Token-based authentication is a method of verifying a user’s identity using a physical or digital device, called a token, that generates one-time passwords (OTPs) or cryptographic keys.
- These tokens provide a second layer of security beyond traditional username-password combinations.
Types of Tokens:
1.) Hardware Tokens:
- These are physical devices, such as RSA SecurID or YubiKey, that generate time-based one-time passwords (TOTP). The user enters the displayed OTP as part of the login process. The code changes every few seconds, making it difficult for attackers to reuse.
2.) Software Tokens:
- These tokens are mobile applications like Google Authenticator, Microsoft Authenticator, or Authy. They generate the same kind of time-based OTPs as hardware tokens but are more convenient since they run on smartphones.
3.) Smart Cards:
- Smart cards such as Common Access Cards (CAC) or Personal Identity Verification (PIV) cards contain an embedded chip that performs cryptographic operations. When inserted into a card reader, the chip authenticates the user to the system using secure digital certificates and private keys.
Advantages of Token-Based Authentication:
1.) Higher Security than Passwords Alone:
- Tokens add an extra layer of protection by generating dynamic authentication codes, which are much harder to compromise than static passwords.
2.) Resistant to Phishing Attacks:
- Since OTPs expire quickly and cannot be reused, even if an attacker intercepts a token code, it becomes useless after a short time.
Disadvantages of Token-Based Authentication:
1.) Risk of Loss or Theft:
- Physical tokens can be lost, stolen, or damaged, which can prevent legitimate users from accessing their accounts.
2.) Device Dependency:
- Software tokens depend on mobile apps or secondary devices. If the device is unavailable, such as due to battery failure or theft, the user may be locked out.
