What feature distinguishes a Contact Smart Card from other smart cards?

A Contact Smart Card is specifically designed to require physical contact with a reader in order to facilitate transactions. This distinguishes it from contactless smart cards, which communicate through radio frequency signals without the need for direct contact. The necessity for touch with the reader ensures that the card engages with the reader's pins, allowing for a secure connection to transfer data, such as payment information or personal identification.

The other options describe features that apply to different types of cards or misunderstandings about the technology. For example, a card that operates solely through wireless signals would be a contactless smart card, not a contact smart card. Additionally, a contact smart card does indeed incorporate embedded chip technology to store and process data, which is crucial for its functionality. Lastly, while smart cards may be used for micro-transactions, this limitation is not a defining characteristic of Contact Smart Cards themselves; they can handle various transaction types depending on their programming and purpose.