I am looking to develop a system in which i need to assign every user a unique pin code for security. The user will only enter this pin code as a means of identifying himself. T
If you want to generate scratch-card type pin codes, then you must use large numbers, about 13 digits long; and also, they must be similar to credit card numbers, having a checksum or verification digit embedded in the number itself. You must have an algorithm to generate a pin based on some initial data, which can be a sequence of numbers. The resulting pin must be unique for each number in the sequence, so that if you generate 100,000 pin codes they must all be different. This way you will be able to validate a number not only by checking it against a database but you can verify it first.
I once wrote something for that purpose, I can't give you the code but the general idea is this:
So now you can validate your generated pin codes. For a given pin code, you generate the verification digit and check it against the one included in the pin. If it's OK then you can extract the original number by performing the reverse operations.
It doesn't sound so good because it looks like security through obscurity but it's the only way you can use this. It's not impossible for someone to guess a pin code but being a 12-digit code with a verification digit, it will be very hard since you have to try 1,000,000,000,000 combinations and you just have 100,000 valid pin codes, so for every valid pin code there are 10,000,000 invalid ones.
I should mention that this is useful for disposable pin codes; a person uses one of these codes only once, for example to charge a prepaid phone. It's not a good idea to use these pins as authentication tokens, especially if it's the only way to authenticate someone (you should never EVER authenticate someone only through a single piece of data; the very minimum is username+password)