Abstract: A system and method for preventing counterfeiting of an identification or transaction card, and for verifying that the user of the card is an authorized user, involves the use of a unique, unalterable serial number and an exclusive OR function to generate a private key protected digital signature. The digital signature is stored on the card together with a card issuer record which contains sufficient information to authenticate the record. User authentication is provided by a personal identification number which is stored on the card. The personal identification number is generated by enciphering the serial number using a password as the key. The same card can be used to store a plurality of card issuer records, each including its own digital signature, and with user authentication for all records provided by a single personal identification number.

Abstract: A system and method for establishing secured communications pathways across an open unsecured network, without compromising the security of any parties to the communication, involves establishing secured gateways or firewalls between the Internet and any party which desires protection by 1.) using a smart card to distribute shared secret keys between a computer which serves as the above-mentioned firewall and a client node on the Internet; 2.) using the shared private keys to establish mutual authentication between the gateway and the smartcard; 3.) generating a session or temporary secret key for use in further communications between the gateway and the client node once communications have been established; and 4.) encrypting further communications using the session key.

Abstract: A cyber wallet in the form of stored and protected account information, which may be "carried" on a tamper resistant portable electronic storage medium such as a smartcard, or stored on the customer's computer (or personal digital assistant, PCMCIA card, or the like) together with the browser/mosaic software, is provide to a customer for the purpose of making electronic payments from the possessor of the wallet to a merchant at a remote site on the Internet. Security of the information contained in the wallet is provided by a public key file containing public keys to be used for encrypting the payment information into an authorization ticket which is sent by the wallet to the merchant, and then forwarded to the account servicer for decryption, the decryption key being in the form or a private key held only by the account servicer, and to which the merchant and other parties have no access.