A Bitcoin Hack and an Equifax Suit
In what shouldbe one of the larger "reality-checks" for cryptocurrency promoters, we can't help but focus for a moment on the Binancehack which saw an estimate $41-million in Bitcoin stolen. Details are found the story "Bitcoin Bulls Battling Back Beyond Binance Breach."
A thoughtful observer would note several things: The first (from our cyber insurance perspective) is how does one value (and price) insurance protection for a cryptocurrency asset? Because, if hacked, there may be no evidence of a currency (asset) theft? Noodle on that for a moment.
The second point relates to crypto use and banking in general. As far as we know, there is no "savings protection" for digital currencies equivalent to the FDIC/FSLIC insurance.
Last, but not least, the reported hack did drop the price of BTC a bit. It had been knocking on the door of $6,000 (USD) for a bit, but as news of the breach circulated, the price briefly dropped almost $400 on some exchanges.
We're reminds of the Depression-era bank robber Willie Sutton. When famously asked "Why do you rob banks?" the glib gunman replied: "Because that's where the money is!"
Here at Cyber-Armada, cyber insurance is all we do. We're pretty sure that if Willie Sutton were alive today, he'd skip the gunplay... and buy a laptop!
We are admittedly a bitskeptical of the world's headlong rush into an almost totally EMP-susceptible currency based on computer codes, but if you operate with both cryptos and traditional currencies, be sure and ask your Cyber-Armadaaccount specialist how to deal with the special case of crypto riskduring your free cyber security risk assessment.
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Our second focus in today's updateis the evolving legal details of the Equifaxhack. See the Indy Starcoverage under "Millions of Hoosiers were affected by data breach. Equifax didn't protect them, AG says."
You may remember Equifax suffered a 2017 breach impacting 148-million individuals. Even using a modest $120 per record breach cost, this could hit the record books with it potential $17.7-billion dollar breach cost.
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