PhonePe Payment Gateway and Mastercard launch ecosystem-wide device tokenisation

PhonePe Payment Gateway (PhonePe PG) has collaborated with Mastercard to launch its device tokenisation solution. Announced at the Global Fintech Fest (GFF) 2025, this brings Mastercard’s network tokenisation capability to PhonePe PG’s merchant platform, expanding secure payment options for online businesses.

Ankit Gaur, Head - Payment Gateway and Online Merchants, PhonePe, said, “Our collaboration with Mastercard further strengthens our shared commitment to drive payments innovation, enhance customer trust, and empower merchants in India’s fast-growing digital economy. With device tokenisation, merchants can deliver trusted, one-tap checkout experiences to millions of users, helping drive higher conversions and better customer satisfaction while staying fully compliant with RBI regulations.”

A significant milestone in transforming the checkout experience, PhonePe PG interface with this new feature is already live on ixigo, one of India’s leading travel platforms, to offer a faster and more secure card payment experience.

Customers can now save their card once on the PhonePe app and use it securely across online merchants in the fintech giant’s network. This “save once, use everywhere” helps customers transact on new websites and apps without entering their card details repeatedly.

Satya Padhiary, Vice President - Digital & Fintech, South Asia, Mastercard, said, “Our collaboration with PhonePe underscores a shared ambition to accelerate India’s digital transformation. By strengthening the foundation of digital security, we’re not only enabling frictionless payments but also building consumer trust and driving long-term inclusive growth across the ecosystem.”

This one-tap checkout experience has been made possible by marrying Mastercard’s expertise in tokenised transactions and PhonePe’s wide merchant network, benefitting both customers and businesses.

For merchants, this signals fewer drop-offs, improving both conversions and customer satisfaction.

Nitin Gurha, SVP Flight & Hotel Business, ixigo, said, “At ixigo, we believe a seamless travel experience extends far beyond booking tickets; it includes every interaction our users have with our platform, including payments. With this integration, we are enhancing both convenience and trust in the checkout journey”

In its recent regulatory updates, the Reserve Bank of India now permits alternative authentication methods for online transactions. With this change, customers can complete payments using PhonePe’s device tokens and verify them through their device biometrics, such as a fingerprint or face scan, instead of entering an OTP. This ensures a safe, compliant, and seamless one-click checkout for users while maintaining the highest standards of security.

This launch further expands PhonePe PG’s existing tokenisation capabilities with Visa, scaling its secure payment offerings for businesses across India.