Today data is the latest oil. Companies everywhere are competing to collect important information about their customers. This allows them to focus their efforts on them and increase sales. Without financial and customer data firms cannot succeed. Equally data security is an essential aspect of any business that is successful. In the end, businesses invest billions of dollars in advanced security measures to ensure that data theft is kept at the horizon. This is so that you may take advantage of Bitcode Ai advantages and have an excellent experience. Yet, we hear of security breaches and leaks every now and then. The latest victim of a hack is Robinhood an investment platform. The security breach revealed the identities of a large part of its customers following hackers stole their personal information. This article explains the security breach affecting data in more depth.
Robinhood Markets, Inc. is an American business providing financial services in Menlo Park, California. It was established in 2013 and is currently working to make finance accessible to everyone. The company’s primary main focus is on meeting the needs of its customers. One of the main features of its products is that they are a non-profit investment. It also provides tools and resources that are designed to offer customers a high-profit return on investment. The services offered by the company include funds, stocks cash management, gold and cryptocurrency. In addition, Robinhood offers people the ability to invest without the expense of millions of dollars in their bank accounts to pledge.
About the Data Security Incident
Security breaches are not commonplace within a company’s systems. But, if they do occur, going public for the business is the best option. Simply put, the business needs to discuss the matter with its shareholders and customers. This is the process that Robinhood did following the aftermath of hacking. According to a post on the Robinhood website the company suffered the security of data on the 3rd of November. An outside party was responsible for the attack and gained access to significant amounts of customers‘ personal information. However, the security staff at Robinhood stopped the cyberattack in a proactive manner. Thus, hackers did not succeed in stealing Social Security number, banking accounts or debit card data. Furthermore, the report states that the breach did not result in financial loss or financial loss to its customers.
The number of customers whose personal information were affected is 7 million. It appears that hackers gained access to the Robinhood customer support interface through a trick on an CS agent via social engineering. According to the information the hacker gained access to 5 million email addresses, as well as all the names and addresses of 2 millions of other users. In addition, hackers had access to the details of 310 clients, including their name, birth date and zip code. However, only 10 of them suffered privacy breaches. Robinhood further states that, upon discovering the intrusion an unauthorised user demanded a ransom to recover the information. Instead to paying for the ransom the business notified the breach and made contact with the law enforcement. Robinhood also requested the services of Mandiant. This cybersecurity company from outside will assist in stopping cyber attacks from happening again. While the investigation is ongoing, Robinhood has issued security advisory to customers. It also provides advice on how to protect their accounts more effectively.
What to Do After a Data Security Breach?
Robinhood might be doing to stop the cyberattacks and stop the same thing from happening. However, it is impossible to determine if the breach will be repeated or not. In the world of blockchain and cryptocurrency security is a huge issue that requires attention. Just a few months ago Japan’s Liquid Global Exchange lost nearly $100 million worth of cryptocurrency. The hackers shifted the money to various cryptocurrency wallets. Because of the increasing amount of hacks involving crypto and security breaches that compromise data, businesses need to review their data security measures. Companies like Robinhood which assists people deal with their investments is concerned about security of data.
If the breach comprised of bank accounts or debit card details, then it could have impacted millions of people. Many companies have upgraded their entire security system after a breach. Some of them employ the rapidly expanding blockchain technology to protect the personal data of their customers. In addition, in the wake of million-dollar hacks businesses have launched compensation plans in order to pay their customers. For instance, Cream Finance imposed this action following a massive hack which saw hackers steal the sum of $18 million. So, the company has introduced a refund procedure to assist customers to recover their losses. The company also will use a procedure to refund customers 20% of fees for transactions.
Security breaches involving data are a major concern not only for customers as well as the business. The company is the one responsible for protecting millions of customers‘ information. So, it’s high time that businesses like Robinhood examine more effective and more advanced security measures.