The World Economic Forum recently released a report regarding blockchain’s cybersecurity. Its fundamental message: blockchain will never be truly secure until companies implement appropriate cybersecurity measures. The report deals with the ways hackers could attack blockchain technology, even given its inherent security.
A more complicated issue
Blockchain technology poses a significant opportunity for many different sectors. However, its cybersecurity issues and threats often discourage people from being interested. Certainly, the WEF have acknowledged blockchain’s potential in the past, but with appropriate measures to secure and implement it.
According to the WEF, blockchain is only becoming more popular, especially as it becomes recognised for its individual value. At least 40 central banks around the world are looking into blockchain. But without adequate security, it will never become popularised as people remain concerned about its security.
Deloitte agree: as blockchain becomes bigger, so do the professional cyber organisations, who aim to steal and abuse peoples’ data. All industries face this threat, however only 39% of organisations place cybersecurity as a top priority.
How can we solve the problem?
The WEF report emphasises that blockchain technology isn’t insecure in itself. This is true: blockchain is more secure than most databases.
The issue with blockchain is that it’s so secure that any opportunities to exploit it will be abused. The two main ways to do this are to stage a 51% attack, which is incredibly difficult and expensive, or steal a private key. Neither of these are easy. However, both are possible.
The WEF highlight that there is a lack of interest in cybersecurity. Blockchain companies target finances, supply chain management and data. These are all commodities that must be secured, and there cannot be any chance of that security being challenged.
Our platform STAMP, for example, targets supply chains. Supply chain data has incredible importance to an organisation, and therefore cannot be compromised.
The problem, claims WEF, is to do with the companies themselves. Some businesses, even big ones, are not investing enough resources into cybersecurity. Blockchain’s selling point is its security. So, customers need to know that this will be assured. The WEF suggests making cybersecurity the priority of your company, building out a threat model and ensuring that everybody is trained properly in cybersecurity measures.
There are multiple ways to attack a blockchain, and many are incredibly difficult, especially if adequate security is implemented. This doesn’t mean that attacks should be ruled out, but with proper security they can be easily avoided.
Blockchain’s future
Small measures like this – ensuring cybersecurity – can be integral to the future success of blockchain technology. As it loses its connotations as a cryptocurrency network, blockchain is becoming more widely accepted. Visible attacks and compromising of data can hinder this progression.
Blockchain technology is an integral part of Industry 4.0, one that’s impossible to ignore. It will ensure the security of our data and our lives online.
As blockchain matures, companies will find themselves increasingly faced with security problems. This doesn’t just include blockchain, but also other industry technologies that could be at risk of attack. Consumers and companies alike are also concerned with securing their own data.
Blockchain needs to be secured against attack, but it can also ensure security. There are companies already using blockchain to secure their businesses, with things such as passwordless blockchain platforms. Blockchain technology will be our future. We just have to make sure it’s a good one.
At Blockhead Technologies, we’re securing supply chains with our blockchain-enabled platform STAMP. Click here to find out more.