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It occurred to me once upon a time that I could use just such a keylogger to capture my classmates' student ID card swipes when they went to release print jobs at any of the print stations on my university campus. I recognized this as a security flaw that (probably) didn't have many lucrative uses, but I never imagined such a technique might work for credit cards. I wrongly assumed that credit card readers would employ greater physical security.

hardware security aside, if credit card readers employ proper encryption, that in itself would probably be an effective deterrent against such leaks, but only IF such encryption is implemented.

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