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Why does it exactly show a popup saying "website wants to use Touch ID"?

It could just say "Touch ID to login" on the Touch Bar and wouldn't it be enough? If the user prefers otherwise, they simply won't touch. Doesn't the popup create extra friction (unless I'm missing something)?

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My understanding is that the permissions popup is used for the registration flow (generating & enrolling a key into the Secure Enclave), and after that if there are existing credentials, it's just 'Touch ID to login'.

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