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The Hidden Risks of Using Password Manager Tools & Why It’s Time to Go Passwordless

Password managers have long been touted as essential tools for securing accounts by generating, storing, and managing complex passwords. However, recent high-profile data breaches involving leading password management companies have raised concerns about their security efficacy. Today, we explore the inherent risks associated with using password manager tools, examine recent breaches, and explore why adopting a passwordless authentication approach using digital certificates might offer a more secure and user-friendly solution.

The Illusion of Security: Risks Associated with Password Manager Tools

Password manager tools are designed to simplify and secure the authentication process by storing all user passwords in an encrypted vault, which is protected by a single master password. While this seems like a foolproof method, several risks make them vulnerable targets:

  1. Single Point of Failure: If the master password is compromised, all stored passwords become accessible to attackers.
  2. Target for Cybercriminals: Password managers are lucrative targets for hackers because breaching them can yield access to multiple accounts and sensitive data.
  3. Vulnerabilities in Software: Like any software, password managers can have bugs and vulnerabilities that can be exploited by attackers.
  4. Human Error: Users might reuse passwords, create weak master passwords, or fail to update software, which can compromise security.

Recent Data Breaches in Password Management Companies

Several high-profile breaches have highlighted the vulnerabilities in password management solutions:

  1. LastPass (2022): LastPass, one of the most popular password manager tools, experienced a significant breach in 2022. Attackers accessed customer vaults by exploiting vulnerabilities in LastPass’s infrastructure. The breach led to the exposure of sensitive information stored in encrypted vaults, which could potentially be decrypted if the attackers managed to obtain the master passwords.
  2. 1Password (2023): In early 2023, 1Password reported a data breach where attackers managed to compromise a portion of their infrastructure. Although the company claimed that no customer data was accessed, the incident raised concerns about the potential risks associated with centralized password storage solutions.

These incidents illustrate that even the most reputable password manager tools are not immune to cyberattacks, and relying solely on them for security can be risky.

The Case for Passwordless Authentication

Passwordless authentication leverages technologies such as digital certificates, biometrics, and hardware tokens to eliminate the need for traditional passwords. This approach offers several advantages over password managers:

  1. Enhanced Security: Digital certificates are unique cryptographic keys issued to individuals or devices. They are nearly impossible to forge or steal, reducing the risk of unauthorized access.
  2. Reduced Attack Surface: By eliminating passwords, organizations can minimize the attack vectors that hackers commonly exploit, such as phishing and brute-force attacks.
  3. Improved User Experience: Passwordless authentication methods are typically more seamless and user-friendly. Users can authenticate using biometrics or hardware tokens, avoiding the hassle of remembering and managing passwords.
  4. Lower Administrative Overhead: Managing digital certificates and other passwordless solutions can be automated and integrated into existing IT infrastructure, reducing the burden on IT teams.

Real-World Implementation of Passwordless Authentication

The adoption of passwordless authentication methods is on the rise – and for good reason. The Portnox Cloud has historically offered passwordless authentication to enterprise networks via digital certificates, and recently extended this capability to include SaaS and on-premises applications as well.

While password managers have been valuable tools in the battle against cyber threats, their inherent risks and recent breaches have highlighted the need for more robust security measures. Passwordless authentication, powered by digital certificates and other advanced technologies, offers a more secure and user-friendly alternative. By reducing reliance on passwords, organizations can enhance security, minimize attack vectors, and improve user experiences.

Adopting passwordless authentication is not just a trend but a strategic move towards a more secure digital future. As technology evolves, so must our approach to cybersecurity, and passwordless solutions provide a promising path forward.

Key Takeaways

  • Password manager tools, despite their benefits, present significant security risks due to being single points of failure and attractive targets for hackers.
  • Recent breaches of leading password management companies like LastPass, 1Password, and NordPass underscore the vulnerabilities of these systems.
  • Passwordless authentication, leveraging digital certificates and biometrics, offers enhanced security and a better user experience by eliminating the need for traditional passwords.
  • Organizations like Microsoft and Google have successfully implemented passwordless solutions, showcasing their effectiveness in reducing cyber threats.
  • Transitioning to passwordless authentication is a strategic move for organizations aiming to bolster their cybersecurity posture and simplify user access.

By embracing passwordless authentication, organizations can mitigate risks, streamline access management, and pave the way for a more secure and efficient digital landscape.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About Portnox
Portnox provides simple-to-deploy, operate and maintain network access control, security and visibility solutions. Portnox software can be deployed on-premises, as a cloud-delivered service, or in hybrid mode. It is agentless and vendor-agnostic, allowing organizations to maximize their existing network and cybersecurity investments. Hundreds of enterprises around the world rely on Portnox for network visibility, cybersecurity policy enforcement and regulatory compliance. The company has been recognized for its innovations by Info Security Products Guide, Cyber Security Excellence Awards, IoT Innovator Awards, Computing Security Awards, Best of Interop ITX and Cyber Defense Magazine. Portnox has offices in the U.S., Europe and Asia. For information visit http://www.portnox.com, and follow us on Twitter and LinkedIn.。

What is a web application firewall (WAF)?

Ever wonder how a website protects itself from all of those cyber threats that evolve daily? Through something called the web application firewall, or WAF. But what are WAFs? And why are they important? Understanding how WAFs function and why they form an integral part of today’s modern web security infrastructure provides insight into this very critical role.

What does the web application firewall (WAF) do?

WAF is a security solution designed to protect web applications by continuously monitoring and filtering HTTP traffic between the web application and the internet. It protects against multiple threats such as SQL injection and cross-site (XXS) scripting, among others. At its core, a WAF works as a kind of protective layer that is put in between web applications and potentially malicious traffic.

How does a WAF Work?

To understand the significance of the role WAF plays in cybersecurity, we have to know how it works. In a nutshell, WAF network security, as already mentioned, works by examining the HTTP requests and responses against defined rules and policies. Here is a deep dive into the mechanisms behind WAF.

WAF

Inspection and filtering

The WAF is put between a user and a web application. So when a user sends a request to the web application, the WAF intercepts the requests passed to the web server and then inspects its contents, including headers, URLs, data payloads, and known attack signatures that might include SQL injection commands or XSS scripts.

Rule-based detection

WAF employs various rule sets to detect and stop threats. These rules define the normal and abnormal traffic behavior for a web application. For example, one of the rules could be to block the request that contains certain keywords or patterns in the message body that could be associated with SQL injection. The rules can be customized according to the needs of the web application.

Behavioral analysis

Apart from rule-based detection, some advanced WAFs will make use of various behavior analysis techniques. Fundamentally, this is the process of monitoring typical user behaviors to identify deviations that could be indicative of an attack. For example, if the user suddenly starts sending a large number of requests in a very short period, then probably a WAF will raise a red flag for a DDoS attack.

Real-time response

In the event of a threat, the WAF instantly acts to block the request from further passing on to the web application. Responsiveness in real-time is critical in suspending an attack before any serious damage occurs. Furthermore, WAFs can also generate alerts or log messages to inform administrators about identified threats and consequential actions that were performed to stop them.

By combining inspection, detection, and response mechanisms, a WAF can significantly increase the security of a network. Unsurprisingly, these days, WAFs are often a critical part of any comprehensive cybersecurity strategy.

Why is a WAF important?

Safeguard sensitive information

The amount of sensitive information that exists in web applications is vast. Sensitive data includes personally identifiable data, financial details, and proprietary business data. In cases of successful cyberattacks and breaches, all such information is exposed. The role of WAF here is to prevent such incidents by blocking off malicious traffic to the web application and disallowing unauthorized access.

Avoid compliance fines and costs

Most industries are governed by stringent regulatory laws concerning data protection and privacy. Non-compliance with these regulations is your one-way ticket to heavy fines and lawsuits. A WAF makes it easier for businesses to comply with regulations by providing the much-needed security layer. Proactive measures taken to safeguard sensitive data mean peace of mind and better chances of avoiding hefty fines.

Preserve reputation

Today, a company’s reputation is often related to its ability to protect customer data and maintain secure online services. A single successful cyber attack on an organization can put its reputation down the gutter once and for all. Implementing a WAF can mitigate such risk and further improve the reputation. Ultimately, most consumers trust a business, which means security not only in their PR statements but also in their actions.

Differences between WAF and network firewall

While WAFs and Network Firewalls both play a critical role in cybersecurity, they serve rather different purposes, and, as discussed, operate at different levels within a network. Here’s a rundown of the key differences between the two.

The role of WAFs

Security of web applications

As we discussed earlier, WAFs are built for the protection of web applications by filtering and analyzing HTTP traffic. HTTP is the protocol used for transferring data on the web, and WAFs focus on this traffic to defend against web-based attacks. WAFs can trace malicious activity against the application layer by analyzing the content of HTTP requests and responses since it works at Layer 7 of the OSI model.

Layer 7 protection

Layer 7 is where user interactions with software applications take place. As a part of their operation, WAFs track this layer for detailed content data about HTTP traffic. For example, an attacker could try to insert malicious code into a web form to gain unauthorized access to sensitive data; in such an instance, a WAF would detect and block that attempt immediately. This kind of sophisticated protection is critical for securing web applications against a variety of threats.

Should an attacker try to gain access to sensitive information by inserting malignant code in a web form, a WAF will block this attempt. This type of targeted protection is important to safeguard web applications from sophisticated threats.

The role of network firewalls

Protection of the network

A network firewall works toward protecting the entire network by managing incoming and outgoing traffic through filtering against a set of predefined security rules. It works at the network layer and the transport layer of the OSI model. These layers are responsible for proficient routing and reliable delivery of data packets in a given network. Network firewalls focus on threats like unauthorized access, DDoS attacks, and malware, ensuring that only legitimate traffic is allowed to pass through.

Layer 3 and 4 protection

Layer 3 is the network layer, including logical addressing of data packets to ensure that data sent from one device reaches the right destination, while Layer 4 is a transport layer responsible for the reliable transmission of data between devices. Network firewalls regulate the flow of data toward the destination based on IP address ports, and protocols. For example, they can be used to prevent an attacker from using an open port to access the network and so gain unauthorized access to network resources.

Bottom line

In an era where cyber threats are becoming increasingly sophisticated and pervasive, the importance of robust web security measures cannot be overstated. The implementation of a WAF is a vital component of contemporary web security. It provides the necessary tools to detect, prevent, and respond to web-based threats in real-time, ensuring the integrity and availability of web applications. As cyber threats continue to evolve, investing in a robust WAF solution will remain a critical priority for organizations seeking to protect their digital assets and maintain the trust of their users.

For comprehensive security, it’s essential to protect not only your web applications but also your access credentials. Just as a WAF safeguards against web-based threats, a robust password management solution like NordPass Enterprise ensures that your organization’s passwords are protected from unauthorized access and are easily accessible at all times. NordPass provides features such as secure password sharing, automated password generation, and real-time breach monitoring, aligning perfectly with the goals of a WAF by adding an extra layer of security to your web infrastructure.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About NordPass
NordPass is developed by Nord Security, a company leading the global market of cybersecurity products.

The web has become a chaotic space where safety and trust have been compromised by cybercrime and data protection issues. Therefore, our team has a global mission to shape a more trusted and peaceful online future for people everywhere.

ESET Research: Hamster Kombat game misused by cybercriminals as spyware and infostealer

  • The Hamster Kombat game’s success has attracted malicious actors trying to abuse public interest in the game for monetary gain.
  • ESET researchers discovered Android spyware named Ratel pretending to be Hamster Kombat, distributed via an unofficial Telegram channel.
  • Android users are also targeted by fake app stores claiming to offer the game but delivering unwanted advertisements instead.
  • Windows users can encounter GitHub repositories offering farm bots and auto-clickers that actually contain the infostealer Lumma Stealer cryptors.

BRATISLAVA, KOŠICEJuly 23, 2024 — In the past few months, the Telegram clicker game Hamster Kombat has taken the world of cryptocurrency game enthusiasts by storm. As was to be expected, the success of Hamster Kombat has also brought out cybercriminals, who have already started to deploy malware targeting the players of the game. ESET Research has uncovered threats going after both Android and Windows users. Exposing the risks of trying to obtain games and related software from unofficial sources, ESET found several threats in the form of remotely controlled Android malware distributed through an unofficial Hamster Kombat Telegram channel, fake app stores that deliver unwanted advertisements, and GitHub repositories distributing the Lumma Stealer infostealer cryptors for Windows devices while claiming to offer automation tools for the game.

“Even though gameplay, which mostly entails repeatedly tapping the screen of one’s mobile device, might be rather simple, players are after something more: the possibility of earning big once Hamster Kombat’s creators unveil the promised new cryptocoin tied to the game. Unfortunately, we discovered that cybercriminals have also started to capitalize on Hamster Kombat’s popularity,” explains ESET researcher Lukáš Štefanko, who discovered and analyzed the Hamster Kombat threats.

Due to its success, the game has already attracted countless copycats that replicate its name and icon and have similar gameplay. Luckily, all the early examples we found were not malicious but nevertheless aim to make money from in-app advertisements.

ESET has identified and analyzed two types of threats targeting Android users: a malicious app that contains the Android spyware Ratel and fake websites that impersonate app store interfaces claiming to have Hamster Kombat available for download. ESET researchers found a Telegram channel distributing Android spyware, named Ratel, disguised as Hamster Kombat. This malware is capable of stealing notifications and sending SMS messages. The malware operators use this functionality to pay for subscriptions and services with the victim’s funds, without the victim noticing. Upon startup, the app requests notification access permission and asks to be set as the default SMS application. Once these permissions are granted, the malware gets access to all SMS messages and is able to intercept all displayed notifications.

Even though Hamster Kombat is a mobile game, ESET also found malware abusing the game’s name to spread on Windows. Cybercriminals try to entice Windows users with auxiliary tools that claim to make maximizing in-game profits easier for players. ESET research revealed GitHub repositories offering Hamster Kombat farm bots and auto-clickers, which are tools that automate clicks in a game. These repositories actually turned out to be concealing the infamous Lumma Stealer. The GitHub repositories we found either had the malware available directly in the release files or contained links to download it from external file-sharing services. ESET identified three different versions of Lumma Stealers lurking within the repositories.

Lumma Stealer is an infostealer offered as malware-as-a-service, available for purchase on the dark web and on Telegram. First observed in 2022, this malware is commonly distributed via pirated software and spam and targets cryptocurrency wallets, user credentials, two-factor authentication browser extensions, and other sensitive information. Note that Lumma Stealer’s capabilities are not covered in this research since the focus is on the cryptors that deliver this infostealer, not on the infostealer itself.

“Hamster Kombat’s popularity makes it ripe for abuse, which means that it is highly likely that the game will attract more malicious actors in the future,” concludes Štefanko.

For more technical information about Hamster Kombat-related threats, read the blog post “The tapestry of threats targeting Hamster Kombat players” on WeLiveSecurity.com.  Make sure to follow ESET Research on Twitter (today known as X) for the latest news from ESET Research.

Example GitHub repository spreading Lumma Stealer via an “offer” for a farm bot

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About ESET
For 30 years, ESET® has been developing industry-leading IT security software and services for businesses and consumers worldwide. With solutions ranging from endpoint security to encryption and two-factor authentication, ESET’s high-performing, easy-to-use products give individuals and businesses the peace of mind to enjoy the full potential of their technology. ESET unobtrusively protects and monitors 24/7, updating defenses in real time to keep users safe and businesses running without interruption. Evolving threats require an evolving IT security company. Backed by R&D facilities worldwide, ESET became the first IT security company to earn 100 Virus Bulletin VB100 awards, identifying every single “in-the-wild” malware without interruption since 2003.

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