Smartcards outsmart computer crime

Abstract

The major weaknesses of electronic transaction processing and electronic data transfer are lack of reliable authentication of the user, line tapping and unauthorized modification of software. This paper proposes protection measures based in programmable smartcards. These are plastic credit cards with implanted microprocessors programmed to provide positive user authentication and to add electronic signatures to transactions. The application of these smartcards is discussed, especially where real commercial benefits have been obtained in areas such as banking, insurance, electronic funds transfer and network security.