Cryptocurrency

BlockDown 2020: houses of change of cryptocurrencies should make it more costly to attack them

Key facts:

The massive attacks of capture accounts represent a growing risk to the houses of change.

Of the software bots, the hackers are going to use cheap labor in their attacks.

Maintain robust mechanisms of computer security in the homes of change of cryptocurrencies is a constant challenge, due to the existence of an ecosystem of fraud that is increasingly interconnected, said this Thursday Lizzie Clitheroe, director of marketing B2B Arkose Labs, in the virtual conference Blockdown 2020.

Clitheroe, shared the podium virtual with Benji Taylor, senior director of solution delivery at Arkose Labs, in the conference “Protecting the fraud exchange houses in cryptocurrencies”. The executive began his exposition by describing how the market of cryptocurrencies, estimated at almost 270,000 million dollars, depends on such exchange houses to the functioning of a market that manages real-time prices.

The thousands of millions of dollars in cryptocurrencies that pass through these exchange houses daily, says Clitheroe, makes it a lucrative goal for hackers and other forces malicious. “To maintain a robust security of the house of change is a growing challenge with an ecosystem of fraud that is increasingly interconnected,” noted the executive.

Lizzie Clitheroe, director of marketing B2B Arkose Labs. Source: Blockdown 2020.

Hackers have evolved, says Clitheroe, and have access to a wide range of services that include farms of identity, with thousands of collected data and optimized constantly; centers with cheap labor that can perform tasks pre-programmed for a massive attack, and smart technology. And with this kind of resources at hand, the malicious attacks may develop patterns of attack by highly sophisticated.

Raising the cost of the attack

“Every attack has a cost, and even more in the ecosystem of fraud, in which there are services available such as software bots for sale, or groups of people trained to perform tasks pre-programmed, among other resources,” notes for its part, Benji Taylor.

If you include the human intervention in an attack, says Taylor, it increases your costs, this resource may produce more benefits to the hackers, especially in the so-called Account Takeover (ATO) or capture of accounts of exchange houses of cryptocurrencies.

Taylor asserts that the consequences of a successful attack capture of accounts have a wide range, because once the hackers have access to legitimate accounts to steal funds, using the accounts to launder money of source illegal, or make illegal solicitation of credit.

The specialists of Arkose Labs agree that in the fight against fraud, it is advisable to view it as a business and, in consequence, the houses of change of cryptocurrencies should focus on decreasing the investment return of the hackers. To do this you must combine an assessment intelligent risk with challenges of increasing complexity for the hackers.

A successful evaluation of the risks and of the necessary analysis of incoming traffic, a strategy recommended is to differentiate the treatment to the possible malicious traffic and the one coming from customers genuine, advised Clitheroe. The latter of these should find a minimal friction on his visit to the house of change, says the expert, while the traffic likely of sources-malicious is faced with challenges of increasing complexity which use interactive technology, to eliminate the patterns automated.

At present more and more requirements to the suspicious traffic, not only to combat fraud automated, but that would require more time and resources to the human groups, which would increase its cost.

About the author

Belinda Carey

Belinda Carey

A finance girl by education, Belinda has been drawn to cryptocurrencies ever since Bitcoin first emerged in the 2009. Nearly a decade later, Belinda is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies.

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