The card manufacturing industry continues to evolve in response to the increasing demand for secure, multifunctional payment solutions. At the intersection of material science, engineering and cybersecurity, new technologies are expanding what’s possible with physical cards—especially within the premium metal card segment.
Nazar Kovch, a research and development engineer at International Card Manufacturers Association (ICMA) member CompoSecure, presented recent technological advancements at the ICMA EXPO that are reshaping the landscape of card-based authentication. Drawing on his background in mechanical engineering, Kovch detailed emerging solutions in dynamic card verification, biometric authentication and multifunctional digital platforms—each posing unique integration challenges and security opportunities.
Dynamic CVV
Dynamic Card Verification Value (DCVV) is a technology that helps reduce fraud in online (card-not-present) transactions by regularly updating the security code associated with a payment card. Traditionally, DCVV implementations have required internal batteries to function. However, recent advancements have made it possible to integrate this technology into battery-free, energy-harvesting metal cards.
Through a collaboration with ICMA members Ellipse and STMicroelectronics, CompoSecure has developed a metal card that updates the CVV after each transaction and allows additional control through a mobile app, including the option to hide the CVV display. These features specifically target vulnerabilities like “friendly fraud” and remote transaction abuse.
Engineering challenges in this area included:
- Designing display windows with minimal optical distortion
- Achieving precise alignment of printed and digital elements
- Operating within tight power constraints using energy harvested in brief windows (~500ms)
- Incorporating E Ink displays, which conserve energy by only using power during updates
This innovation demonstrates how renewable energy sources and low-power electronics can be integrated into traditionally power-limited metal card formats.
Biometric Authentication
Biometric payment cards use fingerprint recognition to authenticate users at the point of sale, offering an alternative to PIN entry and increasing transaction security. In metal cards, implementing this technology requires careful attention to component size, power consumption, and sensor integration.
The biometric data is securely stored in the encrypted chip element of the card and never transmitted externally. Activation occurs when the cardholder places their finger on the sensor, allowing a tap or insert transaction.
Technical considerations included:
- Embedding sensors within metal card layers with high precision
- Ensuring the card can operate entirely on harvested energy
- Developing flexible, robust internal interconnects to maintain reliability
- Supporting secure, user-friendly enrollment methods (in-branch, app-based or remote kits)
This approach enhances cardholder protection against lost or stolen cards, skimming and unauthorized use—while also simplifying authentication in contactless environments.
Software-Driven Card Versatility
While DCVV and biometrics represent hardware-based innovations, the Arculus Digital Platform is a software-focused solution that enhances card utility beyond payments. It enables a single card to serve multiple digital identity functions:
- A crypto cold storage wallet
- A FIDO2-compliant security key for passwordless login
- A contactless badge for access control or event management
- A tool for transforming card-not-present transactions into verified, card-present interactions using tap-to-authenticate features
Importantly, the platform keeps sensitive user data off third-party servers by leveraging secure on-card storage and encrypted communications.
The flexibility and modularity of this platform make it well-suited to modern security needs, especially as digital identity management becomes a growing concern across sectors.
Engineering the Future of Secure Cards
As payment ecosystems expand and threats become more sophisticated, innovations like DCVV, biometrics and software-enabled identity tools represent the next generation of card security. Integrating these capabilities into metal cards requires cross-disciplinary expertise in materials science, mechanical design, electronics and cybersecurity.
These advancements are not only expanding the functional capabilities of physical cards—they are also redefining the role of card form factors in digital identity and secure access.
For those in the card manufacturing and secure payment industries, understanding the technical principles and challenges behind these solutions is essential. Continued collaboration, research and standards development will ensure that physical cards remain both relevant and resilient in an increasingly digital world.
Why ICMA Membership Matters
As ICMA celebrates 35 years in 2025, the association remains committed to supporting the card manufacturing industry by providing members with the tools they need to thrive.
Beyond marketing solutions, ICMA also offers valuable educational opportunities, including Advanced Card Education (ACE) training, and the Card Manufacturing & Personalization EXPO, the association’s largest event.
By participating in ICMA’s many programs, members gain the ability to shape the future of the industry while enhancing their brand’s presence across multiple channels.
Whether it’s contributing articles to Card Manufacturing, presenting a webinar or attending a high-profile industry event, ICMA membership offers unparalleled opportunities to network, learn and grow.
For card industry professionals looking to stay ahead in 2025, leveraging the marketing resources and industry recognition offered by ICMA is a proven strategy for success.
Learn more about the benefits of ICMA membership.