The blockchain analytics platform, Nansen, recently confessed to another cyber attack– an unfortunate situation where a third-party vendor’s system was compromised. As a consequence, nearly 7% of the customer’s data was impacted, marking another significant notch in the growing belt of cyber insecurities linked with blockchain technology.
The breach in question, which took place on September 20, granted invaders administrative rights to an account used to provide customers access to its platform. This essentially left the email addresses, hashed passwords, and the blockchain wallet addresses of its user exposed on the internet. In turn, these potential victims were urged to change their passwords urgently, and while the guilty vendor has yet to be revealed, the expectation is that they will release a public statement soon.
A prominent name in analytics, Nansen delivers insights on notable blockchain protocols that currently populate the ever-growing crypto oasis. Gaining support from powerhouse investors such as Andreessen Horowitz and Coinbase Ventures, the firm is held in high regard by cryptocurrency investors and blockchain-focused funds alike. However, with the recent launch of Nansen 2 in its beta version, some concerns have been raised over sections of security that seem wanting.
Some users have expressed unease over the possibility of compromised payment details, a claim validated by one user who reported his credit card details, hitherto solely used for payments on the Nansen platform, were tampered with. This is undeniably worrying for those entrusting their sensitive information into a platform that appears to be leaky in terms of security.
This incident brings to light an understood, but frequently overlooked disquietude in crypto: cyberattacks are rampant and gaining tread. As the crypto industry continues to burgeon and see more liquidity flow into it, criminals are increasingly finding loopholes in what can only be described as lackluster security protocols.
Billions of dollars have slipped through the fingers of investors who succumbed to these cyber frauds. CipherTrace reports that this year alone, crypto criminals have made away with over $380 million. Reflecting on this, it might be time to start asking whether advancements in blockchain technologies are playing catch-up with the dizzying pace at which financial interests in the sector are growing. With the benefits of transparency and accessibility blockchain promises, attention must also be paid to the potential Pandora’s Box of cyber insecurities it might be augmenting. It is a delicate and incredibly necessary balance to strike in the digital landscape we currently inhabit.
Source: Cryptonews
