$NXTD Biometrics News - NXT-ID Patents Offline Local Identity Validation and Fraud Prevention System

SHELTON, Conn., - (http://www.financialnewsmedia.com News Alert) - NXT-ID, Inc. (OTCBB: NXTD) (OTCQB:NXTD), a biometric authentication company focused on the growing mobile commerce market, announced today that it has submitted a patent application for a method to locally verify identity. This invention represents another first for NXT-ID with the world\'s first disconnected identity validation system, and another key feature to securing NXT-ID\'s Wocket smart wallet.



\"This invention is very timely in the face of continued breaches of data and privacy.\" stated Gino Pereira, CEO of NXT-ID. \"In the last two days we have news of intrusions on personal data of celebrities on iCloud and a potentially large data breach at Home Depot. We continue to push the envelope with new, exciting technologies that protect an individual\'s privacy by keeping information off the cloud or a network.\"



\"This invention provides security without sacrificing privacy,\" says David Tunnell, CTO of NXT-ID. \"Local identity validation ensures financial accounts and cards that are added to Wocket smart wallet belong to the owner of that Wocket. We wanted a way for users to securely add their cards without having to sacrifice their privacy to some online background check. This technology is a key enabler of emerging smart wallet technology to reduce fraud.\"



Typically, identity verification is managed via online cloud services. The validation process requires users\' private information to be not only sent up to the service, but to be requested from various data sources and sent back down the client-side application. Man-in-the-middle attacks can intercept this information either going to or coming back from the service, even altering the information to spoof it. Furthermore the data being used to verify the identity is known by more than one source and is therefore susceptive to social engineering hacks and data mining. Without cutting off this constant stream of private information being sent to and from, online validation will always have significant issue with both security and privacy.



The patent describes methods to verify the owner of a card or financial account prior to allowing enrollment into a smart wallet. Under this invention, individuals, accounts, devices and even financial records may be authenticated...