Mastercard President Predicts End of Physical Cards: The Digital Payment Revolution

New Delhi:

Physical debit and credit cards as we know them today might become obsolete in the near future, according to Gautam Aggarwal, President of South Asia at Mastercard. Speaking at the NDTV World Summit 2025, he suggested that payments will eventually become entirely digital, requiring no physical components whatsoever.

"The future form of payment cards remains uncertain. My prediction is that plastic cards will disappear entirely. Your card information can be tokenized and digitized into your smartphone, smartwatch, ring, or other devices. I don't believe plastic cards will survive in the coming years. Soon, making payments will become a subconscious activity rather than a deliberate one - as natural as breathing," Aggarwal explained.

Future payment ecosystems may also eliminate the need for One-Time Passwords (OTPs). Aggarwal revealed that efforts are currently focused on replacing OTPs with biometric authentication systems.

"Building trust in the ecosystem is crucial. We need to balance convenience, security, and trust while reducing friction. Currently, most transactions require OTPs. We're working to replace this with biometric verification, which would significantly reduce friction in the payment process," he stated.

Aggarwal also discussed the emergence of agentic commerce in the online world. "These agents will work on your behalf, recommending what to purchase, where to buy from, and identifying the best available deals. I'm confident this will become reality within our lifetime," he asserted.

Regarding UPI and digital payments, Aggarwal praised India for developing what he considers the world's most advanced payment ecosystem. He attributed this success to three key factors: collaboration among Indian innovators, forward-thinking regulatory bodies, and a collaborative mindset across the industry.

"This powerful combination has established India as the global leader in digital payments," he remarked.

Nevertheless, Aggarwal emphasized that this is merely the beginning, as current achievements represent only a fraction of India's true potential in the digital payment space.