1.       What are the three types of mobile payments, and how do they differ?

-          Proximity payment system: Examples of this payment are Google pay, Apple Pay, Samsung Pay. It is a POS free to customers, credit card companies will charge a fee of 3% for each transaction. For example, Apple collects .15% from the credit companies and banks and in return, Apply guarantees the transaction is valid. Apple do not store any funds, it only acts as an intermediary between customers and credit companies.

-          Branded proximity payment system: this payment is usually used for  loyalty rewards, local product promotion, and to harvest purchase data from their customers. Examples are Starbuck, Target, Dunkin Donuts.

-          Proprietary app with P2P system: it is the system that allows sending money from one person to another, it can also be used to pay to a specific number of merchants. Sending money with the system is like writing an e-check. Users can also store funds with P2P system.


2.       Who are the largest adopters of mobile payment methods? Why?

Millennials are the largest adopters of mobile payment because they like fast transaction, they also spend a lot, therefore, whichever methods of payment that are easy and convenient will win them over. Millennials are also the largest group who owns smart phones and has enough trusts to use smart phones for everything. Mobile payment will definitely adopted by them.


3.       Why are digital wallets provided by Apple, Google, and Samsung not growing as fast as expected?

Because the market becomes saturated.  There are more and more business having their own branded proximity payment system and P2P system. The market share is spread into many businesses. Therefore, Apple, Google, and Samsung pay are not the only one who owns most of the market share.


4.       What is Zelle and why did it grow so fast in the last few years?

Zelle is a digital payment service that allows bank customers to make digital payments and transfers to other account holders using an app and to receive payments rom others. It grows so fast for these reasons. First, Zelle is a P2P payment service, the transfer is instantaneous, automatic payment


Project questions:

1.       Explain why an e-commerce site might not want to report being the target of cybercriminals?

Stealing online is less risky than stealing in a physical store because it is harder to find the person who did it normally it has an anonymous profile. Some way criminals steal online is by introducing a virus on computers that allow them to commit fraud, or intercepting emails with important information.


2.       Briefly explain how public key cryptography works?

The sender encrypts a message using the recipientís public key, and then sends it over the Internet.  The only person who can decrypt this message is the recipient, using his or her private key.  However, this simple case does not ensure integrity or an authentic message.