This should be far more secure and privacy friendly than a Sim card of a cellular connection. Why isn’t this done more often? What are the Pros and Cons. I bet the price is similar as well.
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My EU bank never ever used my phone number to verify anything. They only used it to contact me on some occasions. 2FA is done through their app.
Oh, right, their closed source app. Thats allowed. So it requires a phone.
So the OTP is still transmitted to satisfy the requirements of PSD2. But TOTP (a more secure system that doesn’t transmit the OTP at all) is not allowed.