I don't know how this is implemented exactly, but I imagine that PayPal knows the algorithm underlying the pseudo-random number generator in your key fob, and so can correctly predict the pass code that the key fob is generating every 30 seconds.
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It seems to me this is a burden being placed on the wrong shoulders. There is not an It system in the world that can stop an individual taking information in their heads and spewing out at the nearest undesirable third party.
By: RonaldWilkins
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Deloitte: People are still weakest security link
