Proximity Authentication for Transfer Threshold Override Control
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Digital transaction systems impose transfer limits due to limited identity verification, hindering legitimate transactions that require higher values and increasing fraud risks.
Innovation Solution
A system that monitors device proximity and authenticates user identities through actions like NFC taps, QR code scanning, or gestures, allowing users to override transaction limits when devices are within a threshold distance.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If transfer limits are imposed to safeguard against fraud, then security is improved, but legitimate transactions requiring higher transfer values are hindered
Solution Approach 1:
The system dynamically adjusts transfer limits based on real-time proximity verification. When devices are physically close, the system temporarily raises or removes transfer limits, allowing legitimate high-value transactions. When proximity cannot be verified, standard limits apply to maintain fraud protection. This dynamic adjustment resolves the contradiction by making limits flexible rather than static.
Solution Approach 2:
The system changes the parameter of transfer limit threshold based on the verification of physical proximity between devices. By monitoring device location data and determining when devices are within a threshold distance, the system adjusts the transfer limit parameter to enable higher values when proximity is confirmed, while maintaining lower limits when proximity cannot be verified, thus balancing security and transaction capability.
2Device complexity
If identity verification is limited in digital transactions, then system complexity is reduced, but trust and security are compromised
Solution Approach 1:
The system introduces physical proximity as an intermediary verification mechanism. Instead of relying solely on complex digital identity verification, the system uses the physical world (device location and proximity detection) as a mediator to establish trust. This adds a layer of verification that is simple to implement but significantly enhances security by confirming that transaction parties are physically present together.
Solution Approach 2:
The system replaces complex mechanical/digital identity verification mechanisms with a simpler proximity-based verification system. By using device location data and distance calculation algorithms, the system substitutes elaborate identity confirmation protocols with a more straightforward physical proximity check, reducing system complexity while maintaining or enhancing trust.
3Reliability
If physical presence verification is implemented, then fraud risk is reduced, but ease of operation decreases due to additional authentication requirements
Solution Approach 1:
The system performs proximity verification automatically in the background without requiring active user participation. The devices continuously monitor their own location and automatically determine when they are within threshold distance of each other. This self-service approach eliminates the need for manual authentication steps, maintaining transaction convenience while implementing fraud mitigation through automatic proximity-based verification.
Solution Approach 2:
The system performs proximity verification in advance before the transaction is initiated. By continuously monitoring device locations and pre-verifying proximity status, the system has the verification already completed when the user attempts to make a transaction. This preliminary action eliminates the need for additional authentication steps during the transaction process, maintaining ease of operation while ensuring fraud mitigation.
Data Source
AI summary
A method may include receiving, using a processing unit at a service endpoint, from a first computing device a request to initiate a transfer from a first account to a second account, the request identifying a transfer amount; determining, using the processing unit, that the transfer amount exceeds a stored threshold transfer limit; receiving an identifier associated with the second account; subsequent to the determining, receiving, using the processing unit, an indication that a geographic location override action has been completed between the first computing device and a second computing device, the second computing device stored as associated with the second account; and in response to receiving the indication, increasing the threshold transfer limit between the first computing device and second computing device for a period of time and authorizing the transfer.