Communication is an essential part of life. We can say that it marks the progress of human beings. Traditional media for communication are the sending of letters through the Post Office, talking over the phone through the Telecommunications company, or -- more commonly -- to speak directly with the other person. These traditional media have existed for a long period of time and special provisions have been made so that people can communicate in a secure way, either for personal or for business communication. For face–to–face communication, people can recognise each other's physical characteristics or they can compare hand–written signatures with that of official documents like an ID card. Mimicking all of the physical characteristics of a person is difficult. People can accept with a high level of certainty the identity of their colleague. Signature forging is difficult and there are laws that define forging as a crime. The bottom line is that for each communication medium, there is a transitional period when specific laws and technologies are set in order for people to communicate securely and transparently.
The Internet, as a network that interconnects networks of computers around the world, is a new communication medium that is substantially different from existing ones. For example, on the Internet, the communicating parties do not have physical contact. It is rather more difficult for one to disguise oneself to someone else, immitate the voice and other aspects behaviour and get information on prior common experiences. On–line transactions do not impose such barriers for illegitimate transactions. Additionally, on the Internet, one can automate the same type of fraud bringing higher gains and a bigger incentive. The law and the technologies to let transparent and secure communication have not been fully defined or set yet.
Cryptography has provided us with digital signatures that resemble in functionality the hand–written signatures and digital certificates that relate to an ID card or some other official document. However, in order to use these technologies, we need to make the necessary provisions so that their usage is equally transparent and secure.
The Public Key Infrastructures along with the Priviledge Management Infrastructure are candidates to aid this transparency and security of applications of the Internet. Both of these concepts are described in Chapter 6.
Cryptography has several differences from pure mathematics. One of these is that cryptography is more descriptive in its textbooks. While a mathematician may use A and B to explain an algorithm, a cryptographer may use the fictious names Alice and Bob. Thus, in the next sections, the names Alice and Bob are not randomly chosen; they can be found in almost all cryptography textbooks.
Suppose Alice wants to send a message to her bank to transfer money. Alice would like the message to be private, since it includes information such as her account number and transfer amount. One solution is to use a cryptographic algorithm, a technique that would transform her message into an encrypted form, unreadable except by those for whom it is intended. When encrypted, the message can only be interpreted through the use of the corresponding secret key. Without the key the message is useless: good cryptographic algorithms make it so difficult for intruders to decode the original text that it isn't worth their effort.
There are two categories of cryptographic algorithms: conventional and public key.
Conventional cryptography, also known as symmetric cryptography, requires that the sender and receiver share a key: a secret piece of information that is used to encrypt or decrypt a message. If this key is secret, then nobody other than the sender or receiver can read the message. If Alice and the bank each has a secret key, then they may send each other private messages. The task of privately choosing a key before communicating, however, can be problematic.
Public key cryptography, also known as asymmetric cryptography, solves the key exchange problem by defining an algorithm which uses two keys, each of which can be used to encrypt a message. If one key is used to encrypt a message, then the other must be used to decrypt it. This makes it possible to receive secure messages by simply publishing one key (the public key) and keeping the other secret (the private key).
Anyone may encrypt a message using the public key, but only the owner of the private key is able to read it. In this way, Alice may send private messages to the owner of a key–pair (the bank) by encrypting it using their public key. Only the bank can decrypt it.
Examples of public–key algorithms can be found at Appendix C.