Security Breaches and Hacks in Bitcoin Exchanges

How To Prevent Security Breaches In Bitcoin Exchanges

INTERESTING AND JAW DROPPING CRYPTOCURRENCY EXCHANGE HACKS The first cryptocurrency exchange hack was done in 2011, the most famous bitcoin exchange Mt.Gox have failed to prevent data’s from hacking, and which cause the exchange to loss a lump amount of 2609 BTC, But the interesting thing is, this exchange was hacked twice and the second time hack was quite bigger than the first one. The stolen amount of second time is approximately +750000 BTC and it was happened in 2014.

How Hacking Happens?

The main target of Hackers is “ Bitcoin Exchange Online cloud storage services “ which stores the private keys of large number of users. The hacking is made of sending phishing emails, malicious files, Injecting malware in to the exchange code and etc.

The another way of hacking is, hackers keep tracking the social medias for cryptocurrency conversations and collect the investors phone number also emails if they investors dropped it in anywhere. And then they take control over the phone number by posing as victim to the customer service providers.

After getting control over the phone number, they hack the victims exchange account by resetting the password along with the phone number. This is called Phone – Porting attack.

HOW TO PREVENT HACKING ATTACKS IN CRYPTOCURRENCY EXCHANGES ?

Adam Dachis, Digital consultant advised that don’t keep all your investments in one place. Better diversify it among several exchanges, so that you can prevent your loss of ratio.

Sanjay Beri, CEO of Netskope Better start using cold wallet which is entirely offline, so that we can safeguard of private keys. But be aware whether your pocket has holes.

HOW TO PREVENT HACKING ATTACKS IN CRYPTOCURRENCY EXCHANGES ?

From traders end: A cryptocurrency expert Amir bandaeli, who lost 18% of his cryptocurrency investment in Bifinex attack, inspired him to build decentralized exchanges. And he believes this will be the future of cryptocurrency industry.

Jonathan, CO- Founder of Chainalysis advised cryptocurrency traders to keep separate email for cryptocurrency trading, and never reveal it to anyone. Also he advised set a really hard and longer password.

HOW TO PREVENT HACKING ATTACKS IN CRYPTOCURRENCY EXCHANGES ?

From exchanges end: We can’t entirely prevent hacking but we can reduce the amount of occurrences.

There is only one solution to prevent all these hackings.

We can prevent all these unexpected hacks by “Making the exchanges Decentralized”.

What are decentralized exchanges?

Difference between centralized Exchanges and Decenralized Exchanges Better make the exchange website with fully developed “ Decentralized Exchange Script ” and ensure the following things are added with your website.

Tricks to build secured bitcoin exchange Tricks to build secured bitcoin exchange: 1. Ensure your website is made up of bug less, and solid secured bitcoin exchange source code 2. Integrate DDOS Attack prevention 3. Integrate Cross site scripting protection 4. Anti CSRF Protection 5. Prevent Click Jacking Attacks And lot more.. security features

Wrapping up..

Hacks in cryptocurrency network are common, but with proper security features we could reduce the occurrences. By deploying full featured bitcoin exchange and by integrating decentralization concept we could achieve it. We at bitdeal help you to develop solid secure bitcoin exchange website, by providing secured bitcoin exchange script, and decentralized exchange script. You can ask free demo at bitdeal anytime!

Contact US: Mail : sales@bitdeal.net Phone : +91 9677555651 Skype : live:bitzbillo