The use of modern information technology is associated with the challenges of protecting systems, networks, and programs from digital attacks. Cybersecurity companies present hundreds of amazing, innovative products every year. However, senior executives don’t choose the brightest new products. The severe shortage of security professionals and the need to confront rapidly evolving threats are forcing information security directors to bring in strategic partners, consultants, and companies offering broad platforms.
But despite all this, there are industries that bravely embrace evolving technology and use the latest advances to keep users safe. Unfortunately, there aren’t many such fields, but each deserves attention.
Blockchains and DeFi protocols
Blockchain technology has become popular due to the hype surrounding cryptocurrencies. A multitude of companies has been developing blockchain solutions, vocalizing about a secure, decentralized future with cryptographic signatures, impressive slides with infographics, and powerful slogans. Corporations one after another published news about corporate blockchain development or partnerships with promising startups.
Now that bitcoin has fallen off and the excitement has subsided, it is possible to look at the real-world application of blockchain to defend against cyberattacks, focusing on the practical side of the issue.
You’ve probably always wondered why blockchain is considered such a secure system. After all, technologies that work in this way are not new. And it would seem that the collaborative actions of users that take place in a digital environment can be tracked by attackers.
The basis of blockchain technology is an electronic registry of all financial transactions. Typically, such electronic “ledgers” are one of the main points of vulnerability. If attackers gain access to the main ledger of records, it could lead to a total “crash” of the system, because by accessing the records, an attacker could steal an unlimited amount of money or take possession of some personal information just by looking at the list of transactions.
In the blockchain, the ledger is decentralized – meaning that a single computer or system cannot gain control of the entire “ledger”. This means that in order to gain access to the main ledger of records, an incredibly complex and well-coordinated operation would have to be organized, according to which thousands of devices would be attacked simultaneously.
Another principle that provides exceptional security is the transaction chain itself. The main registry of records is a long chain of consecutive blocks. Each block included in this chain is only a part of the overall structure, which originates from the very first transaction made in the system.
This means that anyone who decides to change information about a single transaction will first have to change all the records leading to that transaction very carefully and precisely. On this basis, the intended tampering looks like an extremely complicated process, which is also one of the pluses in building blockchain security. All of this makes blockchains, and the DeFi protocols built on them, extremely secure.
Websites working with crypto
Lately, cryptocurrency payments in online stores are becoming more and more popular, even payment service Visa announced the launch of payments in USD Coin. Other payment services have also been working on the introduction of cryptocurrency for a long time, some of them already offer such services. The gambling industry was among the first to appreciate all the benefits of cryptocurrencies. iGaming operators often offer players to pay with cryptocurrency.
Advanced technology has also made its way to Las Vegas. Here, International Game Technology recently patented the payment of secure online casino bets using cryptocurrencies.
These examples show that cryptocurrency is steadily penetrating into various fields, including the gambling industry, and with it, the industry is gaining security.
People prefer cryptocurrency for a number of reasons:
- The lack of an intermediary in the form of a bank that can set transaction limits;
- High speed of transactions;
- The security that blockchain guarantees;
- Low commissions.
Crypto-payment services, which are payment networks without borders, allow operators and players to do without intermediaries, thus reducing costs and getting more favorable conditions.
The application of blockchain technology is not limited to finance. Some startups are using blockchain to securely exchange private information in chat rooms, messengers, and social networks. Unlike the encryption in WhatsApp, such messenger uses blockchain to make users’ metadata secure. The user does not need to use email or any other authentication method. Metadata is distributed randomly through a registry and cannot be accessed for collection at one point where it can be falsified.
The transaction is signed so that everyone can be sure of the authenticity of the sender and recipient, the time of sending, and the content of the message. A digital signature allows a transaction to be verified by a public key – a private key is not needed. A consensus distributed system of nodes determines the “trustworthiness” of a message transaction. From whom and to whom, when, whether the message has not been replaced by another, and whether the time of sending is correct. This is a very important advantage of blockchain – there is no central structure in charge of verification, and the sequence of messages and their contents cannot be tampered with.
The fact that messengers on blockchain already exist proves the promise and security of the technology. The skepticism is related to the fact that messengers on the blockchain are ahead of their time – people are not ready to take responsibility for their accounts, the ownership of personal information is not yet in the trend.
As you can see, the areas that don’t shy away from using the latest technology are the safest. In the coming years, we can expect even greater integration of these technologies, and thus improved cybersecurity.