Wearable Device Virtual Code Generation for Secure Financial Transactions
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Solution Overview
Problem
Conventional wearable devices with payment functions face security issues, limiting their use to offline transactions due to exposure of card numbers during magnetic stripe transactions and the difficulty in applying one-time-password (OTP) for user identification, making online payments challenging.
Innovation Solution
A method and system that generates a unique virtual code for each payment transaction, using a virtual code generation module to create a random code that searches for and transmits the corresponding payment code stored on a wearable device, ensuring secure online and offline transactions without exposing actual card numbers.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If a wearable device stores and transmits actual card numbers for payment transactions, then payment functionality is enabled, but security is compromised due to visual exposure and transmission leakage
Solution Approach 1:
The patent creates a virtual code that copies the essential function of the actual card number without exposing the real sensitive data. The virtual code serves as a functional duplicate that can be transmitted and processed like a real card number but cannot be reverse-engineered to reveal the actual card details, thus enabling payment functionality while preventing code leakage
Solution Approach 2:
The patent introduces a virtual code as an intermediary between the actual card number and the payment processing system. This intermediary layer allows transactions to proceed without the actual card number being exposed or transmitted, acting as a mediator that protects the sensitive data while enabling the payment function
2Reliability
If one-time-password (OTP) is used for user identification, then security is improved, but ease of operation deteriorates due to required login procedures
Solution Approach 1:
The patent performs user identification and authentication in advance during device registration, storing the verified user identity and device pairing information. This preliminary action eliminates the need for repeated login procedures during subsequent transactions, maintaining security while improving operational convenience
Solution Approach 2:
The system automatically performs authentication and identification using pre-registered device and user information, eliminating the need for manual login procedures. The wearable device and server work together to self-verify user identity and device authorization, maintaining security without requiring user intervention for each transaction
3Adaptability or versatility
If a virtual code is generated and stored on the wearable device for online payment, then online payment capability is enabled, but device complexity increases due to storage and generation requirements
Solution Approach 1:
The patent divides the code generation and verification system into separate components: the wearable device generates and stores only the virtual code, while the server handles the verification and mapping to actual card numbers. This segmentation reduces device complexity by offloading complex verification logic to the server while maintaining online payment capability
Solution Approach 2:
The patent moves the complex verification and mapping logic from the device dimension to the server dimension. The wearable device operates in a simplified dimension with only generation and storage functions, while the server handles the complex dimension of verification and data mapping, reducing overall device complexity
Data Source
AI summary
The present invention provides a method, program, server, and wearable device that may generate a virtual code, which is not matched with any other code, whenever a payment is requested. Furthermore, the present invention provides a method, program, server, and wearable device that may conveniently add a device while security is maintained, when a user wants to add a device capable of being used as a payment means. Moreover, the present invention provides a method, program, server, and wearable device that may add and use only an algorithm without changing a conventional process, and may provide a wearable device-based financial transaction.