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How to Use Automotive Keys Properly Automotive keys come in various styles. Some keys come with transponder chips embedded in their heads. Others are flat and operate mechanically through grooves on the tops and bottoms. Car keys of the past were easy to duplicate, but later on, manufacturers introduced a chip that stored the unique "password" for your vehicle. This adds an extra layer of protection against theft. Transponder key A transponder, also known as a chip key, is a