VERISIGN REPORT

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VERISIGN REPORT THE NEXT STEPSBuilding the
Culture of Internet SecurityEmerging Security
Standards for E- Banking
Marta A. TomovskaCEO, UNETE-society.MkNovembe
r 16, 2006
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Culture of Security Initiative HISTORY

• March 2004 90 of US e-commerce providers block
  access from MK IP range. Action started!
• December 2004 half of US e-commerce providers
  blocked access from MK IP range. USAID engages
  VeriSigns Global Security consulting team to
  investigate the problem!
• March 2005 VeriSign presents the report on the
  scale of problem and gives recommendations to
  overcome it
• Step 1 ISPs - MK ISPs and MarNet
• Step 2 E-presence Companies / Financial
  Institutions
• MK companies with e-presence (banks, stores,
  ISPs)
• To encourage adoption of strong authentication
  schemes

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Culture of Security InitiativeSECURE INTERNET
TRANSACTIONS

• Q1 How to improve the cyber-image of
  Macedonia?
• V/A1 To educate existing and potential Internet
  users on the security standards through simple
  examples from their everyday life.
• Q2 What is the most obvious example of
  secure Internet transaction?
• V/A2 E-banking transaction. In the same time,
  it is considered as one of the most
  vulnerable processes in terms of security.
• E-banking for retail customers on-line payment
  of power/ water/central heating/phone/cell
  phone/cable TV bills/liabilities
  (mortgage/consumer loan instalments)/debts upon
  credit cards/etc.
• E-banking for corporate customers orders/all
  types of payments/ including salary
  payments/taxes/day-to-day dealings with the bank.
  

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Culture of Security InitiativeTHE PILOT PROJECT

• SCOPE OF WORK Setting the security standards for
  e-banking applications, by aggressive marketing
  of security focus and deployment of strong
  authentication
• PILOT PROJECT Implementation of OTP tokens
  authentication system for retail banking users.
  Tokens can be used for access both to the bank
  e-banking application and to the international
  providers that participate in the VIP
• TEAM VeriSign, UNET, Komercijalna Banka AD
  Skopje, USAID/MCA

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Culture of Security InitiativeVIP

• OTP token
• A single security device!!!
• Two Factor Authentication
• VIP Strong authentication VIP Fraud Detection
• KB e-banking application
• any VIP-enabled Web site of network members such
  as PayPal, eBay or Yahoo!

VIP Nework
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Culture of Security InitiativeVIP/PayPal example

• First Global VIP Implementation
• Within 6 months
• Initially 4 countries
• Germany, US, Japan, Australia
• 1 Million tokens
• By the end of 2007

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Culture of Security InitiativeVIP Today
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Culture of Security InitiativeWHO BENEFITS?

• The Bank
• First European Bank to join the prestige VIP
  network
• Set standards for information security in MK
• Achieve greater integration into the
  international digital economy
• Win market share
• MK Citizens
• Get a new perception of the use of Internet
• Save time and money
• Conduct their banking online securely
• Get secure access to a network of VIP-compatible
  sites
• For the first time in the history, be able to use
  PayPal to handle payments on the Web, eBay to
  shop at the biggest web marketplace, and Skype
  to communicate online!

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Culture of Security InitiativeWHO BENEFITS?

• The country itself
• Positive perception in the international Internet
  community Macedonian Bank gets connected /
  Macedonian comunity doing clean e-business
  internationally
• Proactive approach to fight fraud to beat the
  undeservedly poor reputation / shows readiness
  not only in the cyber context
• To obtain a proven record of non-fraudulent
  on-line transactions within MK and worldwide /
  positive reports
• Gets removed from the Internet blacklists/Gets
  in the whitelists
• Increase the overall Internet usage and
  contribute to the other sectors of Macedonian
  Economy
• MK businesses to sell worldwide generate profit

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Culture of Security InitiativeNEXT STEPS?

• To monitor and to report satisfaction level of
  the KB OTP/VIP implementation
• To continue the larger framework of projects that
  USAID started and will help ensure that
  Macedonias nascent IT and e-business
  infrastructure develops healthily, limiting
  fraud, crime, and other illegal activity.
• To implement the VIP platform to multiple sectors
  in MK (Internet payment, Health Care, On-line
  Banking and Trading, E-commerce, Communication
  and Government services)
• To increase public awareness and acceptance of
  secure Internet