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Anonymity in Electronic Commerce

Learn about achieving anonymity in electronic commerce, including technologies, methods, and benefits for security, privacy, and marketability.

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Anonymity in Electronic Commerce

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  1. Anonymity in Electronic Commerce Yiannis Tsiounis GTE Laboratories, Inc.

  2. Electronic Commerce • Advertising, Information exchange, Sales • Purpose: Reduced Cost • Infrastructure • Electronic Access (WWW, Cellular Systems, Telephone Network) • Controlled Access (Digital certificates, Shared-key authentication) • Procurement methods (Electronic Payments)

  3. Electronic Payments • Account-based systems Funds are transferred from the buyer to the merchant • Credit & Debit cards • Electronic checks • Phone bills (wire-line & cellular), Loyalty programs • Token-based systemsFunds remain with the Issuer until claimed by the merchant • Subway tokens • Cash-cards, Electronic cash

  4. Properties Goal Reduced setup and operational costs • Efficiency • Computation & Comm. costs • Off-line operation • Security • No fraudulent purchases • Non-repudiation • Ease of use and implementation

  5. Features Goal Marketability • Security guarantees • Insurance (e.g., FDIC) • Limited cost for loss/theft • Appearance • Anonymity

  6. “Anonymity”: what’s in a word? • Secrecy of • Payment data (credit card #, e-cash #, etc) • Payment information (goods sold) • Customer information (identity, personal info) • From • Outsiders • Merchants • Issuer • All parties

  7. Why? • Security • Lower operation costs • Easier public acceptance • Privacy • Marketability • Smooth migration from cash What’s the magic word? • Cost • Depends mainly on the parties covered

  8. Step 1 (Secrecy from outsiders) • Public/Private key encryption • Key management • Can be designed independently • Netscape SSL/Cybertrust, Verisign, etc. • iWinpack (using PGP mail) • First Virtual • Easy migration

  9. Securing the shops • Encryption from customer to Issuer • Minimal key management • Requires a unified solution • SET • Mondex • Limits merchant fraud • Some privacy

  10. Decoupling the Issuer • More costly solutions, depending on • On/Off-line operation, and • Level of anonymity (unlinkability) • Tracing required for large applications • Due to legislation • Some additional encryption needed

  11. From simple to complex • Pre-paid cards (phone cards, cash-cards) • Anonymity: Distribution method • Physical distribution implies high cost • Tracing requires additional communication • E-cash (e.g., DigiCash) • Anonymity: Cryptographic blinding • Computational costs • Exact payments diminish anonymity or require more intensive computation

  12. What do we buy? • Privacy • Customer’s awareness • Competition (need for differentiation) • Application • Security must be guaranteed

  13. References

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