in this manner at step 262 b the merchants 39 paypass pos device locally checks or verifies offline that the pin flag value is valid if the value is valid subsequent processing of the payment transaction can proceed as for an offline signed transaction the merchants 39 paypass pos device also learns that it does not need to authenticate the user by prompting the user for a pin code or signature or biometric entry with renewed reference to fig1 it is noted that exemplary device 100 as shown is obtained by modifying a particular xiring device e g a xiring smart token 1000 the xiring devices have a battery a display and a general numeric entry capability for pin entry and or entry of additional transaction specific data these devices also have one or more buttons e g an enter key or navigation buttons which power the device unit on or off and control the device 39 s operation the commercially available xiring 1000 device is a self contained product that features a chip authentication program compliant chip a user enters his or her pin into the device which then creates a unique one time code that code permits the user to conduct online banking or e commerce transactions at suitably enabled merchant sites the one time code that is generated based on emv and cap only works once then becomes null upon the completion of the transaction to fabricate all in one device 100 a commercial xiring 1000 device is modified by adding a paypass antenna not shown and replacing the existing u201c contact only u201d chip in the commercial xiring 1000 device with a dual mode contact and contactless chip which supports paypass functionality in addition to.