The Context

PagBank (formerly PagSeguro) is a major player in the Brazilian financial ecosystem, providing integrated acquiring and digital banking services. With a mission to simplify financial life for individuals and businesses, PagBank has security deeply embedded in its DNA, maintaining multiple layers of protection supported by advanced technology, KYC processes, and anti-fraud engines.

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The Challenge

Despite having a robust security infrastructure, PagBank faced a common industry pain point: the "good buyer" rejection. Sellers invest heavily in marketing and user experience to bring customers to the checkout, only to have transactions blocked due to suspicion of fraud.

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• The Threat: Sophisticated fraud attempts in the e-commerce landscape that demand high security standards.
• The Bottleneck: Conservative anti-fraud filters that block legitimate transactions, hurting the seller's revenue and PagBank's TPV (Total Processing Volume).
• The Goal: To maximize sales conversion and business results for sellers while ensuring the absolute safety of the payment ecosystem.

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The Solution

PagBank integrated Unico IDPay as an additional, powerful layer of security. What set Unico apart was its unique ability to validate the credit card directly with the issuing bank in real-time. Unlike standard solutions that only check IDs or biometrics, Unico IDPay confirms that the person performing the facial biometrics is indeed the owner of the credit card being used. This transactional validation provided the confidence needed to approve high-risk-profile transactions that would have otherwise been rejected.

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The Impact

The pilot program delivered immediate success, leading to a rapid scale-up across different channels:

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• Immediate Growth: From day one, PagBank observed a direct increase in approval rates and TPV, effectively recovering sales that traditional risk engines would have denied.
• Zero Risk Profile: The risk of chargebacks remained practically zero, allowing PagBank to scale the solution with confidence.
• Operational Flexibility: The solution was expanded from mobile links to desktop environments. It also introduced innovative flows, such as allowing third-party biometric validation (e.g., a family member using another's card) to be shared and completed securely.
• Strategic Support: Unico’s innovation team worked closely to understand the specific journeys of both sellers and buyers, ensuring the implementation was fluid and aligned with PagBank’s business model.

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The Horizon

Following the success in payment links and mobile/desktop flows, PagBank is now launching Unico IDPay via API. The goal is to continue optimizing the process to make it even more frictionless for the buyer. PagBank views Unico IDPay as a "win-win" solution for the entire ecosystem: sellers sell more, acquirers process more, and buyers feel more secure in their digital journey.

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