Eli5: How does the chip in credit/debit cards provide an extra layer of security?

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More and more card readers at POS terminals now support tap to pay means of making a payment. If we are not inserting the chip end of the card, how is it providing additional security?

Edit: wow, lots of great information, thank you folks for taking the time and explaining it like I’m 5.

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Anonymous 0 Comments

The exact same way as adding a second key lock to you houses front door would. It’s just an extra check, now instead of a single key you need two and both must be present at the same time to open the lock. I can copy your cards strip information (key A) but I also have to have the chips information (key b) or I can’t get in.

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