Companies are pitching biometric payment as a solution to fraud and theft. But their fast expansion is making some consumers and privacy advocates wary – especially when companies do not offer alternative payment options. By 2026, almost $5.8 trillion in payments are expected to be made using biometrics each year, according to a Goode Intelligence forecast.
The latest example comes from California. Biometrics fintech firm PopID invited scrutiny at a student event at the University of Southern California (USC) campus in Los Angeles after leaving no choice to purchase food inside the venue aside from its facial recognition payment system PopPay.
“[It’s] slightly coercive, because you’re not really being given a choice between normal payment methods and using your face, which is a pretty intimate subject matter,” USC student Vera Wang told student paper The Daily Trojan.
PopID explained that the company was “a paid sponsor of promotional events to market our products.” However, the move has invited questions about PopID’s commitment to privacy and data security.
The company, co-founded and seeded by food and retail conglomerate Cali Group, says it complies with the strictest law in the United States regarding facial recognition data, the Illinois Biometric Information Privacy Act, the student paper notes that its privacy policy states that it “cannot guarantee the security of your data transmitted to our site.”
Privacy advocates issue warnings
Like many other biometric payment companies, PopID has been busy this year, partnering with restaurants such as Steak ‘n Shake, Tyme’s self-checkout restaurant kiosks, and Samsung’s POS kiosks. Similar efforts are being made by Amazon, Mastercard, Clear and JPMorgan Chase. The latter has piloted palm and face-based payments at the Miami Grand Prix Formula One race in May.
January research from Research and Markets supports the idea that consumers can be reassured that biometrics payments are safe. But privacy advocates have raised concerns about the risk of biometric information being stolen by identity thieves or abused by law enforcement agencies, Bloomberg Law reports.
Digital rights group Fight for the Future, for instance, has been organizing an online petition calling on grocery stores not to include Amazon’s palm-scanning technology as a payment option. The group warns that sensitive data could potentially be abused, hacked or stolen.
Cobun Zweifel-Keegan, managing director of the International Association of Privacy Professionals trade group, notes that companies usually don’t keep raw biometric information but instead store a computer’s interpretation of a physical feature, like a set of numbers.
But other experts, such as Jen King, a privacy and data policy fellow at the Stanford Institute for Human-Centered Artificial Intelligence, maintain that hackers or fraudsters could try to combine scans with other pieces of consumer data.
“If I look at an image of a palm, I probably can’t tell it’s you versus me necessarily,” King told Bloomberg. “But that doesn’t say it’s not identifiable, because if it wasn’t identifiable they wouldn’t be using it.”
The U.S. has seen piecemeal efforts to regulate biometric payments, including a state-level bill sponsored by New York State Senator James Skoufis. An earlier request to the Washington State Liquor and Cannabis Board to allow the use of biometrics for age verification for restricted purchases was tanked, according to a board spokesman.
Meanwhile, similar skepticism about the tech is on the rise in other parts of the world.
Australian privacy group warns about biometrics in retail
The Australian Privacy Foundation is warning that increasing CCTV usage in stores is a major concern. The government is also looking into facial recognition tools with the Attorney-General’s Department recently completing a comprehensive review of the Privacy Act, according to the Sydney Morning Herald.
The concerns were sparked with recent investment by Australian supermarkets into surveillance following a surge in shoplifting: Last year it was revealed Kmart and Bunnings introduced facial recognition technology in stores, sparking an investigation by the Office of the Australian Information Commissioner (OAIC).
A more recent subject of controversy is Woolworths. The supermarket chain announced it will invest $40 million on CCTV upgrades, body-worn cameras and other devices. An average Woolworths store has 62 CCTV cameras while self-checkout desks are equipped with six to eight cameras, including an AI system determining whether the correct items are being scanned.
The non-government organization says that while supermarket employees are likely not accessing or analyzing this data, external service providers have this capability. The prospect of the data collected at the supermarket proliferating raises the possibility that biometric technology could be applied to it after the fact, or without customers being aware of it.
“There’s the lack of reciprocity when you have technology like this. You don’t get to know what a company is doing, so you can’t even decide if you don’t want to be paranoid,” says Australian Privacy Foundation Chair David Vaile.
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According to Woolworths, stock monitoring cameras record silhouettes of customers or staff, while the self-serve checkout cameras blur faces, blackout PIN pads and are not viewed live. All CCTV footage was stored locally and only accessed by store team leaders and the investigation teams, along with police if necessary, while self-scan checkout footage was stored in Australia.
About the Author
Masha Borak is a technology journalist. Her work has appeared in Wired, Business Insider, Rest of World, and other media outlets. Previously she reported for the South China Morning Post in Hong Kong. Reach out to her on LinkedIn. Article cross-posted from Biometric Update.
Five Things New “Preppers” Forget When Getting Ready for Bad Times Ahead
The preparedness community is growing faster than it has in decades. Even during peak times such as Y2K, the economic downturn of 2008, and Covid, the vast majority of Americans made sure they had plenty of toilet paper but didn’t really stockpile anything else.
Things have changed. There’s a growing anxiety in this presidential election year that has prompted more Americans to get prepared for crazy events in the future. Some of it is being driven by fearmongers, but there are valid concerns with the economy, food supply, pharmaceuticals, the energy grid, and mass rioting that have pushed average Americans into “prepper” mode.
There are degrees of preparedness. One does not have to be a full-blown “doomsday prepper” living off-grid in a secure Montana bunker in order to be ahead of the curve. In many ways, preparedness isn’t about being able to perfectly handle every conceivable situation. It’s about being less dependent on government for as long as possible. Those who have proper “preps” will not be waiting for FEMA to distribute emergency supplies to the desperate masses.
Below are five things people new to preparedness (and sometimes even those with experience) often forget as they get ready. All five are common sense notions that do not rely on doomsday in order to be useful. It may be nice to own a tank during the apocalypse but there’s not much you can do with it until things get really crazy. The recommendations below can have places in the lives of average Americans whether doomsday comes or not.
Note: The information provided by this publication or any related communications is for informational purposes only and should not be considered as financial advice. We do not provide personalized investment, financial, or legal advice.
Secured Wealth
Whether in the bank or held in a retirement account, most Americans feel that their life’s savings is relatively secure. At least they did until the last couple of years when de-banking, geopolitical turmoil, and the threat of Central Bank Digital Currencies reared their ugly heads.
It behooves Americans to diversify their holdings. If there’s a triggering event or series of events that cripple the financial systems or devalue the U.S. Dollar, wealth can evaporate quickly. To hedge against potential turmoil, many Americans are looking in two directions: Crypto and physical precious metals.
There are huge advantages to cryptocurrencies, but there are also inherent risks because “virtual” money can become challenging to spend. Add in the push by central banks and governments to regulate or even replace cryptocurrencies with their own versions they control and the risks amplify. There’s nothing wrong with cryptocurrencies today but things can change rapidly.
As for physical precious metals, many Americans pay cash to keep plenty on hand in their safe. Rolling over or transferring retirement accounts into self-directed IRAs is also a popular option, but there are caveats. It can often take weeks or even months to get the gold and silver shipped if the owner chooses to close their account. This is why Genesis Gold Group stands out. Their relationship with the depositories allows for rapid closure and shipping, often in less than 10 days from the time the account holder makes their move. This can come in handy if things appear to be heading south.
Lots of Potable Water
One of the biggest shocks that hit new preppers is understanding how much potable water they need in order to survive. Experts claim one gallon of water per person per day is necessary. Even the most conservative estimates put it at over half-a-gallon. That means that for a family of four, they’ll need around 120 gallons of water to survive for a month if the taps turn off and the stores empty out.
Being near a fresh water source, whether it’s a river, lake, or well, is a best practice among experienced preppers. It’s necessary to have a water filter as well, even if the taps are still working. Many refuse to drink tap water even when there is no emergency. Berkey was our previous favorite but they’re under attack from regulators so the Alexapure systems are solid replacements.
For those in the city or away from fresh water sources, storage is the best option. This can be challenging because proper water storage containers take up a lot of room and are difficult to move if the need arises. For “bug in” situations, having a larger container that stores hundreds or even thousands of gallons is better than stacking 1-5 gallon containers. Unfortunately, they won’t be easily transportable and they can cost a lot to install.
Water is critical. If chaos erupts and water infrastructure is compromised, having a large backup supply can be lifesaving.
Pharmaceuticals and Medical Supplies
There are multiple threats specific to the medical supply chain. With Chinese and Indian imports accounting for over 90% of pharmaceutical ingredients in the United States, deteriorating relations could make it impossible to get the medicines and antibiotics many of us need.
Stocking up many prescription medications can be hard. Doctors generally do not like to prescribe large batches of drugs even if they are shelf-stable for extended periods of time. It is a best practice to ask your doctor if they can prescribe a larger amount. Today, some are sympathetic to concerns about pharmacies running out or becoming inaccessible. Tell them your concerns. It’s worth a shot. The worst they can do is say no.
If your doctor is unwilling to help you stock up on medicines, then Jase Medical is a good alternative. Through telehealth, they can prescribe daily meds or antibiotics that are shipped to your door. As proponents of medical freedom, they empathize with those who want to have enough medical supplies on hand in case things go wrong.
Energy Sources
The vast majority of Americans are locked into the grid. This has proven to be a massive liability when the grid goes down. Unfortunately, there are no inexpensive remedies.
Those living off-grid had to either spend a lot of money or effort (or both) to get their alternative energy sources like solar set up. For those who do not want to go so far, it’s still a best practice to have backup power sources. Diesel generators and portable solar panels are the two most popular, and while they’re not inexpensive they are not out of reach of most Americans who are concerned about being without power for extended periods of time.
Natural gas is another necessity for many, but that’s far more challenging to replace. Having alternatives for heating and cooking that can be powered if gas and electric grids go down is important. Have a backup for items that require power such as manual can openers. If you’re stuck eating canned foods for a while and all you have is an electric opener, you’ll have problems.
Don’t Forget the Protein
When most think about “prepping,” they think about their food supply. More Americans are turning to gardening and homesteading as ways to produce their own food. Others are working with local farmers and ranchers to purchase directly from the sources. This is a good idea whether doomsday comes or not, but it’s particularly important if the food supply chain is broken.
Most grocery stores have about one to two weeks worth of food, as do most American households. Grocers rely heavily on truckers to receive their ongoing shipments. In a crisis, the current process can fail. It behooves Americans for multiple reasons to localize their food purchases as much as possible.
Long-term storage is another popular option. Canned foods, MREs, and freeze dried meals are selling out quickly even as prices rise. But one component that is conspicuously absent in shelf-stable food is high-quality protein. Most survival food companies offer low quality “protein buckets” or cans of meat, but they are often barely edible.
Prepper All-Naturals offers premium cuts of steak that have been cooked sous vide and freeze dried to give them a 25-year shelf life. They offer Ribeye, NY Strip, and Tenderloin among others.
Having buckets of beans and rice is a good start, but keeping a solid supply of high-quality protein isn’t just healthier. It can help a family maintain normalcy through crises.
Prepare Without Fear
With all the challenges we face as Americans today, it can be emotionally draining. Citizens are scared and there’s nothing irrational about their concerns. Being prepared and making lifestyle changes to secure necessities can go a long way toward overcoming the fears that plague us. We should hope and pray for the best but prepare for the worst. And if the worst does come, then knowing we did what we could to be ready for it will help us face those challenges with confidence.
