The company “MasterCard” announced that it has gradually phased out the use of the famous magnetic tape, which remained attached to its credit and debit cards, which first appeared in the sixties of the last century.
It said in a statement that it will do away with magnetic tape starting in 2024, noting that it will move towards safer and more convenient alternatives, such as smart chips and contactless payments.
It said it would be the first payments network to phase out technology dating back to the 1960s.
And “MasterCard” indicated that from 2024, there will be no need for magnetic tape on new cards in regions such as Europe, where smart cards are already widely used, while it will be phased out in America in 2027.
It added that starting from 2029, no debit or credit cards will be issued from “MasterCard” with magnetic stripes, and that it will disappear completely by 2033.
And the company, “MasterCard”, pointed out that contactless payments, which can be made either by card or using most modern smartphones, have spread greatly with the start of the spread of the emerging “Corona” virus.
She explained that the volume of contactless transactions increased by one billion in the first quarter of this year compared to last year, and globally, 45 percent of personal payment transactions in the second quarter of this year were contactless.