---
url: 'https://www.corbado.com/faq/security-risks-third-party-passkey-providers'
title: 'What are security risks of third-party passkey providers?'
description: 'Understand the security risks of third-party passkey providers, including potential vulnerabilities and mitigation strategies.'
lang: 'en'
---

# What are security risks of third-party passkey providers?

## What Are the Security Risks of Third-Party Passkey Providers?

While **third-party passkey providers** offer **cross-platform flexibility** and
**independent passkey storage**, they introduce **security risks** that organizations and
users should be aware of.

### Potential Security Risks of Third-Party Passkey Providers

1. **Cloud-Based Storage Risks**
    - Many third-party providers store passkeys in **cloud environments**, increasing the
      risk of **data breaches** if the cloud infrastructure is compromised.
    - Even though **end-to-end encryption** is typically applied, the provider still
      manages encryption keys, which could become a target for attacks.

2. **Trust and Compliance Issues**
    - Unlike **first-party providers** (e.g., Apple, Google), third-party providers
      operate independently and may not be subject to the same **strict security
      standards**.
    - Companies must verify if a provider complies with industry regulations like **FIDO2,
      WebAuthn, and GDPR**.

3. **Phishing and Social Engineering Attacks**
    - Some third-party password managers rely on **master passwords** or **weak
      authentication methods** to unlock stored passkeys.
    - If an attacker gains access to a user’s account through
      [phishing](https://www.corbado.com/glossary/phishing) or **credential stuffing**, they could potentially
      access all stored passkeys.

4. **Dependency on the Provider's Infrastructure**
    - Users and organizations **depend on the provider's uptime** and infrastructure
      security. If the provider suffers a **server outage or shutdown**, access to stored
      passkeys may be disrupted.
    - Unlike **first-party passkeys**, which are often integrated at the OS level,
      third-party solutions require additional authentication steps, increasing failure
      points.

5. **Potential Lack of Hardware-Level Protection**
    - First-party providers leverage **secure enclaves** or **TPMs (Trusted Platform
      Modules)** to safeguard private keys at the hardware level.
    - Some third-party providers may **lack this deep integration**, making their passkeys
      potentially more vulnerable to **device malware** or **key extraction techniques**.

### How to Mitigate These Risks

- **Choose a Reputable Provider**: Verify that the provider follows **FIDO2 standards**
  and has a strong security track record.
- **Use Biometric or Strong MFA**: Ensure passkey access requires **biometric
  authentication** or additional security layers.
- **Enable Local Encryption**: Some providers allow **client-side encryption**, ensuring
  that even the provider cannot access passkeys.
- **Regularly Audit Security Practices**: Enterprises should perform **third-party
  security assessments** before adopting a provider.

### Conclusion

While **third-party passkey providers** enhance **cross-device compatibility**, they come
with **security trade-offs**. Organizations should evaluate **encryption practices,
compliance, and infrastructure security** to minimize risks.

## Read the full article