Although blockchain has gained notoriety for being a platform for cryptocurrency spam and other financial crimes, it can be leveraged to prevent such activities by creating an unalterable record of events. The ones that can be traced back to their sources. This makes it a valuable tool in the battle against cyberattacks. Especially those that target the data stored in the blockchain. However, cybercriminals are getting more skillful at obscuring their traces once their malicious code has been unleashed. Thereafter, they can also use blockchain to distribute malware to other users.
Abstaining DNS Checks
Delft, a cybersecurity company in the Netherlands, highlights a significant problem with the use of blockchain. Mainly to generate random domain names for command and control servers. Normally, failed domain name server searches result in NXDomain errors. However, the network management systems can easily detect before a cyber attack launches. However, by utilizing transaction data on a blockchain, malware such as the Cerber ransomware can communicate with its host without triggering an NXDomain error. Thereafter, making it much harder to identify until it’s too late. This creates a new back channel for attackers that can evade even the most advanced network analysis tools.
New Type of Network Manipulation
Earlier this year, a major blockchain-based attack called NKAbuse emerged. It uses the NKN (New Kind of Network) protocol to transmit data between peers on blockchains. Which furthermore allows it to launch DDoS attacks and other malicious activities against Linux systems. The attack primarily employed the Go programming language, which is increasingly popular for blockchain applications. NKN likely acts as the carrier because of its vast node base (over 62,000 at the last count). Moreover, its the ability to function as an overlay on the TCP/IP stack. Therefore, giving it access to the entire internet. As part of a blockchain, its central controller stays well hidden, making it highly reliable and anonymous as it grows over time.
New Crypto Malware Threats
New types of “crypto-malware” are infecting targeted systems. However, not to steal data or launch DDoS attacks, but to covertly mine cryptocurrency. This code can remain undetected for extended periods, sometimes for years. Thereafter, causing no significant harm but surreptitiously hijacking resources to increase costs and decrease productivity for their owners. Estimating the full impact of crypto-malware on the economy is challenging. This is because of its lower threat level in comparison to ransomware or other types of malware
As cryptocurrency values continue to increase, more hidden mining software will find its way into businesses, consumer systems, and devices. Further compromising our ability to maximize digital resources.
Blockchain is a versatile technology that one can harness to combat all forms of malware. However, it requires considerable coordination. Researchers from BMS College of Engineering in India propose a system in which blockchains worldwide can link to a central database. Thereafter, to quickly determine the maliciousness of any downloadable code. The concept is based on standard anti-virus software that checks databases created by developers.
However, given the widespread use of blockchain, this idea must be expanded globally, with mechanisms for continuously updating the database as new code, good and bad, is distributed. The database’s integrity can be maintained like all other blockchains, through massive distribution across hardened nodes. While this is a challenging task, the research team emphasizes that it is “the need of the hour.”
Also Read– Everything You Need to Know About Crypto Stealth Address
In Conclusion
It is not surprising that blockchain is susceptible to manipulation, just like any other digital environment. Its architecture is peer-to-peer and anonymous, which encourages broad adoption and efficient operations. However, now that its significant vulnerabilities are becoming apparent, it is vital to take action to address them before they can be exploited on a large scale. DLT has the potential to revolutionize global economic activity and generate new levels of wealth creation and distribution. It would be unfortunate if the technology were to collapse due to a lack of trust. Thus, there needs to be a concerted effort to ensure that these vulnerabilities are addressed to ensure the continued growth and success of blockchain-based systems.
