Cybersecurity Threats to Cryptocurrency Platforms

Data Breach: A Great Risk to Cryptocurrency Holders

Cryptocurrency is an online digital currency that works just like our actual currency. The reason why cyber attackers are a threat to it is the availability of cryptocurrency-related online data that is conveniently accessible and visible to hackers.

In the worst-case scenario, account and currency holders might lose their accounts. Plus, blockchain security issues are also rising day by day, but the fact states that 33% of bitcoin trading platforms were hacked due to inefficient and insufficient blockchain privacy issues.

A recent study, according to CoinDesk, has analyzed that the crypto exchange platform has lost $196 million to the hacker and they are unable to trace the fund transfer.

Four Examples of Cybersecurity Threats to Cryptocurrency

  1. Ransomware Attacks

A type of attack that denies access to the computer system or data until the ransom amount is not paid.

  • Digital Heist (Denial of Service Attacks)

This type of attack refuses to accept any request and its aim is to disrupt the computer network along with other files. It can bombard the system with superfluous requests.

  • Data Breaches

A type of attack that leads the hacker or an unauthorized person directly to breach or expose an individual, personal, protected, sensitive, and confidential information.

  • Phishing

Hackers use emails and text messages to lure people into giving sensitive information. Tricking Internet users (as through the use of deceptive email messages or websites) into revealing personal or confidential information which can then be used illicitly

Conclusion

It seems like technology and advanced hacking methods have made it easier for hackers to hack cryptocurrency accounts even if it is protected by blockchain technology or strong encryption.

This will lead to large cryptocurrency-related theft. However, because of the feasibility of the data due to technology, hackers can steal large sums just with few repercussions.

References

https://www.upguard.com/blog/cyber-threat

https://finance.yahoo.com/news/crypto-exchange-bitmart-hack-theft-222846482.html

https://www.dataversity.net/cybersecurity-in-cryptocurrency-risks-to-be-considered/

https://www.mygreatlearning.com/blog/cryptocurrency-the-new-favorite-for-cyber-crimes/

https://www.merriam-webster.com/dictionary

Cybesion is a Managed IT Security Service Provider, namely providing business grade cyber security protection.