SET, short for Secure Electronic Transaction, is a standard that will enable secure credit card transactions on the Internet. SET has been endorsed by virtually all the major players in the electronic commerce arena, including Microsoft, Netscape, Visa, and Mastercard.
By employing digital signatures, SET will enable merchants to verify that buyers are who they claim to be. And it will protect buyers by providing a mechanism for their credit card number to be transferred directly to the credit card issuer for verification and billing without the merchant being able to see the number.
SET consists of three services:
Providing a secure communications channel among all parties involved in a transaction.
Providing trust by the use of X.509v3 digital certificates.
Ensuring privacy because the information is only available to parties in a transaction when and where necessary.