Cryptography for Dummies. A Primer on Crypto Basics
Network logons and password are the simplest way to keep unauthorized users off the network and sections of data which are not meant to share with others. Logons and password input are the easiest way of encryption offered by operating systems provider. Each OS provider develops their own encryption algorithms and basically, this algorithm indicates how easy it is to crack into ones computer, steal data and see sensitive information (passwords, PIN codes, bank account information etc).
Secure Web transactions is one of the ways we interact with cryptosystems without us knowing it. To correct the problem of the Web sending and receiving sensitive data, some fixing had done to the HTTP protocol – was created alternate protocol S-HTTP (Secure HTTP) so the files could be sent encrypted. But this only allows to encrypt individual messages. Also was created SSL (Secure Sockets Layer) which is designed to allow a secure connection between web browser and Web server, and all data that travels between the two can be encrypted. SSL has become a standard for all web browsers and servers.
ATMs uses encryption as well. When the PIN is entered, the banks account number (which is also encrypted) is being compared to entered encryption key if they matches. All of this job is done by banks system which is connected by web network and on which the transmitted data is being also encrypted. But money transaction and operations within bank needs to be encrypted with strong crypto because in case of weak cryptosystem the whole banks system would be cracked and robbed in a second.