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.

SQL Server 2008 R2 Has Reached the End of the Line
Tip of the Week: Navigating the Taskbar in Windows...
 

Comments

No comments made yet. Be the first to submit a comment
Already Registered? Login Here
Guest
Sunday, August 25 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 Business Computing Cloud Productivity IT Services Network Security Data Backup Malware Hosted Solutions Privacy Software Hackers Email Data Outsourced IT Internet Computer Microsoft Data Recovery IT Support Productivity Managed IT Services Innovation Business Ransomware User Tips Tech Term Cloud Computing Hardware Efficiency Business Continuity Backup Collaboration Windows 10 Mobile Devices IT Support Small Business Business Management Google Managed IT Services Paperless Office Upgrade Remote Monitoring Android Phishing VoIP Communication Workplace Tips Managed Service Provider Office 365 Smartphones Disaster Recovery Server Save Money Cybersecurity Internet of Things Managed IT Smartphone Data Management Browser Communications Mobile Device Encryption Artificial Intelligence Passwords Help Desk Holiday BYOD Quick Tips Social Media Windows 10 Microsoft Office Facebook Risk Management Laptops Employer-Employee Relationship Government Saving Money Document Management Managed Service Compliance Windows Applications Training Business Technology Wi-Fi Automation BDR Antivirus Recovery Healthcare Processor Vulnerability IT Management Scam Analytics Project Management Chrome Blockchain Virtualization Information Network SaaS Vendor Management Infrastructure Tip of the week Telephone Systems File Sharing Bandwidth Unified Threat Management Password Files Bring Your Own Device Office Hosted Solution Maintenance Customer Relationship Management Money Router Robot Windows 7 RMM Storage Word Politics Gmail Website VPN Miscellaneous App Virtual Reality Access Control IT Service Wireless Work/Life Balance Going Green Mobile Device Management Data Security Firewall Data Storage Data loss Two-factor Authentication Regulations Tablet Avoiding Downtime Apps The Internet of Things Mobility How To Proactive Consultation Samsung Unified Communications Uninterrupted Power Supply Employees Gadgets Redundancy Outlook Smart Technology Upgrades Network Management Computers Management Big Data Chromebook Remote Monitoring and Management Net Neutrality HIPAA Settings Users Twitter Server Management Customer Service Remote Workers Health Display Machine Learning How To Operating System Networking Social Internet Exlporer Remote Computing IoT Monitors Cooperation Virtual Private Network Downtime Electronic Medical Records Digital Payment Mobile Security Identity Theft Company Culture Licensing Monitoring Software as a Service Computing Assessment Alert Flexibility Patch Management Printing Voice over Internet Protocol Multi-Factor Security Chatbots Cables Test Hacker Superfish Return on Investment Office Tips Cybercrime Cyberattacks Wearable Technology Enterprise Content Management GPS YouTube Black Market Data Warehousing Smart Tech Managed Services Provider PowerPoint Servers User Error Information Technology Meetings OneDrive Mouse Wireless Internet Google Maps Employee-Employer Relationship Procurement Proactive IT Computer Repair Crowdsourcing Computing Infrastructure Read Only Hacking Google Calendar Botnet Identity Supercomputer Notifications Active Directory Cost Management Travel Vulnerabilities Tracking Wires Zero-Day Threat Physical Security Microsoft Excel Unsupported Software Connectivity Content Filtering History Point of Sale Professional Services Printer Sports Enterprise Resource Planning Corporate Profile Instant Messaging Manufacturing Comparison Business Growth Employer/Employee Relationships Distributed Denial of Service 3D Printing Modem Security Cameras Touchscreen IT Consulting Alerts Transportation Trending Legislation IT Budget WPA3 Windows Server Dark Data Hard Drive Solid State Drive Telephony Social Engineering IT Technicians Geography Digital Backup and Disaster Recovery Bitcoin Mobile Data G Suite Cabling E-Commerce Virtual Assistant Websites Mobile Computer Care WannaCry Finance Hard Disk Drives Spam Specifications Automobile Proactive Maintenance Managed IT Service Cookies Remote Worker Data Breach Bookmarks Emoji Social Networking Fleet Tracking Tech Terms Google Drive User Management Cache Taxes Hard Disk Drive SharePoint Search Mirgation High-Speed Internet Spyware Human Error Firefox IT Solutions Processors Current Events Permissions Star Wars Features Wasting Time Statistics Staff Authentication Mail Merge USB Database Management Break Fix Nanotechnology ROI Technology Laws Legal Law Enforcement Favorites Teamwork Shortcut Private Cloud Solid State Drives Black Friday Motherboard Asset Tracking Theft Techology Personal Information Network Congestion Hotspot Recycling Bluetooth Augmented Reality Downloads Update Migration Development MSP Permission Lenovo Projects Humor Fraud Utility Computing Disaster Electronic Health Records Database End of Support Operations Managing Stress WiFi VoIP Authorization Tech Support Address GDPR Cortana Dark Web Screen Reader Software Tips Consulting Notes Wireless Technology Heating/Cooling 5G Unified Threat Management Gadget Conferencing Shared resources IBM Technology Tips Options Cyber Monday Mobile Computing Apple OneNote Financial Time Management Safety Disaster Resistance Virus Language Education eWaste Marketing Budget Public Cloud Hiring/Firing Competition IP Address Fun Cleaning Printers Mobile Office Hacks Motion Sickness Emergency Domains Students Relocation Hard Drives Regulation Public Speaking Staffing Sync Presentation Lithium-ion battery IT Consultant CrashOverride Mobile Device Managment Error Administrator