This paper presents an advanced Controller Area Network (CAN) bus transceiver designed to enhance security using frame-level authentication with the concept of a nonphysical virtual auxiliary data channel. We describe the newly conceived transceiver security features and provide results concerning the design, implementation, fabrication and test of the transceiver to validate its functionality and robust operation in the presence of systemic error sources including Process, Voltage, and Temperature (PVT) variations. The virtual auxiliary channel integrates CAN frame authentication signatures into the primary data payload via phase modulation while also providing compatibility with existing CAN protocols, interoperability with non-enhanced systems and requiring no network or software modifications. Enhanced rail converters are designed to facilitate single-rail to dual-rail data conversion and vice versa, preserving phase information and minimizing phase errors across various nonideal effects such as frequency drift, Process, Voltage, and Temperature (PVT) variations, and cable phase mismatch. This ensures reliable data transmission and robust authentication in the presence of adversarial cyberattacks such as packet injection. The receiver recovers both the CAN frame data and the security signature, comparing the latter with an authorized signature to provide a real-time “GO/NO_GO” signal for verifying packet authenticity and without exceeding the CAN clock jitter specifications.