That was my exact concern. Chip and PIN is kind of broken. Someone else linked to sources, so I won't. From what I remember researching about a year or two ago,

That was my exact concern. Chip and PIN is kind of broken. Someone else linked to sources, so I won't. From what I remember researching about a year or two ago, was that one of the attacks on Chip and PIN was to generate fake transactions with the card. If you replay those transactions to a POS terminal in the same order, they will be valid. If you use the actual card before the captured transactions, it throws off the order, making the captured ones invalid. My guess is that this card is either taking advantage of this vulnerability, or making some kind of deal with individual banks.