Entities processing payment card transactions through mobile devices can reduce risks by doing what?

Encrypting account data at the point of capture is a crucial measure for entities processing payment card transactions through mobile devices. This approach enhances security by ensuring that sensitive information—such as credit card numbers and other personal identifiers—is converted into a secure format immediately as it is collected.

When data is encrypted at the point of capture, it becomes significantly more difficult for unauthorized individuals to access or intercept this information during transmission or while in storage. This timely encryption process helps protect against various cyber threats, such as data breaches or interception during the payment transaction process.

The other options do not provide the same level of security. For instance, storing data in a cloud environment can present risks if not properly secured, as it may become a target for cyber attacks. Using paper receipts does not address electronic transaction vulnerability, leading to inefficiencies and potential data mishandling. Avoiding all technology altogether is impractical for most businesses, especially as consumer expectations for convenience and speed increase in a digital world. Therefore, encrypting account data at the point of capture stands out as a fundamental practice for maintaining transaction security in mobile payments.