Originally Posted by jacobsleather

Your points are all correct, with increased security there is always a "mafan" factor. Its why I have to keep one phone with my China number on at all times. SMS OTP is also considered quite an outdated technique, but nevertheless its employed by many companies, because people still use easily guessed passwords and they use them on multiple sites and most people accept the hassle rather than turning away from the service. Any other type of 2 factor would have massive impact on the adoption, and its not like they will shell out for keyfobs for all of us (and the banks are moving away from those too). A bit of social engineering with a telco can get you someone's SIM card too. I guess, statistically they know this will result in less fraud and attrition of customers as a result will be minimal.