Development of integrated mobile money system using Near Field Communication (NFC)

Nowadays smartphone is widely used in every part of the world. Trend that is happening now is mobile phone penetration tends to decrease while the smartphone tend to increase. More and more newly launched smartphone offers support for Near Field Communication (NFC). NFC technology enables simple and safe two-way interactions between electronic devices. This research has developed a smartphone-based electronic payment system using NFC. Besides being used to make a payment, the system can be expanded to other applications such as time and attendance machine for a community. To compensate the lack of physical secure element, registration, synchronization, top-up, and attendance record process is done online, while the transaction is done offline. Various cryptographic algorithms are used, such as password-based key derivation function and key wrap algorithm to maintain the security of the system. Devices used in this research are Android smartphones and NFC reader module CN-370S-2.