PhonePe Introduces Tokenization for Safer Digital Payments

PhonePe co-founder and CTO Rahul Chari said that this launch is an important step in making digital payments more secure and easy.

Fintech giant PhonePe has announced the launch of a device tokenization solution for credit and debit cards. With this feature, users can tokenize their cards directly on the PhonePe app.

Once tokenized, PhonePe users can make bill payments, recharges, travel bookings, insurance purchases, and payments at PIN-based terminals using their cards. Additionally, the tokenized card can be used for online transactions at merchants where PhonePe’s payment gateway services are integrated. Throughout this article, we will share all the details about this new system and its benefits.

PhonePe Introduces Tokenization for Safer Digital Payments

PhonePe co-founder and CTO Rahul Chari said that this launch is an important step in making digital payments more secure and easy. He added that PhonePe will expand this feature by working with more card payment networks and making tokenized cards available to all PhonePe PG merchants.

“At PhonePe, we always focus on creating simple and safe solutions for customers. As digital payments grow, we want to provide services that make transactions secure, fast, and hassle-free for both businesses and users,” Chari said.

India’s UPI payments giant, PhonePe, recently announced the launch of a device tokenization solution for credit and debit cards.

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— Indian Startup News (@indstartupnews) February 17, 2025

Benefits of Tokenization

According to PhonePe, tokenizing a card offers many benefits:

At present, customers can tokenize their Visa credit and debit cards, with more options to be added soon.

PhonePe launches device tokenization solution for secure card transactions

· Fintech major PhonePe on Monday announced the launch of a device tokenization solution for credit and debit cards. With this launch, users will be able to tokenize their cards on the PhonePe App, and… pic.twitter.com/JPIOkPJLry

— IANS (@ians_india) February 17, 2025

How to Enable Device Tokenization on PhonePe

Activating device tokenization on the PhonePe app is simple. Follow these steps to secure your card transactions:

Steps to Enable Tokenization:Launch the PhonePe app on your smartphone.

Tap on the ‘My Money’ section from the bottom menu bar.

Select the ‘Cards’ option to view all your saved cards.

Choose the card you wish to tokenize and tap on the ‘Tokenize’ button.

Enter the OTP sent to your registered mobile number and complete the process.

Once tokenized, you can use your card for bill payments, recharges, travel bookings, insurance purchases, and payments at PIN-based terminals. The tokenized card can also be used for online transactions at merchants where PhonePe’s payment gateway services are integrated.

This launch marks a significant step in enhancing the security of digital card transactions in India. As more users adopt tokenization, the risk of card-related fraud is expected to decrease substantially, making digital payments safer for everyone.