent press conference.
The move follows scrutiny of weaknesses in OPay’s tier 1 account verification process, particularly in the facial identity system, raising concerns about potential exploitation by malicious actors.
During tests, a user successfully registered using basic personal information of a celebrity, revealing OPay’s failure to conduct proper verification, allowing the user to bypass crucial security checks. In response to these vulnerabilities, OPay is now enforcing Bank Verification Number (BVN) and National Identity Number (NIN) requirements for wallet opening. Non-compliant accounts will be blocked.
This initiative aligns with the Central Bank of Nigeria’s warning against weak verification processes. The regulator mandated financial service providers to implement stricter KYC processes, emphasizing the importance of BVN or NIN verification. Compliance is expected by April 2024.
To enhance its security measures, OPay has partnered with Interswitch, leveraging the Interswitch Payment Gateway (IPG) to reduce transaction friction and provide a secure payment solution for consumers.
