Cryptocurrency, particularly Bitcoin, has gained significant popularity and value in recent years, but along with its rise, there are also associated security risks. Two security experts, Kenneth Geers and Kathy Wang, shared insights on these risks at the 2021 RSA Conference on May 19.
Geers, an external communications analyst at Very Good Security, delved into the history of money and why the US dollar has become the dominant reserve currency globally. He highlighted the key traits of good money – scarcity, authenticity, durability, portability, and stability – and emphasized that for digital currency to succeed, it should possess these same characteristics.
Wang, the CISO at Very Good Security, explained the process of mining cryptocurrency, where miners compete to solve complex cryptographic puzzles to earn rewards. However, this process has led to various cybersecurity risks, including abuse of free resources from cloud and application service providers. Miners exploit free accounts on these platforms to gain computing power illicitly, posing a challenge for detection and prevention efforts.
Another risk Wang discussed is cryptojacking, where attackers compromise internet-facing computers to mine cryptocurrency. Malware like WannaMine is used to trick users into installing malicious software, enabling attackers to control resources for mining activities.
Cryptocurrency wallets, which store private keys for accessing digital assets, are also vulnerable to attacks. Wang highlighted the threat of ElectroRAT malware, distributed through cryptocurrency forums, that can take over vulnerable wallets and steal funds.
To mitigate these risks, Wang recommended adopting a zero trust approach, restricting access to cryptocurrency wallets to specific users and devices and implementing multi-factor authentication. While Bitcoin may not challenge the US dollar in the short term, Geers believes that addressing security risks and improving transaction speed could pave the way for broader adoption of cryptocurrency in the future.
As the popularity of cryptocurrency continues to grow, understanding and addressing security risks will be crucial for its long-term success. With ongoing advancements in security measures and technology, the future looks promising for the widespread adoption of digital currencies.