Citi will launch a virtual credit card with a dynamic card validation code for eligible Mastercard credit card customers in Hong Kong, adding a rotating verification layer to online transactions.

Citi said the feature is intended to reduce the exposure of physical card credentials in card-not-present transactions such as e-commerce purchases, subscriptions, recurring payments, and mobile-wallet use.

The bank said its Hong Kong business recorded more than 20 percent year-on-year growth in the combined volume of domestic e-commerce and recurring transactions in 2025. It also said around 80 percent of credit-card fraud attempts it sees are related to card-not-present transactions.

One-time codes for online purchases

The virtual card will be available through the Citi Mobile App. It combines a separate virtual card number with a dynamic CVC that generates a one-time-use verification code for each new transaction. If the code is not used within its validity period, it refreshes when viewed again in the app.

The system uses Mastercard’s tokenization infrastructure. The companies said the combination of tokenized credentials and time-limited verification codes is intended to make stolen card details less reusable in fraudulent transactions.

Customers will still be able to use their physical cards for in-person purchases, while using the virtual card for online spending. Citi said this gives users another way to separate their online payment credentials from their physical-card details.

Mastercard said 40 percent of transactions on its network are now tokenized, while contactless payments account for about 70 percent of in-person purchase transactions on Mastercard-branded cards worldwide.

Sarah O, Head of Digital Growth & Cards and Unsecured Lending Sales at Citi Hong Kong, said the feature responds to the continued growth of digital commerce and persistent card-not-present fraud.

Helena Chen, Senior Vice President and General Manager for Hong Kong and Macau at Mastercard, said the feature applies Mastercard tokenization to consumer protection in digital commerce.

The virtual credit card with dynamic CVC is expected to become available to eligible Citi Mastercard credit card customers in Hong Kong in the coming months.

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