2023 The 8th International Conference on Computer and Communication Systems
2023 8th International Conference on Computer and Communication Systems (ICCCS) | 978-1-6654-5612-8/23/$31.00 ©2023 IEEE | DOI: 10.1109/ICCCS57501.2023.10150939
A Case Study of using Cryptography for the
Improvement of Data Security in E-commerce
Industry in the Philippines
Dr. Eric B. Blancaflor
School of Information
Technology
Mapúa University
Makati City, Philippines
ebblancaflor@mapua.edu.ph
Leigh Ann M. Competente
School of Information
Technology
Mapúa University
Makati City, Philippines
lamcompetente@mymail.mapua.
edu.ph
Jeremy D. Fallar
School of Information
Technology
Mapúa University
Makati City, Philippines
jdfallar @mymail.mapua.edu.ph
Kristine Joy R. Piopongco
School of Information
Technology
Mapúa University
Makati City, Philippines
kjrpiopongco@mymail.mapua.ed
u.ph
Leicester Noel L. Salinas
School of Information
Technology
Mapúa University
Makati City, Philippines
lnlsalinas@mymail.mapua.edu.ph
It improves their performance in supply-chain management,
expands into new markets, and improves services for both
consumers and suppliers. E-commerce is an innovative way of
selling and purchasing products [2] [3]. It surpasses traditional
methods of obtaining and bartering products since E-commerce
allows all transactions on the Internet [4]. Transaction of goods
are done virtually [4]. Cryptography is an ancient technique that
entails writing in secret code [5] [6] [7]. Initially, there are two
essential terms in Cryptography: plaintext and Ciphertext. The
plaintext is the unencrypted data, while the Ciphertext is the
encrypted data [6]. Aside from this, there are different
algorithms used in Cryptography: The Secret Key (Symmetric)
Algorithm, Public Key (Asymmetric)Cryptography, and Hash
Functions [8]. In addition, the algorithms mentioned above have
different uses, which will solely depend on their specific
functions [6]. Lastly, there are also tools used to execute various
cryptography actions. Security Token, JCA, SignTool.exe,
Docker, CertMgr.exe, Authentication Using Key, Algorithms,
Triple DES, and Blowfish are a few examples of Cryptography
tools [8].
Abstract— Data security is a major concern in the e-commerce
industry in the Philippines, leading to trust issues among
customers regarding the safety of their personal information.
Cryptography is a crucial aspect of securing data in e-commerce
by providing privacy to data transmission in the presence of
potential threats. The study aimed to discuss and understand the
improvement of Data Security in the E-commerce industry in the
Philippines. A survey was conducted with 21 e-commerce platform
users ranging from 18 to 30 years old to evaluate whether
cryptography has improved data security in e-commerce from the
consumers' perspective. The result showed that most respondents
are satisfied with the current data security methods but strongly
agreed to improve the E-commerce websites' security further.
Thus, the recommendation of Cryptography as a data security
method. The findings of this case study highlight that the best
cryptography algorithm is the RSA algorithm due to its superior
security, effectiveness, and widespread use. Next-generation
encryption was found to be the best cryptographic tool, offering
multi-layered protection by acting on threat detection across the
entire network.
Keywords—E-commerce,
Algorithms, Data Security
I.
Cryptography,
Philippines,
A. Background of the Study
The Internet has transformed the business landscape and
opened up new prospects for companies all around the world.
The electronic commerce (e-commerce) phenomena have
emerged as a result of the global expansion of information
technologies [9]. The e-commerce industry in the Philippines
business has been steadily growing in recent years, as evidenced
by sales projections on the year 2020 [10]. In a recent survey
conducted by Statista.com, shoppers in the Philippines used any
device to browse a merchant's website or shopping applications
to buy products or services [11]. As a result, e-commerce
INTRODUCTION
Securing data in E-commerce is an essential factor in success
in the industry [1]. E-commerce is a critical instrument in
conducting a business [2]. Cryptography is a powerful asset that
can safeguard data stored and conveyed in an advanced
structure. Cryptography can assist with guaranteeing the privacy
of information, recognizing unauthorized modifications in data,
and accordingly help to keep up with its integrity and to verify
the asserted identity of an individual or a computer framework.
978-1-6654-5612-8/23/$31.00 ©2023 IEEE
Nicole Florence J. Magadan
School of Information
Technology
Mapúa University
Makati City, Philippines
nfjmagadan@mymail.mapua.edu.
ph
695
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industry in the Philippines has skyrocketed, as more and more
Filipinos opt to buy from an online store because of the
convenience it provides.
Since there are still security threats and risks present in the
E-commerce industry despite the security measurements
implemented in the system, researchers were motivated to
further study current cryptographic tools used to secure data
storage and transmission in an e-commerce platform.
When it comes to the data security of e-commerce
businesses in the Philippines, for the Department of Trade and
Industry said that it is non-negotiable and must be given
importance since the data, privacy and lives of the consumers
are needed to be protected and preserved [12]. This is why the
Philippine legal framework for e-commerce is comprised of a
number of laws governing retail trade, consumer protection laws
and regulations, such as data protection and intellectual property
rights law, the majority of which were enacted years before the
industry's growth but are now being used to regulate it [13].
C. Objectives
The researchers aim to discuss and understand the
improvement of Data Security in E-commerce industry in the
Philippines through the following objectives:
• To gather the consumer’s point-of-view on E-commerce
using Cryptography to improve data security.
• To compare Cryptography from other Data security
method in the E-commerce industry in the Philippines.
Yet, like other countries around the world, Philippines is not
an exception to various cyberattacks. Despite the fact that it is
ranked 30th in the world in terms of e-security, because of its
vast social media-savvy populace and lack of data protection
safeguards, the Philippines is vulnerable to cyber-attacks and
mishaps [14]. Common and problematic topics gradually risen
from the worldwide to the local setting behind this widespread
popularity. With increased connectivity, however, comes an
increase in cyber risks. Filipinos are individually vulnerable to
data breaches and privacy violations on the internet. These
common issues in data security of e-commerce industry, caused
trust issues, privacy concerns and many more [4], prompted the
researchers to conduct a case study and look closely into the
gaps and missing links in the data security of e-commerce
industry in the Philippines.
• To determine the best Cryptography algorithm to
improve data security in the E-commerce industry in the
Philippines.
• To determine the best Cryptography tool to improve data
security in the Philippines’ E-commerce industry.
II.
LITERATURE REVIEW
A. Cryptography Algorithms: Comparison
The NPC or National Privacy Commission (NPC) is an
independent branch of the government responsible for securing
and protecting the information of the Filipinos. The NPC
presents prominent data security methods especially in Ecommerce: Data Center, Protecting Personal Information, and
Data Sharing and Encryption [18]. The most prominent
approach NPC mandated was the Data Privacy Law which will
also be discussed in the succeeding paragraphs. NPC's presented
data security methods have some drawbacks. On the other hand,
Cryptography has numerous advantages; therefore, the
aforementioned data security methods will be compared and
contrasted with Cryptography to prove its effectiveness in data
security.
Cryptography is a set of techniques for encrypting or
disguising data so that only someone who can restore it to its
original form has access to it [15]. Cryptography provides a
robust, cost-effective foundation for keeping data secure and
validating data integrity in today's computer systems.
Cryptography can be used to safeguard the secrecy of data in
storage or in transit, such as financial or personal information
and most especially in the electronic commerce field. These
approaches are essential for the development and usage of
national and international information and communication
networks and technologies, as well as the growth of electronic
commerce [16]. With these being said, researchers will delve
into how cryptography can be used in improving data security
of e-commerce industry or businesses in the country.
Table I summarizes the different security method with
features in the Philippines. As the foundation of present security
systems, cryptography is utilized to get exchanges and
communications, personal identifiable information, and other
private information, verify identity, forestall archive altering,
and establish trust. Out of all security methods, Cryptography,
then, not only protects data from theft or modification but can
likewise be utilized for user verification. The transactions made
in E-commerce are protected against security threats [1] which
is made possible by Cryptography.
B. Statement of the Problem
Concerns relating to security risks have arisen as a result of
the growth of eCommerce. This is one of the most pressing
issues in eCommerce. Hackers and fraudsters are threatening to
assault the host server, not only stealing personal data but also
introducing viruses.
TABLE I. COMPARISON OF DIFFERENT SECURITY METHODS
Credit and debit card data breaches have grown
commonplace, and these gaps have a direct impact on a
consumer's confidence. Another concern is phishing, in which
hackers masquerade as a company and beg consumers for
personal information. Several consumers are becoming
increasingly concerned about the capacity of eCommerce
websites to successfully protect their personal information as
well as transaction details [17].
Comparison of Different Security Methods
696
Data Security
Method
Advantages
Data Center
Stores, manages, and
spreads information and
confidential data
Encryption
Encodes the data only to
approve individuals
Disadvantages
Vulnerable to physical
security risks, such as
theft, natural disasters,
and power outages.
Slows
down
the
transaction process.
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known as the private key. The public key is used to encrypt the
original communication, while the private key is used to
decrypt it. The receiver generates both the public and private
keys. The receiver then sends the sender the public key via a
public-key distribution channel. For both encryption and
decryption, the asymmetric key cryptography employs
mathematical functions, whereas symmetric key cryptography
employs symbol substitution and permutation. Some of the
examples are RSA, El Gamal Cryptosystem, Key Generation,
Diffie Hellman Key Exchange, DSA and more [26].
Hash functions, known as message digests or one-way
encryption, are algorithms that do not require a key. Instead, it
is a fixed-length hash value is calculated based on the plaintext,
making it impossible to reconstruct the plaintext's contents or
length. The Hash algorithms are used to generate a digital
fingerprint of a file's contents, which is frequently used to
confirm that the file has not been tampered by an intruder or
virus [27]. Some of the examples are Message Digest (MD),
Secure Hash Algorithm (SHA), RIPEMD and many more [6].
Comparison of Different Security Methods
Data Security
Method
Data Sharing
Cryptography
Advantages
Disadvantages
Under the care of a
personal
information
controller or personal
information processor
Gives the four most
essential services of data
security
which
are
Confidentiality,
Authentication,
Data
Integrity,
Nonrepudiation
Increase the risk of data
breaches.
Complex and difficult
to implement correctly.
B. Types Cryptography Algorithms
To protect communication, cryptography was originally
utilized in Ancient Egypt around 1900 BC with substituted
hieroglyphics [19]. The requirement for data to be safeguarded
more and more securely is driving the development of more
complex cryptography solutions. The mathematical equation
used to scramble plain text and render it unreadable is known
as a cryptographic algorithm. Data encryption, authentication,
and digital signatures are all done with them. Most ciphers and
algorithms employed in the early days of cryptography have
been cracked, rendering them ineffective for data security [20].
Today's algorithms can be decrypted but deciphering the
meaning of a single message would take years, if not decades.
In a cryptographic system, cryptographic algorithms are
sequences of operations, or rules, that are used to encrypt and
decrypt messages [21]. In simple terms, the said algorithms are
procedures that safeguard data by preventing unauthorized
access. These algorithms have a wide range of applications. If
cryptographic services are required, NIST recommends using
cryptographic algorithms that are either FIPS-approved or
NIST-recommended [22]. These algorithms have undergone
comprehensive security testing and analysis to verify that
provide acceptable security.
Cryptographic algorithms can be classified in a various of
ways. For the purposes of this study, these algorithms will be
classified based on the number of keys used for encryption and
decryption, and on their application and use. The following are
the three types of algorithms that will be explored are:
symmetric encryption, asymmetric encryption, and hash
functions.
A single key is used the encryption and decryption in
symmetric encryption or secret/private key cryptography. The
sender encrypts the plaintext using the key and sends the
ciphertext to the recipient. The recipient uses the same key to
decode the message and recover the plaintext [23]. The key
must be known by both the sender and the recipient in this type
of encryption; this is, after all, the secret. The key distribution
is, obviously, the most difficult aspect of this strategy. Some of
the examples are Data Encryption Standards (DES), Advanced
Encryption Standards (AES), 3DES, Blow Fish, Multiphase
Encryption and RCA [24].
Asymmetric encryption is a method of encrypting and
decrypting data that uses separate keys for both encryption and
decryption [25]. One key is the public key, while the other is
C. Well- known Cryptography Algortihms Comparison
There are a lot of studies conducted in the past which are
trying to figure out what cryptography would work the best. In
a comparative study of different key algorithms by Verma et al.
compared the AES, DES, 3DES, RSA and Blowfish algorithms
[28]. From the result of the study and table 7 shows that both
Blowfish and AES are the most efficient and the most secure
algorithms.
Shashi and Rajan also compared three algorithms namely
DES, AES and RSA. The study concluded that in terms of
memory usage AES algorithm is least, while in terms of
encryption time DES algorithm consumes the least [29]. Also,
in terms of output byte the RSA algorithm is least but it has the
highest memory usage and longest encryption time.
In another study conducted which is about comparing DES,
AES and Blowfish algorithm [30]. The study concluded that
Blowfish did not show any known security weak points in their
conducted study and that among the algorithms used, it showed
a better performance.
In comparative study conducted by Mathur et al. between
cryptography algorithms such as DES, 3DES, RSA, DH and
some hybrid techniques like AES-RSA, dual RSA based on
their efficiency [31]. The study concluded that the symmetric
algorithms efficiency is more than compared to asymmetric
algorithms efficiency.
Based on these studies cited, the most common
cryptographic algorithms are AES, DES, 3DES, RSA and
Blowfish algorithms. The said algorithms also possess their
own strengths and setbacks. Although symmetric and
asymmetric are known techniques for data security, symmetric
cryptography algorithms like AES, DES, 3DES and Blowfish
are better algorithms to be used in processing, wireless
communication, and e-commerce type of services. While
asymmetric cryptography algorithms like RSA are the best
choice for web application, key exchange, banking and other.
In addition, RSA is the ideal solution for e-commerce websites
because to its superior security, effectiveness, and wide usage.
697
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their account since the mean is 4.14, which is equivalent to
Agree.
In E-commerce protocols, RSA is frequently utilized, given
suitably long keys and the usage of modern implementations, it
is thought to be secure [32]. Comparison of these algorithms is
presented in Table II.
TABLE III. ENCOUNTERED PROBLEMS RESULT TABLE
Encountered problems by the consumer
Question
TABLE II. COMPARISON OF WELL- KNOWN ALGORTIHMS TABLE
[30,31,32]
I experienced unauthorized
access to my account even
though I did not give out
my personal information to
others.
After purchasing an item
online,
I
experienced
getting a multitude of spam
with links via email or
social media inboxes.
After purchasing an item
online, I experienced my
credit card was obtained by
a hacker.
I experienced being unable
to login into my account
even though the details I
provided are correct.
After purchasing an item
online, I did not receive any
security
threats.
For
example, my computer is
not compromised or after
buying a product online, or
I did not receive any
unusual spam messages
from various sources that
are trying to sell me
products.
Comparison of Well- known Algorithms table
Performance
Criteria
DES
3DES
Year created
1970
1978
BLOWFISH
AES
RSA
1993
2000
1977
32-448
128,192,25
6
Key length
56
192,168
Block size
64
64
64
128
1024
2048
192
10,12,14
1
Fast
Slow
Rounds
16
16
16
Efficiency
Slow
Fast
Fast
III. METHODOLOGY
To present the consumer’s perspective in E-commerce’ data
security, this study has conducted a survey to user’s who
patronize popular e-commerce platform in the Philippines, one
of the factors that consumers consider too trusting an Ecommerce business is their personal data [17][33][34].
Therefore, E-commerce businesses apply Cryptography to their
system to secure their consumers' information. This study has
gathered the consumers' point-of-view on E-commerce using
Cryptography to improve data security. It is important that to
accumulate the consumers' perspectives on data security since
consumers are the primary user of E-commerce [35]. Survey
questionnaire uses a Likert scale which contains five-level
response options which are (1) Strongly disagree, (2) Disagree,
(3) Neutral, (4) Agree, and (5 Strongly Agree). Aside from this,
the mean will be the central tendency, which will be compared
to the interval. Table 1 shows how the interval is accumulated
using the interval length, 0.8.
Code
Mean
Level
Unauthorized
access
2.48
Disagree
Spam
3.14
Neutral
Credit card
hacking
2.01
Login error
4..14
Security threats
2.33
Disagree
Agree
Disagree
B. Satisfaction with Data security
The category aims to determine if the consumers are
satisfied with the data security of E-commerce (see Table IV).
E-commerce also uses Cryptography. One of the widely used
applications of Cryptography is Encryption [36]. According to
Table IV, the consumers are satisfied with the security of Ecommerce with a mean of 3.57 and 3.86, which is equivalent to
Agree. Despite their satisfaction, the consumers perceive that
E-commerce should further improve their security with a mean
of 4.57, which is equivalent to Strongly Agree. As
Cybersecurity is continuously progressing, security threats are
also rising; therefore, it is important to improve security
technologies further through encryption techniques [3].
The survey was answered by 21 respondents ranging from
18 to 30 years old who uses E-commerce platforms such as
Shopee, Lazada, Zalora, BeautyMNL, Shein and so forth. In
addition, the questionnaire comprises 10 questions and is
divided into three categories which are Encountered problems,
Satisfaction with data security, and Awareness. These categories
will help determine if Cryptography improved the data security
in E-commerce from the consumer's perspective.
TABLE IV. SATISFACTION WITH DATA SECURITY RESULT TABLE
IV. RESULTS
Satisfaction with Data Security result table
Question
A. Encountered Problems
As shown in Table III, there are five questions under the
category of Encountered problems. The category aims to
determine if the consumers have encountered any problems with
E-commerce security. Moreover, the consumers did not
experience any problem with unauthorized access to their
account, credit card hacking and security threats since the mean
is between Disagree and Neutral. On the other hand, the
consumers are undecided with the experience of Spam with
links. In contrast, the consumers have problems logging into
I am confident that all
personal information I
share on E-commerce
websites and applications is
secured.
I am satisfied with the
security E-commerce uses
in their applications and
websites.
698
Code
Mean
Level
Personal
Information
3.57
Agree
Security
3.86
Agree
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Satisfaction with Data Security result table
Question
Code
Mean
Level
I feel that E-commerce
should improve its data
security.
Improve Data
security
4.57
Strongly
Agree
C. Awareness
The category aims to determine if the consumers are aware
with E-commerce's data security. According to Table V,
respondents are divided between those who are aware of
cryptography’s role in securing the consumer’s data and those
who are unaware that E-commerce utilizes Cryptography in
their system since the mean is 3.24, equivalent to Neutral. On
the other hand, the consumers are aware of the data security
method that E-commerce uses with a mean of 3.67, which is
equivalent to Agree. Therefore, the consumers know the data
security E-commerce uses, but the respondents are impartial that
E-commerce also uses Cryptography in their system.
TABLE V. AWARENESS RESULT TABLE
Awareness result table
Question
I am aware that Ecommerce
uses
Cryptography to secure the
consumer's data.
I am aware of the data
security method used by Ecommerce to protect the
consumer's data.
V.
Code
Mean
Cryptography
3.24
Data security
method
3.67
Level
Neutral
Agree
CONCLUSION
Cryptography in securing the data in E-commerce is
beneficial for the industry and its customers. The techniques
asymmetric and symmetric for securing the data are wellknown. The studies show that symmetric encryption algorithms
such as DES, AES, and 3DES are preferable for wireless
connectivity, handling, and e-commerce. Aside from that,
Cryptography has tools that were innovated in the country. Fully
homomorphic encryption, or FHE, is a platform that allows
users to analyze cloud storage without having to decode it. To
conclude, most of the respondents are satisfied with the current
data security methods but strongly agrees to further improve the
E-commerce websites. The study recommended Cryptography
to improve the data security in the E-commerce industry. In
contrast with other data security methods such as encryption,
data center and data sharing, Cryptography stand out among the
rest. Cryptography provides a scheme confidentiality, data
integrity, authentication, and non-repudiation, which are the five
pillars of Information security. Aside from that, the best
Cryptography algorithm to use in E-commerce websites in the
Philippines is RSA since it is effective and widely used in Ecommerce. In addition, the best cryptography tool to use is the
Next- generation encryption since it acts on threat detection with
the entire network by having several layers of protection.
Ultimately, Cryptography has the potential to improve the
security and privacy of online transactions of the consumers
[37].
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