SET, or Secure Electronic Transaction Protocol, is a cryptographic communication protocol designed for the secure exchange of payment card information over networks, primarily the internet. Developed in the mid-1990s, SETP was designed to provide a secure environment for online transactions and overcome the security concerns associated with online credit card payments.
The SETP protocol ensures the privacy and integrity of the information exchanged during a transaction. It utilizes the public-key infrastructure (PKI) encryption technology to securely transmit payment card data, such as credit card numbers and expiration dates, between the buyer, the merchant, and the payment gateway.
When using SETP, the buyer's payment card details are securely encrypted using the merchant's public key and transmitted to the payment gateway. The payment gateway then decrypts the information using its private key, ensuring that only authorized parties can access the sensitive data. This process prevents unauthorized interception or tampering of the transmitted data.
Additionally, SETP incorporates digital certificates to authenticate the identity of the buyer and the merchant. These digital certificates contain cryptographic information that verifies the legitimacy of the parties involved in the transaction, thus ensuring trust and security throughout the payment process.
Overall, SETP provides a robust and secure framework for online payment transactions, safeguarding sensitive information, and protecting against fraudulent activities in electronic commerce.
