See related story: RFID Invades the Capital

Identity, e-mail signature and encryption certificates are stored on the DAC's contact chip. The DAC works like its high-tech predecessor, the Defense Department's Common Access Card, or CAC. Privacy advocates and some scientists worry the DAC's RFID chip will make it vulnerable to hackers and spies.
Courtesy of the U.S. Department of Homeland Security
Details of the DAC include a Philips RFID chip, not shown, embedded in the card.
Courtesy of the U.S. Department of Homeland Security