Beware!!!Someone may be stealing your bitcoins

According to a highly recognized cybersecurity firm FireEye and an independent researcher, Ashley Shen recent spike in the prices of cryptocurrencies have made them extremely vulnerable to hackers and online criminals.

The data collected by FireEye says that hackers most likely backed by the state of North Korea had breached the security of three cryptocurrency exchanges in Seoul, South Korea. Those Hackers stole at least 3800 bitcoins only from a single exchange of Yapizon. South Korean-based world’s biggest currency exchange for Ethereum, Bithumb, in June 2016 said that unknown hackers had stolen secure information from the computer of one of its employee.

Who is responsible for Hacking?

As already discussed, most of the cybersecurity firms and independent researchers are of the view that the Kim Jong Un’s regime is behind the systematic attacks on the cryptocurrency exchanges in South Korea. The experts say that United Nations security council’s sanctions on North Korea have reduced the textile exports of the country by more than 90 percent and made it impossible for the communist state to stand it on its feet. To get cash and to evade international laws they are using such tactics. The money laundering laws can be easily evaded with cryptocurrency since it does not fall within the ambit of hard currency and cannot be traced easily.

Ashley Shen recently said that she has traced three groups of hackers- Lazarus, Andariel, and Bluenoroff- who intruded into the cryptocurrency exchanges and even stole massive amounts from wallets. Her analysis says that hackers are part of the groups formed by the North Korean dictator to gather money. However, apart from the North Korean hackers, there are many other criminals who want to earn huge money by stealing cryptocurrency.

How do these attacks happen?

You must keep in mind that most of the attackers whether attacking exchanges or individuals use Phishing technique or by spreading malware through the files they send. An example of a such a malware is Peachpit which got success in breaking through the security of an exchange in Seoul.

How they convert the cryptocurrency into hard cash?

The Hackers first convert the stolen coins into currencies which are extremely hard to trace such as Monero and then convert that money into hard cash and rest you know!!!! They start enjoying it.

So beware of phishing and malware attacks.

How to keep the bitcoins safe?

Each and everything about the safety and security of cryptocurrencies will be discussed in the next article- a part of this series. So stay tuned.