We aim at building an enhanced ultra-bright compact source of hyper-entangled photons and then using it in realizing one of the quantum cryptography protocols. The design of this enhanced hyperentanglement source uses novel structures of the generation crystals so as to self-compensate the group velocity mismatch and/or spatial phase variations (we mean by self-compensation here the compensation at the generation crystals without any additional optical components). The new method serves the source brightness as the compensation acts all over the output stream and its compactness and cost as there is no need for additional elements. Our numerical analysis has led so far to several structures of the hyper-entanglement source capable of generating self-compensated photon pairs.