Cardreader and VbV
In the past I had an ANZ Visa (oz version) which was the first card in Oz to have a chip. A free USB card reader was provided (which work well for GPG now) so the card could be used for the 'new' verified by visa system.
The idea was that once the card was registered, Visa would know it was a chip card and that for any VbV transactions the card would have to be placed in the card reader, proving that the person making the purchase had physical possession of the card. I think a PIN was needed too.
Given how many Chip cards are around now, why isn't this adopted by the banks? Could it be that managing digital certificates is too hard for the average punter? The tax office has stopped requiring them here for online tax returns.
I've only found one online IT retailer that requires VbV or Securecode and as my mastercard provider didn't offer Securecode I couldn't purchase from them. There response was to get a different card and my reply was that I'd order the gear from someone else.
I have a new mastercard now, no chip in it and no securecode option. Hard to believe it's been issued by a bank owned by HBOS!