IEEE Consumer Electronics Magazine - April 2017 - 81

1983

2003

RFID Patent

2011

NFC Approved

Charles Walton patented
his invention on RFID.

ISO approved NFC.

First Contactless Payment
Seoul Bus service first
implemented contactless
payment.

1995

Google Wallet

Samsung Pay

Google launched the first
NFC-based app, Google
Wallet, using Host Card
Emulation.

Samsung launched its
payment app, Samsung
Pay, and incorporated
MST in it.

First NFC-Based Card
Barclay Card introduced
its NFC-based payment
card in England.

2007

2015

Apple Pay
Apple incorporated tokenization
and a fingerprint scanner in its
payment app and launched
Apple Pay.

2014

FIGURE 3. The chronology of mobile application-based payment system development, from RFID to Samsung Pay.

SURVEY OF THE STATE OF THE ART

and it forwards the buyer's digital signature and the transaction information to the payment gateway. The process is
secured by SSL/TLS technology. Upon successful completion
of the process, the payment gateway acknowledges the merchant [27].
In 2014, a tokenization-based payment system was proposed. In this module, a token is used in place of the cardholder's payment account information (name, account number, etc.).
Instead, critical information about the user's account is captured
and stored in a central database beforehand, and a useless string
of data, called a token, is generated against this stored information. This token merely points to the cardholder's information;
it is impossible to gather any information about the account
from the token [27]. In the U.S. patent [28], the inventors created several credit card tokenization schemes. According to the
Payment Card Industry Data Security Standard (PCI-DSS), the
generated token should be the same length as the card number
and should have some similarity with the actual card number.
The token expires after a set interval for added security. In
2016, an Indian patent [29] was filed on a digital card serving

In recent years, with the adaption of POS, contactless, and
cloud-based payments, the use of digital money transfer is
increasing exponentially. Digital payments are becoming
more secure with the invention of technologies like biometric
security, three-dimensional secure algorithms, and tokenization. In all cases, customers opted for a solution that is secure
and convenient. The information-technology industry is continuously trying to be a market leader in the digital payment
domain by embedding more features in its flagship smartphones. People are also slowly adopting these features [22].
Around 20% of iPhone users have tried Apple Pay [23].
Though some countries are still far behind, many are gradually adopting digital payment for services like mobile wallets
and electronic fund transfers [24].
In 2011, the concept of QR code-based payment systems
was proposed. This model was designed so that consumers
could make payments with their smartphones by scanning a
QR code. The image of the QR code is captured on the mobile
device and processed to gather the product information (price,
merchant, description). The user then
selects the product and initiates the
purchase, at which point the product
and payment information is transmitted
from the device to a payment provider
that processes the payment to the prop0123 3456 8912 4567
er recipient [25]. J. Lee et al. devised a
system by which the POS-based payCredit Card
ment can be processed using a QR
Secure Vault
code [26]. In this work, the buyer scans
a QR code generated by the merchant, FIGURE 4. An illustration of the tokenization concept.
APRIL 2017

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Unique Token

IEEE Consumer Electronics Magazine

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