Crypto exchanges have to learn and improve on their security - page 3.

Beerwizzard

full member

Activity: 924

Merit: 148

Quote from: tranthidung on September 26, 2023, 10:18:42 AM

Why KYC is extremely dangerous – and useless

Damn, I find it so funny this bullshit thread was translated into 13 languages. The arguments are incredibly dumb. And the the thread itself is so huge that I am impressed of the amount of work that has been done to make such a huge piece of shit.

Quote from: 348Judah on September 26, 2023, 10:40:03 AM

but we should also ask these organizations on how effective have they been maintaining their websites security network, what attention are they giving it, how much do they spend in assuring this security measures.

You really expect to get the answer? Organizations can't publicly discuss the details on their security system as it is actually exposing it to hackers. Your funds are safu and this is it.

kryptqnick

legendary

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Merit: 1402

Join the world-leading crypto sportsbook NOW!

I agree that crypto exchanges must invest in better security, but there are also a couple of other things to note here. First, people must learn to only store what they're totally fine with losing on exchanges because a centralized platform is a risk not just due to possible hacks but also exit scams, mismanagement of customers' funds, etc. Second, crypto exchanges sometimes claim there was a hack, when in all likeliness it was an inside job that led to funds being stolen from customers.
I also stand with those who aren't sure KYC is that useful, especially in the context of security.

Rruchi man

legendary

Activity: 1456

Merit: 1108

Use chips.gg

Quote from: Macoach on September 26, 2023, 09:14:09 AM

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You are always advised not to store your bitcoins on exchanges. As a step to ensure your personal security cold wallets are recommended for use because they are not connected to the internet and operate offline.

You should never fully trust exchanges no matter how big their name is because since almost everything is hackable, you will not know when hackers will decide to want to exploit security vulnerabilities that these exchanges are unable to detect on time or vulnerabilities that they choose to overlook.

Hyphen(-)

hero member

Activity: 994

Merit: 744

Quote from: Macoach on September 26, 2023, 09:14:09 AM

Since the majority of users appear to have welcomed the requirement for required KYC, I believe the focus should now be on enhancing exchange security.

Most users who welcomed the KYC requirement on any exchange are those who like trading and are very sure that they will get the best trading futures on centralized exchanges. Not because KYC enhances security, but because I believe that doing KYC will only expose your privacy to the world, and once you submit KYC, you should just be prepared because your personal details might be sold out anytime.

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I am aware that KYC may reduce fraudulent activity, however dealing with hacking and security exploitation issues will need investing in the strengthening of security. Adoption could happen quickly with sufficient protection because safety will be assured.

I don't believe that, because most exchanges that are getting hacked these days are all KYC exchanges, but if you have evidence, you can share it here on how doing KYC on an exchange enhances its security.

Quote

Even though there are still very few trading platforms that have never experienced security exploitation, the recent incident with Houbi should serve as a reminder for everyone to remainattentive and prioritize their security.

The security we should patronize is to move our coins to our personal wallet that will not be under any third party since the hacking of Centralize exchanges has now become a trend. Who knows which exchange might get hacked today because the security they claim they will provide is always failing.
Let's always remember this "Not your keys not your coins"

348Judah

hero member

Activity: 714

Merit: 521

Quote from: Macoach on September 26, 2023, 09:14:09 AM

Even though there are still very few trading platforms that have never experienced security exploitation, the recent incident with Houbi should serve as a reminder for everyone to remainattentive and prioritize their security.

Exchanges are being attacked, mixers are being attacked and also there are several attacks aimed at gambling organizations to cheat on their system, which means we are to always get ready of anything that relates to this each time we are using a centralized institution because they are more subjected to hack by the scammers, but we should also ask these organizations on how effective have they been maintaining their websites security network, what attention are they giving it, how much do they spend in assuring this security measures.

EL MOHA

sr. member

Activity: 504

Merit: 279

Quote from: Macoach on September 26, 2023, 09:14:09 AM

Since the majority of users appear to have welcomed the requirement for required KYC, I believe the focus should now be on enhancing exchange security.

I don’t agree that majority have actually agreed to the KYC protocol implemented by exchanges, it is mostly exchanges that have come to the conclusion that KYC adds another level of security to their users. If you read some news once any non-KYC exchanges enforces KYC you will see some of the users fuming, most especially bitcoiners. Most just stick to the exchanges because they aren’t many out there that can provide them with some features they want. Decentralized Exchanges would have been a place to habour them but most do not have enough liquidity.

Quote from: Macoach on September 26, 2023, 09:14:09 AM

I am aware that KYC may reduce fraudulent activity, however dealing with hacking and security exploitation issues will need investing in the strengthening of security. Adoption could happen quickly with sufficient protection because safety will be assured.

One effective way of preventing this security breaches is to be very cautious in handling our storage devices, do not because you looking for something easier you compromised your security like not going through to have knowledge of how to save your money or coins on cold wallets, to not wanting to take the stress of having to store your keys yourself and there for either entrusting your keys to others or storing the funds on platforms. Also carefully scrutinizing any related information concerning your accounts ranging from mails that could contain phishing links or downloading just any applications

tranthidung

legendary

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Farewell o_e_l_e_o

Quote from: Macoach on September 26, 2023, 09:14:09 AM

Since the majority of users appear to have welcomed the requirement for required KYC, I believe the focus should now be on enhancing exchange security.

If you want so, you must write many emails to many exchanges as one of their customers to request them to do that to solve your concern. This forum is not a relevant place to do it because very limited exchanges have representatives in Bitcointalk. Even they are here, they probably don't see your thread.

Users must change their attitude and practice first as it is more easily to do than asking for changes, security improvement from exchanges. They must focus on what they can control so focus on themselves and how they can change their security practice first.

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I am aware that KYC may reduce fraudulent activity, however dealing with hacking and security exploitation issues will need investing in the strengthening of security.

I am unsure that KYC can reduce fraudulent activities a lot.

Why KYC is extremely dangerous – and useless

avikz

legendary

Activity: 3080

Merit: 1500

Web security can never become bulletproof. It's due to the nature of the business. As Alpha Merine had correctly pointed out that the hackers will get more sophisticated along with the systems. So no platform can stay 100% secure from the hacking attacks. It will be a part of their daily operations.

Yes, we need to see how the exchanges can handle such attacks and what they do after the attack. Also it is required to have a complete insurance cover to protect the consumer funds. That's what sets the exchanges apart from the competition.

Mr.right85

hero member

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Merit: 673

Quote from: Macoach on September 26, 2023, 09:14:09 AM

Since the majority of users appear to have welcomed the requirement for required KYC, I believe the focus should now be on enhancing exchange security.

Are you being serious right now because, I’m not taking you up on that.
The cryptocurrency space and it’s users have never been very welcoming of the KYC idea. It’s not an entirely bad idea but, anonymity remains a vital part of the cryptospace and KYC sort of takes that away from you. It’s mainly an option that you can’t refuse on a much needed service else, majority of users that occupy the cryptospace aren’t arms open to KYC.

Quote from: Macoach on September 26, 2023, 09:14:09 AM

I am aware that KYC may reduce fraudulent activity, however dealing with hacking and security exploitation issues will need investing in the strengthening of security. Adoption could happen quickly with sufficient protection because safety will be assured.

Yeah, that’s one of its benefits but, where it becomes an issue of concern is about the safety of these KYC documents. In cases of obvious hacks, while most of the focus might be centered on the money being stolen, data are also picked up along the way too.

Quote from: Macoach on September 26, 2023, 09:14:09 AM

the recent incident with Houbi should serve as a reminder for everyone to remainattentive and prioritize their security.

When it’s a hack on the exchange, it has nothing to do with you but still, you must ensure to take security seriously.

Alpha Marine

sr. member

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Merit: 332

As security gets more sophisticated, that's how criminals also get sophisticated. Hacking into systems will always be a thing no matter how the world gets.
We can't trust these exchanges to have top-notch security or not be careless with anything. Even if they're not careless, a single mistake can lead to a hack.

So it's best to not leave your coins in an exchange. As a trader, you can leave a certain amount you're amount to use to trade but leaving a large amount on centralized exchanges is not advisable.

The fact that your coins are a non-custodial wallet doesn't mean it's ultimately safe. You also have to be careful and take every security measure possible. Hackers don't only attack exchanges. They're also constantly looking for ways to access wallets.
So even if you don't trust centralized exchanges, you still have a role to play to keep your coins safe.

Jawhead999

legendary

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As good as the security they can improve or enhance, it's not make they 100% will never get hacked because online website are prone to get hacked.

Huobi isn't the only one exchange get hacked, centralized exchange already get hacked since 2011 [1] and every year there's always an exchange get hacked. So it means, all centralized exchange only waiting their turn to get hacked.

[1] https://bitcointalksearch.org/topic/hacked-exchanges-since-2011-5090869

Macoach

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I know people who are still dubious about the cryptocurrency sector because they worry about losing their money to scams or security breaches, which has been a typical occurrence in this market.
Since the majority of users appear to have welcomed the requirement for required KYC, I believe the focus should now be on enhancing exchange security.

I am aware that KYC may reduce fraudulent activity, however dealing with hacking and security exploitation issues will need investing in the strengthening of security. Adoption could happen quickly with sufficient protection because safety will be assured.

The latest Houbi attack, which resulted in the theft of roughly $8 million worth of Ethereum, and a few other security exploitations of a similar nature on other trading platforms in the past don't bode well for the sector, which calls for the prioritizing of security. https://cointelegraph.com/news/huobi-global-crypto-exchange-hacked-report

Even though there are still very few trading platforms that have never experienced security exploitation, the recent incident with Houbi should serve as a reminder for everyone to remainattentive and prioritize their security.

Topic: Crypto exchanges have to learn and improve on their security - page 3. (Read 404 times)