Half of Mastercard’s EU E-Commerce Now Tokenized, Full Coverage Targeted by 2030

• Mastercard hits milestone with nearly half of Europe’s e-commerce now using tokenized payments.
• Tokenization boosts security, cuts fraud, and improves approval rates for merchants.
• Click to Pay and passkeys streamline checkout, enhancing digital payment experiences.

Mastercard reached a major milestone in its digital payment transformation, with nearly half of all e-commerce transactions across Europe now using tokenization technology. The payment giant announced this achievement exactly one year after launching its ambitious plan to eliminate manual card entry and achieve complete tokenization by 2030.

Rapid Growth in Tokenized Transactions

The company’s tokenized transactions, encompassing Secure Card on File, Click to Pay, and digital wallet payments, jumped by over one-third during the past 12 months. This growth shows widespread adoption across Mastercard’s European network, where 45 countries and territories now support merchant tokenization services.

Secure Card on File technology plays a central role in this expansion, replacing traditional card numbers with dynamic, merchant-specific tokens. This system reduces fraud and boosts approval rates, benefiting both merchants and consumers. Meanwhile, Click to Pay has rolled out in 26 European markets, with the number of sign-ups more than doubling over the year.

The momentum towards tokenization is driven by explicit consumer pain points identified through Mastercard research. Nearly 54% of Europeans, according to Mastercard, get frustrated when asked to set up accounts at checkout, and 82% feel some degree of frustration with slow payment processing. These friction points lead to merchants losing sales and harming customer relationships.

Payment passkeys are another innovative technology added to the Mastercard portfolio. Fingerprint or facial recognition can be used to authenticate transactions, thereby eliminating the need for password usage entirely. The biometric solution is safe and simplifies the checkout experience.

As Mastercard points out, the past year saw numerous partnerships that accelerated the adoption of tokenization. Checkout.com, delivery platforms like Delivery Hero's eFood and Glovo, Global Collect, and Santander have integrated Mastercard’s tokenization services into their platforms. Click to Pay accelerated through partnerships with industry giants like Fiserv, N26, and PayU, while payment passkey technology gained support from processors like Netopia and Solidgate.

"One year into our 100% tokenization and authentication journey, Europe is gaining strong momentum," said Brice van de Walle, Executive Vice President, Core Payments Europe at Mastercard. The company continues working with partners to make digital payments more secure and seamless through its three-pronged technology approach.

Netopia Payments was the first European processor to integrate payment passkeys and Click to Pay, raising the bar for digital commerce. The combination provides a secure and convenient passwordless experience for customers.

Mastercard's strategy is to pursue continued regional expansion, increasing access, and fueling consumer education. It will continue to press on with its partnership-driven strategy on track, while fueling adoption rates across all European markets, its 2030 full tokenization objective firmly in sight.

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