"Money in the 21st century will surely prove to be as different from the money of the current century as our money is from that of the previous century. Just as fiat money replaced specie-backed paper currencies, electronically initiated debits and credits will become the dominant payment modes, creating the potential for private money to compete
with government-issued currencies."
Just as every thing is getting under the shadow of “e” today we have paper currency being replaced by electronic money or e-cash. Hardly a day
goes by without some mention in the financial press of new developments in "electronic money". In the emerging field of electronic commerce, novel buzzwords like smartcards,online banking, digital cash, and electronic checks are being used to discuss money. But how are these brand-new forms of payment secure? And most importantly, which of these
emerging secure electronic money technologies will survive into the next century?
These are some of the tough questions to answer but here’s a solution, which
provides a form of security to these modes of currency exchange using the “Biometrics Technology”. The Money Pad introduced here uses the biometrics technology for Finger Print recognition. Money Pad is a form of credit card or smartcard, which we name so. Every time the user wants to access the Money Pad he has to make an impression of his fingers which will be scanned and matched with the one in the hard disk of data base
server. If the finger print matches with the user’s he will be allowed to access and use the Pad other wise the Money Pad is not accessible.
Thus providing a form of security to the ever-lasting transaction currency of the future “e-cash”.
The 21st century will not be "cashless", as many now predict. However, it does seem clear that the currency of the 21st century will be "paperless". Paper currency and checks are gradually being substituted by smartcards, digital cash and instant transfers of funds. The large paper bureaucracy of banks is quickly becoming redundant, burdensome, even out of date .
The evolution in digital money is happening so fast that banks cannot
adopt quickly enough and will eventually collapse like top-heavy giants, blown over by the winds of financial change. Maybe, or may not be, but one trend is already clear.
The wallet of the future will hold less paper cash, coins and magnetic stripe cards. It will hold instead Money Pad containing digital cash and other financial information, updated — perhaps automatically — by a PDA with a satellite communication link.
As the new technologies develop into new ways of making payment, one concern naturally arises. Will this technology protect each individual's right to privacy while providing the sound money needed for the economic health of communities? The answer is simple — it depends on how the new technology is used. There is nothing inherent in the technology that makes it less protective of privacy and individual rights. Advancement’s like
Biometrics Technology has made individual privacy even more secure.
As developments in electronic money gather pace, protection of individual rights must be kept in focus. Because the record of most governments so far in these early stages of electronic commerce has been seen by many to be confrontational and not protective of individual rights, it is likely that the preservation of these rights is one reason that private currencies are likely to emerge on the Internet and to eventually play an important role in
In order to protect the rights and properties of each individual we thought of
providing a security system, which every human being can understand and feel free to use.
Human beings feel secure when they have their own security arrangements to protect their rights and as well as wealth. Keeping this point of view in mind the Biometrics Technology is used to develop an e-cash handling system, which is similar to well known credit cards and smartcards.
The e-cash handling system is a device that facilitates secure currency transactions. We call it as Money Pad which recognises Finger Print’s of the user and decides weather the user is a authorised person or not. Every time the user wants to access the Money Pad he has to make an impression of his finger, which will be sensed and matched with the one in the hard disk. If the finger print matches with the user’s he will be allowed to access and use the Pad other wise the Money Pad is not accessible.
Ø Basic Of The Present System:
Presently due to the usage of computers in almost all the fields the demand for the utilization of Electronic Money have been increased. Payments made today in nearly all of the deposit currencies in the world's banking systems are handled electronically through a series of interbank computer networks. Credit cards and smartcards are widely used to enter into these interbank computer networks in order to perform transactions. These are the
popular medium widely existing as a recent medium of currency in the e-cash scenario. The mode of usage and the security provided by these currency mediums are as follows.
· Credit Card:
Credit cards are payment devices that allow the consumer to make purchases
within certain guaranteed limits as defined by the issuer of the card. To use a credit card in most cases it is sufficient to present the merchant with the card number and the cardholder's name and expiration date of the card. These data can be conveniently transmitted over the Internet. Furthermore, credit cards process funds by electronic means. The user has to swap the card in the card reader machine then the machine asks for authentication information like secret password etc. Later the user is allowed to
perform the transaction. These credit cards have several disadvantages like,
ü Instant clearing of fund is not possible.
ü User is always under the pressure of limits on purchase defined by
the issuer of the card and also every transaction involves certain charges.
ü Insecure transactions using fixed encryption.
ü The card has to be renewed once it is expired.
A smartcard resembles a credit card except that it has a microchip embedded
within it, which allows the smartcard to store information and sometimes to even perform simple calculations. Common smartcard chips typically holds about 8,000 bytes (characters) of information, which enables the smartcard to perform a variety of functions such as identification, storing bank account information and holding digital cash. Payment information in the form of currency value is stored on this chip and can be retrieved with specially designed card readers.
ü Insecure transactions using fixed encryption .
ü Risk of data loss due to chip failure.
v New Approach
As this is an era of internet every thing is getting online like shopping,
business, banking etc. In the recent trend even money is available online at any time in the form of digi-cash or cybercash etc. These are the recent medium of exchange, which are necessary for the existence of e-banking. As in future the world is going to be paper less cash the existence of e-cash will lead e-banking. In future internet is going to capture the whole world and the private currency will become the media of exchange in e-banks replacing the government currency. Keeping this point of view in mind and to over come
the above drawbacks of credit cards and smart cards here we present a medium of exchange to carry digital cash wherever man wants, which we name as “Money Pad”.
Money pad is one such medium of exchange, which aims to provide secure
means of currency exchange. It’s a means that carries digital cash, as paper cash is going to extinct. “In order to use this money pad it is necessary to have at least one e-bank in every city”.
Money pad is a biometric system similar to a credit card or a smart card just like a floppy disk. It consists of a touch sensor and magnetic disk as its peripherals . Touch sensor is used to record the fingerprint of the user. Magnetic disk, which has the read and write permission is used to hold the authentication details of the user, bank code as well as digi-cash. The bank code and account number of the owner of this money pad is present on the label.
Operation of Money Pad:
v New User
When a user wishes to have a Money Pad, he is supposed to visit a near by bank which has a e-bank facility. It is necessary for the new user to create a account with some minimum balance. The authentication details along with his fingerprint is recorded and stored in the data base server. The user is provided with a account number and bank code along with his Money Pad. The Money Pad consists of stored information like account number, bank code (from where he has purchased this money pad) and his fingerprint.
· Design of the system
· Process in request of money pad
v Transaction using Money Pad:
Whenever a user wants to use the Money Pad he has to place his finger on the touch sensor and then place it in a finger print reader. The reader will ask for bank code so that he can enter into his e-bank, then his account number so that he can enter into his account. After this the reader will access the fingerprint and matches with that present on the Money Pad as well as present in the data base server. If a match occurs the reader knows that he is a authorised user and allows for further transactions. If not then the reader
comes to know that the user is unauthorised and a provision can be made so that the digicash present in the Money Pad is e-mailed back to the authorised account holder using the user details present in the Money Pad. As the Money Pad has read and write facility it is used to down load digi-cash, carry on transaction and store the balance.
v Technical Implementation
The Money Pad uses the Biometric Technology as the technique with which the security is provided. Biometric Technology are used to accurately identify and verify an individuals identity. This involves identifying his physiological and behavioural characteristics. Biometrics in general refers to the study of biological characteristics. With reference to computer security, it refers to authentication techniques using biological characteristics that are measurable or identifiable and unique to an individual.
The accuracy of any biometric system is measured in two ways:
Ø False Acceptance Rate – Where an impostor is accepted as a match.
Ø False Rejection Rate – where a legitimate match is denied access.
Fingerprint verification is one such biometric system, which authenticates
weather the user is a authorised person or not. It involves the user placing his finger over a glass plate, which resides over a high-resolution change coupled cameras. The image captured is compared to that in the systems database and decides the user authentication. A finger print reader can be used for this purpose (fig-4).
Fields Of Application :
ü Applicable in e-banks and in any kind of e-transactions
The money pad device is capable of carrying digi-cash and hence it is useful to perform any kind of e-banking or any kind of e-transaction.
ü Can be used to carry out remote transactions
As digi-cash can be carried in Money Pad it is useful to perform remote
transaction like e-payments, dig-cash transfer etc.
ü Useful to carry Digital cash
Since in future paper cash is going to extinct, man needs a secure means to
carry digi-cash. As Money Pad provides a secure means to carry digi-cash it will be very needful in future.
ü Utilization of personal data in filling order forms
The personal data stored in the Money Pad can be used to fill order forms
thus saving users time.
ü Applicable in m-commerce transactions
Since digi-cash is carried everywhere it is applicable to any kind of mcommerce transactions.
ü Applicable in daily life
As it is useful in shopping, identification, telephone services and licenses it is
applicable in daily life also.
For a digital currency system to attain widespread recognition and use the
following three requirements are necessary:
1. Instant clearing of funds
2. Elimination of payment risk
3. Secure transactions using strong encryption
Since the Money Pad aims to satisfy the above conditions there is no doubt that in near future it will be widely recommended for use.
Once the Money Pad is implemented it has a wide scope. Though at present we may use finger print reader to access the digi-cash in the near future the device can be automated into Mobile phone, Watches, Hand held devises, as well as WAP devices.
In future when internet is going to capture the world there is no requirement of any card or pad just a small device which can recognise the finger print can be attached at any place throughout the world. Thus requiring no device to carry money, just a man is required to access digi-cash and proving “Man As Money”. At last since Thumb Impression is going to provide a strong base for security in the future we can predict
that “History Repeats”.