312-253-4321    Get SUPPORT

Alchetec Blog

Cybercrime’s Evolution and the Potential Blockchain Shield

Cybercrime’s Evolution and the Potential Blockchain Shield

Cybercrime has morphed over the past decade or so. With unbreakable encryption making breaking directly into a network all but impossible, phishing, Distributed Denial of Service (DDoS) attacks, and other methods of indirect hacking have become en vogue. As a result, software companies are looking in some strange places to find building blocks for intrusion mitigation. One interesting emerging technology being used for this purpose is blockchain.

Developments in blockchain technology have begun to be stretched past keeping records and cryptocurrency. Today there are a couple companies using blockchain to create innovative cybersecurity solutions that aim to drastically reduce a company's exposure to cybercrime. No matter what vertical you work in, blockchain-integrated solutions have begun to pop up. Building new solutions with blockchain is incredibly popular nowadays, but is it just a buzzword used for its role in marketing, or is it making a discernible difference in these solutions?

Often thought to be “unhackable”, security professionals developing a blockchain-based cyber security platform isn’t all that noteworthy, until you realize how they are going about it. Developers have begun to create blockchain-based platforms that uses the distributed nature of the solution to power content delivery networks (CDN) and DDoS attack mitigation services. It does this by allowing users to rent out their spare bandwidth to use as security computing.

This will potentially reduce the ability for hackers to execute attacks, lower the cost for businesses to mitigate the effects of these attacks, and capitalize on their extra bandwidth. Other developers are using smart contract adoption to secure their interoperability and file security.

Is Blockchain Vulnerable?

Being a human invention, there have been some kinks in blockchain technology. For those of you who do not know how the blockchain works, here is a very stripped-down definition: Every transaction made through the blockchain, financial or contractual, is given a permanent, designated “block” in the chain. In order for it to be added to the ledger, the rest of the network (every other node) needs to approve this new block’s validity. Once it is added, it cannot be altered and provides an unchangeable record of the transaction. If a block needs to be changed, a new block would have to be entered. It is only then that the transaction is completed.

While this method may seem extraordinarily secure, this “unhackable” technology has its flaws. In 2018 alone just under one billion dollars' worth of cryptocurrency was stolen. Of the $927 million taken, $532.6 million of it was hacked from the Tokyo-based cryptocurrency company Coincheck where 500 million XEM coins up and vanished from the exchange.

Other Blockchain Vulnerabilities

To my surprise, one investigation found that some blockchain and cryptocurrency constructs has over 40 different vulnerabilities. Here are a couple:

51% Vulnerabilities

Many of blockchain’s vulnerabilities have more to do with the nature of the platform as well. One such vulnerability is known as a 51% vulnerability and is associated with mining cryptocurrencies. Let’s assume you are a cryptocurrency miner and you accumulate hashing power that exceeds more than half of what the blockchain contains, you could leverage a 51% attack to manipulate the blockchain to your own advantage.

Obviously popular blockchains, typically associated with renowned cryptocurrencies, have too big of a price tag to be practical targets for such a hack. Less expensive coins, however, are, and can be lucrative targets for hackers. In 2018, 51% attacks were leveraged against new cryptocurrencies, netting the attackers the equivalent to approximately $20 million.

Security of Private Keys

Using a blockchain requires a user to have a private key to unlock the naturally encrypted platform. Naturally, if this key were to be stolen, the thief would be able to access the user’s blockchain. What’s worse, because the blockchain is decentralized, these kinds of actions are difficult to track and, as designed, harder to undo.

It’s hard to forget in this world that is completely integrated with technology that some tech is just in its infancy. Blockchain, especially outside of the cryptocurrency sphere is only emerging and the tech built with it should be looked at through skeptical eyes. Stay up to date with the latest technology concerns and information, subscribe to Alchetec blogs.

How Downtime Kills Productivity
Tip of the Week: Navigating the Taskbar in Windows...


No comments made yet. Be the first to submit a comment
Already Registered? Login Here
Sunday, June 16 2019

Captcha Image

Subscribe to Our Blog!

Mobile? Grab this Article!

QR-Code dieser Seite

Tag Cloud

Security Tip of the Week Technology Best Practices Cloud Business Computing Productivity Network Security IT Services Malware Hosted Solutions Email Hackers Privacy Data Backup Data Software Outsourced IT Internet Innovation Business Productivity Managed IT Services Microsoft Data Recovery IT Support Ransomware Tech Term Hardware Computer Cloud Computing Backup User Tips Business Continuity Mobile Devices IT Support Small Business Google Business Management Collaboration Efficiency Android Managed IT Services Paperless Office Communication Remote Monitoring VoIP Windows 10 Upgrade Smartphones Smartphone Phishing Disaster Recovery Server Internet of Things Data Management Managed Service Provider Workplace Tips Office 365 Encryption Cybersecurity Mobile Device Managed IT Passwords Browser Social Media Windows 10 Holiday Save Money Artificial Intelligence Communications BYOD Employer-Employee Relationship Saving Money Compliance Wi-Fi Risk Management Government Quick Tips Document Management Managed Service Applications Facebook Business Technology Tip of the week Telephone Systems File Sharing Bandwidth Unified Threat Management Automation Virtualization Password BDR Antivirus Recovery Healthcare Network Vendor Management Help Desk Vulnerability IT Management Scam Analytics Project Management Chrome Blockchain Windows Information Microsoft Office SaaS Infrastructure Data loss Gmail Website Tablet App Wireless Files Going Green Mobile Device Management Maintenance Data Storage Money Two-factor Authentication Router Regulations Word Politics VPN Apps Bring Your Own Device Virtual Reality Office IT Service Hosted Solution Work/Life Balance Customer Relationship Management Data Security Robot Training Firewall Storage Company Culture Users Licensing Software as a Service Computing Customer Service Miscellaneous How To Assessment Alert Patch Management Monitors Mobility How To Proactive Consultation Samsung Unified Communications Uninterrupted Power Supply Employees Redundancy Smart Technology Network Management Management Chromebook Remote Monitoring and Management RMM Net Neutrality HIPAA Settings Twitter Flexibility Server Management Remote Workers Health Machine Learning Printing Networking Social Internet Exlporer The Internet of Things Remote Computing IoT Access Control Virtual Private Network Gadgets Downtime Outlook Electronic Medical Records Cooperation Digital Payment Upgrades Mobile Security Computers Big Data Identity Theft Staff Authentication Mail Merge USB Break Fix Nanotechnology Unsupported Software Monitoring ROI Technology Laws Legal Law Enforcement Favorites Teamwork Shortcut Private Cloud Solid State Drives Black Friday Motherboard 3D Printing Asset Tracking Theft Avoiding Downtime Techology Personal Information Hotspot Recycling Display Downloads Update Migration Development MSP Permission Lenovo Fraud Utility Computing Disaster Dark Data Electronic Health Records Database Bluetooth Operations Managing Stress WiFi VoIP Social Engineering Authorization Address Dark Web Screen Reader Software Tips Mobile Data Consulting Notes Heating/Cooling Unified Threat Management Gadget Conferencing Shared resources Technology Tips Spam Options Cyber Monday Mobile Computing Apple OneNote Financial Time Management Disaster Resistance Virus Language eWaste Multi-Factor Security Chatbots Cables Test Superfish Cybercrime Cyberattacks Voice over Internet Protocol Wearable Technology Enterprise Content Management GPS Search YouTube Black Market Data Warehousing Smart Tech Managed Services Provider PowerPoint Servers User Error Meetings OneDrive Mouse Wireless Internet Google Maps Employee-Employer Relationship Procurement Proactive IT Computer Repair Crowdsourcing Computing Infrastructure Hacking Google Calendar Botnet Identity Supercomputer Notifications Cost Management Travel Network Congestion Read Only Windows 7 Augmented Reality Vulnerabilities Tracking Wires Zero-Day Threat Physical Security Microsoft Excel Connectivity Content Filtering History Humor Point of Sale Professional Services Printer Sports Corporate Profile End of Support Instant Messaging Manufacturing Comparison Business Growth Tech Support Employer/Employee Relationships Distributed Denial of Service Modem Cortana Security Cameras Touchscreen IT Consulting Wireless Technology 5G Alerts Enterprise Resource Planning Transportation Trending Legislation IBM IT Budget WPA3 Operating System Safety Hard Drive Solid State Drive Education Telephony IT Technicians Geography Digital Backup and Disaster Recovery Hacker G Suite Cabling Office Tips E-Commerce Virtual Assistant Websites Computer Care WannaCry Finance Hard Disk Drives Specifications Automobile Proactive Maintenance Managed IT Service Cookies Remote Worker Data Breach Mobile Bookmarks Emoji Social Networking Fleet Tracking Tech Terms Google Drive Cache Taxes Hard Disk Drive Mirgation High-Speed Internet Spyware Human Error Firefox IT Solutions Processors Permissions Star Wars Features Wasting Time Statistics SharePoint Staffing Fun Database Management Sync IT Consultant CrashOverride Mobile Office GDPR Mobile Device Managment Domains Error Administrator Hard Drives Public Speaking Public Cloud Presentation Information Technology Lithium-ion battery Cleaning Printers Hacks Motion Sickness Emergency Marketing Budget Students Relocation Hiring/Firing Competition Regulation IP Address