Secure Electronic Transaction

What Does Secure Electronic Transaction Mean?

A secure electronic transaction (SET) is an open-source and cryptography-based protocol for secure payment processing via nonsecure networks. In June 2003, SET was published as RFC 3538. SET was replaced by more advanced systems, such VISA’s 3-D Secure.

Techopedia Explains Secure Electronic Transaction

In 1996, SET was launched and backed by VISA, MasterCard and other payment processing industry leaders. SET’s blinding algorithm ensures data confidentiality, data integrity and cardholder/merchant authentication.

An SET system includes the following components:

Merchant
Cardholder/acquirer
Card issuer
Payment gateway
Certification authority (CA)
Dual signature: A guaranteed SET data integrity innovation that links two different recipient messages

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Margaret Rouse

Technology Expert

Margaret is an award-winning technical writer and teacher known for her ability to explain complex technical subjects to a non-technical business audience. Over the past twenty years, her IT definitions have been published by Que in an encyclopedia of technology terms and cited in articles by the New York Times, Time Magazine, USA Today, ZDNet, PC Magazine, and Discovery Magazine. She joined Techopedia in 2011. Margaret's idea of a fun day is helping IT and business professionals learn to speak each other’s highly specialized languages.

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