You can set up encrypted authentication using Diffe-Hellman or the sample PKCS implementation.
Encrypt Credentials with Diffe-Hellman
For secure transmission of sensitive credentials like passwords, encrypt credentials using the Diffie-Hellman key exchange algorithm. With Diffie-Hellman enabled, you can have your client authenticate its servers.
Using PKCS for Encrypted Authentication
This section discusses the concepts and configurations for the sample UserPassword and PKCS implementations. Descriptions of their interfaces, classes, and methods are available in the API.