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"Or will the big banks get their way and have the agency authentication, or creating integrity checks that the apps
neutered?" would perform to see if they've been altered to include
malicious code would all go a long way toward mediating
IBM, Visa tackle IoT the problem," Greenberg wrote.

Multifactor security schemes
security A December 2016 report published by the Financial

Services Information Sharing and Analysis Center, Retail
Cyber Intelligence Sharing Center and United States
BM Corp. and Visa Inc. introduced a cross-platform Secret Service urged the retail community to mitigate
solution Feb. 16, 2017, designed to improve security cyberattack risks by adopting the stronger encryption,
on the Internet of Things (IoT) by aligning the global end-to-end encryption and tokenization of card account
I brands' patented technologies and capabilities. By numbers.
integrating IBM's Watson IoT Platform and Visa's Token
Service, the companies will enhance security in payment- Multibrand, multifactor solution
enabled devices, including wearables, appliances and Visa and IBM representatives stated the companies will
cars, the companies stated.
leverage Visa Token Service, which replaces sensitive
account information found on payment cards with unique
"The Internet of Things is not only driving a more digital identifiers to process payments without exposing
connected world; it's changing the way we live, shop and actual account details. The service, part of the Visa Ready
pay, by moving data and the point of sale to wherever the partnership program, is used by third-party Visa-certified
consumer wants it to be," said Jim McCarthy, Visa's Global token service providers.
Head of Innovation and Strategic Partnerships. "With
the power of Watson's cognitive technologies and IBM's The companies additionally plan to roll out Visa payment
leadership in IoT and security, they are the ideal partner services in the IBM Cloud, making Visa Tokens available to
to help us deliver secure payments to 'virtually anywhere' IBM's Watson IoT Platform customers, enabling merchants
and on the enormous scale of the IoT."
and consumers to connect to billions of devices, sensors
IoT's broad attack surface and systems worldwide. The partners are confident the
co-branded solution, combined with their immense global
Marc-Roger Gagné, Principal at Ottawa, Canada-based footprints, will help the solution rapidly scale.
Gagné Legal Services and board member of the Privacy
and Access Council of Canada, stated the IoT represents Consumer technology experts have seen steady growth
a broader attack surface for cybercriminals, providing in connected cars and expect the trend to continue. The
opportunities to exploit operating system weaknesses, Watson IoT Platform is designed to enhance connected
infect connected devices with malware and spoof cars by securing information in the cloud and alerting
legitimate apps to steal login credentials. consumers when vehicles need updates and renewals.
"With this information, the driver can order parts with the
"For security professionals, the difference between push of a button or schedule a service appointment at their
defending a corporate data structure from attack and preferred local garage," IBM representatives stated. "The
defending that same structure once it's connected to the driver could even pay for gas through a direct interaction
IoT is vast," he said. "Compare it to defending a bank and between the car and the gas pump."
defending a country."

Indeed, Wired journalist Andy Greenberg reported Russian OCC enters uncharted
cybersecurity firm Kaspersky Lab found serious, distinct
flaws in nine Android-connected car apps. In Android Phone fintech waters
Hacks Could Unlock Millions of Cars, published Feb. 16, 2017,
Greenberg also cited independent security professional
Samy Kamkar, who planted sniffing devices in cars to hile industry experts agree the Office of the
hack their apps. These included the General Motors Comptroller of the Currency's proposal to
Corp. OnStar, Fiat Chrysler Uconnect and Mercedes-Benz consider granting fintech bank charters has
mbrace. Once inside the app, Kamkar could locate and W broad implications for the banking indus-
unlock the cars, and sometimes start ignitions, Greenberg try, they disagree on what those implications are. The
stated. proposal was set forth in the OCC's December 2016, white
paper, Exploring Special Purpose National Bank Charters for
"Encrypting or hashing the credentials stored on the Fintech Companies.
device, adding two-factor authentication or fingerprint

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