Electronic Commerce - Chapter 8: Electronic payment - Tran Thi Que Nguyet

Nội dung text: Electronic Commerce - Chapter 8: Electronic payment - Tran Thi Que Nguyet

1. Electronic Commerce Chapter 5: Electronic payment Email: ttqnguyet@hcmut.edu.vn
2. Basic information • Online payment: important function of e-commerce • B2B payment transactions: using Electronic Fund Transfer (EFT) (also called wire transfer), in which transactions between accounts from the same or different banks occur, or through cash office, e.g. Western Union • B2C transactions: online payments cost less than traditional methods (e.g. by mail) and more convenient
3. Basic information • For online B2C payments • Worldwide: 90% by credit card • United States: 97% by credit card • Scrip • Digital cash created by a company • Cannot be exchanged for cash, but can be exchanged for goods/services • Like a gift certificate: good at more than one store • Payment methods’ requirements • Safe • Convenient • Widely accepted
4. Payment cards • Debit card • Removes sales amount from cardholder’s bank account • Transfers sales amount to seller’s bank account • Issued by cardholder’s bank with credit card issuers’ name • Is accepted by merchants who recognize the brand name of the credit card issuer • Charge card (American Express) • No spending limit • Entire balance due at end of billing period • No line of credit or interest charges
5. Payment cards • Disadvantages of payment cards • Disadvantage for merchants • Per-transaction fees, monthly processing fees: cost of doing business • Goods and services prices are slightly higher: as opposed to environment free of payments cards • For payment, merchant must first set up merchant account • Disadvantage for consumers • Annual fee
6. Payment cards • Closed loop system: card issuer pays the merchants that accept the card directly (American Express, Discover Card) • Open loop system: use intermediary banks (Visa, MasterCard)
7. Electronic cash • When to use electronic cash • Market for Internet small purchases (below $10) • Solution to paying for online purchases when credit card is not available • Advantages of electronic cash • Independent • Unrelated to any network or storage device • Ideally pass transparently across international borders; converted automatically to recipient country’s currency • Portable • Freely transferable between any two parties
8. Electronic cash • Holding electronic cash • Offline: equivalent of money kept in wallet, customer holds it, no third party involved in transaction • To protect against fraud: hardware or software safeguards needed
9. Electronic cash - Bitcoin • Example 1 • Alice has one coin • Alice want to send that coin to Bob • SignAlice’s private key (Bob’s public key) • Bob want to send his new coin to Charlie • SignBob’s private key (Charlie’s public key) • The problems with above protocol? • Solution: chain all transactions together (blockchain) • Sign(Previous transaction + public key of the next receiver) • If transaction N-1 is valid, it can be used to check if transaction N is valid (no need to check from the beginning)
10. Electronic wallet • Customers: tire of repeatedly entering detailed shipping and payment information each time they make online purchases • An electronic wallet: similar to a physical wallet, holds credit card numbers, electronic cash, owner identification, and owner contact information and provides that information at an electronic commerce site’s checkout counter • Electronic wallet benefit: customers entering their information just once
11. Electronic wallet • Client-side electronic wallet • Stores information on consumer’s computer • Advantage • Sensitive information stored on user’s computer • Attackers must launch many attacks on user computers (more difficult to identify) • Prevents easily identifiable wallet vendor’s servers from attack • Disadvantages • Must download wallet software onto every computer • Not portable
12. Criminal activities • Phishing • Basic structure: • Attacker sends e-mail message to large number of recipients who may have accounts at targeted website • E-mail message tells recipient account is compromised and the recipient must log on to account to correct problem • E-mail message includes link that appears to be real website login page but actually points to attacker’s website • Recipient enters login name, password • Attacker captures this information and uses to access recipient’s account
13. Criminal activities • Phishing attack countermeasures • Change protocol • Improve e-mail recipients’ ability to identify message source • Reduce phishing attack threat • Educate Web site users • Contract with consulting firms specializing in anti-phishing work • Monitor online chat rooms used by criminals
14. Payment gateway in Vietnam • Nganluong • Baokim • Momo • Onepay • Payoo • 123Pay • Smartlink • VNPAY • Senpay • Zalopay • Napas •
15. Payment API • • •