HCE AND BLE UNIVERSITY TOMORROWS TRANSACTIONS

Transcription

1 HCE AND BLE UNIVERSITY TOMORROWS TRANSACTIONS LONDON, 20 TH MARCH 2014

2 Host Card Emulation NFC Killer? INTRODUCTION TO HCE

3 What is Host Card Emulation? NFC Controllers have always had the ability to exchange ISO14443 frames between the Handset s main processor and an external ISO reader HOST CARD EMULATION exposes that capability to applets running in the handset via APIs Handset Application NCI NCI (NFC Forum NFC Controller Interface Specification) provides a standard way of accessing that capability UICC NCI HCI/SWP NFC Controller ISO 14443

4 Contactless Payments Cryptogram Verification Everything that s going on in NFC with Banks, MNOs and TSMs is to enable banks to extend their reach into the MNO s chips with the same degree of security as that into chips in single-issuer bank cards... And it s commercially and technically challenging Transaction Details Cryptogram Digital Signature Offline Data Authentication If we restrict or limit the usefulness of the keys in the phone, we limit the liability associated with their compromise; We can accept a greater vulnerability for those limited use keys yet still achieve an acceptable overall exposure

5 How does it work? 1) Issuer retains the static keys and counter and provides access to them over the phones network connection (GSM, 3G, WiFi) Online Cryptogram Verification 7) Issuer verifies cryptogram but using limited use key rather than static key 2) Cardholder periodically contacts issuer and requests download 3) Issuer generates limited use keys from the static keys and counter, and downloads them to the phone s handset 4) Cardholder opens application, waves phone at reader Transaction Details Cryptogram Digital Signature 5) Terminal conducts transaction as normal 6) Terminal verifies signature using certificates as normal Offline Data Authentication

6 Implications of HCE for Issuing Banks Most Issuing Banks currently have or are developing, mobile banking applications. You can do many things with those but cannot pay for things in stores. These already have a mechanism for authenticating the customer to the bank, and for securely exchanging information over web service protocols. HCE provides a mechanism to allow these apps to be used for in store purchasing. It allows banks to provide mobile proximity payment capability without needing to negotiate with MNOs or TSMs. Probably best not to put a real Card Number in the phone, though

7 Tokenisation ISSUING BANK Real PAN PAYMENT NETWORK TOKEN SERVICE PROVIDER RULES ENGINE -Channel --Time DATABASE -Real PAN - Token PAN Token PAN ACQUIRER MERCHANT

8 Implications of HCE for Retailers Before HCE, POS terminals could only communicate with apps in secure elements. We can also bypass the payment kernel by using a reader pass-through mode to send data directly over the contactless interface HCE allows us to bypass the app in the secure element to talk to the payment kernel Until recently there was no point in doing this as we could only communicate with an app in the secure element, which was expensive to build and certify However, with HCE a POS can now communicate directly with a retailer handset app to support a richer sales experience over contactless than just payments. Handset Operating System Handset App Point Of Sale Retailer POS Terminal Application Payment App Payment Kernel Secure Element NFC Chip PCD

9 Bluetooth Low Energy NFC Killer? INTRODUCTION TO BLE

10 BLE Promises

11 BLE Technology BLE is Bluetooth for devices powered by small batteries mostly off; limited range (<50m) Devices are peripherals or central hosts or can be both BLE devices can Discover each other infrequently broadcast short It s Me! data bursts Measure received signal strength to indicate distance BLE devices can Connect to each other Devices can be paired using pre-shared key or passcode Paired devices can encrypt communications BLE devices can Exchange Data with each other: Get value of attribute # 123 Set value of Attribute # 123 Notify me when the value of attribute #123 changes

12 Discovering Devices Advert D6 BE 89 8E A9 F0 93 0C D D1 54 1E A5 D6 BE 89 8E FE 4F D7 E4 F5 D A FF 4C B9 40 7F 30 F5 F8 46 6E AF F B 57 FE 6D 4F FE E4 D7 B6 26 5A A5 D6 BE 89 8E 83 0C D5 3B 22 8C BA 1C 32 A9 F0 93 0C D8 C8 40 DA 40 A5 SCAN REQUEST SCAN RESPONSE D6 BE 89 8E A9 F0 93 0C D A6 DA 37 DE C1 9A FC A D8 A C2 BE 02 0A 00 DC EE A5 Battery lifetime decreases with more frequent advertisements Battery lifetime decreases with more data in advertisements Reliability of signal strength indication improves with more frequent advertisements Latency (noticing when the tag appears or disappears) improves with more frequent advertisements Received Signal Strength decreases when objects (and people) get in the way

13 Connecting Devices CONNECT SERVICE DISCOVERY CHARACTERISTIC DESCRIPTION DISCOVERY CHARACTERISTIC DISCOVERY Example: The device supports the Health Thermometer Service The Service has a Characteristic with a Description of Temperature Measurement The Service has a Characteristic with a Description of Temperature Type The Temperature Measurement Characteristic has a Value of 68 Fahrenheit The Temperature Type Characteristic has a Value of Body

14 Exchanging Data SET GET NOTIFY Client Each Attribute has a unique Handle : think of it as one row in a table Data is exchanged by reading or writing to the Attribute with a particular handle Data can be protected by assigning access rights specific to each handle. Server

15 BLE Services Data Connections to sensors Heart Rate Monitors Fitness Trackers Temperature Monitors Motion Sensors Based on Presence Find Me Device Leashing Beacons Client Confidential

16 Apple s ibeacon HDR RSSI 16-byte Proximity UUID Major Minor Tx Transmits Advertising Packets Only (no reception) Proximity UUID identifies the Merchant; Major (up to 65535) and Minor (up to 65535) together identify a unique Beacon within a Store Transmitted Signal Strength (Tx) from Beacon and Received Signal Strength Indicator (RSSI) at phone together indicate range (Close, Near, Far Away) Apps are notified when the phone enters or leaves regions If the retailer app knows where the beacons are, it knows where you are

17 PayPal Beacon Extends PayPal Here to simplify purchases Beacons at doorways to detect entering the store Connections used to authenticate user Avoids use of WiFi or Mobile Network I m Here! Encrypted Response Connect & Request Token Token + Store Data + Signature Encrypted Data Who is in my store? ID + ID + xx.xx

18 For more information Please contact: USA and Latin America: Rest of the world: Visit: Read: Listen: