Chip and Skim: cloning EMV cards with the pre-play attack

EMV, also known as "Chip and PIN", is the leading system for card payments worldwide. It is used throughout Europe and much of Asia, and is starting to be introduced in North America too. Payment cards contain a chip so they can execute an authentication protocol. This protocol requires point-of-sale (POS) terminals or ATMs to generate a nonce, called the unpredictable number, for each transaction to ensure it is fresh. We have discovered that some EMV implementers have merely used counters, timestamps or home-grown algorithms to supply this number. This exposes them to a "pre-play" attack which is indistinguishable from card cloning from the standpoint of the logs available to the card-issuing bank, and can be carried out even if it is impossible to clone a card physically (in the sense of extracting the key material and loading it into another card). Card cloning is the very type of fraud that EMV was supposed to prevent. We describe how we detected the vulnerability, a survey methodology we developed to chart the scope of the weakness, evidence from ATM and terminal experiments in the field, and our implementation of proof-of-concept attacks. We found flaws in widely-used ATMs from the largest manufacturers. We can now explain at least some of the increasing number of frauds in which victims are refused refunds by banks which claim that EMV cards cannot be cloned and that a customer involved in a dispute must therefore be mistaken or complicit. Pre-play attacks may also be carried out by malware in an ATM or POS terminal, or by a man-in-the-middle between the terminal and the acquirer. We explore the design and implementation mistakes that enabled the flaw to evade detection until now: shortcomings of the EMV specification, of the EMV kernel certification process, of implementation testing, formal analysis, or monitoring customer complaints. Finally we discuss countermeasures

High rate, long-distance quantum key distribution over 250km of ultra low loss fibres

We present a fully automated quantum key distribution prototype running at 625 MHz clock rate. Taking advantage of ultra low loss fibres and low-noise superconducting detectors, we can distribute 6,000 secret bits per second over 100 km and 15 bits per second over 250km

Protection of an intrusion detection engine with watermarking in ad hoc networks

Mobile ad hoc networks have received great attention in recent years, mainly due to the evolution of wireless networking and mobile computing hardware. Nevertheless, many inherent vulnerabilities exist in mobile ad hoc networks and their applications that affect the security of wireless transactions. As intrusion prevention mechanisms, such as encryption and authentication, are not sufficient we need a second line of defense, Intrusion Detection. In this pa-per we present an intrusion detection engine based on neural networks and a protection method based on watermarking techniques. In particular, we exploit information visualization and machine learning techniques in order to achieve intrusion detection and we authenticate the maps produced by the application of the intelligent techniques using a novel combined watermarking embedding method. The performance of the proposed model is evaluated under different traffic conditions, mobility patterns and visualization metrics