Cyberattacks and Financial Services: Good News, Bad News

By on

As highlighted in the Verizon 2017 Data Breach Investigations Report, the financial services sector continues to be a target of cyberattacks. That said, the trend has also shifted to other verticals, such as healthcare with the recent WannaCry attack and other hospital data breaches. One hopes, as the report suggests, that banks’ significant investments have paid off, and that the reduction in overall incidents is a demonstration of their improved security posture. Of the reported attacks, most were associated with DDOS, and the rest were primarily skimming efforts used in stealing card data.

Account take overs continue to be a pestilence for the banking industry although improvements in fraud detection and authentication have reduced the success of these types of attacks. Meanwhile, insider privilege misuse continues to rise and banks will clearly need to make more investment in their systems and behavioral analytics to protect themselves.

These types of security improvements may have reduced the number of financial services breaches. On the other hand, we must also examine an alternate theory: That the sheer availability of financial data has reduced its value and, therefore, prompted criminals to seek more fruitful avenues—for example, health care data and its rich bounty of Social Security numbers or and other personal identifiers. Analysts of the U.K. health system’s WannaCry breach estimate that medical information could be worth ten times more than credit card numbers on the Dark Web.

Even in these cases, however, cybercriminals often seek to monetize attacks. Their activity will often still touch financial institutions, who will continue to bear the brunt of monetary losses associated with cybercrime regardless of the originally targeted industry.

Further, we can expect to see a rise in mobile and cloud-based attacks as these technologies gain consumer adoption. To blunt these threats, communication across the financial industry and across vertical industry lines will be one of the best defenses as the business of cybercrime continues to keep pace with the technical evolution.

Categories: Business
Tags: , ,

Leave a Comment

Similar articles

At the end of last year, a survey revealed that the most popular password was still “123456,” followed by “password.” These highly hackable choices are despite years of education around the importance of password security. So, what does this say about people who pick simple passwords? Most likely, they are shooting for a password that is ...
Read Blog
If you’re a gamer, you know how important virtual currency is. It allows you to purchase new costumes and weapons to personalize your avatar. But how does one go about gaining virtual currency? Players complete in-game challenges and are rewarded with coins to spend in their virtual world. These challenges can be pretty difficult and ...
Read Blog
Cryptocurrency mining is the way transactions are verified and added to the public ledger, a database of all the transactions made around a particular piece of cryptocurrency. Cryptocurrency miners compile all of these transactions into blocks and try to solve complicated mathematical problems to compete with other miners for bitcoins. To do this, miners need ...
Read Blog