Introduction to Secure Electronic Transaction (SET)
- May 17, 2002
Secure Electronic Transaction (SET) is an open encryption and security specification designed to protect credit card transactions on the Internet. The current version, SETv1, emerged from a call for security standards by MasterCard and Visa in February 1996. A wide range of companies were involved in developing the initial specification, including IBM, Microsoft, Netscape, RSA, Terisa, and Verisign. Since 1996 there have been numerous tests of the concept; by 1998, the first wave of SET-compliant products was available.
SET is not itself a payment system. Rather, it's a set of security protocols and formats enabling users to employ the existing credit card payment infrastructure on an open network, such as the Internet, in a secure fashion. In essence, SET consists of three services:
Providing a secure communications channel among all parties involved in a transaction.
Providing trust by the use of X.509v3 digital certificates.
Ensuring privacy because the information is only available to parties in a transaction when and where necessary.