Biometric Authentication Comes to UPI: NPCI Strengthens Security and Simplifies Payments for Millions of Users
NPCI introduces biometric authentication for UPI payments, allowing fingerprint and face verification for faster, secure, and inclusive digital transactions, strengthening India’s fintech and payment security ecosystem.
Tech Author
The National Payments Corporation of India (NPCI) has introduced biometric authentication for UPI payments in an effort to make digital transactions more secure, seamless, and inclusive. This new feature, announced at the Global Fintech Fest 2025 in Mumbai, allows users to validate UPI transactions with their fingerprints or face recognition rather than the conventional PIN. M. Nagaraju M, Secretary of the Department of Financial Services, led the event on behalf of the Ministry of Finance.The new authentication mechanism will operate on-device, guaranteeing that users' biometric information is secure and confidential. It can also be used to set or reset UPI PINs.
NPCI pointed out that the issuing bank independently verifies each transaction using robust cryptographic checks, providing the highest level of security while making the procedure simple and user-friendly. Customers can actively check in, allowing them to select their preferred method of authentication (PIN or biometric).
The initiative aims to make digital payments more accessible to senior adults and first-time consumers. Previously, setting a UPI PIN required debit card information or Aadhaar OTP verification. Registration for new users is faster and easier using Aadhaar-based face authentication, particularly for individuals who do not have immediate access to cards.This move comes as the Reserve Bank of India (RBI) is increasingly concerned about PIN-related UPI frauds.To combat digital payment scams, the RBI has urged banks and payment providers to develop enhanced second-factor authentication mechanisms such as biometrics.
The project has been in development for more than three years. In 2021, NPCI organized the PayAuth Challenge hackathon to explore alternative authentication methods. Startups such as Tech5, MinkasuPay, and Juspay created unique solutions, with banks choosing MinkasuPay for its easy integration. UPI now processes over 85% of India's online transactions, with around 20 billion transactions every month worth over ₹25 lakh crore. With biometric authentication, the NPCI aims to make the platform not just speedier, but also more safe, inclusive, and trustworthy for millions of users across India.
This article is based on information from Money Control
