Utilizing national public-key infrastructure in mobile payment systems

Payments are the locomotive behind any business domain. It has been predicted that mobile payments will become one of the most successful mobile services, and the security of payments is an important requirement. However, it is difficult to strongly authenticate mobile users remotely and provide an adequate level of non-repudiation of transactions. In this article, we argue that a nationwide public-key infrastructure supported by governmental bodies can be used in a mobile payment system. Not only does it provide strong security, but it also makes the system open to any mobile user, merchant, or financial service provider. Two payment protocols are described: one for virtual point-of-sale payments, and one for vending machine payments. We argue that such a system can be implemented using open development platforms, and its performance is adequate for enabling swift transactions. A prototype of a system which accepts virtual point-of-sale payments is implemented, and its performance and usability are evaluated.