PhonePe Payment Gateway Collaborates with Mastercard to Launch Ecosystem-Wide Device Tokenization; Now LIVE with ixigo

Mumbai, October 7th, 2025: PhonePe Payment Gateway (PhonePe PG) today announced a strategic collaboration with Mastercard, a global technology company in the payments industry, to launch its Device Tokenization solution. Announced at the Global Fintech Fest (GFF) 2025, the initiative brings Mastercard’s network-tokenization capability to PhonePe PG’s merchant platform, expanding secure-payment options for online businesses. This is a significant milestone in transforming the checkout experience for millions of customers. ixigo, one of India’s leading AI-powered travel platforms, and the exclusive partner for powering flights, bus, and train bookings on PhonePe, has integrated PhonePe PG to offer millions of users faster and more secure card payments across its apps. 

With this launch, customers can now save their card once on the PhonePe app and use it securely across all participating online merchants. This “save once, use everywhere” experience eliminates the need for customers to repeatedly enter their card details when transacting on new websites or apps, creating a cohesive and interconnected commerce experience.

The solution brings together Mastercard’s global expertise in secure tokenized transactions with PhonePe’s scale and merchant network, creating a one-tap checkout experience that benefits both customers and businesses. For merchants, it means fewer drop-offs, and a smoother customer journey,helping improve both conversions and customer satisfaction. The solution turns the idea of saved cards from a single-merchant feature into a network-wide capability, creating a unified commerce experience where security and convenience go hand in hand.

As part of the recent regulatory updates, the RBI now permits alternative authentication methods for online transactions. With this change, customers can complete payments using PhonePe’s device tokens and verify them through their device biometrics, such as a fingerprint or face scan, instead of entering an OTP. This ensures a safe, compliant, and seamless one-click checkout for users while maintaining the highest standards of security.

Ankit Gaur, Head, Payment Gateway and Online Merchants, PhonePe said, “At PhonePe PG, we are constantly innovating to make digital payments simpler, faster, and more secure. Our collaboration with Mastercard further strengthens our shared commitment to drive payments innovation, enhance customer trust, and empower merchants in India’s fast-growing digital economy. With Device Tokenization, merchants like ixigo can deliver trusted, one-tap checkout experiences to millions of users, helping drive higher conversions and better customer satisfaction while staying fully compliant with RBI regulations.”

Satya Padhiary, Vice President, Digital & Fintech, South Asia, Mastercard, said, “As a global leader in digital payments, Mastercard is committed to shaping the future of smarter commerce through secure, scalable, and inclusive technologies. Our collaboration with PhonePe underscores a shared ambition to accelerate India’s digital transformation by equipping merchants like ixigo with seamless and trusted transaction experiences. By strengthening the foundation of digital security, we’re not only enabling frictionless payments but also building consumer trust and driving long-term inclusive growth across the ecosystem.”

Nitin Gurha, SVP Flight & Hotel Business, ixigo, said, “At ixigo, we believe a seamless travel experience extends far beyond booking tickets – it includes every interaction our users have with our platform, including payments. With the integration of PhonePe PG’s Device Tokenization powered by Mastercard, we are enhancing both convenience and trust in the checkout journey. This ensures quicker, more secure payments while removing friction, enabling millions of travellers to complete their travel bookings with confidence and ease.”

This launch with Mastercard builds on PhonePe PG’s existing tokenization capabilities with Visa, further expanding its secure payment offerings for businesses across India

About PhonePe:

PhonePe Limited (Formerly PhonePe Private Limited) is a technology company that builds digital platforms for Payments, Digital Distribution Services, Financial Services and Marketplace Solutions. Headquartered in India, the PhonePe digital payments app was launched in 2016. As of March 31, 2025, PhonePe has over 61 Crore registered users and a digital payments acceptance network spread across over 4.4 Crore merchants.

PhonePe’s products and services include Consumer Payments (including Digital Distribution Services), Merchant Payments, Lending and Insurance Distribution services, and New Platforms, which comprises Share.Market (stock broking and mutual funds distribution platform), Pincode (omni-channel hyperlocal commerce platform connecting consumers with local offline stores), and Indus Appstore (Android-based mobile app marketplace).

For more details, contact: [email protected]