1. Securing Online Transactions with a Trusted Digital Identity Dave Steeves - dsteeve@microsoft.comdsteeve@microsoft.com Security Software Engineer Microsoft’s Security Business & Technology Unit System Protection Products Team © 2005. Microsoft Corporation. All rights reserved.

2. Outline Goals Rationale Securing Online Transactions Enabling Secure Scenarios  Trusted Digital Identity

3. Goals 1. Enable customers to securely perform online transactions on an insecure machine, over a hostile internet Bellua Cyber Security Conference 2005 2. Find more secure scenarios which are enabled with a trusted digital identity TIPPI Workshop

4. Online Bank Fraud in the News “A Miami man blames Bank of America for more than $90,000 stolen in an unauthorized wire transfer to Latvia. Joe Lopez filed a lawsuit on Feb. 7 claiming that Bank of America had not alerted him to malicious code that could -- and indeed had -- infected his computer. A forensic investigation by the U.S. Secret Service revealed that a Trojan called Coreflood, which acts as a keystroke logger, had compromised one of his PCs.” http://searchnetworking.techtarget.com

5. The Threat of Identity Theft RSA Security chief executive Art Coviello suggested that the effects were already being felt, pointing out that some Australian banks have recently pulled out of planned web services because of security fears. "We are at a confidence crisis. For the first time we run the risk of taking a step backwards and the reason is the threat of identity theft," he said. http://www.vnunet.com/news/1161914

6. Generic Transaction Model

7. Remember the User

8. Online Banking with User

9. Secure Protocol + USER

10. Threat 1: Phishing

11. Threat 2: “Man In the Middle”?

12. Threat 3: Computer is Fully Compromised; aka 0wn3d

13. Two-Factor Authentication “Protecting Against Phishing by Implementing Strong Two-Factor Authentication”  https://www.rsasecurity.com/products/securid/whitepapers https://www.rsasecurity.com/products/securid/whitepapers For example:

14. Bar is Raised, but High Enough? Does strong authentication add enough security to bank online?

15. Threat 1*: Phishing

16. Threat 2*: Man in the Middle by Social Engineering

17. Threat 3*: Fully Compromised

18. Focus on Verification Stages

19. Secure Verification Content Client Server Human-User Server

20. Today’s Online Banking

21. Verification Stage

22. Secure Online Banking

24. Secure the Receipt

25. Securing Online Transactions Recap Current Online Transaction Models  Threats Still Exist Solution  One Time Secret per Transaction  Keep Secret Off Untrusted Device Reduces Attack Surface  Attack vectors localized  Hardware Hacking/Physically Present  Tempest Attacks  Break Crypto

26. Trusted Digital Identity Mini MAC Connectivity through DAC system Enable specific, fine grain scenarios

27. Scenarios Online Transactions Digital Rights Management Secure, Redundant Storage. Security and System Configurations Paperless Money

28. Limitations  Size of mobile device interfaces are small  Size of mobile device is small  Horsepower of a mobile device Realistic scenarios  Not real time  Not heavily dependant on performance

29. Questions for TIPPI Attendees What end-to-end scenarios can we enable or include with a v1 of this idea? What end-to-end scenarios can we enable in the future? Do we need to provide trusted interfaces with Mandatory Access Control (MAC) to achieve a trusted identity? Do we need to ensure the user has the only access to the Identity interfaces?

30. © 2005. Microsoft Corporation. All rights reserved. Microsoft is a registered trademark of Microsoft Corporation in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.