Using Blockchain to Protect Against Cybercrime: 6 Ways

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 Blockchain is a decentralized, distributed electronic ledger based on the security and trust paradigm. Transactions are processed sequentially and openly using cryptography, with each one being time-stamped and connected to the one before it.  

 

Furthermore, these digital ‘blocks’ can only be altered with everyone’s permission, making data interception, alteration, and deletion difficult.
 

 

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Industry leaders, particularly in digitally health and financial services, energy, and manufacturing, have prioritized blockchain. Authenticating Bitcoin payments is arguably the most well-known use of blockchain, but this technology may also apply to data centers and smart grid systems. The following are examples of real-world blockchain security applications. 

Securing Internet of Things (IoT) Networks
 

Although the Internet of Things has the potential to be transformational, it is not without security flaws. In IoT systems, data exchange happens through the internet. Thus, IoT systems are a frequent target for hackers. For instance, consider the ramifications of a hacked smart power grid, and you’ll quickly see why IoT systems must stay secure.
 

IoT specialists and developers may use blockchain to protect IoT networks. Blockchain’s immutability, authentication, and encryption can be extremely beneficial. Only trustworthy participants in the network may be allowed in IoT systems using a blockchain-based authentication process.
 

Cisco’s intentions to use blockchain and safeguard IoT networks are prime examples. Block Armor, a cybersecurity company, secures IoT systems with blockchain-based authentication mechanisms. 

Using Decentralized Storage Technologies to Secure Critical Data 

 

Hackers attempt to steal critical information regularly. They can do so because centralized storage solutions store data as a single unit. Only one repository must be breached for cybercriminals to gain access. 

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To alleviate this risk, blockchain security provides a decentralized storage platform. Whenever users wish to store sensitive information, the blockchain encodes it first.
 

Uploading the data is the next step. Using the well-known database method of “sharding,” the encrypted data is split into smaller chunks, referred to as “shards.” Shards are like database or file partitions. These shards are then distributed to different “nodes” or computers on the network.
 

Hackers face two issues as a result of this solution. First, they must hack various nodes to obtain all of the shards. They must also piece together the complete data file from the shards. These pursuits are very costly, and this deters hackers. 

Mitigating DDoS (Distributed Denial of Service) Attacks
 

DDoS assaults can bring an organization’s IT network or website standstill. Cybercriminals use enormous waves of traffic to assault a website or an IT network in this type of cyberattack. Most organizations’ IT networks and applications can’t cope with continual high traffic surges. 

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Cybercriminals can carry out DDoS attacks at a relatively low cost. They need to target a single IT network or application managed centrally. This can be addressed using blockchain-based cybersecurity solutions. Because blockchain is decentralized, all nodes in a decentralized blockchain have access to the whole network’s data. There is no central administrator if all nodes have equal authority.
 

Hackers won’t be able to take down a blockchain network by just closing down one node. There is no “single point of failure” (SPoF). As a result, blockchain-secured IT networks will not have a SPoF, and hackers must transmit vast amounts of traffic to many nodes. As such, DDoS assaults will no longer be financially feasible.
 

Strengthening or Completely Replacing PKI 

 

PKI (Public Key Infrastructure) is a cryptographic technique used to secure email, websites, messaging apps, and other modes of communication. Most solutions rely on a centralized third-party certificate authority (CA) to issue, revoke, and maintain critical pairs.
 

Criminals can target and breach these encrypted communications and impersonate people. Publishing keys on a blockchain would theoretically reduce the possibility of false key propagation and allow apps to confirm the identity of the persons with whom you’re speaking. 

Validating the Security of Downloaded Programs 

 

Some of the software you download from the internet may include viruses. Most of us cannot detect such dangers, and cyber criminals exploit this ignorance. By infecting the downloadable version of a software product with malware, they can steal private information. Users that download the software program unknowingly put themselves in danger of cyber-attacks.
 

 
 

Blockchain can help software product vendors avoid this. They can encrypt the software download file with a cryptographic hash. This is also known as the “integrity hash.” The integrity hash can subsequently be saved on a blockchain network by software product suppliers.
 

Blockchain’s immutability makes it impossible for anybody to meddle with it. Users can then compare the integrity hash recorded on the blockchain network to the cryptographic hash of the downloaded file. If the hashes are the same, they can download the program. 

DNS Services Protection 

 

DNS services assist Internet users in accessing the websites they want. These services convert alphanumeric website addresses to their IP addresses.
 

DNS service providers disperse their DNS servers throughout the globe in distinct geographic zones. Although this provides a layer of decentralization, DNS services aren’t entirely decentralized.
 

DNS providers can use blockchain networks for storing DNS data. The blockchain’s security features prohibit the manipulation of DNS data. 

Final Thoughts 

 

As technology and data become more ubiquitous, it becomes imperative to strengthen security measures to safeguard digital data and transactions. Blockchain technology is a breakthrough in cybersecurity. It promotes cybersecurity adherence in the digital world, and most companies can use it. 

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