TEAMZ BLOCKCHAIN SUMMIT was held in Tokyo, Japan from April 6th to 7th, 2019. The summit was hosted by TEAMZ and co-sponsored by industry media such as Cointelegraph to bring together the wisdom of the industry’s pioneers for blockchain technology. Inspiration for long-term development. In addition, the summit invited dozens of world-renowned companies, capitalists and 90 blockchain industry experts to participate in the discussion, to discuss the overall development trend of the blockchain industry and the current hot topics. More than 5,000 blockchain enthusiasts were present during the conference.
The loss of user assets caused by hacker attacks has become one of the biggest obstacles to the development of the blockchain industry. Due to the frequent occurrence of such incidents, asset security issues have become a hot spot in the current industry. Kiana, the co-founder of DigiFinex Exchange, was invited to attend the summit and gave a deep perspective on the topic of “Combating Hackers: How to Protect User Asset Security”.
Moderator: The total loss caused by hacking the exchange is more than $1.5 billion. Please tell us why this happened?
Kiana : There are two reasons why cryptocurrency exchanges are easily targeted as hackers. On the one hand, the anonymity, untamed modification and unregulated nature of digital currency make asset transfer convenient and difficult to trace back. On the other hand, the digital currency trading industry has a short period of time, rapid development, and high profits. As a result, the original technology accumulation is insufficient. It is easy to neglect the construction of information security. There are many hidden security vulnerabilities and it is relatively easy to attack. There are even some encrypted digital exchanges that have no security system at all.
The security threats faced by digital currency exchanges include: server software vulnerabilities, misconfigurations, DDoS attacks, server-side Web application vulnerabilities (including technical vulnerabilities and business logic flaws), office computer security issues, and internal personnel attacks. For an exchange with a large scale and a large number of users, there is also the problem that the user is attacked by the attacker using a counterfeit phishing website to obtain authentication information.
Moderator: We need to make what change in order to prevent as such cases QuadrigaCX again timeshappen?
Kiana : The exchange QuadrigaCX transferred some cryptocurrencies into a cold wallet that could not be extracted. As the founder died, he did not share the way to get the funds stored in the cold wallet, resulting in a loss of $145 million. I think that if the exchange stores the user’s digital assets in a cold wallet, it is best to disclose it to the user; in addition, users should learn to protect their assets, do not store passwords in the browser, and keep their own hard wallets.
Moderator: Do you think it is safe enough to invest in cryptocurrencies for large institutions with retirement and life savings?
Kiana : The investment of cryptocurrency is an emerging financial investment market. Compared with other traditional financial markets, the market value of cryptocurrency is still very small, but security and compliance are the only way for the development of digital assets. With the growing maturity of blockchain technology and regulatory policies, I believe that cryptocurrencies have very good future prospects. This year we saw two digital currency indices provided by CMC on the global authoritative financial media Reuters and Bloomberg, as well as the world’s most well-known financial exchanges NASDAQ, Germany’s Stuttgart exchange Brose Stuttgart. The traditional stock exchange has entered a cryptocurrency investment, which has released a strong signal, and the prospect of cryptocurrency investment is worth looking forward to.
After more than a year of bear market digest, the current cryptocurrency market has been squeezed out, and it has come to an ideal investment price. The mainstream currency including Bitcoin is a better choice for configuring digital currency assets. Any investment will be accompanied by risk, and I think encrypted digital currency is a good investment choice.