Security Token Password Managers
Security tokens like smart cards or secure USB flash devices are seen by security experts as the best way to authenticate users, since many require multi-factor authentication. The data stored in the token is usually encrypted to prevent probing and unauthorized reading of the data. Some token systems still require software loaded on the PC along with hardware (smart card reader) and drivers to properly read and decode the data. Some of the other advantages include: tokens can also be either contact or contactless smart card, stand-alone client based or tied into active directory. These tokens can be combined with RF ID badges for building access and use other security protocols like single sign-on (SSO), one-time passwords (OTP) and public-key infrastructure (PKI) instead of passwords to establish the trust. These tokens can be thought of as the key to secure the virtual front door.
The disadvantages include the different costs of ownership. Some implementations require back end server modifications, extensive training, server-to-token synchronization, outside certificate authorities and expensive tokens. Others may be less expensive to implement and have a lower cost of ownership, but many not support authentication, authorization, data integrity and non-repudiation. It's not that one token solution is better than another, but rather which is right for your environment, risk and budget.
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