Looks like they've integrated a processor and keypad on the cards. Sounds like the problem you describe could be solved with an upgraded POS terminal, where the PIN is typed on the card, and transmitted thru the terminal[1] to the bank (with end-to-end encryption from the card to the bank).
[1] - Probably still need to rely on the terminal for the data transfer; smartphones aren't ubiquitous/convenient/permanently-data-connected enough. The card could either communicate with the POS terminal wirelessly through Bluetooth/NFC, or be attached face-up while entering the PIN code.
All Credit cards (smartcards) in Europe (Visa, etc..) already have a chip integrated . So whenever you do a purchase in the store, you have to enter your pin into the terminal, to complete the transaction. No pin, no transaction.
I don't think that this credit card 2.0 is solving any problem at all.
Maybe the founder have never been to Europ and don't know that this exists here... imagine. hehe.
That doesn't solve the problem Cushman mentioned (and clarified several times to thinkcomp in this thread): giving up all your credentials including PIN/"password" to the merchant's hardware, and trusting the merchant and its hardware.
What's needed is a device you own and control directly communicate with the bank. Cushman suggested using one's smartphone, but I think the card itself could serve that purpose. The card has a display, a processor, and a keypad: everything except a data connection.
That's just like a computer without even having the possibility to reinstall.
Just imagine catching a trojan horse on the phone, stealing your credit card info.
I prefer paying by PIN. The POS Terminal doesn't connect to the internet.
[1] - Probably still need to rely on the terminal for the data transfer; smartphones aren't ubiquitous/convenient/permanently-data-connected enough. The card could either communicate with the POS terminal wirelessly through Bluetooth/NFC, or be attached face-up while entering the PIN code.