50 percent of top crypto currencies have serious security flaws

5. November 2018

Security researchers at Blue Protocol have taken a closer look at countless crypto currencies since February of this year. According to their own information, more than one million tests per minute have been carried out automatically. The result is disastrous: According to the announcement, more than half of the most popular top 50 coins are said to be susceptible to hacks. The technical manager has informed various marketplaces about the critical security gaps of the coins. He simply didn’t get an answer until today. The company has issued an in-house coin called Blue and describes its own security level as “world class”.

Blue Protocol: Advertising on your own behalf?

Since February, the company had carried out countless tests in advance to put the existing crypto currencies through their paces. Which of the tested coins are problematic and where exactly the loss of the credit can threaten, has not yet been revealed. Tonight the company twittered that it had decided to delay publication in order to better protect the wallets of the crypto currencies concerned. Of course, the announcement of the susceptible coins is a good PR stunt and a lot of free advertising on its own behalf.

Edward Garrett, the CCO of Blue Protocol, contacted the managing directors of the online trading places via LinkedIn and e-mail in order to inform them about the security gaps of the crypto currencies they traded. He wanted to warn them about the details in order to take appropriate countermeasures. However, he did not receive an answer from any of the operators contacted, as Garrett reported via Twitter. The gaps found are sometimes described as serious. They make it possible for cyber criminals to take over the credit of third parties.

Time is extremely inconvenient

In the meantime, the company has been contacted by various curious Twitter users who have asked for a timely publication of the list of coins with security vulnerabilities. Others wanted the information privately in advance in order to be able to sell the corresponding coins before the market crash. However, Blue Protocol rigorously rejects both. Rather, they write that one should stop writing to them and only try to bring the truth to light. If you don’t like it, you are asked not to follow them on Twitter anymore. If prices tumble after publication, one should condemn the creators of the coins and not the bearer of the bad news, according to one of the more recent tweets.

Be that as it may, the timing is extremely unfavorable. Many Altcoins have lost up to half their value in the last weeks, the consequences are incalculable. If so many popular crypto currencies are now affected by the security loopholes, this will push prices down sharply. But the mere fact that, in addition to online marketplaces, so many of the Coins’ technical ecosystems could also be vulnerable to hacker attacks should make many members of the community pause for thought. After all, it’s about money, in some cases a lot of money.