Financial Cryptography: Third International Conference, FC’99 Anguilla, British West Indies, February 22–25, 1999 Proceedings (Lecture Notes in Computer Science, 1648)

The Third Financial Cryptography Conference Was Held In February 1999, Once Again At Anguilla In The British West Indies. The Number Of Attendees Continues To Increase From Year To Year, As Do The Number And Quality Of The Technical Submissions. The Program Committee Did A Great Job Selecting The Technical Program. I Thank Them For All Of Their Eo Rt’s. We Were Helped By A Number Of Outside Reviewers, Including Mart N Abadi, Gerrit Bleumer, Drew Dean, Anand Desai, Mariusz Jakubowski, Andrew Odlyzko, David Pointcheval, Guillaume Poupard, Zul Kar Ramzan, Aleta Ricciardi, Dan Simon, Jessica Staddon, Venkie Venka- San, Avishai Wool, And Francis Zane. I Apologize For Any Omissions. Adi Shamir Gave An Excellent Invited Talk That Forecast The Future Of Crypt- Raphy And Electronic Commerce. On-line Certic Ate Revocation Was The Subject Of A Panel Led By Michael Myers, Following Up On The Success Of His Panel On The Same Topic At Last Year’s Conference. Joan Feigenbaum Moderated A Lively Panel On Fair Use, Intellectual Property, And The Information Economy, And I Thank Her For Pulling Together From That Discussion A Paper For These Proceedings. A S- Cessful Rump Session Allowed Participants To Present New Results In An Informal Setting, Superbly Chaired By Avi Rubin. Electronic Commerce -- Experimenting With Electronic Commerce On The Palmpilot -- Blinding Of Credit Card Numbers In The Set Protocol -- Anonymity Control -- Trustee Tokens: Simple And Practical Anonymous Digital Coin Tracing -- Flow Control: A New Approach For Anonymity Control In Electronic Cash Systems -- Fraud Management -- Risk Management For E-cash Systems With Partial Real-time Audit -- Assessment Of Effectiveness Of Counterfeit Transaction Detection Systems For Smart Card Based Electronic Cash -- Public-key Certificates -- Reasoning About Public-key Certification: On Bindings Between Entities And Public Keys -- Online Certificate Status Checking In Financial Transactions: The Case For Re-issuance -- Steganography -- Playing ‘hide And Seek’ With Stored Keys -- On Channel Capacity And Modulation Of Watermarks In Digital Still Images -- Content Distribution -- Towards Making Broadcast Encryption Practical -- Conditional Access Concepts And Principles -- Fair Use, Intellectual Property, And The Information Economy -- Anonymity Mechanisms -- Anonymous Authentication Of Membership In Dynamic Groups -- Some Open Issues And New Directions In Group Signatures -- Auctions And Markets -- Anonymous Investing: Hiding The Identities Of Stockholders -- Fair On-line Auctions Without Special Trusted Parties -- Auctions And Markets -- Cryptosystems Robust Against “dynamic Faults” Meet Enterprise Needs For Organizational “change Control” -- Improved Magic Ink Signatures Using Hints. Matthew Franklin (ed.). Includes Bibliographical References And Index. Financial Cryptography Preface Organization Table of Contents Experimenting with Electronic Commerce on Introduction Existing PalmPilot Security Features A Brief Review of SWAPEROO: The Simple Wallet Architecture for Payments, Exchanges, Refunds, and Other Operations Electronic Commerce for a PDA Performance of Cryptographic Primitives on the PalmPilot Authentication Memory Management and Backups PDA-PayWord: A Payment Scheme Optimized for a PDA Overview of PDA-PayWord Discussion of {sc pda}-PayWord Design Choices System Design Wallet Design & Implementation The Pony Vending Machine {sc pda}-PayWord Implementation Details Summary and Conclusions Blinding of Credit Card Numbers in the SET Introduction Overview of SET Blinding of credit card numbers Commitment schemes Blinding Requirements Sufficient Conditions on the Blinding Function $beta $ HMAC-Based Solution Non-interactive Commitment Schemes Concluding Remarks Trustee Tokens: Simple and Practical Anonymous Digital Coin Tracing Introduction Previous Work Organization Background Notation Definition of Blindness Blind RSA Signatures DigiCash$^{unhbox voidb @x hbox {relax fontsize {5}{6}selectfont TM}}$ Our Scheme Key Ideas Protocols Security Untrustworthy Trustee Efficiency and Extensions Improving Efficiency Multiple Trustees Flow Control: A New Approach for Anonymity Control in Electronic Cash Systems Introduction Non--transferability and Amount--Limitedness On the importance of non--transferability. How to build a non-transferable system Technical requirements System A Protocol for an On--Line Amount Limited Cash System The protocol Anonymity Coupons An Efficient Off--Line System The protocol Security of the off--line system Defenses against Attacks and System Abuses Acknowledgments Risk Management for E-Cash Systems with Partial Real-Time Audit Introduction Assumptions Glossary Structure of the rest of the paper Analysis Coin-wallet Balance-wallet Practical Considerations Example attacks Anonymity Appendix A: An Approximation of the Theoretical Model Assessment of Effectiveness of Counterfeit Transaction Detection Systems for Smart Card Based Electronic Cash 1 Introduction 2 Evaluation Process and Two Counterfeit Detection Systems 2.1 Global Smart Card Based Electronic Cash Product The Risk Management Challenge. 2.3 The Evaluation Process: 2.4 Micro Dynamic Simulator 2.5 Currency Monitoring System 2.6 Merchant Monitoring System 3. Case Study 3.1 Results from the Currency Monitoring System 3.2 Results from the Merchant Monitoring System 4. Summary References Reasoning about Public-Key Certifi cation: On Bindings between Entities and Public Keys Introduction Motivation Previous Work Contributions of this Paper Outline Concepts Principals: Entities and Public Keys Statements Views Definitions Syntactic Definitions Meaning of Statements Inference Rules Trust Bilateral Communication Commitments and Non-repudiation Transfer of Rights Scenarios Exchange of Public Keys for Authenticating and Encrypting Mail A Simple Legal Framework Transferring a Right to a Key Owner Concluding Remarks and Open Problems Online Certificate Status Checking in Financial Transactions: The Case for Re-issuance Introduction Motivation Mechanisms The Response The Request Economics Conclusions Playing `Hide and Seek' with Stored Keys Introduction Finding Secret RSA Keys Finding Public Keys Visual identification of high entropy regions Identifying keys by measuring entropy Better Methods of Hiding Keys Conclusions On Channel Capacity and Modulation of Introduction System model Watermarking scheme Model for human vision Jamming attack Preliminaries Description Numerical analysis Results Conclusion Towards Making Broadcast Encryption Practical Introduction The Problem Related Work Contributions Definitions and Model Simple Examples The Lower Bound Tools The Bound Finding a Good Key Cover Practical Solutions Overview The Tree Scheme Where Extra Keys are Effective Partitioning Conclusions and Future Work Conditional Access Concepts and Principles Introduction CA Overview The CA Infrastructure Copy Protection CA Building Blocks Content Authoring Key Management System Billing System Renewable Security Modules Interface/Copy Protection Pirate Card Rejection CA Design Principles Quantifying Risk Examples of Risk Quantification Content Redistribution Conclusion References Fair Use, Intellectual Property, and theInformation Economy Anonymous Authentication of Membership in Dynamic Groups Introduction Conventions Requirements for Anonymous Authentication Protocols Verifiably Common Secret Encodings Anonymous Authentication The Authentication Protocol Satisfying the Requirements Key Replacement Modifications to the Authentication Protocol The Key Replacement Transaction Dynamic Group Membership Constructing Verifiably Common Secret Encodings Making Anonymous Authentication Scalable Single-Use Subsets Statically Assigned Subsets Related Work Conclusion Acknowledgements Obtaining Proof of Authentication Some Open Issues and New Directions in Group Signatures Introduction Preliminaries Previous Work What Stands in the Way? Member Deletion Coalition Resistance: Quasi-Attacks on CS97 Multi-group Signatures MGS Example Sub-group Signatures SGS Example Security Considerations Unlinkability Reconsidered Synchronous {em vs} Asynchronous Operation Summary Anonymous Investing: Hiding the Identities of Stockholders Introduction Comparison to Ecash Comparison to Electronic Voting New Techniques Model Communication Model Participants Ecash Requirements Eshare Scheme Basic Scheme Obtaining a Certified Anonymous Public Key Pair Issuance of Eshares Payment from Company to Shareholder Selling/Trading of Eshares Dividends Voting Withholding of Taxes Security Anonymity for ${cal I}$ Security for ${cal A}$ Security for ${cal C}$ Security for ${cal I}$ Security of Voting Traceability Security for ${cal B}$ and Other Merchants Security for ${cal G}$ Conclusion Future Work - Anonymous Markets Fair On-Line Auctions without Special Trusted Parties Introduction Properties and Requirements of Auctions Auction Types Auction Requirements High Level Auction Design Auction Protocol Auction Design Variants Conclusion References Cryptosystems Robust against \Dynamic Faults" Meet Enterprise Needs for Organizational \Change Control" Introduction Organizational Dynamics Flexible Control in Enterprise Cryptographic Systems Implementing Dynamic Enterprise Cryptographic Control Implementing the Enterprise Description Layer Visible Entity Management Implementation Invisible Entity Management Implementation Conclusions Improved Magic Ink Signatures Using Hints Introduction Model Definitions Building Blocks Our Solution Improved Distributed Magic Ink Signatures Illicit Signature Detection Claims Appendix Author Index This book constitutes the thoroughly refereed post-conference proceedings of the Third International Conference on Financial Cryptography, FC'99, held in Anguilla, British West Indies in February 1999. The 19 revised full papers presented were carefully reviewed for inclusion in the book. The papers are organized in sections on electronic commerce, anonymity control, fraud management, public-key certificates, steganography, content distribution, anonymity mechanisms, auctions and markets, and distributed cryptography