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Another unexpected nding was the relationship between risk and security investment. One might expect that as US banks are liable for fraudulent transac- tions, they would spend more on security than British banks do; but our research showed that precisely the reverse is the case: while UK banks and building soci- eties now use hardware security modules to manage PINs, most US banks just encrypt PINs in software. Thus we conclude that the real function of these hardware security modules is due diligence rather than security. British bankers want to be able to point to their security modules when ghting customer claims, while www.okayjeans.com US bankers, who can only get the advertised security benet from these devices, generally do not see any point in buying them. Given that the British strategy did not work - no-one has yet been able to construct systems which bear hostile examination - it is quite unclear that these devices add any real value at all.
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