- SBI server in Mumbai left unsecured but later the security glitch was fixed after an anonymous tip-off
- SBI Quick system was compromised
- Both crypto-enthusiasts and crypto-rebels are at crossroads on what option is safe after also witnessing the hack on Cryptopia
On January 30, 2019, an anonymous security researcher tipped off the State Bank of India (SBI) that the bank’s server was not password protected and anyone who knew where to look could access the data of the SBI’s millions of customers.
Apparently, SBI had forgotten to protect the key server that hosts sensitive data in one of the bank’s installations based in Mumbai. This security mishap is presumed to have leaked banking information such as bank account number, bank balance and other personal details.
The period that the SBI’s server was unsecured is still unknown, but the security glitch is said to have been fixed.
The Data Compromised
The Mumbai based server had stored a two-month data initiated from the bank’s text message and call-based system – SBI Quick. SBI Quick allows the SBI’s customers to make a missed call or text the bank when in need of retrieving information of their bank account finances through a text-back system. The system was set for the millions of customers banking at SBI who lack smartphones or have insufficient data service.
Through texting of predefined keywords such as “BAL,” the system would recognize the registered phone number of the customer and text back the customers’ current bank balance. This back-end text message system was the one exposed.
Security Scare and the crypto space
As much as the gatekeepers of the traditional financial system have been shaming cryptocurrency, we have seen dozens of banks integrating crypto-technology into their banking systems. For instance, Brad Garlinghouse speaking on a CNBC interview said that he expects a large number of financial institutes to start using Ripple’s xRapid by the end of 2019.
“I’ve publicly stated that by the end of this year I have every confidence that major banks will use XRapid as a liquidity tool,” the CEO of Ripple told CNBC.
Does that mean your financial assets will be safe with cryptocurrency? Now that’s the big question alarming many people in the crypto-community, especially, after witnessing the ongoing hack on Cryptopia this week.