A policy banning the use of driver’s-license photographs will take effect in April 2027, driving the adoption of identity verification centered on IC chip reading and Japan’s Public Key Infrastructure (JPKI). As use of My Number cards expands and security measures are strengthened, developments are becoming apparent, particularly among eKYC-related stocks listed on the Tokyo Stock Exchange.
For non-face-to-face identity verification, the combination of an image of the ID document and a facial image will be discontinued, and from 1 April 2027, practices will shift to IC chip reading and the use of JPKI. This is driven by increases in fraudulent contracts and scams involving forged identification documents, with legal revisions and terminal replacements expected to proceed simultaneously.
The revised enforcement regulations and the adoption of the new systems by mobile carriers will require a broad range of businesses beyond financial institutions to respond, including real estate companies, professional service firms, and crypto-asset exchange service providers. The number of My Number card holders has exceeded approximately 10 million, and the number of private-sector companies using JPKI has reached 1,284.
This article introduces 20 Tokyo Stock Exchange-listed companies, ranked by market capitalization, involved in eKYC, IC chip authentication, and JPKI, as well as related businesses including fraud detection and anti-scam measures. It covers authentication-related initiatives and future demand trends, led by TOPPAN Holdings and Dai Nippon Printing.
Risk factors include the limited contribution of identity verification-related revenue, competition from government apps, and fluctuations in semiconductor market conditions. For the latest information, refer to each company’s IR materials and timely disclosures.