Developers must stop crypto hackers – or face regulation in 2023
Report says over $2.5 billion in crypto lost to cross-chain bridge hacks in past last two years only.
Opinion
Third-party data breaches have exploded. The problem? Businesses, including cryptocurrency exchanges, don't know how to protect themselves against it. When exchanges sign new providers, most naturally expect their providers to employ the same level of vetting as they do. Others ignore it at all. In today's era, testing for vulnerabilities throughout the supply chain is not only good practice, it's absolutely necessary.
Many exchanges are backed by international financiers and fintech newbies. Many are even new to tech, backed by venture capitalists looking to get their feet wet in a booming industry. In itself, this is not necessarily a problem. However, companies that haven't grown up in fintech often don't fully grasp the extent of the security risks inherent in being the custodian of hundreds of millions of dollars worth of digital assets.
>We've seen what happens to inadequate security, which goes beyond vendor management and extends to cross-chain bridges. In October alone, Binance faced a bridge hack worth nine figures. Then there's also the Wormhole Bridge hack, another nine-digit breach. The Ronin Bridge hack resulted in the loss of over half a billion dollars in assets.
In fact, a new report indicates that over a two-year period, more than $2.5 billion in assets were stolen through cross-chain bridge hacks, eclipsing the losses associated with breaches related to decentralized financial loans and decentralized exchanges combined.
Third-party breaches aren't just a problem for the crypto industry, and they're certainly not limited to smaller players. Earlier this year, the New York school system experienced a breach involving a third-party vendor that affected more than 800,000 people. Third party ...
Report says over $2.5 billion in crypto lost to cross-chain bridge hacks in past last two years only.
Opinion
Third-party data breaches have exploded. The problem? Businesses, including cryptocurrency exchanges, don't know how to protect themselves against it. When exchanges sign new providers, most naturally expect their providers to employ the same level of vetting as they do. Others ignore it at all. In today's era, testing for vulnerabilities throughout the supply chain is not only good practice, it's absolutely necessary.
Many exchanges are backed by international financiers and fintech newbies. Many are even new to tech, backed by venture capitalists looking to get their feet wet in a booming industry. In itself, this is not necessarily a problem. However, companies that haven't grown up in fintech often don't fully grasp the extent of the security risks inherent in being the custodian of hundreds of millions of dollars worth of digital assets.
>We've seen what happens to inadequate security, which goes beyond vendor management and extends to cross-chain bridges. In October alone, Binance faced a bridge hack worth nine figures. Then there's also the Wormhole Bridge hack, another nine-digit breach. The Ronin Bridge hack resulted in the loss of over half a billion dollars in assets.
In fact, a new report indicates that over a two-year period, more than $2.5 billion in assets were stolen through cross-chain bridge hacks, eclipsing the losses associated with breaches related to decentralized financial loans and decentralized exchanges combined.
Third-party breaches aren't just a problem for the crypto industry, and they're certainly not limited to smaller players. Earlier this year, the New York school system experienced a breach involving a third-party vendor that affected more than 800,000 people. Third party ...
What's Your Reaction?
