Database Encryption Wallet Using HSM Cryptogram

The system segments the key management process into distinct phases: key generation in HSM, encryption of keys with wallet passwords, secure transmission of encrypted keys, and controlled decryption only when authentication occurs. This segmentation ensures keys are never transmitted or stored in cleartext form, maintaining security while enabling operational access through proper authentication channels.

The patent introduces encrypted wallet passwords as an intermediary mechanism between key storage and access. Instead of directly storing or transmitting cleartext keys, the system uses wallet passwords to encrypt keys during storage and transmission. This intermediary layer protects key security while allowing authorized access through the decryption process using authenticated wallet passwords.

The system performs preliminary encryption of data encryption keys with wallet passwords before transmission or storage. By pre-encrypting keys with authenticated credentials, the system eliminates the need for complex runtime cryptographic protocols during key transmission. The complexity is shifted to the key generation and initial encryption phase, where proper authentication already occurs, simplifying subsequent key management operations.

The HSM performs self-service key management by automatically generating, encrypting, and managing encryption keys using internally stored master keys and wallet passwords. This self-service capability reduces system complexity by eliminating the need for external key management infrastructure or complex inter-component cryptographic protocols, while maintaining high security through hardware-based cryptographic operations.