Chapter 5

5 Security Threats to
Electronic Commerce

Electronic Commerce 1
 Objectives

 Important computer and electronic

commerce security terms

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 Why secrecy, integrity, and necessity
are three parts of any security program
 The roles of copyright and intellectual
property and their importance in any
study of electronic commerce

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 Objectives
 Threats and counter measures to
eliminate or reduce threats
 Specific threats to client machines, Web

5 
servers, and commerce servers
Enhance security in back office products,
such as database servers
 How security protocols plug security holes
 Roles encryption and certificates play

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 Security Overview

 Many fears to overcome

 Intercepted e-mail messages

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 Unauthorized access to digital intelligence
 Credit card information falling into the
wrong hands
 Two types of computer security
 Physical - protection of tangible objects
 Logical - protection of non-physical objects

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 Security Overview
Figure 5-1

 Countermeasures are procedures,

either physical or logical, that
recognize, reduce, or eliminate a threat
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 Computer Security Classification

 Secrecy
 Protecting against unauthorized data

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disclosure and ensuring the authenticity of
the data’s source
 Integrity
 Preventing unauthorized data modification
 Necessity
 Preventing data delays or denials
(removal)
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 Copyright and
Intellectual Property

 Copyright
 Protecting expression

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 Literary and musical works
 Pictorial, graphic, and sculptural works
 Motion pictures and other audiovisual works
 Sound recordings
 Architectural works

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 Copyright and
Intellectual Property

 Intellectual property
 The ownership of ideas and control over

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the tangible or virtual representation of
those ideas
 U.S. Copyright Act of 1976
 Protects previously stated items for a fixed
period of time
 Copyright Clearance Center
 Clearinghouse for U.S. copyright information
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 Security Policy and
Integrated Security
 Security policy is a written statement
describing what assets are to be
protected and why, who is responsible,

5 which behaviors are acceptable or not

 Physical security
 Network security
 Access authorizations
 Virus protection
 Disaster recovery

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 Specific Elements of
a Security Policy

 Authentication
 Who is trying to access the site?

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 Access Control
 Who is allowed to logon and access the
site?
 Secrecy
 Who is permitted to view selected
information

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 Specific Elements of
a Security Policy

 Data integrity
 Who is allowed to change data?

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 Audit
 What and who causes selected events to
occur, and when?

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 Intellectual Property Threats

 The Internet presents a tempting target

for intellectual property threats

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 Very easy to reproduce an exact copy of
anything found on the Internet
 People are unaware of copyright
restrictions, and unwittingly infringe on
them
 Fair use allows limited use of copyright
material when certain conditions are met

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 Intellectual Property Threats

 Cybersquatting
 The practice of registering a domain name

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that is the trademark of another person or
company
 Cybersquatters hope that the owner of the
trademark will pay huge shillings amounts to
acquire the URL
 Some Cybersquatters misrepresent
themselves as the trademark owner for
fraudulent purposes

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 Electronic Commerce Threats

 Client Threats
 Active Content

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 Java applets, Active X controls, JavaScript,
and VBScript
 Programs that interpret or execute instructions
embedded in downloaded objects
 Malicious active content can be embedded into
seemingly innocuous Web pages
 Cookies remember user names, passwords,
and other commonly referenced information

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 Java, Java Applets,
and JavaScript

 Java is a high-level programming

language developed by Sun
Microsystems
5  Java code embedded into appliances
can make them run more intelligently
 Largest use of Java is in Web pages
(free applets can be downloaded)
 Platform independent - will run on any
computer
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 Java, Java Applets,
and JavaScript

 Java sandbox
 Confines Java applet actions to a security

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model-defined set of rules
 Rules apply to all untrusted applets,
applets that have not been proven secure
 Signed Java applets
 Contain embedded digital signatures
which serve as a proof of identity

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 ActiveX Controls

 ActiveX is an object, called a control,

that contains programs and properties
that perform certain tasks
5  ActiveX controls only run on Windows
95, 98, or 2000 or xp or vista or 2008.
 Once downloaded, ActiveX controls
execute like any other program, having
full access to your computer’s
resources
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 Graphics, Plug-ins, and
E-mail Attachments

 Code can be embedded into graphic

images causing harm to your computer

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 Plug-ins are used to play audiovisual
clips, animated graphics
 Could contain ill-intentioned commands
hidden within the object
 E-mail attachments can contain
destructive macros within the document

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 Communication
Channel Threats

 Secrecy Threats
 Secrecy is the prevention of unauthorized

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information disclosure
 Privacy is the protection of individual rights
to nondisclosure
 Theft of sensitive or personal information
is a significant danger
 Your IP address and browser you use are
continually revealed while on the web
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 Communication
Channel Threats

 Anonymizer
 A Web site that provides a measure of

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secrecy as long as it’s used as the portal
to the Internet
 http://www.anonymizer.com

 Integrity Threats
 Also known as active wiretapping
 Unauthorized party can alter data
 Change the amount of a deposit or withdrawal
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 Communication
Channel Threats

 Necessity Threats
 Also known as delay or denial threats

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 Disrupt normal computer processing
 Deny processing entirely
 Slow processing to intolerably slow speeds
 Remove file entirely, or delete information from
a transmission or file
 Divert money from one bank account to
another

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 Server Threats

 The more complex software becomes,

the higher the probability that errors
(bugs) exist in the code
5  Servers run at various privilege levels
 Highest levels provide greatest access
and flexibility
 Lowest levels provide a logical fence
around a running program

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 Server Threats

 Secrecy violations occur when the

contents of a server’s folder names are
revealed to a Web browser
5  Administrators can turn off the folder
name display feature to avoid secrecy
violations
 Cookies should never be transmitted
unprotected
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 Server Threats

 One of the most sensitive files on a

Web server holds the username and
password pairs
5  The Web server administrator is
responsible for ensuring that this, and
other sensitive files, are secure

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 Database Threats

 Disclosure of valuable and private

information could irreparably damage a
company
5  Security is often enforced through the
use of privileges
 Some databases are inherently
insecure and rely on the Web server to
enforce security measures
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 Other Threats

 Common Gateway Interface (CGI)

Threats

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 CGIs are programs that present a security
threat if misused
 CGI programs can reside almost
anywhere on a Web server and therefore
are often difficult to track down
 CGI scripts do not run inside a sandbox,
unlike JavaScript
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 Other Threats

 Other programming threats include

 Programs executed by the server
 Buffer overruns can cause errors

5  Runaway code segments

 The Internet Worm attack was a runaway code
segment
 Buffer overflow attacks occur when control
is released by an authorized program, but
the intruder code instructs control to be
turned over to it
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