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Seems like in the building seurity case, that could be a huge afffordable improvement over RFID tags; I.e. Tap and get a key that you respond to wth a crypto function vs. RFID where any idiot can scan and replicate your tag.

Nobody uses that sort of "dumb tag" RFID for building access purposes. For instance, the HID access cards use a challenge/response authentication with nonces. [0]

[0]: http://static.usenix.org/event/woot11/tech/final_files/Garci...

Thanks for sharing that. Wouldn't it still be cheaper to implement with software (and potentially more flexible) than with an integrated circuit?

How? It's a challenge/response protocol with the processing on the NFC chip/card/object.

Not sure you can copy all RFID tags; NFC is often classed as a type of RFID.

NFC is a subset of RFID.

Actually, it's the other way around. NFC is a superset of many different types of RFID standards that operate all under 13.56MHz - FeliCa, MiFARE, Topaz, ISO14443 etc in addition to include different communication protocols (SNEP for example) as well as payload standards (NDEF).

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