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* Modern smart phones are used both for browsing email and for receiving SMS. Email is usually always logged in. So if the phone is lost or stolen, all accounts for which the email is the key can be hacked as the phone can receive the second factor. So smart phones combine the two factors into one factor.
* Mobile phones can be stolen, potentially allowing the thief to gain access into the user's accounts
=== Advances in Mobile Two-Factor Authentication ===
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