What is a chip card also known as?

A chip card is most accurately referred to as an integrated circuit card (ICC). This term describes the card's use of a microprocessor that is embedded in the plastic. The integrated circuit is designed to securely store and process data, allowing for more secure transactions compared to traditional magnetic stripe cards. The chip enhances the card's ability to perform encryption and authentication processes, making it harder for fraudsters to clone or replicate the card. This technology has become the standard for many types of payment cards globally, as it provides a higher level of security for both consumers and merchants.

The other options reference different types of payment methods or card technologies. A holographic card typically features a hologram for security but does not define the functionality of chip technology. A magnetic card refers to cards that store data on a magnetic stripe, which lacks the advanced security features of chip cards. A virtual payment card is an entirely different concept related to digital transactions and does not involve physical cards or integrated circuits. Thus, labeling a chip card as an integrated circuit card is accurate and highlights the technology's capabilities.