User authentication process is no longer going to require a typical password; it will merely work with a fingerprint.
PayPal is not going to let the iPhone 5S fingerprint reader pass without taking out something from it so it has found a way to make use of this clever feature with its mobile payment apps. A session on Touch ID, which is Apple's fingerprint-scanning system, was attended by a team of PayPal developers which made it quite clear what their intentions might be. The session took place at Apple’s annual Worldwide Developers Conference in San Francisco.
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User authentication is going to be made possible with the Touch ID and this concept would be put to use in PayPal and other apps. So the authentication process is no longer going to require a typical password; it will merely work with a fingerprint. According to a PayPal source, "It seems to be a fairly easy API to use, but we're still kicking the tires.”
Till now the only use of the Touch ID is to unlock the phone or authorize iTunes Store purchases. It is not just PayPal, but Apple itself is looking forward to integrate their own creation into something worthwhile. The Touch ID would be used for the full-fledged mobile wallet service. This Apple wallet is going to let the iPhone users checkout instantly on e-commerce apps and to pay in-person at retail stores. This means they wont require any credit cards or PINs.