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AWS Payment Cryptography now supports paper-based key exchange

Amazon Web Services has launched Physical Key Exchange, a new feature for AWS Payment Cryptography that enables paper-based cryptographic key exchange while maintaining PCI PIN and P2PE compliance. The service addresses a significant operational challenge for organizations whose partners or vendors cannot support electronic key exchange, eliminating the need to maintain expensive Hardware Security Modules (HSMs) and Key Loading Devices (KLDs) for infrequent key ceremonies. Under the new system, paper key components are shipped directly to trained AWS key custodians who perform secure key ceremonies in AWS-operated facilities that meet strict PCI physical and logical security requirements. Once loaded into AWS Payment Cryptography, the keys become available for cryptographic operations within the managed service. This approach removes the operational burden and costs associated with maintaining specialized key loading infrastructure, particularly for organizations that only perform key exchanges a few times per year. The Physical Key Exchange feature complements existing electronic key exchange capabilities in AWS Payment Cryptography, providing organizations with flexible options for migrating payment applications to the cloud regardless of their counterparties' technical capabilities.

Why It Matters

This announcement addresses a critical barrier to cloud adoption for payment processors and financial institutions. Many organizations have been forced to maintain expensive on-premises HSM infrastructure solely to accommodate partners who cannot perform electronic key exchange. By offering PCI-compliant paper-based key ceremonies as a managed service, AWS removes this technical debt and accelerates payment application migration to the cloud, potentially saving organizations significant infrastructure and operational costs.

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Note

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