We propose an efficient quantum key distribution protocol based on the photon-pair generation from parametric down-conversion (PDC). It uses the same experimental setup as the conventional protocol, but a refined data analysis enables detection of photon-number splitting attacks by utilizing information from a built-in decoy state. Assuming the use of practical detectors, we analyze the unconditional security of the new scheme and show that it improves the secure key generation rate by several orders of magnitude at long distances, using a high intensity PDC source.