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class="page-title"><span class="archive-prefix">Monthly Archives: </span><span class="page-description">May 2015</span></h1> </header> <article id="post-138" class="post-138 post type-post status-publish format-standard hentry category-financial-switching category-uncategorized tag-ans-x9-24 tag-bdk tag-desdecrypt tag-desencrypt tag-iksns tag-ipek tag-ksn tag-tripledesdecrypt tag-tripledesencrypt entry"> <header class="entry-header default-max-width"> <h2 class="entry-title"><a href="https://arthurvandermerwe.com/2015/05/30/dukpt-explained-with-examples/" rel="bookmark">DUKPT Explained with examples</a></h2> </header> <div class="entry-content"> <p>Derived Unique Key Per Transaction (DUKPT) process that’s described in Annex A of ANS X9.24-2004.</p> <p>It’s generally considered to be complex, but I’ve simplified it slightly with the help of online resources.</p> <h2>Key Management<br /> <a id="user-content-usage" class="anchor" href="#usage"></a></h2> <p>Here’s a basic outline of the technique:</p> <ol> <li>You’re given a Base Derivation Key (BDK), which you assign to a swiper (note that the same BDK <em>can</em> be assigned to multiple swipers).</li> <li>You’ll use the BDK along with the device’s own unique Key Serial Number (KSN) to generate an Initial PIN Encryption Key (IPEK) for the device.</li> <li>You’ll assign this IPEK to a swiper, which uses it to irreversibly generate a list of future keys, which it’ll use to encrypt its messages.</li> <li>The swiper’s KSN is used along with one of its future keys to encrypt a message, and after each swipe it’ll increment the value of its KSN.</li> <li>Whenever a swiper takes a card it formats the card’s information into a series of tracks, each track having a particular set of information (e.g. card number, holder’s name, expiration date).</li> <li>The swiper usually encrypts these tracks using one of its generated future keys (called the “Session Key”) along with its current KSN. It’ll then increment the value of its KSN and discard the future key it used.</li> <li>At this point you’ll probably have an encrypted track along with the KSN the swiper used to encrypt it.</li> <li>It’s your responsibility to determine what BDK was used to initialize this device, and from there you’ll use the BDK and KSN to rederive the IPEK, which is used to rederive the Session Key, which is finally used to decrypt the message.</li> </ol> <p>There’s a lot of technical information to be said about key management, but this isn’t the place for that. In some cases your provider/manufacturer (e.g. MagTek) will supply you with swipers that need to be initialized with an IPEK, and your supplier will usually have a manual that walks you through that process. If you’re doing encryption/decryption through a third party who also supplies swipers, they may have already loaded the devices with that information; what’s more is they may not even given you the BDK that belongs to your device in order to reduce the risk of security threats.</p> <hr /> <p><strong>Note:</strong> Key management is beyond the scope of this explanation. Whatever you do with your keys, just make sure it’s secure.</p> <hr /> <p>One methodology I’ve seen that’ll allow you to associate a particular KSN to a BDK is to take the current KSN you’ve been given, mask it to retrieve the Initial Key Serial Number (IKSN), and look up the BDK in a table that maps IKSNs to BDKs:</p> <p>Example:</p> <pre><code>ksn = FFFF9876543210E00008 iksn = ksn & FFFFFFFFFFFFFFE00000 // FFFF9876543210E00000 </code></pre> <p>You’d then have a table that looks like:</p> <table> <thead> <tr> <th align="center">IKSN</th> <th align="center">BDK</th> </tr> </thead> <tbody> <tr> <td align="center">0xFFFF9876543210E00000</td> <td align="center">0123456789ABCDEFFEDCBA9876543210</td> </tr> <tr> <td align="center">…</td> <td align="center">…</td> </tr> </tbody> </table> <p>From which you could easily grab the BDK <code>0123456789ABCDEFFEDCBA9876543210</code>.</p> <h2><a id="user-content-algorithm" class="anchor" href="#algorithm"></a>Algorithm</h2> <hr /> <p><strong>Note:</strong> Assume that all numeric values are hexadecimal numbers, or the representation of a sequence of bytes as a hexadecimal number.</p> <hr /> <p>The following are the BDK, KSN, and encrypted track message (cryptogram) we’ve been given:</p> <pre><code>bdk = 0123456789ABCDEFFEDCBA9876543210 ksn = FFFF9876543210E00008 cryptogram = C25C1D1197D31CAA87285D59A892047426D9182EC11353C051ADD6D0F072A6CB3436560B3071FC1FD11D9F7E74886742D9BEE0CFD1EA1064C213BB55278B2F12 </code></pre> <p>Here’s an example of the unencrypted track 1 data (cryptogram above), and below that is its value in hex; this is what we’ll get after successfully decrypting the cryptogram:</p> <pre><code>%B5452300551227189^HOGAN/PAUL ^08043210000000725000000? 2542353435323330303535313232373138395E484F47414E2F5041554C2020202020205E30383034333231303030303030303732353030303030303F00000000 </code></pre> <hr /> <p><strong>Note:</strong> As you’re probably already aware, this algorithm is best described using big numbers, which can’t be represented as literals in some programming languages (like Java or C#). However, many languages have classes that allow you to represent big numbers in other ways (e.g., java.math.BigInteger, System.Numerics.BigInteger). It’s your job to adapt this algorithm so that it can be represented in your language of choice. Two small problems I encountered were ensuring the correct endianness and signedness were being used (this algorithm requires the byte order to be big endian and that unsigned integers are used). I made a utility class called BigInt to do this for me.</p> <hr /> <p>First, let’s define a few standard functions:</p> <ul> <li><a href="http://en.wikipedia.org/wiki/Data_Encryption_Standard">DES</a> and <a href="http://en.wikipedia.org/wiki/Triple_DES">Triple DES</a> refer to their respective cryptographic algorithms. Most programming languages have access to some implementation of these ciphers either through OpenSSL or Bouncy Castle. These ciphers are initialized with a zeroed out IV of 8 bytes, they’re zero-padded, and use Cipher-Block Chaining (CBC). Let’s define the signatures for these standard functions that’ll be used throughout this algorithm: <ul> <li><code>DesEncrypt(key, message) -> returns cryptogram</code></li> <li><code>DesDecrypt(key, cryptogram) -> returns message</code></li> <li><code>TripleDesEncrypt(key, message) -> returns cryptogram</code></li> <li><code>TripleDesDecrypt(key, cryptogram) -> returns message</code></li> </ul> </li> </ul> <p>First we must create the IPEK given then KSN and BDK:</p> <pre><code>CreateIpek(ksn, bdk) { return TripleDesEncrypt(bdk, (ksn & KsnMask) >> 16) << 64 | TripleDesEncrypt(bdk ^ KeyMask, (ksn & KsnMask) >> 16) } </code></pre> <p>Now we can get the IPEK:</p> <pre><code>ipek = CreateIpek(ksn, bdk) = CreateIpek(FFFF9876543210E00008, 0123456789ABCDEFFEDCBA9876543210) = 6AC292FAA1315B4D858AB3A3D7D5933A </code></pre> <p>After that we need a way to get the Session Key (this one is more complicated):</p> <pre><code>CreateSessionKey(ipek, ksn) { return DeriveKey(ipek, ksn) ^ FF00000000000000FF } </code></pre> <p>The DeriveKey method finds the IKSN and generates session keys until it gets to the one that corresponds to the current KSN. We define this method as:</p> <pre><code>DeriveKey(ipek, ksn) { ksnReg = ksn & FFFFFFFFFFE00000 curKey = ipek for (shiftReg = 0x100000; shiftReg > 0; shiftReg >>= 1) if ((shiftReg & ksn & 1FFFFF) > 0) curKey = GenerateKey(curKey, ksnReg |= shiftReg) return curKey } </code></pre> <p>Where the GenerateKey method looks like:</p> <pre><code>GenerateKey(key, ksn) { return EncryptRegister(key ^ KeyMask, ksn) << 64 | EncryptRegister(key, ksn) } </code></pre> <p>And EncryptRegister looks like:</p> <pre><code>EncryptRegister(key, reg) { return (key & FFFFFFFFFFFFFFFF) ^ DesEncrypt((key & FFFFFFFFFFFFFFFF0000000000000000) >> 64, key & FFFFFFFFFFFFFFFF ^ reg) } </code></pre> <p>Then you can generate the Session Key given the IPEK and KSN:</p> <pre><code>key = CreateSessionKey(ipek, ksn) = CreateSessionKey(6AC292FAA1315B4D858AB3A3D7D5933A, FFFF9876543210E00008) = 27F66D5244FF621EAA6F6120EDEB427F </code></pre> <p>Which can be used to decrypt the cryptogram:</p> <pre><code>message = TripleDesDecrypt(key, cryptogram) = TripleDesDecrypt(27F66D5244FF621EAA6F6120EDEB427F, C25C1D1197D31CAA87285D59A892047426D9182EC11353C051ADD6D0F072A6CB3436560B3071FC1FD11D9F7E74886742D9BEE0CFD1EA1064C213BB55278B2F12) = 2542353435323330303535313232373138395E484F47414E2F5041554C2020202020205E30383034333231303030303030303732353030303030303F00000000 = %B5452300551227189^HOGAN/PAUL ^08043210000000725000000? </code></pre> <p>That’s it, you’re done!</p> <div id="atatags-702045271-6742079f24d96"></div> <script> __ATA.cmd.push(function() { __ATA.initDynamicSlot({ id: 'atatags-702045271-6742079f24d96', location: 120, formFactor: '001', label: { text: 'Advertisements', }, creative: { reportAd: { text: 'Report this ad', }, privacySettings: { text: 'Privacy', } } }); }); </script> </div> <footer class="entry-footer default-max-width"> <span class="byline"><svg class="svg-icon" width="16" height="16" aria-hidden="true" role="img" focusable="false" viewBox="0 0 24 24" fill="none" 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4.49978C5.39315 4.49981 4.49999 5.39299 4.49999 6.49478L4.49998 18.3483C4.49998 18.9842 5.01549 19.4997 5.6514 19.4997C5.8787 19.4997 6.10091 19.4324 6.29004 19.3063L10.5 16.5Z" fill="currentColor"/></svg><a href="https://arthurvandermerwe.com/2015/05/30/dukpt-explained-with-examples/#comments">18 Comments<span class="screen-reader-text"> on DUKPT Explained with examples</span></a></span> </footer> </article> <article id="post-131" class="post-131 post type-post status-publish format-standard hentry category-financial-switching tag-3574932 tag-1799144 tag-diy tag-kca tag-kek1 tag-kek2 tag-keks tag-ki tag-kia tag-kmach tag-management-information tag-pksp tag-pos-terminal tag-ppasn tag-ppid tag-rsa tag-sktcu tag-tcu tag-terminal-manufacturer entry"> <header class="entry-header default-max-width"> <h2 class="entry-title"><a href="https://arthurvandermerwe.com/2015/05/28/eftpos-initialisation-using-rsa-cryptography/" rel="bookmark">EFTPOS Initialisation using RSA Cryptography</a></h2> </header> <div class="entry-content"> <p>Before you start with RSA, you should generate a public and private key pair using your HSM. These can be group keys or specific to the terminal you need to connect. Your terminal manufacturer will also provide its public key and modulus. Using these keys you will be able to calculate the TMK1 and TMK2 and also your session keys. The process is in fact very simple.</p> <p>Here is an example of how to create these keys using a Thales HSM</p> <p>Generating an 1536 bit RSA Key</p> <p>Input</p> <pre><span style="color:#999999;"><em>001-EI2153601</em></span></pre> <p>Output</p> <pre><span style="color:#999999;">001-EJ00</span></pre> <pre><span style="color:#000000;">Public Key</span> <span style="color:#999999;">3081C80281C0A0FAFB1789B87F6F075B04FE60B5F20AC9D658E6C9B9B4E82AD41FD748A5A00CAF0A5691D2D01726AB073AFB7B91810430F240244E0D4737A397C747FC67C622B12E3654DCDF4F58EE29241616AE7EBA08A1E16DB79E09529FB6CA92213F2DFAB3F677793BF977D640107FBF9833842A0BFBF5F871709E78EE5A152E0BBBBBDDED80D193BAC3033FE412B3C420532A8B309942E76F7A9FB4475B8EDEFDDADC4C101FF02F74BEE0261C681E314124654C39411E2CE56FE719A45CA7592B8431D30203010001</span></pre> <pre><span style="color:#000000;">Private key length</span> <span style="color:#999999;">0488</span></pre> <pre><span style="color:#000000;">Private Key</span> <span style="color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span></pre> <p>Generate a <span style="color:#333333;">MAC</span> on 1536 RSA key</p> <p>Input</p> <pre><span style="color:#999999;">002-EO01<3081C80281C0A0FAFB1789B87F6F075B04FE60B5F20AC9D658E6C9B9B4E82AD41FD748A5A00CAF0A5691D2D01726AB073AFB7B91810430F240244E0D4737A397C747FC67C622B12E3654DCDF4F58EE29241616AE7EBA08A1E16DB79E09529FB6CA92213F2DFAB3F677793BF977D640107FBF9833842A0BFBF5F871709E78EE5A152E0BBBBBDDED80D193BAC3033FE412B3C420532A8B309942E76F7A9FB4475B8EDEFDDADC4C101FF02F74BEE0261C681E314124654C39411E2CE56FE719A45CA7592B8431D30203010001></span></pre> <p>Output</p> <pre><span style="color:#999999;">002-EP00<<span style="color:#333333;">C905141E</span>><3081C80281C0A0FAFB1789B87F6F075B04FE60B5F20AC9D658E6C9B9B4E82AD41FD748A5A00CAF0A5691D2D01726AB073AFB7B91810430F240244E0D4737A397C747FC67C622B12E3654DCDF4F58EE29241616AE7EBA08A1E16DB79E09529FB6CA92213F2DFAB3F677793BF977D640107FBF9833842A0BFBF5F871709E78EE5A152E0BBBBBDDED80D193BAC3033FE412B3C420532A8B309942E76F7A9FB4475B8EDEFDDADC4C101FF02F74BEE0261C681E314124654C39411E2CE56FE719A45CA7592B8431D30203010101></span></pre> <p>This is a generic version of RSA encryption using POS pinheads, there are variations in the field. Please keep that in mind when reading this.</p> <p>Now when a POS terminal logs on for the first time it shall always logon using a 9820 message with a network management information code of 191, containing the TCU public key signed by the manufacturer’s secret key, and the un-enciphered PPID.</p> <p>The Financial Switch shall respond with a 9830 message with the same network management information code, communicating the public key of the sponsor host (PKsp), and a random number.</p> <p>The PIN Pad shall then generate the KI and send a 9820 message with a network management information code of 192 to the Financial Switch, containing the KI, PPID, date & time stamp, the random number and user data enciphered under the Financial Switch’s public key (PKsp) and signed by the TCU’s secret key (SKtcu). You will need to extract this information using your HSM H8 command, example below:</p> <p>Input Data:</p> <pre><span style="color:#999999;"><em>001-H801<FDC694A6></em></span> <span style="color:#999999;"><em><30550250AB378F98E373BBC6FA5E698F4F095A6D693A851E53C35CC9633947399C09D70932776DBEA5F2F0F0C4DAB4693CACB4D07B19242FF0435C55E3D4E28EFD563457F7EBA31BE1123DEA78CEC1573716130B020103></em></span> <span style="color:#999999;"><em>;990192</em></span> <span style="color:#999999;"><em><99658789F42672E7C51CB6ECAF3F061BBABCD954D4113E1CD9BD7BD4DF1BD94E6CBC10F497E9AE68265E87F77BFF293AA2D9FDE9C1A8F12A04D9B4D8DB9F5EAEE4690883838DEF670174E70C79E674F97E2457DD85EEEB346A17DD1F39CB3E8B2D69949436051994F8687F0FEE6558F28180D5A63946CD60604B1C82F6AE14454F5824CBFDCEE07478D2F0239299B64CD900DFF7559423E98F0C7AB8229933E4DD5A5E0BD736F8172668676949493577E323FC8EC592437F6DF20EDB5FBB6E92></em></span> <span style="color:#999999;"><em>;0080</em></span> <span style="color:#999999;"><em><7C9DDD3AEFF1D50BAFD11DBAF240BE827BAA156F9E8BB555CC019E183B3708F26EBE6C94702A9AD7CC1D2159CF587437532969D113C70BD622EB81AFC06E9408F1B69F3ED838A9EADFB41FB0E6E4202E></em></span> <span style="color:#999999;"><em>;1234567890123456;000</em></span></pre> <p>Response:</p> <pre><span style="color:#999999;"><em>001-H900</em></span> <span style="color:#999999;"><em>H604A678C8C78E1B9CFD415220D418E76</em></span> <span style="color:#999999;"><em>U9912C5D8B113B5E9D6787D57EE9E43BA</em></span> <span style="color:#999999;"><em>1122334455</em></span> <span style="color:#999999;"><em>9876543210987654</em></span></pre> <p> </p> <p>The Financial Switch shall check the PPID and random number. If the check fails, it will respond with a 9830 with a response code of “63”.</p> <p>Where the Financial Switch is satisfied with the contents of the second 9820 message, it shall respond with the KCA and the KMACH enciphered under KI and its AIIC in the clear. When the PIN Pad has deciphered KCA and KMACH, it shall erase KI.</p> <p>At this time the PIN Pad shall calculate the KIA. When the KIA has been calculated, the PIN Pad shall erase KCA.</p> <p>The POS terminal shall then generate a 9820 message with a network management information code of 193 to the Financial Switch containing the PPID and the Financial Switch shall respond with a 9830 response containing the two initial KEKs and the PPASN.</p> <p>You can generate this using the C0/C1 HSM command.</p> <p>The POS terminal shall validate the MAC on the two KEKs and the PPASN and, if the MAC is valid, shall install KEK1, KEK2 and the PPASN and shall calculate the single length DES key KMACI. These keys are the terminal initial keys, that will updated in the season key exchange.</p> <p>Once this has been carried out, the PIN Pad shall erase the KIA.</p> <p>When these tasks have been completed, the POS terminal shall carry out its normal logon and session key installation with the Financial Switch. As the processing (initial logon then normal logon and session key installation) completes, the POS terminal will move into the “Ready” state.</p> <p>easy as pie!</p> <div id="atatags-702045275-6742079f260b0"> <script type="text/javascript"> __ATA.cmd.push(function() { __ATA.initVideoSlot('atatags-702045275-6742079f260b0', { sectionId: '702045275', format: 'inread' }); }); </script> </div> </div> <footer class="entry-footer default-max-width"> <span class="byline"><svg class="svg-icon" width="16" height="16" aria-hidden="true" role="img" focusable="false" viewBox="0 0 24 24" fill="none" xmlns="http://www.w3.org/2000/svg"><path fill-rule="evenodd" clip-rule="evenodd" d="M15 7.5C15 9.15685 13.6569 10.5 12 10.5C10.3431 10.5 9 9.15685 9 7.5C9 5.84315 10.3431 4.5 12 4.5C13.6569 4.5 15 5.84315 15 7.5ZM16.5 7.5C16.5 9.98528 14.4853 12 12 12C9.51472 12 7.5 9.98528 7.5 7.5C7.5 5.01472 9.51472 3 12 3C14.4853 3 16.5 5.01472 16.5 7.5ZM19.5 19.5V16.245C19.5 14.729 18.271 13.5 16.755 13.5L7.245 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6.22113 18 6.49451L18 14.5046C18 14.778 17.7784 14.9996 17.505 14.9996L10.0458 15.0001ZM10.5 16.5L17.5051 16.4996C18.6069 16.4995 19.5 15.6063 19.5 14.5046L19.5 6.49451C19.5 5.39268 18.6068 4.49948 17.5049 4.49951L6.49494 4.49978C5.39315 4.49981 4.49999 5.39299 4.49999 6.49478L4.49998 18.3483C4.49998 18.9842 5.01549 19.4997 5.6514 19.4997C5.8787 19.4997 6.10091 19.4324 6.29004 19.3063L10.5 16.5Z" fill="currentColor"/></svg><a href="https://arthurvandermerwe.com/2015/05/28/eftpos-initialisation-using-rsa-cryptography/#comments">1 Comment<span class="screen-reader-text"> on EFTPOS Initialisation using RSA Cryptography</span></a></span> </footer> </article> <article id="post-121" class="post-121 post type-post status-publish format-standard hentry category-atm-tracing category-financial-switching tag-3des tag-atm tag-thales tag-tmk tag-tpk entry"> <header class="entry-header default-max-width"> <h2 class="entry-title"><a href="https://arthurvandermerwe.com/2015/05/20/atm-pin-encryption-using-3des/" rel="bookmark">ATM Pin encryption using 3DES</a></h2> </header> <div class="entry-content"> <h2>Introduction</h2> <p>Most modern ATM’s use a Triple Des algorithm to encrypt the pin and send it to a host server for processing. Once the host system receives the pin, it does a translation of the pin from one encryption key to another, and sends it to a bank. In this post I will attempt to explain the process and how it is done in the real world.</p> <h2>Overview of the Triple Data Encryption Standard</h2> <p>What we all call Triple DES is EDE (encrypt, decrypt, encrypt). The way that it works is that you take three 56-bit keys, and encrypt with K1, decrypt with K2 and encrypt with K3. There are two-key and three-key versions. Think of the two-key version as merely one where K1=K3. Note that if K1=K2=K3, then Triple DES is really Single DES.</p> <p>Triple DES was created back when DES was getting a bit weaker than people were comfortable with. As a result, they wanted an easy way to get more strength. In a system dependent on DES, making a composite function out of multiple DESes is likely to be easier than bolting in a new cipher and sidesteps the political issue of arguing that the new cipher is better than DES.</p> <p>As it turns out, when you compose a cipher into a new one, you can’t use a double enciphering. There is a class of attacks called meet-in-the-middle attacks, in which you encrypt from one end, decrypt from the other, and start looking for collisions (things that give you the same answer). With sufficient memory, Double DES (or any other cipher) would only be twice as strong as the base cipher — or one bit more in strength.</p> <p>There’s more to it. If the cipher forms a group, then encrypting twice with two keys is equivalent to encrypting once with some key. Now, it’s not trivial to know what that other key is, but it means that a brute-force attack would find that third key as it tried all possible single-keys. So if the cipher’s a group, then multiple-ciphering is merely a waste of time.</p> <p>Applying this encryption in Python is trivial as there are plenty of tested libraries that can provide the functionality like pyDes and Crypto :</p> <pre>import os from Crypto.Cipher import DES3 def encrypt_file(in_filename, out_filename, chunk_size, key, iv): des3 = DES3.new(key, DES3.MODE_CFB, iv) with open(in_filename, 'r') as in_file: with open(out_filename, 'w') as out_file: while True: chunk = in_file.read(chunk_size) if len(chunk) == 0: break elif len(chunk) % 16 != 0: chunk += ' ' * (16 - len(chunk) % 16) out_file.write(des3.encrypt(chunk)) def decrypt_file(in_filename, out_filename, chunk_size, key, iv): des3 = DES3.new(key, DES3.MODE_CFB, iv) with open(in_filename, 'r') as in_file: with open(out_filename, 'w') as out_file: while True: chunk = in_file.read(chunk_size) if len(chunk) == 0: break out_file.write(des3.decrypt(chunk))</pre> <p> </p> <h2>ATM Internals and how they calculate the keys</h2> <p>When you have an ATM, you typically need to provide it with a set of encryption keys from your host, or HSM. These keys are clear text keys and it’s not encrypted in any way. Your host will link them to your terminal number, and when the ATM encrypts the pin; the host will know what keys are used so it can decrypt / translate them to the bank. The clear keys are never stored by the host, only the LMK encrypted keys.</p> <p>Lets assume your host provides the following keys to you as the ‘ATM Encryption Key’ :</p> <pre>Clear component A: <strong>67C4 A719 1ADA FD08 6432 CE0D D638 4AB</strong></pre> <pre>Key check value: 20D40B</pre> <pre>Clear component B: <strong>8A89 6D4C 4625 5E2A 1A75 2002 07A7 D35E</strong></pre> <pre>Key check value: 4EC801</pre> <pre>Combined Check Value: <strong>2B547D</strong></pre> <p>Now typically you would enter the clear components into the ATM, as Encryption keys, and the ATM will combine them (Basically XOR Them) and derive the check value. If the check value match, then all is good.</p> <p>What happens at your host end is the following:</p> <p>Your host will also combine the keys and encrypt them under the LMK (Local Master Key). It will then use this key to encrypt all other keys that are sent to the ATM.</p> <p>Now the ATM have a Terminal Master Key that it can use to decrypt all keys that are sent to it from the host.</p> <h2>ATM Configuration Request (Key Exchange)</h2> <p>Now when an ATM starts up, the first thing it does it send a configuration request to the host. This request is to get the Third key used in Triple DES. The Host will generate a random Terminal Pin Key and encrypt it under the Terminal Master Key (TMK). Since the ATM has the Terminal Master Key, it can decrypt the encrypted TPK, and use all 3 Keys now for the Triple DES operations. (it actually uses 2)</p> <p>The Host would generally execute the A0 Thales command to get this key. He would store the key in the key database to do the decryption / translation later.</p> <p> </p> <h2>Pin Encryption / Decryption</h2> <p>When a ATM gets ready to transmit a transaction it does the 3DES operation on the Pin only. the cypher text is now transmitted to the host. The host never knows the pin code, and only does a translation of the pin from the terminal keys to the bank keys.</p> <blockquote><p>The Host will have the following:</p> <p>(ZPK) Zone Pin Key – from the Bank during Host to Bank Key exchange</p> <p>(TPK) Terminal Pin Key – from Terminal using Terminal Configuration Request</p> <p>(PAN) Account Number – from Transaction transmitted.</p></blockquote> <p>With these values, the Host can translate the pin using a HSM, below is an example of the D4 Command.</p> <pre> Res = KeyGenerator.TranslatePIN_TDES(TerminalPINKey=self.Crypto["TPK_LMK"], PINEncryptionKey=self.HostKeys["ZPK_LMK"], PINBlock=self.iso.getBit(52), AccountNumber=track2["PAN"][-13:-1]) def get_commandTPKPinBlock(self, TerminalPINKey, PINEncryptionKey, PINBlock, AccountNumber): command_code = 'D4' KTP = TerminalPINKey KPE = PINEncryptionKey PinBlock = PINBlock PAN = AccountNumber message = command_code message += KTP message += KPE message += PinBlock message += PAN return message #transmit to HSM</pre> <p>The transaction can now be transmitted to the acquiring bank with the translated pin for processing.</p> <p>Sometimes the ATM requires a Message Authentication Code, this will be covered in another post.</p> <p>easy as pie</p> <p> </p> <p> </p> </div> <footer class="entry-footer default-max-width"> <span class="byline"><svg class="svg-icon" width="16" height="16" aria-hidden="true" role="img" focusable="false" viewBox="0 0 24 24" fill="none" xmlns="http://www.w3.org/2000/svg"><path fill-rule="evenodd" clip-rule="evenodd" d="M15 7.5C15 9.15685 13.6569 10.5 12 10.5C10.3431 10.5 9 9.15685 9 7.5C9 5.84315 10.3431 4.5 12 4.5C13.6569 4.5 15 5.84315 15 7.5ZM16.5 7.5C16.5 9.98528 14.4853 12 12 12C9.51472 12 7.5 9.98528 7.5 7.5C7.5 5.01472 9.51472 3 12 3C14.4853 3 16.5 5.01472 16.5 7.5ZM19.5 19.5V16.245C19.5 14.729 18.271 13.5 16.755 13.5L7.245 13.5C5.72898 13.5 4.5 14.729 4.5 16.245L4.5 19.5H6L6 16.245C6 15.5574 6.5574 15 7.245 15L16.755 15C17.4426 15 18 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