I am seeing the same issue with Wallet Sandbox right now. How long did you have to wait for this to be updated?
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Yes. It turned out to be a simple problem. The card we were using to test had incorrect metadata attached to it and therefore our card did not have the associatedApplicationIdentifiers set correctly. If you have the "Getting Started with Apple Pay In-App Provisioning, Verification & Security (3.0)" document, see section 5.4. "PNO Pass Metadata Configuration" for more information.