Payment security is no longer a concern that merchants worry about in the background—it’s a necessity that determines whether they’ll be able to do business, grow, and have their customer bases retain trust. In 2025 and beyond, businesses in high-risk industries must worry about chargebacks, fraud, and regulatory issues and now they need to be on top of PCI compliance for stable merchant operations. PCI compliance means Payment Card Industry Data Security Standard, which recently launched PCI DSS 4.0—one of the biggest updates in nearly ten years—and new requirements and updates to existing controls. Merchants unwilling or unable to pivot and adjust risk fines, damage to reputations, and even losing the ability to process payments altogether. For CBD and other industries like nutraceuticals, firearms, subscriptions, and more, learning how to adapt to PCI DSS 4.0 requirements is essential for remaining competitive in international markets[1].
What is PCI DSS 4.0?
PCI DSS 4.0 is the most up-to-date Payment Card Industry Data Security Standard requirements designed to keep cardholder data secure and payment environments safe. The PCI was launched in 2004, with its Data Security Standard evolving as technology transformed payment processes and fraud crimes emerged with new technology. PCI DSS 4.0 is focused on enhanced flexibility, increased emphasis on ongoing risk management and additional authentication/encryption requirements. While the previous version (PCI DSS 3.2.1) focused on strict prescriptive controls, it only allowed merchants to comply in one way, PCI DSS 4.0 provides alternative approaches as long as merchants can demonstrate compliance with records retention. This is especially valuable for high-risk merchants, but increased flexibility could result in increased accountability as well.
Why Does PCI DSS 4.0 Matter for High-Risk Businesses?
High-risk businesses already face additional scrutiny from processors and regulators due to high chargeback ratios, atypical business models, and consumer protection concerns. PCI DSS 4.0 gives these high-risk merchants a road map through which they can assess quality security practices that provide protections for partners and regulators. PCI compliance matters for high-risk businesses as non-compliance impacts the ability to keep merchant accounts open—many processors will require PCI proof prior to approvIng high-risk applications. Additionally, PCI DSS 4.0 matters for brand reputation and consumer perception—buying online is challenging enough without fearing someone will breach secure payment information[2].
What Are the Key Differences Between PCI DSS 3.2.1 and 4.0?
One of the biggest differences between PCI DSS 3.2.1 and 4.0 is the transition from regular assessment to ongoing monitoring and validation. There are stronger authentication requirements across the board with mandates for multi-factor authentication on all administrative access. There are enhanced encryption expectations for data both in transit and at rest. Merchants are required to show that they assessed vulnerabilities proactively; they must take a security-minded approach that emphasizes how the atmosphere can change at a moment’s notice and not continually wrongs will be identified over time. For high-risk merchants especially, this shows PCI compliance is not about checking off a box but instead creating a culture of security[3].
Compliance Concerns with PCI DSS 4.0 Requirements for High-Risk Merchants
Unfortunately, meeting PCI DSS 4.0 compliance may be easier said than done for high-risk businesses which may already be operating on thin margins or even compromised resources due to their high-risk nature. The costs associated with upfitting current systems, educating employees and conducting continuous risk assessments adds up very quickly. Plus compliance may need to occur across global operations which complicate international partners compliance with the same standard intersections that need to be met to remain compliant domestically. Continuous operations like subscriptions or those requiring recurring billing may need specialized systems just to keep continuous monitoring accurate—and this has nothing to do with the cost of potential non-compliance, which can lead to processor termination and card network fines that irreparably damage merchant reputations.
The Importance of Merchant Services Providers in PCI Compliance
Merchant services providers are crucial to a business’ ability to meet PCI DSS 4.0 standards thanks to secure systems used by payment gateways/tokenization/compliance tools, among others. High-risk merchants benefit from services who specialize in the comprehensive fields which help navigate compliance concerns beyond technical needs—these include ongoing training and monitoring resources, specialized commissions/funding/payment systems that appeal to the sector directly.
The Future of PCI DSS 4.0 for High-Risk Payment Protection
As payment processing and ecommerce continues to grow, PCI will always be at its core—PCI DSS 4.0 is naturally aligned with anticipated enforcement because it addresses changes related to AI fraud solicitation as well as global regulatory alignment across the board for businesses in multiple jurisdictions looking to use the same online payment platforms are limited but can efficiently do so with a single compliant effort across the board with key industry leaders at the helm of compliance progression capitalizing on developing best practices within it all. For high-risk merchants, adopting PCI DSS 4.0 standards helps anticipate what’s necessary down the line so it’s important for re-establishing value where others often question compliance[4].
Six PCI DSS 4.0 Requirements Important for All Merchants
Stronger Authentication Controls
Merchants must implement multi-factor authentication for all administrative accounts, reducing the risk of credential theft and unauthorized access.
Continuous Risk Assessments
PCI DSS 4.0 requires ongoing assessments of potential vulnerabilities, shifting compliance from a one-time event to a continuous process.
Advanced Encryption Protocols
Data must be encrypted both in transit and at rest, using up-to-date standards that prevent interception or unauthorized access.
Customized Implementation Approaches
Businesses may use alternative methods to meet requirements, provided they demonstrate equivalent or stronger protections through rigorous documentation.
Expanded Logging and Monitoring
Merchants must maintain detailed logs of system activity, enabling faster detection and response to suspicious behavior.
Improved Third-Party Oversight
Vendors and partners must also meet PCI DSS 4.0 requirements, meaning businesses are accountable for the compliance of their entire ecosystem.
FAQ
Q: What is PCI DSS 4.0?
A: The newest version of Payment Card Industry Data Security Standard designed to provide additional security requirements.
Q: Why does PCI DSS 4.0 matter to high-risk merchants?
A: It decreases fraud risks via merchant processor regulatory appeal thus maintaining merchant account approvals/integrity in high-risk industries where oversight is already heightened.
Q: What is different about PCI DSS 4.0 vs earlier versions?
A: There’s greater emphasis on continuous compliance verification, multi-factor authentication requirements, greater encryption requests and customized paths of implementation[5].
Q: What are the biggest barriers to implementation with PCI DSS 4.0?
A: Costs associated with continuous monitoring/international compliance communication can become intricate especially when entities have complicated paths of approach/operational output.
Q: How do merchant services providers help support PCI DSS 4 compliance?
A: They give businesses safe gateways, tokenization, access to compliance tools and educated guidance exclusively associated with high-risk industries at most needs beyond technical solutions require additional support/training/monitoring over time.
Sources
- PCI Security Standards Council. “PCI DSS v4.0 Documentation.” Accessed August 2025.
- Visa. “PCI DSS and Security Compliance Resources.” Accessed August 2025.
- Mastercard. “Security and PCI DSS Guidance.” Accessed August 2025.
- Federal Reserve. “Payment Systems Security Standards.” Accessed August 2025.
- International Monetary Fund. “Global Regulatory Approaches to Payment Security.” Accessed August 2025.
