Blockchain is a decentralized database designed to allow people who don’t know each other to share data. This is done by using innovative software rules and sophisticated math. However, even with the most advanced security features, blockchains can be vulnerable to attacks. There are two primary ways to breach blockchain security: using massive computing power and access to existing tokens.
One way to improve security is to build in more decentralization. By implementing decentralized systems, blockchains will be less vulnerable to hacks. The most popular blockchain networks allow anyone with a computer to participate. More participants mean more security, as more nodes will be checking and confirming each other’s work. In addition, more people will be able to call out a bad actor if they try to manipulate the blockchain.
Another way to strengthen security is to use encryption to protect data. Using suitable tokens, you can perform user authentication, authorization, and data classification. You can also use privileged access management to secure API-based transactions. Additionally, you should use privacy-preserving technologies and data classification to protect sensitive data. Additionally, you can use standard TLS to protect internal and external communications. To further enhance the security of your blockchain application, you can also leverage a hardware security module and SIEM.
Blockchain technology is gaining momentum, with large companies such as J.P. Morgan using an enterprise-focused version of Ethereum. This technology enables banks to process private transactions with transparency and cryptographical assurance. It is even being used to secure the development systems of companies like Lockheed Martin. The company is working with cybersecurity firm Guardtime Federal to implement blockchain cybersecurity protocols to keep its weapon development systems safe.