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International Journal of Trend in Scientific Research and Development (IJTSRD) @ www.ijtsrd.com eISSN: 2456-6470
5.2. User Experience Issues platform. The implementation of OTP reduced account
OTP Delivery Delays: SMS or email-based OTPs can be takeover incidents by 75%.
delayed, causing frustration for users.
7.2. Example 2: E-Commerce Security Breach
Inconvenience: Requiring an OTP for every transaction An analysis of an e-commerce platform where OTP failed due
can be burdensome, especially if the user has to to phishing attacks, which led to a data breach. The study
frequently enter codes. emphasizes the need for multi-layered security.
5.3. OTP Theft 8. Conclusion
Physical theft of OTP-generating devices (e.g., tokens or OTP mechanisms offer a critical layer of security in securing
smartphones) can compromise security. online transactions by mitigating many risks inherent in
traditional password-based systems. However, OTP systems
6. Best Practices for Enhancing OTP Security are not without their limitations, including vulnerabilities in
6.1. Integration with Multi-Factor Authentication transmission and user experience concerns. By adopting best
(MFA) practices such as multi-factor authentication, device binding,
OTP should be used in combination with other and educating users, organizations can significantly enhance
authentication factors, such as biometrics (fingerprint or their security posture. As technology evolves, OTP systems
facial recognition), smart cards, or PINs, to provide a more will continue to play a vital role in defending against cyber
robust defense.
threats.
6.2. Short Expiration Windows
9. Future Directions
Reducing the OTP validity time (e.g., 30 seconds to 1 minute)
Biometric OTPs: Combining OTP with biometric
limits the window for attackers to exploit intercepted OTPs.
authentication for even more robust security.
6.3. Device Binding Blockchain for OTP Integrity: Using blockchain
Binding OTPs to specific devices can prevent them from technology to ensure the integrity of OTP generation and
being used on unauthorized devices. This could be achieved validation processes.
by associating the OTP with the user’s registered phone or
other personal devices. AI and Machine Learning in Anomaly Detection:
Leveraging AI to detect abnormal OTP usage patterns in
6.4. Monitoring and Anomaly Detection real-time.
Constant monitoring of OTP request patterns can help detect
suspicious activities, such as multiple failed attempts, logins References:
from unusual locations, or concurrent requests. [1] Usha Kosarkar, Gopal Sakarkar (2023), “Unmasking
Deep Fakes: Advancements, Challenges, and Ethical
6.5. Educating Users
Considerations”, 4 International Conference on
th
Training users to recognize phishing attempts and use strong Electrical and Electronics Engineering (ICEEE),19 &
th
security practices (e.g., setting up additional layers like 20 August 2023, 978-981-99-8661-3, Volume 1115,
th
device PINs or biometrics) can reduce vulnerabilities.
PP. 249-262, https://doi.org/10.1007/978-981-99-
7. Case Studies and Examples 8661-3_19
7.1. Example 1: Banking Security Enhancement with [2]
OTP Usha Kosarkar, Prachi Sasankar(2021), “ A study for
Face Recognition using techniques PCA and KNN”,
A case study of a financial institution that successfully
Journal of Computer Engineering (IOSR-JCE), 2278-
implemented OTP-based 2FA for its online banking
0661, PP 2-5
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