PhonePe launched biometric authentication for its Unified Payments Interface payments Tuesday, enabling Android users to approve transactions using their device’s built-in fingerprint sensor or face unlock. Officials at the Bengaluru-based fintech firm said the update eliminates the need to enter a UPI PIN for low-value payments, streamlining daily transactions like buying groceries or paying utility bills.

The system works by prompting users to authenticate via biometrics when they initiate a payment within the app. Once the phone verifies the fingerprint or face scan, the transaction processes instantly. PhonePe specified that this applies only to amounts below a certain threshold, though exact limits were not detailed in the announcement. Users must still enter their PIN for higher-value transfers or when biometrics fail.

Currently limited to Android devices running the latest PhonePe app version, the feature requires devices with compatible sensors. PhonePe confirmed an iOS rollout is under development, with no firm timeline provided. The company, which handles over 1.5 billion monthly transactions according to its latest figures, aims to boost user convenience amid India’s booming digital payments market.

India’s UPI ecosystem, dominated by players like PhonePe, Google Pay and Paytm, processed 14.04 billion transactions worth 20.45 trillion rupees ($244 billion) in October alone, per National Payments Corporation of India data. Biometric integration builds on existing security layers, including device binding and two-factor authentication. Experts note it reduces friction for frequent small payments while maintaining strong fraud protections.

PhonePe users can enable the feature in the app settings under payment preferences. The company emphasized that biometrics stay local on the device, never transmitted to servers, aligning with privacy standards set by the Reserve Bank of India. Early adopters reported smoother checkout experiences at local merchants and online platforms supporting UPI.

This move follows similar updates from competitors. Google Pay introduced face unlock for UPI in select markets last year, and BHIM app added fingerprint support in 2022. PhonePe’s version integrates smoothly with its 500 million-plus user base, positioning it to capture more casual transactions in a market projected to hit 1 trillion dollars in volume by 2026, according to Boston Consulting Group estimates.

Regulatory scrutiny remains high. The RBI has mandated stronger authentication for UPI to combat rising cyber threats, with over 1.4 million fraud cases reported last fiscal year. PhonePe stated its biometric layer adds an extra defense without compromising speed.