DENSO WAVE Incorporated (head office: Agui, Chita, Aichi; Chairperson of the Board and CEO: Katsuhiko Sugito) today announced that it will offer an identity verification system based on facial authentication using Japan’s first QR code®, for which the company has a patent, for test operations of cardless ATM transactions to be conducted by The Kagoshima Bank, Ltd. and Oki Electric Industry Co., Ltd.

During test operations, identities will be verified at ATMs based on biometric authentication (facial authentication) using a QR code and a personal identification number. This will improve security compared to the conventional identity verification method based on a cash card and a personal identification number, and aims to improve convenience for customers and increase efficiency of identity verification.

The Kagoshima Bank has been working to further increase its efficiency in its identity verification duty in all the bank’s transactions and improve convenience for customers. In November 2017, the bank conducted a field test to perform identity verification duty at counters based on an identity verification system using facial authentication instead of a personal seal.

A customer’s facial image is captured in advance, and data such as biometric information (facial authentication information) required for facial authentication is encrypted and stored in a QR code and saved in the customer’s smartphone. During a transaction, the QR code that stores the facial authentication information is scanned and the customer’s facial image is captured for authentication without using a cash card.

The QR code used during test operations is SQRC®*, the security of which is higher than that of a conventional QR code and resistant to counterfeiting and falsification.

Regarding other features related to the solution to preventing impersonation of facial authentication (SQRC version), the QR code created in advance is scanned and the customer’s facial image is captured for authentication. Thus, the facial authentication system can be used offline without a network environment. Because the data of individual facial characteristics is stored in the QR code, the facial information is not retained in a server or an information device. This eliminates the need for large capital expenditure, making it possible to introduce a facial authentication system at a low cost.

In addition to banking duties, this system will be applied to education, event administration, retail, and manufacturing, including authentication of examinees at examination venues, audience admission at concert venues, and annual pass holders.

This system is offered by combining an identity verification system patented by DENSO WAVE (patent No. 6124124) with facial authentication technology of NEC Solution Innovators, Ltd. (head office: Koto-ku, Tokyo; President: Kiyoshi Sugiyama)