If using our MID >> you can request to make it optional and we will make a decision after a risk assessment. Your Xendit Account Manager can guide you through this.
If using your own MID >> Generally if you sign a waiver accepting all chargeback risks, acquirers will make this optional for you. If you start getting over 1% chargebacks, any acquirer will start asking questions & might pull MID if not resolved.
If using our MID >> Yes, merchant is obliged to activate 3DS for all transactions or this can cause most or all of the transactions to be tagged as unsuccessful or failed and have no liability chargeback.
You may refer to the links below and review the dynamics carefully to help know more about this: