Remote identity verification solution

Problem statement (need assessment) of remote (digital) authentication

Nowadays, with the increasing development of cyberspace and people's use of online services, the general tendency to not visit in person and do things remotely is increasing every day. This issue is obvious in receiving financial and banking services, stock exchange and insurance, civil registration and mobile operators. Solutions that enable the organization to verify the client's identity online and without the need for physical presence (online authentication) are called "virtual authentication", "internet authentication" or "online authentication".

What is remote authentication (digital authentication)?

For example, a major part of the banks activity that was done by the bank in the past, is done by the clients themselves in the new generations of banking. But despite clients' access to most banking services, one of the challenges in this field is still the identification and validation of clients' identity (KYC). In the traditional approach, this issue is solved by clients visiting the branches in person, while remote and electronic authentication (e-KYC) or simply internet authentication can be used for this purpose. Despite the existence of some e-KYC solutions in the world, especially in virtual banks and leading banks, this issue is still not resolved, especially for new clients, and forces the client to attend one of the branches. In addition to new clients, access to some sensitive banking services, such as transferring large amounts of money, also requires secure authentication for existing clients.

Why remote authentication?

The requirement to visit the branches in person leads to client dissatisfaction on the one hand and increasing bank costs on the other hand. Therefore, remote authentication is one of the vital requirements for banks and one of the attractive services for clients. On the other hand, remote authentication brings the bank's concern about increasing security risks and non-compliance with related laws (especially anti-money laundering and terrorist financing laws), which should be taken into account.

Digital authentication service (remote authentication) is one of the requirements of generation 4.0 banking and the development of Omni-Channel in banking services, and it becomes more important in special situations such as the Corona crisis, when non-presence of people in public places such as bank branches is necessary. Currently, e-KYC service is provided by various companies in the world for a large number of businesses (including banks and insurances), such as YOTI and IdentityMind.

Advantages of remote authentication

Among the advantages of the virtual identification and authentication solution, the following can be mentioned:

In-person validation
Improving user experience and increasing client satisfaction by reducing visits to bank branches
Reducing the risk and increasing the security of remote client service
Advertising effect for the bank due to the uniqueness of the service
Increasing the range of bank clients, especially VIP clients, the elderly, the disabled, and foreign clients
Strengthening the role of the bank's social responsibility in the current situation of the Corona crisis
Significant reduction in the use of paper and physical filing
Help with anti-money laundering measures
Increasing the rate of client loyalty

Electronic authentication clients

Any organization that needs to authenticate its clients and referees can use the eKYC service of Sepid System. Some of them are:

Banks and financial institutions

Stock exchange organization

insurances

Mobile network operators

In-person authentication offices such as government counter and police+10 offices

Comprehensive client information system

Internet authentication applications in the bank

Increasing the limit of financial transactions

Online investments

Granting loans online

Performing banking services in-person

Opening a bank account

Reducing the cost of transactions

Also, judicial offices use remote authentication for judiciary authentication.

Electronic (Internet) client authentication solution

The Sepid system e-KYC solution, using new technologies, especially encryption and artificial intelligence algorithms, offers a secure method for remote authentication, the modules of which are shown in the figure below. In this solution, in addition to the use of secure identity verification methods such as fingerprint and face recognition, an intelligent method for detecting person aliveness and preventing fraud has been presented, which provides a very high level of security for the solution.

remote identity verification solution ekyc

Using electronic passport in internet authentication

For people with electronic machine-readable passports (MRP), the reading of the machine-readable zone (MRZ) is done using the OCR module, and the keys necessary to use the BAC protocol are extracted from the received information, and then identity information and the photo on the passport chip is read. This can be done now with the Sepid System SDK, which can subsequently perform face recognition with the scanned photo.

Virtual authentication steps in Sepid System solution

The process of digital authentication requires interaction between the client and the server. In this interaction, the client prepares and sends to the server some information such as phone number, national ID code, OTP code, national ID card image, streaming video of his face, national ID card video, national ID card information with NFC and reading a random text. The server is responsible for generating and verifying the OTP code, extracting information from the photo of the national ID card, matching the information extracted from the national ID card with the inquiry from the civil registration, checking the liveness of the video (Liveness Detection), lip-reading processing, voice verification, and speech recognition to confirm the client’s identity.

Face detection and tracking in remote authentication

This module is responsible for detecting the location of the face in live videos received from the camera and is able to process video and face detection on the client side. In this module, all the faces in the video are identified and it is possible to authenticate people digitally based on it. In this module, there is also the ability to follow the person’s face in the video.

Using national smart ID card in virtual authentication

The software designed in Sepid System is able to read information from the national smart ID card through card readers and also through NFC of smartphones. In addition, this company, by the feature extraction section in its fingerprint recognition module, can use the fingerprint received from the scanners to match the national ID card.

Face recognition in electronic authentication

Face Verification module of Sepid System, using modern machine learning methods, especially using deep learning, is one of the most effective face recognition algorithms. It receives a face from an image file (photo) or playing video (stream), and after detecting the location of the face, normalizing the image and removing noise, performs the task of matching the face with the reference photo (for example, the photo on the national ID card inquired from the civil registration organization).

Sepid System also provides face authentication MOC applet, which is able to compare the image received from the camera with the image on smart cards, such as the national smart ID card, and provide the matching or non-matching result. Considering that the national smart ID card does not have this applet, if you use the national smart ID card, this feature can be used outside the card (on the client or server). The face recognition applet can be used when the smart card used is provided by the employer.

Digital signature (ESIGN) in the digital authentication process

One of the important steps in the process of exchanging information between the user and the server is to apply a digital signature to the documents approved by the client. It guarantees that the information is integrated and intact, and the person cannot deny his performance later. For this purpose, the management module and the application of electronic signature on the information are foreseen in the architecture of the Sepid system solution. This component interacts with the public key infrastructure of the bank and its signature key is certified by CA. In fact, this module signs the desired documents with its own key pair and with the support of certificates received from the PKI infrastructure. To keep the private key securely, this code is encrypted and it can be decrypted using the client's biometrics (face image).

Liveness detection in online authentication

The purpose of the presentation attack is to circumvent the face recognition system by using an artificial face representation. Common uses of the fake face include photo printing, electronic display of a face photo, video playback using an electronic display, and 3D face masks. However, to deal with this risk, various facial recognition attack algorithms have been developed, which can identify and reduce potential and targeted attacks. In addition to the detection of liveness indicators based on texture, image frequency and color analysis in the Sepid System solution, lip reading and speech recognition have also been added to this solution to provide sufficient assurance of liveness.

Voice verification in online authentication

You can use this module for situations where a person's voice sample was taken at the time of registration and therefore cannot use it for Cold Start mode (new client). In future client visits, this module can be used as an identification criterion along with other criteria. Text-dependent voice recognition module is used for short speech length in these applications.

Human observer in digital authentication

As a main feature (optionally), a "human observer" can always see the files and video sent to the server and monitor them, and if necessary, can also talk to the client. Because of the sensitivity of security issues in some organizations for some services, such as opening a bank account, a human supervisor accompanies the client from the very beginning, similar to a two-way conversation, to monitor the correctness of doing things and use the information received from smart services as an auxiliary indicator in decision making.

Related products

Hardware

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The Sepid ID is a smart card management software system (CMS or SCMS) that manages the various activities of the smart card life cycle. All processes related to the card, such as handing over the card by the card provider and using it by the card owner, are included in these activities.

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In this face recognition system, all the necessary parts such as locating the face in the image (Face Detection) are included, and the face recognition is done with high accuracy and speed.

Applets

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