An Introduction To Blockchain Security
Blockchain’s growth in popularity and the rise of bitcoin have been obvious indicators that the market is trending upward. The blockchain market was worth more than $400 million in 2017 and is expected to grow to more than $7.6 billion by 2022. There’s no end in sight for blockchain implementation in finance, security, supply chain management and a list of industries that continues to grow. Ambitious companies will continue to gain funding and early adopters will reap the benefits of this emerging technology. Ripplehave developed cryptocurrencies specifically for global financial sectors.
Avoid joining the myriad of blockchain organizations that are failing at implementing blockchain technology. Contact Thales to determine how you too can benefit from Blockchain, and learn how Thales’s HSM and SAS solutions can keep your transactions secure. Luna Network HSMs are designed to store the private keys used by blockchain members to sign all transactions in a FIPS Level 3 dedicated cryptographic processor. Keys are stored throughout their lifecycle; ensuring cryptographic keys cannot be accessed, modified or used by unauthorized devices or people.
Here we’ll take a closer look at what blockchain is, why it raises so many security issues and how those issues can be addressed by qualified IT professionals. Given blockchain security issues indeed exist, individuals and businesses alike are best to build up their blockchain security infrastructure from the inside out to protect their blockchain activity. However, this does not mean that blockchain is not vulnerable to cyber-attacks and security fraud. People with malicious intent could exploit the blockchain security vulnerabilities to their advantage. Many such examples of blockchain attacks have made news from time to Data Breach time. Here are some of the notable incidents which expose the most troublesome aspect of blockchain.
Credit card information is constantly stolen, but modern technology typically resolves any damage quickly. Exposing the social security numbers, full names, weights, heights, prescriptions and medical conditions of millions of patients can be detrimental. By threatening to release confidential information, hackers have already extorted millions of dollars from hospitals all over the world and will continue to do so unless new technologies are implemented.
It’s also an access control platform and uses public-key encryption to securely transfer data and enforce access requirements. Transactions on a blockchain are not always finance-based; they can be used for any verifiable interaction. This also helps prevent supply chain attacks, particularly as software and edge IoT devices are prime targets for network entry.
While blockchain technology has proved highly-tamper resistant, the vulnerabilities in blockchain applications have been exploited with some significant consequences. The ability to secure distributed ledgers, digital wallets and other applications is mission critical. Blockchain technology automates data storage, provides data integrity and is transparent. Let’s explore the potential use cases of blockchain technology for cybersecurity. One important step for cyber security professionals to take is to use encryption. By further encrypting the data that is transmitted through blockchain technology, cyber security professionals can help mitigate some of the innate threats.
Hyundai has recently backed a blockchain start-up that is specifically designed for IoT security. Called HDAC , this innovative approach creates a permissioned private network. In addition, the fact that recorded transactions are traceable means there’s transparency in the event of a cyber attack. This blockchain security threat is mostly applicable to Bitcoin, which is built on “mining†or solving cryptographic problems to validate transactions added to a block. Bitcoin users can essentially commandeer a Bitcoin network if they’re able to control more than 50 percent of the computing power of a blockchain. If you have to avoid blockchain security issues due to 51% attacks, then you have to be careful about certain measures.
Hence the name, the database stores digital information in blocks and in chronological order. Once a block is full, it’s linked and locked to the rest of the full blocks in the database, creating a chain. Then, an empty block is added to the end of the chain to record new information. Blockchain technology has been a prominent example of transforming the tenets of security in financial transactions and information exchange.