Ram A Moskovitz <[EMAIL PROTECTED]> writes:
> Given that individiaul privacy doesn't have a directly measurable
> value to a business there is not the same motivation to protect it
> and so most individuals rely on the various community participants
> to do the right thing which, given the long feedback loop, is taking
> longer than many of us would want.

one of the reasons given for the migration away from x.500 and x.509
identity certificates in the mid-90s, where the enormous privacy and
liability issues that they represented (if they contained enormous
amounts of openly available) personal information). referenced in
previous new postings
http://www.garlic.com/~lynn/2500l.html#34 More Phishing scams, still no SSL 
being used

however, it is trivial to show that if the relying-party is going to
access some form of relationship management infrastructure containing
all the real information, then any stale, static digital certificates
are redundant and superfluous.

the issue of PKIs moving into no-value transactions .... is that a
relationship management infrastructure typically contains a lot more
timely and higher quality information for making decisions. If the
infrastructure can justify the value of having higher quality online
information ... then the PKIs and stale, static digital certificates
are redundant and superfluous. That leaves PKIs looking for the
rapidly shrinking markets where 1) the relying party can't access the
real information directly (restricted to offline environment) and/or
2) the relying party can't justify the need to have direct and timely,
higher quality information.

in the mid-90s, FSTC
http://www.fstc.org/

was in a quandary over FAST ... basically doing simple digitally
signed transactions but expanding them to issue more than financial
transactions. there are some implied reference to that opportunity
in the old news posting
http://www.garlic.com/~lynn/2500l.html#34 More Phishing scams, still no SSL 
being used

in the x9a10 financial standard working group, we were charged with
preserving the integrity of the financial infrastructure for all
retail payments. the x9.59 standard was the result
http://www.garlic.com/~lynn/index.html#x959

it basically is the minimum payload increase to existing payment
messages. it can be mapped to iso 8583 debit, credit, and stored-value
messages
http://www.garlic.com/~lynn/8583flow.html

with the addition of a couple additional minimal fields and a digital
signature (and no enormous payload bloat by appending stale, static,
redundant and superfluous digital certificates).

The FAST scenario was basically to enable the asking of yes/no
questions about things other than financial transactions (i.e. the
title of the referenced news article: *Privacy Broker: Likely Internet
Role for Banks?*).

For instance a merchant could ask if the person was of legal drinking
age. There was no requirement to divulge the actual birthdate
(birthdates are widely used as a means of authentication, so divulging
birthdates represents an identity fraud thread).

The FSTC/FAST scenario was that there is a large and thriving internet
business for age verification .... but it involved a segment of the
internet business that many consider unsavory. However, the widespread
deployed implementation was based on an intermediary doing a "$1 auth"
credit card transaction as part of registration. The "$1 auth" would
never be settled, so there was never any actual credit card charge
(although your credit limit or "open to buy" would be decremented by a
dollar for a couple days until the auth had expired).  The theory was
that a person had to be of legal age to sign a credit card contract,
which in turn enabled them to do credit card transactions. There was a
lot of money being made off of this "$1 auth" hack ... and only a very
small amount going to the financial industry. Note however, FAST was
never intended to only be limited to age verification ... but age
verification was viewed as an already well-established market.

When we were called in to work on the cal. state and federal
electronic signature legislation, one of the industry groups had done
studies on the driving factors behind privacy regulation and
legislation. The two main driving factors were 1) identity theft and
2) (institutional) denial of server; aka the primary driving factors
weren't privacy itself ... it was the prospect of fraud and/or being
denied a job or various kinds types of services.

so as implied in the previous post
http://www.garlic.com/~lynn/2005l.html#35
and the post on security proportional to risk
http://www.garlic.com/~lynn/2001h.html#63

many relationship management infrastructures have strongly conflicting
business confidentiality objectives ... readily available for use by
lots of business processes and at the time not being available hardly
at all because there is authentication information that can also be
used to impersonate and originate fraudulent transactions.

harvesting of such repositories is frequently made easier because
of the large number of different business processes that require
access to the information (in some cases the transaction information
even defines the authentication information).

going back to the secruity PAIN acronym

P ... privacy (or somethings CAIN, confidential)
A ... authentication
I ... integrity
N ... non-repudiation

the businesses tend to have a strong *integrity* frequiement for their
relationship management systems (various kinds of integrity issues
like introduction of incorrect values can affect their bottom line).
However, they tend to have a more lower *privacy* requirement for
their relationship management systems (in part because a large number
of different business processes require access).

When an insider swipes the information, they tend to go far away to do
their account/identity fraud.

I'm also a co-author of the x9.99 financial industry privacy impact
assessment (PIA) standard. Most companies understand using security
(and frequently integrity) to protect themselves. However, it
frequently takes a change in mindset to start using security (and
frequently privacy) in the protection of others. minor note ... as
part of x9.99, i also started a privacy taxonomy and glossary (trying
to help organize how you think about privacy):
http://www.garlic.com/~lynn/index.html#glosnote

One of the issues with the posting on security proportional to risk
... is that even if you blanketed the earth under miles of
cryptography, the current infrastructure still can leak information
that can be used in account and identity fraud.

One of the things in the x9.59 standard
http://www.garlic.com/~lynn/index.html#x959

was that it removed knowledge of an account number as point of
compromise. Given that the account number is used in an enormous
number of business processes ... trying to keep it confidential
appears to be an impossible task. so x9.59 changed the rules, it made
the account number useless to crooks for performing fraudulent
transactions:

1) x9.59 transactions had to be strongly authentication
2) account numbers used in x9.59 transactions could not be
used in non-authenticated transactions

aka gave up on trying to keep the account number confidential ...
just made knowledge of the account number useless to crooks for
account/identity fraud.

misc. related postings
http://www.garlic.com/~lynn/aadsm6.htm#terror7 [FYI] Did Encryption Empower 
These Terrorists?
http://www.garlic.com/~lynn/aadsm6.htm#terror13 [FYI] Did Encryption Empower 
These Terrorists?
http://www.garlic.com/~lynn/aadsm8.htm#3dvulner 3D Secure Vulnerabilities?
http://www.garlic.com/~lynn/aadsm8.htm#softpki16 DNSSEC (RE: Software for PKI)
http://www.garlic.com/~lynn/aepay11.htm#66 Confusing Authentication and 
Identiification?
http://www.garlic.com/~lynn/aadsm14.htm#4 Who's afraid of Mallory Wolf?
http://www.garlic.com/~lynn/aadsm15.htm#27 SSL, client certs, and MITM (was 
WYTM?)
http://www.garlic.com/~lynn/aadsm16.htm#20 Ousourced Trust (was Re: Difference 
between TCPA-Hardware  and a smart card and something else before
http://www.garlic.com/~lynn/aadsm17.htm#41 Yahoo releases internet standard 
draft for using DNS as public key server
http://www.garlic.com/~lynn/aadsm18.htm#29 EMV cards as identity cards
http://www.garlic.com/~lynn/aadsm19.htm#39 massive data theft at MasterCard 
processor
http://www.garlic.com/~lynn/aadsm19.htm#40 massive data theft at MasterCard 
processor
http://www.garlic.com/~lynn/2000g.html#41 Egghead cracked, MS IIS again
http://www.garlic.com/~lynn/2001f.html#24 Question about credit card number
http://www.garlic.com/~lynn/2002j.html#14 Symmetric-Key Credit Card Protocol on 
Web Site
http://www.garlic.com/~lynn/2002n.html#14 So how does it work...  
(public/private key)
http://www.garlic.com/~lynn/2003k.html#66 Digital signature and Digital 
Certificate
http://www.garlic.com/~lynn/2004b.html#25 Who is the most likely to use PK?
http://www.garlic.com/~lynn/2004i.html#5 New Method for Authenticated Public 
Key Exchange without Digital Certificates
http://www.garlic.com/~lynn/2004m.html#9 REVIEW: "Biometrics for Network 
Security", Paul Reid
http://www.garlic.com/~lynn/2005k.html#26 More on garbage
http://www.garlic.com/~lynn/2005l.html#22 The Worth of Verisign's Brand


-- 
Anne & Lynn Wheeler | http://www.garlic.com/~lynn/
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