US government releases national strategy for online security

Monday 18 April 2011 10:11 CET | News

The US government has released the National Strategy for Trusted Identities in Cyberspace (NSTIC) aimed at protecting consumers from fraud and identity theft.

The initiative is also meant to boost the economy by enabling the industry to move more services online and to create innovative new systems.

NSTIC is aimed at developing a network of credentials, dubbed the Identity Ecosystem, which will allow consumers to prove their identities while conducting online transactions. The participating consumers will be able to obtain a single credential, a unique piece of software on a smart phone, a smart card, or a token that generates a one-time digital password. Consumers can log into any website via their single credential which can be selected from different markets of different providers of credentials. Therefore, consumers can use their credential to prove their identity when they perform sensitive transactions, like banking and can stay anonymous when they are not.

The Identity Ecosystem will also enable small businesses to log in via the credentials they already have without building their own login system. Small businesses will be able to focus on products or services and to expand worldwide.

The Identity Ecosystem credentials will also provide the consumers and businesses with the ability to protect themselves from identity theft and online fraud. According to marketresearch company Javelin Strategy & Research, companies have lost nearly USD37 billion to online fraud or theft in 2010 and 8.1 million US adults have had their identities stolen.

In fiscal 2012, the Commerce Department will allocate USD 24.5 million to for the development of a network of credentials, according to the online media outlet

The US government is set to invest USD 56.3 million on technology aimed at protecting the online marketplace and its players including consumers, businesses and government agencies.

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Keywords: US government, national strategy, trusted identities, cyberspace, online fraud, online banking
Categories: Banking & Fintech | Online & Mobile Banking
Countries: World
This article is part of category

Banking & Fintech