Insights & Analyses

Capital One launches Digital Identity API Solutions for customer registration, identity verification & strong authentication

May 16, 2017

Capital One today announced a new line of Digital Identity API solutions that aim to make it easier for customers to manage their identity online — using the same identity verification, strong authentication capabilities, and technology already used and trusted by millions of Capital One customers. 

Currently in beta, Capital One’s Digital Identity API Solutions suite will allow third-party websites and applications to validate and authenticate the identity of users against identity information that has been verified by the bank, all under the consent of the customer in order to promote privacy and transparency.

For example, a Capital One customer signing up for a new ride-sharing app may be prompted to provide their name, address and birthdate to create an account. By leveraging the new Digital Identity APIs, the customer can simply use their Capital One account credentials, and their verified identity information will be securely shared, instantly and seamlessly.

The launch of the Digital Identity API program is the first time these tools are being made available for use outside of the bank, Capital One’s Director of Digital Business Development Matthew Thompson told One World Identity. 

“We have been building digital identity products and technology for years in order to serve our millions of customers and those same customers should be able to use their verified identity to prove who they are at more places than just Capital One,” Thompson said. “As more services move online there is an increasing need for trust in who you’re interacting with and we think there’s a lot of value to businesses and consumers alike by providing these capabilities to the market.”

 Capital One initially sees its Digital Identity Products used in three primary use cases across a number of industries and interactions where trust matters: trusted customer registration, “Know Your Customer”-level identity verification, and strong authentication. Peer-to-Peer marketplace verification and trusted access to utility companies are two specific examples highlighted on their website where these identity services could be leveraged.

For marketplace verification, Capital One says its newly available tools will allow digital storefronts to add a layer of user verification for both sides of the transaction, giving security and peace of mind to both the merchant and the customer. The goal is to reduce fraud and block out fake or unverified profiles, which are used to push customers off of the platform and complete the scam.

 And for utility companies, the new APIs would offer verified sensitive data directly from Capital One. This would negate the need for prospective customers to provide personal information like a Social Security number, drivers license, or even obtaining a credit score.

Developers interested in joining the beta program can register via the Capital One DevExchange website. Participants will be able to provide input into the Capital One’s product roadmap, in addition to support from the digital identity team.

The Digital Identity API is expected to launch out of beta when the products are validated by Capital One’s partners.

 “Trusted identity information is not only critical to our business, it’s critical to the entire economy, and we think there’s a lot of good we can do by externalizing these trusted identity solutions into the broader market in order to enable the future of commerce,” Thompson said. “In the same way that we are focused on providing our customers with effortless experiences to move and manage their money online, we want to provide customers with the ability to move and manage their identity online — and in a way that is more secure, stable, transparent, and always under the user’s control.”