Cointime

Download App
iOS & Android

Stay Safe: What Are Account Takeover Attacks?

Validated Venture

Main Takeaways

  • Binance is launching a new blog series called “Stay Safe”, which will introduce and discuss account takeover attacks.
  • Account takeover (ATO) attacks are a form of identity theft where cybercriminals take ownership of online accounts using stolen credentials.
  • ATO attacks are currently on the rise and impact both individuals and businesses alike.

Introduction

In the current era of digitalization, where people store sensitive information online, account takeover (ATO) attacks have become a growing concern. Data breaches have increased, with attackers constantly looking for vulnerabilities to exploit. Due to the growing sophistication of attackers, the shift to remote work and digital transactions, and the increasing value of stolen data, the number of ATO attacks has also risen at an alarming rate.

To help users protect themselves against the rise of ATO attacks, Binance is launching a new blog series that will explore different aspects of ATO attacks and how to prevent them. This blog post discusses how ATO attacks work, how to identify them, and their impacts.

What Are ATO Attacks and How Do They Work?

ATO attacks occur when an attacker gains unauthorized access to a victim’s online account, usually by stealing their login credentials. This could be done through various means, such as phishing scams, social engineering, or brute force attacks.

Once the attacker has access to the account, they might be able to make purchases, transfer money, or access sensitive information. As such, ATO attacks can have severe consequences for both individuals and businesses.

The goals of ATO attacks can vary depending on the attacker’s motives. Some common goals include:

  • Financial gain: The attacker could use the victim’s account to make purchases, transfer money, or steal sensitive financial information.
  • Identity theft: The attacker steals the victim’s personal information, such as their name, address, and Social Security number, to commit fraud.
  • Espionage: The attacker gains access to the victim’s account to steal sensitive information, such as trade secrets or confidential data.
  • Malicious activity: The attacker uses the victim’s account to engage in malicious activity, such as spreading malware or launching a DDoS attack.

Attackers use a variety of techniques to gain access to user accounts. Common attack techniques include:

  • Brute force attacks: The scammer uses automated tools to guess the user’s login credentials by trying many combinations of usernames and passwords.
  • Social engineering: The attacker tricks the user into revealing their login credentials through deception or manipulation.
  • Phishing scams: The attacker sends an email or message that appears to be from a legitimate source, such as a bank or a social media site, asking the user to click on a link and enter their login credentials.
  • Malware: The attacker may use malicious software (malware) to compromise the user’s device.
  • API attacks: The attacker uses, or attempts to use, an API in a hostile manner to gain access to the user’s data. These assaults attempt to exploit weaknesses in business logic, forcing APIs to behave in ways that their creators never intended.

Once the attacker has gained access to the account, they can change the password, lock the legitimate user out, and take control of the account.

How to Identify an Account Takeover Attack

Detecting a potential ATO attack can be difficult, especially after the fact. Nevertheless, here are some common signs to keep an eye on.

Unusual activity

Watch out for unusual account activity, such as unauthorized purchases, changes to your account settings, or unexpected logins from unknown devices. Login attempts from unknown locations or IP addresses may also indicate that someone is trying to break into your account.

Changes in account credentials

When an attacker successfully gains control of an account, they often try to alter the login credentials so that the original account owner can no longer access their account. In some cases, the attacker will make changes to multiple accounts simultaneously (e.g., changing the credentials of your email, social media, and YouTube accounts). When similar changes are made across multiple accounts, it’s usually a clear indication that an account hacking has occurred.

Unknown devices

Cybercriminals frequently disguise the equipment they are using through a process known as device spoofing. The system will identify spoofed devices as “unknown,” making them more challenging to locate. An unusually high number of unknown devices linked to your account is a common sign of an impending ATO attack.

Multiple accounts from the same device

Occasionally, attackers don’t spoof or hide their devices when logging into various accounts. As a result, if the attacker accesses multiple accounts, they will all be connected to a single device.

How Account Takeover Attacks Can Impact Individuals and Businesses

The impact of ATO attacks can be significant for both individuals and businesses. For individuals, the consequences can include financial loss, identity theft, and reputational damage. For businesses, the consequences can include data breaches, financial loss, regulatory fines, reputational damage, and loss of customer trust.

Everyone who has an online account is at risk of ATO attacks. However, some groups may be more at risk than others. These include:

  • High-profile individuals: Attackers may target high-profile individuals, such as politicians or celebrities, to gain access to sensitive information or to commit fraud.
  • Businesses: Businesses are at risk of ATO attacks because they often store large amounts of sensitive information and financial data.
  • Elderly individuals: Elderly individuals may be at increased risk of ATO attacks because they tend to be less familiar with online security best practices and more susceptible to scams.

How to Prevent Account Takeover Attacks

ATO attacks are a growing concern for individuals and businesses. It’s essential to protect yourself by using protective measures like strong passwords, enabling two-factor authentication, and being wary of suspicious emails or messages.

At Binance, our security teams constantly monitor suspicious activity and optimize security measures. Whenever we receive an ATO report from users, we carefully investigate the causes and do whatever we can to assist the victims.

While Binance does everything to help keep your account safe, you also have the power to take security into your own hands. By following precautions like the ones mentioned in this article, you can help safeguard your sensitive information and reduce your risk of falling victim to an ATO attack. If you suspect that your Binance account might be compromised, contact Customer Support as soon as possible.

Watch out for the next piece in this “Stay Safe” blog series. The next post will discuss how attackers steal your login credentials and what you can do to stop them.

Disclaimer and Risk Warning:This content is presented to you on an “as is” basis for general information and educational purposes only, without representation or warranty of any kind. It should not be construed as financial advice, nor is it intended to recommend the purchase of any specific product or service. Digital asset prices can be volatile. The value of your investment may go down or up and you may not get back the amount invested. You are solely responsible for your investment decisions and Binance is not liable for any losses you may incur. Not financial advice. For more information, see our Terms of Use and Risk Warning.

Read more: https://www.binance.com/en/blog/community/stay-safe-what-are-account-takeover-attacks-4571435361886150053

Comments

All Comments

Recommended for you

  • US Spot Ethereum ETF Sees Net Inflow of $14.98 Million Yesterday

    On October 22, according to monitoring by Trader T, the US spot Ethereum ETF recorded a net inflow of $14.98 million yesterday.

  • Sonic to Transfer 13 Million S Tokens via Strategic OTC Agreement in Next 24 to 48 Hours

    On October 22, Sonic announced on the X platform that approximately 13 million S tokens will be transferred in the next 24 to 48 hours under a strategic over-the-counter (OTC) agreement. The counterparty is a long-term partner of Sonic, and both parties will collaborate to expand Sonic's reach and enhance user engagement through the partner's network.

  • Bank of Korea Maintains Interest Rate as Expected

    On October 22, the Bank of Korea kept the policy interest rate unchanged at 3%, in line with market expectations. Previously, South Korea raised interest rates in consecutive meetings in July and August.

  • U.S. Treasury Secretary Becerra: GENIUS Act Establishes Federal Regulatory Framework for Stablecoin Payments

    U.S. Treasury Secretary Scott Becerra stated that the GENIUS Act is a milestone in the American financial sector, further solidifying the U.S. position as a global cryptocurrency hub. He compared the bill to the National Currency Act signed by President Lincoln in 1863, asserting that it establishes a federal regulatory framework for stablecoin payments in the digital age. Becerra also mentioned that the final rules issued by the Office of the Comptroller of the Currency (OCC) will facilitate the implementation of the bill, providing a clear and pragmatic institutional foundation for private sector innovation, market competition, and maintaining U.S. leadership in the digital asset space.

  • Kalshi to Support Crypto Asset-Backed Loans for Perpetual Futures Margin

    Prediction market platform Kalshi has reached a new arrangement with crypto asset custodian BitGo, allowing certain clients to use their custodial crypto assets as collateral for loans, which will be used for margin in leveraged perpetual futures trading on the Kalshi exchange. This arrangement is aimed at clients of Kalshi Prime, a futures commission merchant registered in the U.S. It employs a tri-party collateral management structure. Loans will be provided by its affiliated lending company, Kalshi Katalyst, with collateral assets held at BitGo Bank & Trust. Eligible collateral assets include Bitcoin, Ethereum, and stablecoins deemed compliant with the GENIUS Act, with plans to integrate additional custodians in the future.

  • Serious Security Vulnerability Discovered in PHP, Leading to Mass Shutdown of Government Websites in Europe

    On October 21, due to the discovery of serious security vulnerabilities in the widely used PHP programming language, multiple government websites across Europe and other regions were forced offline on Wednesday, prompting website operators to take urgent measures to protect system security. The PHP development team announced on Tuesday that two severe security flaws had been identified and urged users to update immediately after the release of the fix. On Wednesday, the PHP team confirmed that a new version addressing the vulnerabilities had been officially released. However, reports indicated that hackers were exploiting these vulnerabilities to breach websites, leading government agencies in countries such as the Netherlands and Finland to proactively shut down some sites before the patch was made available. PHP is one of the most widely used programming languages on the internet, supporting website platforms such as WordPress, Drupal, Joomla, and Magento. According to website technology statistics agency W3Techs, approximately 75% of websites that can identify their programming language use PHP. About 43% of websites globally are powered by WordPress, covering blogs, small business sites, government portals, e-commerce platforms, and news websites. This security incident has resulted in widespread disruptions to websites across multiple European countries, including the Port of Rotterdam, the government portal Overheid.nl, the Royal Netherlands Football Association, the websites of the country's five major political parties, and several hospital websites, all of which have been temporarily shut down.

  • US Stock Indices Open Slightly Higher; SpaceX Soars 8% After Earnings

    The three major US stock indices opened slightly higher, with the Dow Jones Industrial Average up 0.20%, the S&P 500 up 0.29%, and the Nasdaq Composite up 0.71%. SpaceX opened 8% higher, reporting third-quarter revenue of $14.6 billion, a year-on-year increase of 161%. Elon Musk stated that the annual recurring revenue (ARR) is expected to reach between $500 billion and $1 trillion by the end of 2027. Among other popular stocks, Nvidia rose 2.15%, Apple increased 0.09%, Google (Class A) fell 1.28%, Microsoft decreased 0.56%, Amazon was up 0.01%, TSMC rose 1.95%, SpaceX climbed 7.8%, Meta increased 0.24%, Broadcom rose 0.8%, Tesla was up 2.98%, SK Hynix increased 4.11%, Micron Technology rose 3.31%, AMD was up 2.25%, ASML increased 2.83%, Intel rose 2.01%, Cisco increased 0.67%, Oracle was up 1.55%, Dell Technologies (Class C) rose 7.81%, and ARM increased 2.78%.

  • ZEC Surpasses $1300

    Market data shows that ZEC has surpassed $1300, currently priced at $1315.68, with a 24-hour increase of 14.89%. Due to significant market fluctuations, please ensure proper risk management.

  • OpenAI to Launch on Google Cloud: Cutting-Edge Models like GPT-6 Astra and Codex Code Intelligence Available on Google Cloud

    On October 21, the two companies announced that in the coming weeks, OpenAI will offer its cutting-edge AI models and Codex code intelligence services through Google Cloud. This move deepens the collaboration between these two competitors and highlights how major cloud service providers are becoming important distribution channels for top AI models. According to a corporate blog announcement, this partnership will integrate OpenAI's latest models, including GPT-6 Astra, into Google Cloud's Model Garden. Customers will be able to purchase these models on the Google Cloud Marketplace and settle using their existing cloud service procurement credits. OpenAI aims to promote its models to a broader range of enterprise customers.

  • Zelensky: Willing to Reach Peace Agreement While Retaining Control of At Least 75% of Territory

    On October 21, Ukrainian President Zelensky stated in an interview that Ukraine could reach a peace agreement while retaining control of at least 75% of its territory. When asked by the host whether he would be willing to accept a peace agreement that would freeze the situation as it is, with Ukraine still holding 75% or more of its land, Zelensky responded affirmatively, stating, "Now we must freeze (the front lines), this is a practical way to end this war." (CCTV News)