Data security is of high importance for firms who are involved in online trading. These firms face huge losses if there is any breach in the data security system. Online trading usually involves sensitive data and any breach can cost both the customer as well as the firms. According to a recent survey in the US, the market value of a firm drops by 2.1% if there is news of data security breach and it can cost a heavy loss of approximately 1.65 billion dollar to the company which is indeed very huge.
These statistics show the importance of data security in today’s world. Therefore companies face multiple challenges to keep the data secure and it involves both physical and logical security. Security doors, fireproof arrangements, guards are all part of the physical security measures where the logical security involves the internet.
These days, internet is being used for anything and everything. This makes the data security even more challenging. In recent years there has been a substantial rise in the fraud levels and one of the common methods is ‘Phishing’. In Phishing, the user usually gets a mail from the fraudsters who usually represent themselves from a banking company. They inform the user that their bank account has been hacked and the user needs to click on the link given in the mail. Once the user clicks on the link, the fraudsters get an email which gives a complete description about the user’s data. This has become one of the most fraudulent aspects of internet and your mail box gets junked with all such mails.
There is another threat to the firms from ‘script kiddies’. Script kiddies are usually new hackers and they have basic hacking tools with which they can access credit card information and other data which are inaccessible generally. There are also other methods used by the hackers such as ‘IP Spoofing’. In this method, the receiver usually believes that the data came from a trustworthy source as the IP address looks fine and it can lead to a breach of sensitive data.
There is also a ‘Zombie Attack’ which is basically a denial of service and it can completely paralyse the website. In such cases firms face huge losses and as per a survey approximately 4000 zombie attacks are conducted on different websites daily and the population involved in such work are normally teenagers. Hackers also use other methods like viruses, Trojan horse, malwares etc. in which the program looks normal however it can damage the entire system which may result in a shut down.
The above methods show that firms definitely face a big challenge in securing their data. There are certain ways like cryptography where a public and private key is involved and only those users who have the key can access the data. Other methods of securing the data can involve installing firewalls, packet filtering, using applications like FTP and Telnet. There are several dangers of data and its security is one of the main concerns which customers and leading firms are facing today.