LoopPay Secures Investment from Visa Inc.
Supports LoopPay’s mobile payments solution based on its innovative Magnetic
Secure Transmission (MST) technology
BOSTON -- July 24, 2014
LoopPay, Inc., which provides the world’s first mobile payments solution
accepted at the vast majority of retail point-of-sale terminals, announced
that it has received an investment from Visa Inc., the world’s leading global
payments technology company. The investment is part of a larger strategic
funding round for LoopPay, announced earlier this month, which includes
Synchrony Financial (formerly GE Capital Retail Finance) and other strategic
partners not yet named.
LoopPay invented Magnetic Secure Transmission™ (MST) technology which
leverages existing point-of-sale infrastructure to receive contactless
payments from mobile devices of all kinds with no hardware changes required by
merchants. MST aims to reduce reliance on magnetic stripes to store and
transmit cardholder data, and instead uses a secure chip to store and transmit
data to existing POS terminals via a small low-cost inductive loop that could
be embedded in a variety of devices, including smartphones.
“Visa continually evaluates and invests in new technologies that have the
potential to transform mobile devices into secure payment vehicles,” said Jim
McCarthy, senior vice president of innovation and strategic partnerships, Visa
Inc. “LoopPay has developed compelling technology that has the potential to
enable merchants to accept payments from mobile devices using their existing
Payment cards, gift cards and loyalty cards can be securely loaded by
consumers to their own LoopPay-enabled devices, or remotely provisioned by
card issuers after proper user authentication and account setup. Payment card
issuers can remotely provision not only static card data, but also tokenized
or cryptographically signed payment data to provide more secure transactions
for physical and online commerce.
LoopPay will also work with card issuers and app developers through its SDK to
leverage its platform to enhance consumer commerce experiences via mobile. It
also has its own LoopPay app, LoopWallet, to help users store and organize all
their payment cards, membership cards, ID cards and rewards cards, helping
users carry fewer plastic cards with more convenience and better security than
traditional physical wallets.
“We are thrilled to have Visa as a partner and investor,” said Will Graylin,
CEO of LoopPay. “We look forward to working with them and our other partners,
including card issuers and device OEMs, to deliver the best possible commerce
experience for both consumers and merchants alike as the world moves toward
LoopPay recently announced the availability of its latest consumer product,
the LoopPay ChargeCase, which enables mobile payments through a protective
iPhone 5 and 5s case that also extends the iPhone’s battery life by up to 60
percent. The mobile payments company currently has two available products on
the market, with many more devices — including those manufactured by various
OEMs — anticipated within the upcoming months to offer device options for
The terms of the investment were not made available.
LoopPay invented the world’s first and only mobile payments solution that
turns your phone and other smart devices into a way to pay and works virtually
everywhere. Based in Boston, MA, LoopPay’s patented Magnetic Secure
Transmission™ (MST) technology turns existing mag stripe readers into mobile
contactless readers without any change or cost to merchants or their payment
processors. LoopPay’s mobile wallet application allows consumers to securely
store all their cards and pay with their LoopPay devices (accessories,
smartphones, smart watches). The LoopWallet app reduces the clutter of plastic
cards (payment, gift, loyalty, ID, membership — even your driver’s license)
allowing users to leave their plastic behind with confidence, enabling faster,
more convenient mobile commerce experiences. LoopPay provides not only
breakthrough convenience for consumers to organize and pay with mobile
devices, but also with the highest level of payment security to protect
consumer card data. All card track data are encrypted and stored in secure
memory within any LoopPay device. LoopPay is a Level One PCI Certified Payment
Provider. To learn more and order LoopPay products, visit www.LoopPay.com.
Susan Frechette, 617-502-4300
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