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How to Use Automotive Keys Properly Automotive keys are available in a variety of styles. Some keys have transponder chips incorporated into their heads. Others are flat and function mechanically by means of grooves on the bottoms and tops. The first car key technology was simple to duplicate, but later, manufacturers introduced chips that could store a unique "password" for your car. This provides an additional layer of protection against theft. Transponder key A transponder or chip key, is a specific car key that