A method and versatile device for use-based context security is described. In an embodiment, the versatile device is implemented as a wristwatch. The wristwatch is configured to facilitate a wireless transaction for an authenticated user and is configured to be worn by the authenticated user such that to encircle a part of the authenticated user. Moreover, the wristwatch includes a validation mechanism for controlling use of the wristwatch based on whether the authenticated user continues to wear the wristwatch after initiating use of the wristwatch.