[3684] in cryptography@c2.net mail archive

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RE: Is a serial cable as good as thin air?

daemon@ATHENA.MIT.EDU (Dianelos Georgoudis)
Wed Dec 2 13:04:14 1998

Date: Wed, 02 Dec 1998 01:24:31 -0600
From: Dianelos Georgoudis <dianelos@tecapro.com>
To: cryptography@c2.net
Reply-To: dianelos@tecapro.com
X-Return-Receipt-To: dianelos@tecapro.com  


    Thank you all for the feedback; I will take your observations into
    account - replay attacks are accounted for and, for good measure,
    I will include a random delay to invalidate timing attacks. I see
    now that I should have been somehow more specific with my original
    question:

    Our home banking applications let the client use public Internet
    to access information about his accounts and allow for limited
    off-line transactional capability, such us to debit this account
    to pay that credit card. Encryption and decryption are implemented
    on the client's computer and within the bank's network. The Internet
    server is used only as a encrypted data repository and as a 
    communications link. Now we want to implement on-line transactional 
    capability. 

    Here I am not concerned about the security of our application
    itself, but rather whether our application can be used to attack
    the bank's private computer network and interfere with the bank's
    normal operation. On this network we plan to install a PC
    connected to the Internet server by a serial cable. A dedicated
    program on this PC will receive from the Internet server encrypted
    data packages. These packages will be decrypted with the
    individual clients' passwords, the resulting plaintext will be
    validated, and if all looks right it will be forwarded and
    processed by the bank's internal system. All packages that do not
    validate correctly will be discarded. If three or so packages with 
    the same client id fail to validate in a row, future packages with 
    this id will be processed slowly. 

    Now, my reasoning is this: as I understand it, when a hacker
    attacks a network, he finds a way to access or modify files on
    this network, execute system level commands or plant his own code.
    As far as I can see this will be impossible in our set-up; an
    attacker will never be able to do anything worse than fake
    transactions of our own application and therefore the bank's risk
    cannot be higher than that.

    The serial connection will not be one-way. The networked PC will
    use the same cable to send (encrypted) confirmations to the
    clients and to update the (encrypted) data base on the Internet
    Server. If the internal network itself cannot be compromised,
    neither is there any danger in having data sent out by our own
    program.

Dianelos Georgoudis
email: dianelos@tecapro.com
http://www.tecapro.com


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