> VeriFone said the heart of the matter is that there’s no security built inside the dongle to verify that its connecting with the real Square application–and n

> VeriFone said the heart of the matter is that there’s no security built inside the dongle to verify that its connecting with the real Square application–and not some knock-off. - from http://emoney.allthingsd.com/20110309/square-says-verifones-accusations-are-not-fair-or-accurate/ http://emoney.allthingsd.com/20110309/square-says-verifones-... earlier Such an effort would be doomed for the same reason that DRM schemes keep failing. Encryption really can't protect data which needs to be decrypted on hardware that's under the attacker's control. No matter what they do, somebody out there would definitely write an app which can fool Square's hardware on a jailbroken phone.