PCI DSS COMPLIANCE AND WHY IT IS NECESSARY FOR CREDIT CARD INDUSTRY
Introduction
The whole world is shifting towards a cashless economy, with innovative payment transaction systems such as UPI payments, card payments, etc. These payment systems require processing, storage, and movement of millions of cardholders data which is crucial for any successful transaction.
And therefore to maintain the credibility of this payment ecosystem, security or secure movement and processing of cardholders data becomes paramount. Entities involved in a payment ecosystem are responsible for the security of cardholders data. Security is also important because if breaches happen in cardholders data it would amount to financial loss. Fraudsters are attempting smart ways to leverage any kind of security loopholes in the payment system.
So these entities which are involved in the payment ecosystem need to maintain some security standards set by one council of network providers in the payment industry popularly known as the Payment Card Industry Security Standard Council.
Overview of what is PCI and PCI DSS Compliance
Earlier every network providers in the payment industry have their own set of security standards but later they all together i.e., Visa, Mastercard, American Express, Discover, and JCB constituted an independent body to come up with comprehensive security standards like PCI DSS, PA DSS, PCI-PTS, etc. And these network providers ensure the enforcement of the security standards by putting conditions on services being provided to the merchant or acquirer bank.
In other words, PCI DSS particularly is the global standard that provides a baseline of technical and operational requirements designed to protect account data. PCI DSS is a security standard specially designed for merchants and service providers in the payment ecosystem to protect the cardholders data against any fraud or theft.
It applies to all the entities including third-party vendors which are involved in processing storing and transmitting cardholders data. In organization, even all CDE (Card Holder Data Environment) including system components or network component that stores and process cardholders data, has to comply with all the requirements of PCI compliance. Recently PCI has released a new version of PCI DSS v4.0 a few months ago with certain changes from the previous version after three years of the review cycle.
12 Requirements of PCI DSS
This is the most important part of PCI DSS as following these requirements can make any organization to some extent PCI compliant. So what are these requirements:
- Installing firewalls or maintaining security controls in the networks
- Use strong password in order to secure the CDE( Card holders data environment)
- Protection of cardholder data
- Encrypting the cardholder data during transmission over an open and public network.
- Timely detection and protection of the cardholders data environment from any malicious activity or software.
- Regular updating the software thereby maintaining a secure system.
- Rule of business need to know should apply to access the cardholders data
- Identification and authentication of the user are important to access the system components.
- Physical access to cardholders data should be restricted.
- Monitoring or screening of system components to know the malicious activity internally in real-time.
- Regular auditing of security control and finding any vulnerabilities available in the systems.
- Make policies and programs accordingly in order to support information security.
How organization can become PCI compliant
- Scope: First step is to determine all the system components or networks storing and processing cardholders data i.e., Cardholders Data Environment.
- Assess: Then test whether these systems or networks are complying with all the requirements of PCI DSS COMPLIANCE.
- Report: Documenting all the assessment through self assessment questionnaire by answering following questions like whether the requirements are met or not? Whether the requirements are met with customized approach.
- Attest: Then the next step is to complete the attestation process available on the website of PCI SSC.
- Submit: Then organization can submit all the documents including reports and other supporting documents if it is requested by other entities such as payment brands, merchant or acquirer.
- Remediate: Then the organisation should take remedial action for the requirements which are not in place on the system components or networks.
Conclusion
One of the most important issues facing those involved in the digital payment ecosystem is cybersecurity. The likelihood of being exposed to cybersecurity hazards including online fraud, information theft, and virus assaults is rising as more and more users prefer using digital payments.
And thus complying and adopting with these security standards is the need of the hour. And moreover RBI has also mandated all the regulated entities ( NBFCs Banks etc) under one recent notification to comply with these standards.
Related Blogs
Introduction
Criminal justice in India is majorly governed by three laws which are – Indian Penal Code, Criminal Procedure Code and Indian Evidence Act. The centre, on 11th August 2023’ Friday, proposes a new bill in parliament Friday, which is replacing the country’s major criminal laws, i.e. Indian Penal Code, Criminal Procedure Code and Indian Evidence Act.
The following three bills are being proposed to replace major criminal laws in the country:
- The Bharatiya Nyaya Sanhita Bill, 2023 to replace Indian Penal Code 1860.
- The Bharatiya Nagrik Suraksha Sanhita Bill, 2023, to replace The Code Of Criminal Procedure, 1973.
- The Bharatiya Sakshya Bill, 2023, to replace The Indian Evidence Act 1872.
Cyber law-oriented view of the new shift in criminal lawNotable changes:Bharatiya Nyaya Sanhita Bill, 2023 Indian Penal Code 1860.
Way ahead for digitalisation
The new laws aim to enhance the utilisation of digital services in court systems, it facilitates online registration of FIR, Online filing of the charge sheet, serving summons in electronic mode, trial and proceedings in electronic mode etc. The new bills also allow the virtual appearance of witnesses, accused, experts, and victims in some instances. This shift will lead to the adoption of technology in courts and all courts to be computerised in the upcoming time.
Enhanced recognition of electronic records
With the change in lifestyle in terms of the digital sphere, significance is given to recognising electronic records as equal to paper records.
Conclusion
The criminal laws of the country play a significant role in establishing law & order and providing justice. The criminal laws of India were the old laws existing under British rule. There have been several amendments to criminal laws to deal with the growing crimes and new aspects. However, there was a need for well-established criminal laws which are in accordance with the present era. The step of the legislature by centralising all criminal laws in their new form and introducing three bills is a good approach which will ultimately strengthen the criminal justice system in India, and it will also facilitate the use of technology in the court system.
Introduction
The Sexual Harassment of minors in cyberspace has become a matter of grave concern that needs to be addressed. Sextortion is the practice of extorting individuals into sharing explicit and sexual content under the threat of exposure. This grim activity has evolved into a pervasive issue on several social media platforms, particularly Instagram. To combat this illicit act, big corporate giants such as Meta have deployed a comprehensive ‘nudity protection’ feature, leveraging the use of AI (Artificial Intelligence) algorithms to ascertain and address the rapid distribution of unsolicited explicit content.
The Meta Initiative presented a multifaceted approach to improve user safety, especially for young people online, who are more vulnerable to predatory behavior.
The Salient Feature
Instagram’s use of advanced AI algorithms to automatically identify and blur out explicit images shared within direct messages is the driving force behind this initiative. This new safety measure serves two essential purposes.
- Preventing dissemination of sensitive content - The feature, when enabled, obstructs the visibility of sensitive personal pictures and also limits dissemination of the same.
- Empower minors to exercise more control over their social media - This cutting feature comes with the ability to disable the nudity protection at the will of users, allowing users, including minors, to regulate their exposure to age-inappropriate and harmful materials online. The nudity protection feature is enabled for all users under 18 as a default setting on Instagram globally. This measure guarantees a baseline standard of security for the most vulnerable demographic of users. Adults are able to exercise more autonomy over the feature, receiving periodic prompts for its voluntary activationWhen this feature detects an explicit image, it automatically blurs the image with cautionary overlay, enabling recipients to make an informed decision about whether or not they wish to view the flagged content. The decision to introduce this feature is an interesting and sensitive approach to balancing individual agency with institutionalising online protection.
Comprehensive Safety Measures Beyond Nudity Detection
The cutting-edge nudity protection feature is a crucial element of Instagram’s new strategy and is supported by a comprehensive set of measures devised to tackle sextortion and ensure a safe cyber environment for its users:
Awareness Drives and Safety Tips - Users sending and receiving sexually explicit content are directed to a screen with curated safety tips to ensure complete user awareness and inspire due diligence. These safety tips are critical in raising awareness about the risks of sharing sensitive content and inculcating responsible online behaviour.
New Technology to Identify Sextortionists - Meta Platforms are constantly evolving, and new sophisticated algorithms are introduced to better detect malicious accounts engaged in possible sextortion. These proactive measures check for any predatory behaviour so that such threats can be neutralised before they escalate and do grave harm.
Superior Reporting and Support Mechanisms - Instagram is implementing new technology to bolster its reporting mechanisms so that users reporting concerns pertaining to nudity, sexual exploitation and threats are instantaneously directed to local child safety authorities for necessary support and assistance.
This new sophisticated approach highlights Instagram's Commitment to forging a safer haven for users by addressing various aspects of this grim issue through the three-pronged strategy of detection, prevention and support.
User’s Safety and Accountability
The implementation of the nudity protection feature and various associated safety measures is Meta’s way of tackling the growing concern about user safety in a more proactive manner, especially when it concerns minors. Instagram’s experience with this feature will likely be the sandbox in which Meta tests its new user protection strategy and refines it before extending it to other platforms like Facebook and WhatsApp.
Critical Reception and Future Outlook
The nudity protection feature has been met with positive feedback from experts and online safety advocates, commending Instagram for taking a proactive stance against sextortion and exploitation. However, critics also emphasise the need for continued innovation, transparency, and accountability to effectively address evolving threats and ensure comprehensive protection for all users.
Conclusion
As digital spaces continue to evolve, Meta Platforms must demonstrate an ongoing commitment to adapting its safety measures and collaborating with relevant stakeholders to stay ahead of emerging challenges. Ongoing investment in advanced technology, user education, and robust support systems will be crucial in maintaining a secure and responsible online environment. Ultimately, Instagram's nudity protection feature represents a significant step forward in the fight against online sexual exploitation and abuse. By leveraging cutting-edge technology, fostering user awareness, and implementing comprehensive safety protocols, Meta Platforms is setting a positive example for other social media platforms to prioritise user safety and combat predatory behaviour in digital spaces.
References
- https://www.nbcnews.com/tech/tech-news/instagram-testing-blurring-nudity-messages-protect-teens-sextortion-rcna147402
- https://techcrunch.com/2024/04/11/meta-will-auto-blur-nudity-in-instagram-dms-in-latest-teen-safety-step/
- https://hypebeast.com/2024/4/instagram-dm-nudity-blurring-feature-teen-safety-info
.webp)
Introduction
On the precipice of a new domain of existence, the metaverse emerges as a digital cosmos, an expanse where the horizon is not sky, but a limitless scope for innovation and imagination. It is a sophisticated fabric woven from the threads of social interaction, leisure, and an accelerated pace of technological progression. This new reality, a virtual landscape stretching beyond the mundane encumbrances of terrestrial life, heralds an evolutionary leap where the laws of physics yield to the boundless potential inherent in our creativity. Yet, the dawn of such a frontier does not escape the spectre of an age-old adversary—financial crime—the shadow that grows in tandem with newfound opportunity, seeping into the metaverse, where crypto-assets are no longer just an alternative but the currency du jour, dazzling beacons for both legitimate pioneers and shades of illicit intent.
The metaverse, by virtue of its design, is a canvas for the digital repaint of society—a three-dimensional realm where the lines between immersive experiences and entertainment blur, intertwining with surreal intimacy within this virtual microcosm. Donning headsets like armor against the banal, individuals become avatars; digital proxies that acquire the ability to move, speak, and perform an array of actions with an ease unattainable in the physical world. Within this alternative reality, users navigate digital topographies, with experiences ranging from shopping in pixelated arcades to collaborating in virtual offices; from witnessing concerts that defy sensory limitations to constructing abodes and palaces from mere codes and clicks—an act of creation no longer beholden to physicality but to the breadth of one's ingenuity.
The Crypto Assets
The lifeblood of this virtual economy pulsates through crypto-assets. These digital tokens represent value or rights held on distributed ledgers—a technology like blockchain, which serves as both a vault and a transparent tapestry, chronicling the pathways of each digital asset. To hop onto the carousel of this economy requires a digital wallet—a storeroom and a gateway for acquisition and trade of these virtual valuables. Cryptocurrencies, with NFTs—Non-fungible Tokens—have accelerated from obscure digital curios to precious artifacts. According to blockchain analytics firm Elliptic, an astonishing figure surpassing US$100 million in NFTs were usurped between July 2021 and July 2022. This rampant heist underlines their captivating allure for virtual certificates. Empowers do not just capture art, music, and gaming, but embody their very soul.
Yet, as the metaverse burgeons, so does the complexity and diversity of financial transgressions. From phishing to sophisticated fraud schemes, criminals craft insidious simulacrums of legitimate havens, aiming to drain the crypto-assets of the unwary. In the preceding year, a daunting figure rose to prominence—the vanishing of US$14 billion worth of crypto-assets, lost to the abyss of deception and duplicity. Hence, social engineering emerges from the shadows, a sort of digital chicanery that preys not upon weaknesses of the system, but upon the psychological vulnerabilities of its users—scammers adorned in the guise of authenticity, extracting trust and assets with Machiavellian precision.
The New Wave of Fincrimes
Extending their tentacles further, perpetrators of cybercrime exploit code vulnerabilities, engage in wash trading, obscuring the trails of money laundering, meander through sanctions evasion, and even dare to fund activities that send ripples of terror across the physical and virtual divide. The intricacies of smart contracts and the decentralized nature of these worlds, designed to be bastions of innovation, morph into paths paved for misuse and exploitation. The openness of blockchain transactions, the transparency that should act as a deterrent, becomes a paradox, a double-edged sword for the law enforcement agencies tasked with delineating the networks of faceless adversaries.
Addressing financial crime in the metaverse is Herculean labour, requiring an orchestra of efforts—harmonious, synchronised—from individual users to mammoth corporations, from astute policymakers to vigilant law enforcement bodies. Users must furnish themselves with critical awareness, fortifying their minds against the siren calls that beckon impetuous decisions, spurred by the anxiety of falling behind. Enterprises, the architects and custodians of this digital realm, are impelled to collaborate with security specialists, to probe their constructs for weak seams, and to reinforce their bulwarks against the sieges of cyber onslaughts. Policymakers venture onto the tightrope walk, balancing the impetus for innovation against the gravitas of robust safeguards—a conundrum played out on the global stage, as epitomised by the European Union's strides to forge cohesive frameworks to safeguard this new vessel of human endeavour.
The Austrian Example
Consider the case of Austria, where the tapestry of laws entwining crypto-assets spans a gamut of criminal offences, from data breaches to the complex webs of money laundering and the financing of dark enterprises. Users and corporations alike must become cartographers of local legislation, charting their ventures and vigilances within the volatile seas of the metaverse.
Upon the sands of this virtual frontier, we must not forget: that the metaverse is more than a hive of bits and bandwidth. It crystallises our collective dreams, echoes our unspoken fears, and reflects the range of our ambitions and failings. It stands as a citadel where the ever-evolving quest for progress should never stray from the compass of ethical pursuit. The cross-pollination of best practices, and the solidarity of international collaboration, are not simply tactics—they are imperatives engraved with the moral codes of stewardship, guiding us to preserve the unblemished spirit of the metaverse.
Conclusion
The clarion call of the metaverse invites us to venture into its boundless expanse, to savour its gifts of connection and innovation. Yet, on this odyssey through the pixelated constellations, we harness vigilance as our star chart, mindful of the mirage of morality that can obfuscate and lead astray. In our collective pursuit to curtail financial crime, we deploy our most formidable resource—our unity—conjuring a bastion for human ingenuity and integrity. In this, we ensure that the metaverse remains a beacon of awe, safeguarded against the shadows of transgression, and celebrated as a testament to our shared aspiration to venture beyond the realm of the possible, into the extraordinary.
References
- https://www.wolftheiss.com/insights/financial-crime-in-the-metaverse-is-real/
- https://gnet-research.org/2023/08/16/meta-terror-the-threats-and-challenges-of-the-metaverse/
- https://shuftipro.com/blog/the-rising-concern-of-financial-crimes-in-the-metaverse-aml-screening-as-a-solution/
