Putting Security as a Priority: Learning from the Austrian Bitcoin Ransom

The tech industry has recently beginning to focus on a series of everyday devices connected to a bigger network. These devices, also known as the Internet of Things or IoT, are bringing smarter functions to appliances and gadgets we normally use every day. Instead of a conventional lock, for instance, the new smart locks offer better functionalities, such as remote opening and closing of doors.

Unfortunately, the push towards better and smarter IoT devices leave a big gap to fill in the security department. A recent case in Austria revealed just how serious the problem can be.

The Austrian Bitcoin Random

A hotel in Austria, the Romantik Seehotel Jaegerwirt, was the victim of a ransomware back in January this year. The random demand arrived after guests reported getting locked out of their rooms. Further investigations revealed that the hotel has recently upgraded to an IoT-based security system, which allows individual locks in every room to be controlled and monitored from a central computer.

While the updated security system is designed to provide better on-premises security, the system is not without its faults. As mentioned earlier, a lot of IoT devices available today are not created with security as the top priority. As a result, the hotel management decided to pay the $1,800 ransom asked by the hackers via Bitcoin.

This particular case is the perfect example of how security, especially physical security, is more important than ever. Focus has shifted towards information security over the years, leaving unsecured digital devices creating unexpected risks. It won’t be long before we start hearing more cases similar to the Austrian Bitcoin Ransom unless changes are made immediately.

Security for Commercial Buildings

In response to the IoT hacks, more startups in this field are focussing their attention on the security of the devices they make. IoT devices are everywhere and they can all be used for malicious purposes when not secured correctly. A simple smart coffee machine can be turned into an active member of a botnet, spreading malicious software or sending spam messages without the owner even knowing.

Enterprise-grade security measures are faster to catch up. Solution providers are offering better security doors for commercial buildings, complete with new features such as traffic management and advanced access control. Aside from having the ability to handle bi-directional traffic, these new security doors are also capable of detecting authorised users through a series of sensors.

Home Devices to Follow

While it may not be as quick to react as the enterprise solutions, home IoT devices are being equipped with better security measures to prevent cyber attacks. More companies are realising the importance of security and protecting their users; some, however, are still focusing on the IoT gold rush and finding ways to capitalise on the rapid growth as soon as possible.

Security standards are being introduced to the market too. in the US, there is a big demand for a framework similar to National Institute of Standards and Technology (NIST) Cybersecurity Framework, but one designed for Internet of Things specifically. To wait for government intervention, however, may not be the wisest thing to do, considering the urgent nature of the security problems today’s IoT devices are facing.