2024 Policy Priorities
WASHINGTON, D.C. — JANUARY 25, 2024 — The Electronic Transactions Association (ETA), the leading trade association of the payments industry, unveils its strategic public policy priorities for the year 2024.
The digital payments industry is the cornerstone of modern commerce, delivering secure, convenient solutions that support businesses of all sizes, powers the American economy, and ensures that consumers – including low-to-moderate income consumers – can seamlessly manage their financial transactions.
"Payments is driving innovation and increasing convenience, speed, and security for consumers. ETA's policy priorities in DC, the states, and Canada reflect these goals and create a strong positive policy environment for payments," said Jodie Kelley, CEO of ETA.
At ETA, we are committed to fostering a policy landscape that safeguards consumers and supports innovation. Our policy agenda for 2024 focuses on the following key areas:
Artificial Intelligence - The payments industry leads in adopting technologies, including AI and machine learning, to enhance consumer experience by improving security and reducing friction in transactions. Over the last decade, the deployment of AI tools has revolutionized payment speed and security, benefiting both the industry and consumers.
ETA encourages policymakers to:
- Understand the use of AI in payments to appreciate its role in a robust, secure payment ecosystem
- Ensure new laws complement rather than duplicate existing industry regulations
- Support technology-neutral, principles-based, and industry-led standards that balance innovation, consumer protection, U.S. economic and national security interests, and the growth of secure and inclusive financial services
Digital Assets – Digital assets, including payment stablecoins, are part of a series of innovations in payments that have the potential to increase choice and optionality for consumers and businesses. ETA encourages the adoption of a balanced regulatory framework that protects consumers and encourages ongoing innovation, avoiding overly restrictive measures and aligning regulations with the specific risks and applications of digital assets.
Specifically, ETA supports public policies built around five core principles:
- Clear definition of digital assets
- Regulations tailored to the risk profile of the participant/activity
- Consumer protection
- Harmonization with existing regulatory structures
- Promotion of responsible innovation
Open Banking - Open banking has potential and, if regulations are implemented appropriately, could facilitate payments and benefit consumers by providing them with more robust information and insight into their finances.
ETA champions open banking policies characterized by:
- Comprehensiveness in scope
- Principles–based approach
- Private sector innovation
- Consumers empowered to control how their data is shared or used
Privacy - Protecting consumer privacy remains a vital aspect of maintaining trust in the payments industry. With a longstanding commitment to privacy and a proactive stance against fraud, the industry continuously innovates in fraud detection and prevention. ETA advocates for privacy laws that are principle-based and harmonized, ensuring consistency and predictability for consumers. Essential features of any privacy or data protection standard should include:
- Provisions for permissible uses of data to prevent fraud and protect consumers
- Reasonable rights to access and request correction or deletion of personally identifiable information
- A uniform national standard
ETA remains dedicated to guiding the payments technology industry toward a future where innovation, security, and inclusion converge, benefiting all stakeholders in the digital economy.
MEDIA CONTACT
Scott Talbott, ETA
[email protected]