Germany’s Giesecke+Devrient (G+D) has introduced a token-based system designed for secure offline payments.
G+D Filia Unplugged facilitates consecutive, secure offline payment transactions anytime and anywhere, offering the advantages of cash, such as privacy protection and high data security levels.
The company asserts that its technology can be seamlessly integrated into existing digital payment solutions, including commercial banks’ tokenized deposit systems, instant payment platforms, and mobile money services.
Filia Unplugged enhances the resilience of digital payments, providing a solution during connectivity challenges caused by power outages, weak internet signals, or telecommunications failures.
Furthermore, G+D believes that this innovation can promote financial inclusion for approximately 1.4 billion unbanked individuals worldwide, creating a payment method that allows digital transactions without the need for expensive devices, such as smartphones.
The system supports both peer-to-peer (P2P) and peer-to-business (P2B) payments, and G+D highlights that central banks are increasingly recognizing the importance of offline capabilities in the context of digital currencies.
The technology stores monetary tokens on a hardware wallet—such as a smartphone SIM card or a smart card—and requires just two wallets to operate, enabling transactions without an online connection, for example, via NFC (Near Field Communication).
Raoul Herborg, Managing Director of CBDC at G+D, stated: “The ability to make payments offline within an existing digital system can enhance financial inclusion and payment resilience while supporting cash-like features in the digital landscape and fostering innovative use cases for the tokenized economy.”