Disposable Token Authentication for Online Transaction Security

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Solution Overview

Problem

Current authentication methods for online transactions are vulnerable to digital identity theft, particularly in password-based systems and OTP mechanisms, which can be hacked or intercepted, leading to fraudulent activities.

Innovation Solution

A system and method utilizing a single-use, time-limited usage token mechanism, where a usage token is generated, encrypted with a user's public key, and verified through a mobile device, ensuring secure authentication by decrypting and validating the token on a secure element before allowing access.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If a password system is used for authentication, then authentication can be performed, but the system becomes vulnerable to hacking and identity theft

Engineering Contradiction:
Improveauthentication securityVSAvoididentity theft risk
Core Design Contradiction:
ReliabilityVSObject-affected harmful factors

Solution Approach 1:

The patent implements disposable one-time passwords (OTPs) that are generated for single use and then discarded. Each OTP is valid for only one authentication attempt and cannot be reused, making them inherently secure against replay attacks and identity theft while maintaining authentication functionality

Inventive Principle:
Principle #27Cheap short-living objects (Disposable)

Solution Approach 2:

The authentication system transitions from static passwords to dynamic one-time passwords that change with each authentication event. The OTPs are time-limited and session-specific, creating a dynamic authentication mechanism that adapts to each login attempt rather than relying on fixed credentials

Inventive Principle:
Principle #15Dynamics

2Reliability

If OTP is sent via SMS or email, then authentication can be performed, but the communication channel becomes vulnerable to interception

Engineering Contradiction:
Improveauthentication securityVSAvoidinterception risk
Core Design Contradiction:
ReliabilityVSObject-affected harmful factors

Solution Approach 1:

The patent introduces a dedicated OTP generation and delivery system that acts as an intermediary between the user and the authentication server. This specialized component handles OTP creation, encryption, and secure transmission through multiple channels (SMS, email, push notifications), isolating the sensitive authentication process from potential interception vectors

Inventive Principle:
Principle #24Intermediary (Mediator)

Solution Approach 2:

The system performs preliminary actions by pre-generating and encrypting OTPs before they are needed for authentication. The OTPs are created with embedded expiration timestamps and are ready for immediate delivery, ensuring they are secure and valid only for their intended single use case

Inventive Principle:
Principle #10Preliminary action

3Productivity

If bank card information is sent centrally, then electronic payment can be processed, but the system becomes vulnerable to fraud

Engineering Contradiction:
Improvetransaction processingVSAvoidfraud risk
Core Design Contradiction:
ProductivityVSObject-affected harmful factors

Solution Approach 1:

The patent segments sensitive banking information from the authentication process. Instead of transmitting full bank card details centrally, the system separates authentication credentials (OTPs) from payment information, allowing transaction processing to proceed without exposing sensitive financial data to potential fraud

Inventive Principle:
Principle #1Segmentation

Solution Approach 2:

The system uses cryptographic copies and hashes of authentication data rather than transmitting actual sensitive information. OTPs serve as secure representations of user identity without containing real banking details, enabling fraud-resistant transaction processing

Inventive Principle:
Principle #26Copying

Data Source

PatentEP3570518B1Authentication system and method using a limited-life disposable token
Publication Date: 2020.11.18 IN IDT
  • EP3570518B1 patent drawingFigure 1
  • EP3570518B1 patent drawingFigure 2
  • EP3570518B1 patent drawingFigure 3

AI summary

The invention aims in particular to provide a system and a method which makes it possible in particular to strengthen security during the processing of a transaction, such as an identity verification for payment or an online reservation by using a single-use token mechanism, dated and limited in time.