Beware of digital pickpockets: How to secure cryptographic keys
The Australian financial market is being increasingly disrupted by Fintech. The number of fintech startups in Australia had increased from less than 100 in 2014 to almost 600 in 2017. Banks are having to respond to digital disruption quickly and sometimes without warning or adequate preparation. The rise of cryptocurrency is already challenging banks with more innovative systems for transaction settlement.
Despite its recent decline, overall, cryptocurrency values have skyrocketed over the past few years. With this comes a major financial incentive for cyber criminals to design malicious code and sophisticated hacking tools to harvest cryptocurrency coins. One quick way for attackers to enjoy a huge pay day is by compromising a digital wallet and stealing the wallet’s private key – the unforgeable ‘signature’ that allows cryptocurrency to be spent – giving them full control of the funds.
The security of cryptocurrency becomes more important as retailers begin to accept cryptocurrency as payment, alongside cash and credit. Queensland tourist town Agnes Water has named itself “Australia’s first digital currency town” by having the country’s highest concentration of stores that accept cryptocurrency. This retail trend is commercialising decentralised currency and forcing the hand of big banks to get on board.
The advantage criminals have in targeting cryptocurrency is the anonymity of the transactions. With currencies such as Bitcoin and Ethereum gaining more and more credibility, organisations across all industries will need to implement security controls to mitigate risk against the exposure of crypto-credentials. So, what do you need to know to secure your digital wallet?
To read more about cryptographic keys, please click on the link below…
