SET

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SET Secure Electronic Transaction

• Setting The Stage For Safe Internet Shopping
• -Jignesh Shah-
• -Riyaz Malbari-

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History/Background

• Internet shopping didnt quite pick up as
  consumers considered financial transactions over
  the internet, unsafe
• Lacks the one on one transaction feeling.
• Visa MC came up with the idea what we call as
  SET.

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Advantages

• Privacy Uses 1024 bit public key cryptography
  which renders the intercepted message unreadable
  !
• Integrity Hashing signing ensures message sent
  is unaltered.
• Authentication Uses digital certificates to
  ensure the parties are really who they claim to
  be.

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How SET Works

• Components
• Cardholder
• Merchant
• Acquirer Gateway
• Certification Authority

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Certification Authority
Acquirer Gateway
Card- holder
Inter net
1. Cardholder initializes purchase
2. Merchant verifies funds
3. Acquirer authorizes purchase Verifies
merchants certificate
6. Makes transfers provides payment to merchant
5. Requests payment
4. Order is confirmed
Merchant
Merchants
Cardholders Bank
Bank
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How safe is SET?

• -Uses 1024bit cipher keys, making it one of the
  strongest encryption applications.
• -If we use 100 computers each processing 10
  MIPS, it would take 2.8 x 10 11 years to break
  just ONE encrypted message !!!!
• Source http//www.rsa.com/set/html/howstrong.html
  

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SET versus SSL

• -SET was developed specifically for payment
  transaction. SSL simply encrypts the
  communication channel between cardholder
  merchant website and its not backed by any
  financial institution.
• - Compare 128-bit encryption with that to SET !

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SET versus SSL

• -SET also authenticates each participant as its
  backed by CA financial institutions.
• -SET provides security throughout the entire
  transaction process. SSL provides security only
  between cardholder and merchant.

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Concept of Dual Signature
Alice
Bob
Bank
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Certificate Issuance
Electronic representation of payment card/brand
Must be approved by the Acquirer gateway
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Payment Processing

• Cardholder registeration
• Merchant registeration
• Purchase request
• Payment authorisation
• Payment capture

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Drawbacks

• Slow
• Expensive
• Not portable

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References

• http//www.setco.org
• http//www.wolrath.com/set.html
• http//www.MasterCard.com

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THANK YOU !!!