To explain to you easily first we will look at an example, like in a store the counter has all the information regarding records such as where the goods come from. How much does it cost where the order comes from? So all this record that is being written is known as a ledger blockchain is also the same digital ledger wave several parties or groups can access and each piece of information is made up of the block.
It is a decentralized and public ledger used for keeping up records regarding the transaction which is difficult to change or alter. Blockchain is a P2P PEER-2-PEER network to allow all digital currencies such as Cryptocurrencies to be transferred worldwide without any sort of interference or problem and does not need any sort of Central server. Blockchain uses Technology such as hashing a Process of changing any sort of given string of characters into a sort of fixed length value, and encryption to provide well security to the data and it mainly depends on the SHA 256 algorithm.
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WHY USERS ARE SHIFTING TOWARD BLOCKCHAIN
Nowadays due to more knowledge and growing awareness people are moving toward Blockchain by listening to its advantages and benefits such as more security because in Database storing ledger there are many chances of human error and chances of the data to get changed or altered but by using Blockchain the data is just impossible to change or alter and it is also cost-effective as Blockchain doest allow third-party procedure which will help the customers to save cost which they have to pay to the third-party for their commissions.
PROMISES OF BLOCKCHAIN:
● ANONYMITY
● DECENTRALIZATION
● FAULT TOLERANCE
● IMMUTABILITY
● TRANSPARENCY
● TRUSTLESS
BLOCKCHAIN SECURITY ISSUES AND VULNERABILITIES:
Many people believe that the blockchain is fully secure, no doubt it is much secure and provides much transparency, and is cost-effective but there are still some security issues or challenges faced by Blockchain regarding it such as:
1)SYBILL ATTACK:
This is where a person controls the network by creating several accounts notes or computer SYBIL attack’s main purpose is just to look for control over the reputable system and misuse the information and the whole system. The word SYBIL comes from a case study about a woman name SYBILL DORSETT who was treated with dissociative identity disorder also called multiple personality disorder.
PROBLEMS CAUSED BY SYBILL ATTACK
1) Attack may be able to overrule the nodes in the network by creating enough fake identities, or (Sybill identities). Attackers may receive data and refuse to transmit the blocks, effectively blocking other users from a network.
2) By performing SYBIL attacks on the largest scale, the attackers manage to control the majority of the network at a hash rate.
3) They can pull a 51% attack in such cases they can change the order of transactions and prevent transactions from being confirmed.
4) They may even reverse the transaction, which will result in double spending.
PROTECTION:
Blockchain uses various consensus algorithms to protect against Sybil attacks, such as Proof of Work, Proof of Stake, and delegated Proof of Stake. These Consensus algorithms make the attackers much more impractical to perform the Sybil Attack successfully.
2)PHISHING ATTACK:
It is an act where the Tacker’s main purpose is to steal the user’s sensitive information such as email password, bank account, etc by sending a Legitimate looking email to the user of the wallet key. The attackers and email attached with the fake hyperlink which login the user to a fake website.
PROBLEMS:
● Gaining user-sensitive information such as Debit card numbers etc.
● Transacting cash from user account illegally.
● Misuse the user profile on social media
PREVENTIONS:
● Use Anti-Phishing Software
● Do not open unknown e-mails coming from unknown sources
● Use stronger passwords which will result in difficulty for the attackers to get access to the user’s personal information.
● Avoid using Public WiFi networks
● By adding extensions on a device that will notify the user about unsafe websites.
3) 51% ATTACK:
51% attack is when an attacker or group of attackers is against the control of more than half of the network mining power or hash rate.
HOW DOES IT WORK:
As a block a realized based on consensus between network nodes, a party that controls the majority of the network’s hash rate will have the ability to modify or alter transactions while they are under their control, including performing double spends where the attacker could especially use the same coins twice. The 51% of attack does not alter coins or tokens generated, create new coins, or belong to others.
Preventions:
51% of attacks involve forced reorganization of the blockchain, and it is not the result of any inherited security flaw, the attack could theoretically be launched against any blockchain, and the best way to prevent it is to:
● TO GROW THE BLOCKCHAIN NETWORK:
Essentially the bigger the network the mode notes participating in it which will result from more hash power and higher cost
● PROOF-OF-STAKE:
Networks it’s even risky to Mount a 51% attack since other honest validate can vote to ignore the tackers change simply all of the states so this is already a built-in defense against the 51% attack.
4)DANIEL OF SERVICE ATTACK(DOS):
for example on the result day when a large number of students enter their roll number for results this results in the website to be crash or stopping working friendly. Similarly, DOS in blockchain occurs when large amounts of transactions are done on Blockchain at the same time this results in the website to can’t handle the burden and getting crashed when it exceeded the fixed rate that is stored in a distributed fashion.
PREVENTIONS:
● Use Firewalls
● Contact the Internet service provider when it occurs
● Secure your infrastructure
● Create a DOS plan
5) ENDPOINT VULNERABILITY:
This is another vital security concern in blockchain security. Whenever a user is connected to the blockchain, the attacker or the hacker will observe user behavior and target the device to steal the user’s personal information by observing the user’s phone or other devices.
PREVENTIONS:
● Use anti-virus and Anti-hacking software
● Do not save Blockchain keys on your device as a text file
● Keep track of your location, device access, etc.
6)ROUTING ATTACKS:
Routing attacks although one can run a blockchain node anywhere on the earth, the nodes that compose the network today are far from being spread uniformly around the globe. As all blockchain networks and application depends on the massive volume of data transfer In real time all the attacker needs to do here is to intercept data during Transmission to internet service providers.
For example, an attacker can use rooting attacks to partition the network into two or more disjoint components. By preventing nodes within a component to communicate with nodes outside of it, The attacker forces the creation of parallel blockchains. Further, after the attacks of all blocks mind within the smaller component will be discarded Together with all included transactions and the miner’s revenue.
For just Bitcoin, it is proven that most of the traffic exchange between Bitcoin nodes traverses to only a few ISPs.Indeed the results indicate that 60% of all possible Bitcoin connections cross 3 ISPs.Further, the dangerous aspect of rooting attacks in blockchain security lies in their anonymity. The blockchain participants cannot even find out the thread of rooting attacks easily as everything appears normal at the user’s end.
PREVENTIONS:
● Use Encryption
● Change passwords on daily bases and make sure to use strong passwords
● Spread awareness regarding risks with information technology.
● Implement strong routing protocols.
TYPES OF BLOCKCHAIN:
PUBLIC BLOCKCHAIN:
This is where everyone has the right and assess to participate in the activities of the blockchain network. Everyone in it can read, write, and inspect the outgoing activities on this public blockchain.
EXAMPLES:
● BITCOIN
● LITECOIN
● ETHEREUM
PRIVATE BLOCKCHAIN:
This is one in which some specific or chosen users have given the assessment. It can easily scale a business requirement because in it there are fewer Nodes on the network.
EXAMPLES:
· HYPER LEDGER
· ENTERPRISE
· CORDA
· RIPPLE
CONCLUSION
There is no doubt that blockchain has created a massive impact on users besides having some issues regarding security, but the blockchain is working on it and in the upcoming years it will be able to take a grip over these issues. Blockchain helps the user to shift to the digital ledger of blockchain, which makes fraud hacking impossible and also makes it very difficult for hackers to alter the program. Moreover, these security issues are also very difficult to perform as it requires a wealthy amount to make changes on this mighty network.
