What does OTP security risk mean? Tokens, Cards, Security

We all understand the need of security these days. Especially with all our personal information like with our bank accounts, mailing account, social network account and many more. So to achieve security the OTP (One Time Password) were introduced.

One Time Password are the 6-digit alphanumeric code which are produced dynamically with the help of mathematical algorithms which uses the concept of random numbers to generate the code.

So it becomes difficult to predict what code will be generated the next time. If an OTP is used once then that cannot be used again to pass through the security check. Now we know what are OTP so it’s time to understand what does OTP security risk mean?


How Security is achieved with the OTP

So, let’s take a look on what does OTP security risk mean?

OTP (One Time password) tokens also known as the key fobs uses the two factor authentication It is quite easy for a hacker to hack your account with a static password. But with OTP it’s quite difficult as the user has to enter his user ID and then the static password which is the first factor of authentication. Then the OTP token provides a code to your registered mobile number which is the second factor of authentication. On entering the code the user can access his/her account. Even if the hacker somehow gets the code then it’s now easy for him to access the account as the code is valid for one use only and cannot be used again .Moreover, it keeps on changing every 30-60 seconds which means after that time the code expires. So it provides a high level of security.

The OTP that are generated are based on the mathematical algorithms which uses the concept of random numbers i.e., the numbers that are generated are not based on any pattern and will be generated randomly. So it becomes even more difficult for the hacker to predict the next OTP that will be generated looking at the previous one. OTP can also be generated with the help of hash functions as it is difficult to reverse them and find the value that were used for the hash.


Another option for two factor authentication

Smart cards:

Smart cards are just like the credit cards with the same size but they have an embedded microchip. These microchips can be programmed to store user’s specific information for authentication. For a specific user they can store multiple identification factors like (name, dob, fingerprint, password etc.).

To get access through the security check the user has to just swipe the smart card into the smart card reader.

Smart cards are a great way to secure the information from the attackers as the information always needs to be stored on the smart card to get an access but gaining that information without the smart card is of no use.

The only drawback of the smart cards are that only a limited amount of data can be store the microchips that are embedded within them.  So there occur a case of data compromise.