Enhanced Cryptocurrency Security by Time-Based Token Multi-Factor Authentication Algorithm

A noble multi-factor authentication (MFA) algorithm is developed for the security enhancement of the Cryptocurrency (CR). The main goal of MFA is to set up extra layer of safeguard while seeking access to a targets such as physical location, computing device, network or database. MFA security scheme requires more than one method for the validation from commutative family of credentials to verify the user for a transaction. MFA can reduce the risk of using single level password authentication by introducing additional factors of authentication. MFA can prevent hackers from gaining access to a particular account even if the password is compromised. The superfluous layer of security introduced by MFA offers additional security to a user. MFA is implemented by using time-based onetime password (TOTP) technique. For logging to any entity with MFA enabled, the user first needs username and password, as a second factor, the user then needs the MFA token to virtually generate a TOTP. It is found that MFA can provide a better means of secured transaction of CR.

I. Introduction

Technology grows at a speedy rate, and the success of a technology is almost solely determined by the market upon which it seeks to improve. CR is a solitary new technology that is worn for electronic fund transfer. The CR is a promptly upward technology that can be adopted in a mixture of use including bank and online transaction. Surroundings background history of CR was very motivating. People began toying with the idea of digital cash and virtual currency as part of game [1]. CR first came into use in Netherlands, in late 1980s [2]. In 1983, American cryptographer David Chaum was implemented digital cash (Digicash) based on his famous blinding formula [3]-[4]. In 1990 he founded Digicash as an electronic cash company, but the Digicash company went bankrupt in 1998 despite the enthusiasm surrounding anonymous electronic cash management. The first prospect of CR was peer-to-peer network to prevent double-spending and it is absolutely decentralized with no server or central authority. The primitive CR could not prove itself promising to supersede traditional edict currency. Between 1998 and 2008 there were no successful implementations of electronic cash because it failed to offer a decentralized, anonymous, and untraceable system. Lastly in 2008 Satoshi Nakamoto suggested a decentralized CR known as bitcoin [5]. By 2009 this newly introduced CR gained popularity and was accepted by the business community. This bitcoin could successfully solve many problems related to our legacy currency. CR could vary the technique of internet-connected worldwide markets cooperate with all other, clearing left obstruction surrounding normative national currencies and exchange rates. CR changed digital trade markets by creating a free streaming trading system without fees [6].