Demystifying OTP - The One Time Password
OTP is an acronym commonly used in online security and authentication processes. But what does OTP stand for and how does it work?
Full Form: One Time Password
OTP stands for One Time Password. As the name suggests, it is a password that is valid for only one login session or transaction.
OTPs provide additional security for scenarios where standard static passwords could be vulnerable:
Logging in from new devices
Accessing highly sensitive information
Financial transactions
Account recovery
After using an OTP to authenticate, it expires immediately. A new unique OTP is required for the next login attempt.
Generation of OTPs:
Hardware Token - A small device with changing codes. Eg. RSA SecurID tokens.
SMS - OTP sent to user's mobile phone via text message.
Email - OTP delivered to user's email inbox.
Mobile App - App generates OTP codes. Eg. Google Authenticator.
Benefits of OTPs:
No risk of reused passwords getting hacked
Protects against password stealing malware
Prevents unauthorized access if static password leaks
Convenient integration into login workflows
OTP adds an extra layer of protection beyond standard passwords. With OTPs, gaining access requires possession of the registered mobile phone or token device to retrieve codes. This enhances security for transactions, sensitive systems, and recovery needs
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