The invention provides a 
secure communication method and a 
system based on an identification 
algorithm, wherein the method comprises the following steps of: combining a security 
chip with an NB-IoT communication module is encapsulated into a security module and arranged in the terminal; when the terminal access the network for the first time, the terminal sends the request activation message to the background, the background receives the request activation message, verifies the authenticity of the identification signature data, if the 
verification is passed, the terminal generates the updateddistribution information according to the gas 
label, and sends the APDU instruction 
package to the terminal; the terminal verifies the authenticity of the update signature data, and if the 
verification is passed, the secondary distribution message 
cipher is decrypted to obtain the renewal distribution information, and the 
initial distribution information is replaced with the renewal distribution information to store the renewal distribution information; according to the grade of the reported data, the terminal sends the 
plaintext of the common data and the MAC value obtained by calculating thecommon data to the background, or sends the key data 
ciphertext obtained by encrypting the 
plaintext of the key data and the key data signature obtained by signing the key data 
ciphertext to the background.