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That's because Apple Pay is a fully authenticated transaction by virtue of the user having to unlock the phone through biometrics. Same with Google Pay though most merchant terminals are not correctly programmed for this variation.

One wonders how this could get past the fraud management algorithms on the host - sudden increase in the volume of fallback mag-stripe transactions, unusuallly high velocity of cash withdrawal transactions and potentially the unusual location of these withdrawals should have all sent alarm bells ringing very loudly. May be, with TESCO being a new bank, the limited volume of customer behaviour history data available to these algorithms limited their effectiveness.

@Ketharam Swamimathan: that is where the complementary business model is key. MasterCard could for instance package and licence the technology and make a killing on licence fees. After all, the technology has already been deployed in Singapore. Remittance is another area where MasterCard could have a significant play with this technology. As you say, time and shareholders will tell.