1 / 26

E-Cash & Mobile Payments

E-Cash & Mobile Payments. Karen Uttecht. Overview. What is Money? E-Cash (Ideal) History Basic Concept Technologies Features Trade-offs Real “Electronic Cash” Systems Online Payment Systems Peer to Peer Systems Smart Cards Mobile Payments (in detail). What is Money?.

jarvis
Download Presentation

E-Cash & Mobile Payments

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. E-Cash & Mobile Payments Karen Uttecht

  2. Overview • What is Money? • E-Cash (Ideal) • History • Basic Concept • Technologies • Features • Trade-offs • Real “Electronic Cash” Systems • Online Payment Systems • Peer to Peer Systems • Smart Cards • Mobile Payments (in detail)

  3. What is Money? Stone Money of Yap Island Photo from [20]

  4. History of E-Cash • Invented by David Chaum in 1982 in his paper “Blind Signatures for Untraceable Payments” • Chaum filed patents and founded DigiCash, Inc. • Chaum’s mismanagement of DigiCash ultimately lead to Bankruptcy in 1998 • Hundreds of papers improving on Chaum’s E-Cash have been written since.

  5. E-Cash: Basic Concept Bank 1. Send Prepared E-Cash 4. Check E-Cash Validity 2. Return Signed E-Cash 5. Return Verification 1 5 4 2 Payer Service Provider 3 3. Give E-Cash

  6. Cryptographic TechnologyUsed By E-Cash Schemes • RSA / Public Key Cryptography • Elliptic Curve Cryptography • Blind Signatures • Hash Functions • Digital Certificates

  7. Ideal E-Cash:Security Requirements • Non-Reproducible • Can’t be Double Spent • Tamper-Proof • Private and Anonymous • Theft Resilient • Dispute Resolution

  8. Ideal E-Cash:Usability Requirements • Fast • Easy to Use • Easy to Learn • Available • Accountable • Predictable Performance • Accurate

  9. E-Cash: Trade-Offs and Challenges • Double Spending vs. Availability • Double Spending vs. Anonymity • Dispute Resolution vs. Anonymity • Fair Trading

  10. Real “Electronic Cash” Systems • Online Payment Systems • Peer to Peer Systems • Smart Cards • Mobile Payments

  11. Online Payment Systems • Users exchange money through their site • Money stays put (with the site), ownership changes hands • Online Wallets, Shopping Carts & Checkout through participating retailers • Mobile web payments • Examples: Paypal, WebMoney, Gogopay, CashU

  12. Peer to Peer Systems • No Central Authority • Coins are chains of digital signatures of all previous owners Diagram from [12]

  13. Peer to Peer Systems • Double spending is prevented by announcing all transactions to the network, majority of nodes decide which transaction came first • Timestamps determined using longest proof-of-work chain • Examples: BitCoin (Open Source) Diagram from [12]

  14. Smart Card Systems • Essentially like a “Smart Card” Visa gift card • Anonymous – the user does not open an account • Cards are loaded up at kiosks • Many are transit cards retailers have chosen to accept as payment • No theft protection • Examples: FeliCa System – Widely Used • Notably extensively used in Hong Kong, Singapore, Japan, and Netherlands as E-Cash

  15. Mobile Payments • Exchanging money using Mobile Devices • Four General Types • SMS • Direct Mobile Billing • Mobile Web Payments • Near Field Communications

  16. Mobile Payments: SMS • Payment Request Sent via Text Message • Charge is added to Phone Bill • Very clunky • Unreliable • No Security – Messages are plaintext

  17. Mobile Payments:Direct Mobile Billing • Essentially Charging Services to your Phone Bill • Uses a pin code & one-time-password • Prevalent in Asia • Bypasses banks & credit cards

  18. Mobile Payments: Mobile Web Payments • Accessing a payment web service on your mobile phone • Example: Paypal Mobile: https://www.paypal.com/mobile

  19. Mobile Payments: Near Field Communications • NFC is an extension of ISO/IEC 14443, RFID proximity card standard • NFC device can communicate with existing infrastructure and other NFC devices • Range of 7-8 inches • Low Power Consumption • Designed for Mobile Devices

  20. NFC Mobile Payments Pictures From Reference [11]

  21. NFC Mobile Payments • NFC embedded into mobile phone • Allows User to Pay with their Phone • E-Cash Schemes could be used in conjunction • Mobile to Mobile Payments Possible • “Offline” Payments Possible • Predicted: $75 Billion globally in NFC Mobile Payments by 2013 • 59% of US consumers want to make purchases with their mobile phone

  22. NFC Mobile Payment Systems • Pay-Buy-Mobile Initiative • Working on World Wide Standard for NFC Mobile Payments • Over 50 Mobile Operators involved • Payforit – UK • Bling Nation – US – “Smart Sticker” • China Mobile • Blaze Mobile (US) – “Sticker Based” • Many trials worldwide

  23. Questions?

  24. References • [1] History of DigiCash http://jya.com/digicrash.htm • [2] E-Cash System Architecture http://rtds.cs.tamu.edu/aaa2.php • [3] Bitcoin http://www.bitcoin.org/ • [4] Paypal www.paypal.org • [5] WebMoney www.wmtransfer.com • [6] CashU www.cashu.com • [6] Liberty Reserve www.libertyreserve.com/en/ • [7] Wikipedia: Mobile Payments http://en.wikipedia.org/wiki/Mobile_payment • [8] Wikipedia: Near Field Communications http://en.wikipedia.org/wiki/Near_Field_Communication • [9] NFC Mobile Payments to Reach US$75 Billion by 2013 http://www.paymentsnews.com/2008/07/nfc-mobile-paym.html

  25. References • [10] Architecture and Development of NFC Applications http://www.slideshare.net/tdelazzari/architecture-and-development-of-nfc-applications • [11] NFC: Payment and Beyond http://www.nfc-forum.org/resources/presentations/Tagawa_Barcelona_2010.pdf • [12] Bit Coin: A Peer-To-Peer Electronic Cash System http://www.bitcoin.org/bitcoin.pdf • [13] Pay-Buy-Mobile Initiative http://gsmworld.com/our-work/mobile_lifestyle/mobile_money/pay_buy_mobile/index.htm#nav- • [14] Pay-for-it http://www.payforit.org/ • [15] Bling Nation http://www.blingnation.com/ • [16] Near Field Communications World Payments News http://www.nearfieldcommunicationsworld.com/category/applications/payments/

  26. References • [17] NFC Trials and Rollouts worldwide http://www.nearfieldcommunicationsworld.com/list-of-nfc-trials-pilots-tests-and-commercial-services-around-the-world/ • [18] Blaze Mobile http://www.blazemobile.com/ • [19] Newswire: Consumers want to use their phones to make purchases at the point of sale http://www.nearfieldcommunicationsworld.com/2009/12/01/32406/59-of-consumers-want-to-use-their-phone-to-make-purchases-at-the-point-of-sale/ • [20] Yap Island Sights http://www.visit-fsm.org/yap/sights.html • [21] “What is Money?” Ray Byler • [22] “mFerio: the design and evaluation of a peer-to-peer mobile payment system” Balan, Rajesh Krishna and Ramasubbu, Narayan and Prakobphol, Komsit and Christin, Nicolas and Hong, Jason

More Related