Contrary to a common and misleading belief built on a wealth perspective, it’s not the billion-worth, high-growth businesses that attract alarmingly much attention and affinity these days in the cybersecurity area but small and medium enterprises that cannot rise to the behemoths’ level neither in terms of wealth nor in cybersecurity. The lower their bottom line (BTL) is and the fewer employees such an enterprise has, the consequently more minor the resources to invest in cybersecurity, resulting in a level of vulnerability that has hackers of all skills coming after their databases.
Information is the most valuable exchange venture, with malicious but skilled actors cracking systems to put their hands on it to trade the treasure trove further. Despite a natural tendency to think of cryptocurrency when hearing about blockchain technology, given its indispensability in securing and verifying transactions between virtual wallets and people, the ability to safeguard SMEs through the same principles of decentralization and cryptography may slip some people’s minds. Blockchain isn’t just the pillar of crypto, empowering investors of all sorts to buy Bitcoin online through a trustworthy cryptocurrency exchange, but also a game-changer in SMEs security. Governments and businesses are exploring this sector to capitalize on the ground-breaking technology that fuels digital currencies, and cybersecurity is one of the largest areas to benefit.
This technology has gained astronomical ground in over a decade and represents a highly lucrative sector. To be better prepared for the future of cybersecurity, we’re offering a lowdown on the common cyberattack types and how blockchain can help alleviate and overcome these threats, grasping its recognition as a multifaceted defense against all the inevitable exposure and perils online and beyond.
What is blockchain, actually?
Blockchain, just like cryptocurrency, is thrown around a lot, but its ubiquity doesn’t mean that people are or must necessarily be familiar with their underlying workings. The more straightforward the definition given for them, the easier it becomes to embark on this fascinating journey, which is where McKinsey’s depiction of this high-end cybersecurity deliverer comes in handy. According to the giant global consulting company, blockchain enables secure information transfers. Also known as a distributed ledger, it stores transactions in what can seen as an account book, whereas data is hosted in databases. Blockchain is a distributed ledger technology or database, and its update through nodes gets rewarded with cryptocurrencies.
Blockchain nests blocks or transactional records in some databases, building up the “chain” in a network interlinked through peer-to-peer (P2P) nodes. Whatever information goes into the blockchain cannot support modifications, alterations, or removals at any time given, which is just one reason blockchain has such a wild potential in providing high-end cybersecurity and saving money, reputation, and integrity of businesses keeping pace with the modern advancements.
What role does blockchain play in cybersecurity?
As you may have figured, blockchain is critical in numerous ways to improve online security for enterprises. The distributed and decentralized nature of the database guarantees data security and integrity across networks in places and areas like the following:
Internet of Things (IoT)
Thanks to their distributed records and decentralized building, distributed ledgers offer control and security for IoT devices. Smart contracts or self-executing contracts residing on blockchain and removing intermediaries from data or payment transfers under fulfilled conditions validate transactions in the IoT systems. Moreover, they protect interlinked devices from hackers and protect their security, among other advantages.
DDoS protection
Attempts to interrupt traffic on online sites and services, also known as distributed denial-of-service (DDoS) attacks, can colossally affect a business, flooding its app or site with fake traffic. Usually, it makes the offerings and site unavailable to internauts. However, blockchain’s potential to impede attackers from seizing any points of failure in the systems makes it harder for DDoS to occur. A business can leverage decentralized ledger technology to protect against such attempts, ensuring services run unimpacted. DDoS strikes on blockchain exist and they’re known as smart contract attacks or flooding, targeting the protocol layer’s disruption instead of particular nodes.
Decentralized storage
Illegal data seizure in businesses is a typical modern threat, but it becomes almost unfeasible thanks to blockchain’s data distribution across databases. Suppose an attacker tried to interfere with a block; the whole network would check and spot the threat. Every blockchain network member nests and validates data, and no central storage location is involved, each carrying equal importance and attributions.
No more human authentication
The outdated method of introducing passwords and usernames for authentication is no longer needed, thanks to blockchain, which provides reliable verification through PKIs or public critical infrastructures. Every device receives an SSL certificate, which improves security and removes all the overwhelming threats and risks commonly brought about by human, password-only authentication.
Secure PMs
Private messages (PMs) stand in line with password-based authentication when it comes to the threats they open the room to in the online realm, and just like the other culprits, these are entirely evitable. Blockchain technology uses encrypted security to make information and data transactions unreachable by any attacker, which is also the case for private messages. This guarantees users the integrity and privacy of their communication, providing an extra layer of encryption compared to other applications, additionally safeguarding personal and private data from the alarmingly common cyberattacks of today.
Immutability
Blockchain’s development makes the block-stored data unalterable and tamper-proof. Once information is included in the distributed database, it can’t be removed or modified, ensuring the long-term integrity of the content.
What are the advantages of blockchain in a business cybersecurity strategy?
While the areas above that can be improved through blockchain as part of a business’s new data storage model are easily graspable, one may wonder what specifically this avant-garde technology brings to the table. The following three concepts are all ensured by blockchain and universally applicable to almost every type of SME, so let’s check them out.
- Customers’ trust is improvable through blockchain tech that places more control over the shared data in owners’ hands than other data storage methods. Blockchain guarantees ethical and safe data maintenance.
- Distributed ledgers register data transfers through digital signature usage and streamline the process of tracking down a data’s history, which helps customers who want insights into the origins of a product, among other actual use cases. Businesses can thus confirm the genuineness and provenience of their offerings and gain a competitive advantage, establishing themselves as leaders in their niche.
- Secure data transfers through PKIs ensure all the parties that the efficiency and integrity of their shared content are endorsed. In traditional systems, this peace of mind isn’t guaranteed since data can be easily compromised, modified, deleted, or altered, making it susceptible to manipulation.
Blockchain technology emerges as the most fearful enemy to attackers in digital threats, guaranteeing a more trustworthy and safeguarded future for everyone leveraging these distributed databases.