Distributed Wallet Security Guide

Distributed Wallet Security Guide

Quiz

What problem is solved?

What is the role of EPID in protecting e-wallet transactions?

How is Shamir Secret Sharing used to improve e-wallet security?

What is the "M of N strategy" in distributed e-wallets? Give a use case.

What is the use of Petri nets in a distributed e-wallet environment?

How does distributed custody help recover e-wallets?

What is contextual authentication? How does it apply to e-wallets?

How does Physical Unclonable Function (PUF) enhance the security of e-wallets?

What role does RFID technology play in e-wallet security?

How does combining RFID and location information help prevent e-wallet fraud?

Answer

It solves the security problem of e-wallet transactions. It introduces a multi-signature mechanism to improve the security of transactions by dividing the e-wallet key into multiple parts and distributing it across multiple devices.

Enhanced Privacy Identity (EPID) is an identification technology used to protect user privacy. In e-wallet transactions, EPID can be used to generate anonymous keys, thereby hiding the user's real identity information and improving the privacy of transactions.

Shamir Secret Sharing is a cryptographic technology that divides the key into multiple parts and distributes it to different participants. In an electronic wallet, the electronic wallet key can be divided into multiple parts using Shamir secret sharing and stored on different devices. The complete key can only be recovered when a sufficient number of devices agree, thereby improving security.

"M of N strategy" means that M devices out of N devices need to authorize to complete a transaction. For example, a 3 of 5 strategy can be used to require 3 out of 5 devices to authorize to complete a transaction. This can prevent the loss of funds due to the theft or loss of a single device.

Petri nets are a mathematical tool for modeling and analyzing concurrent systems. In a distributed electronic wallet environment, Petri nets can be used to describe and analyze the process of interaction between multiple devices, such as electing a master device, prohibiting devices, and setting spending limits.

Distributed custody means that the electronic wallet key is divided into multiple parts and stored in different trusted third-party institutions or individuals. When a user needs to recover the key, he can contact these custodians and recover the complete key according to the pre-set policy.

Contextual authentication is an authentication method based on user environment information. In an electronic wallet, contextual authentication can use the user's biometric information, location information, and device information to verify the user's identity and authorize transactions.

A Physical Unclonable Function (PUF) is a hardware-based unique identifier that can be used to generate random numbers and keys. PUF can be used to generate e-wallet keys and prevent them from being copied or stolen.

RFID technology can identify and track objects through radio waves. In e-wallet security, RFID can be used to track the location of e-wallet devices and verify the legitimacy of transactions. For example, RFID can be used to prevent e-wallet devices from being used without authorization.

Combining RFID with location information can improve the security of e-wallet transactions. For example, transactions can be required to be carried out only when both the e-wallet device and the user's mobile phone are within a pre-set geographical location range, thereby preventing the e-wallet device from being stolen.

Keyword List

Keyword DefinitionDistributed e-walletAn e-wallet that divides the e-wallet key into multiple parts and stores them on multiple devicesEnhanced Privacy Identification (EPID)An identification technology used to protect user privacyShamir Secret SharingAn encryption technology that divides the key into multiple parts and distributes it to different participantsMo of N strategy requires M devices out of N devices to authorize to complete a transactionPetri netA mathematical tool for modeling and analyzing concurrent systemsDistributed custodyDivides the e-wallet key into multiple parts and stores them in different trusted third-party institutions or individualsContextual authenticationAn authentication method based on user environment informationPhysically Unclonable Function (PUF)A hardware-based unique identifierRFID identifies and tracks objects through radio wavesBlockchainA decentralized distributed database used to record transaction information