Radio frequency identification system and authentication method thereof

A Radio Frequency Identification (RFID) system and method are provided that includes a reader and a tag which share a predetermined secret key. The reader transmits an authentication request random number to the tag. The reader and the tag generate a Pseudorandom Noise (PN) sequence formed of a series of binary codes from an exclusive disjunction of the authentication request random number and the predetermined secret key. The tag produces an authentication response random number by performing a predetermined conversion operation for the PN sequence and transmits the authentication response random number to the reader. The reader authenticates the tag by analyzing the PN sequence and the authentication response random number.