Microsoft Sets New Accounts to Passkey-Only by Default

In an attempt to enhance security and streamline the user experience, Microsoft has announced that starting May 1, 2025, all new Microsoft accounts will be “passwordless by default.”

Passkeys, based on WebAuthn technology, utilize device-based biometric or PIN authentication—such as Face ID, fingerprint recognition, or Windows Hello—and are backed by two cryptographic keys: one public (stored with the service provider) and one private (stored on the user’s device).

This method offers a more secure and user-friendly alternative to passwords, which are susceptible to phishing attacks and often lead to poor security practices like password reuse.

Microsoft’s decision aligns with its broader strategy to eliminate passwords entirely. The company reports that passkey sign-ins have a 98% success rate, compared to just 32% for password-based logins. Additionally, users can authenticate approximately three times faster using passkeys.

To reflect this shift, Microsoft has also renamed “World Password Day” to “World Passkey Day,” emphasizing its commitment to a passwordless ecosystem. The company is encouraging existing users to transition to passkeys by providing options to delete passwords from their accounts.

While current accounts are not required to eliminate passwords, new accounts will not prompt users to create one, instead offering several passwordless sign-in options.

Major platforms, including Apple and Google, have also implemented passkey support, and password managers like 1Password and Dashlane are following suit. This collective effort aims to establish a unified standard for secure, user-friendly authentication methods.