There are five defects on average … ICO Security Advisory

ICO (initial coin offering) So, virtual money disclosures are a way for start-up companies to raise funds using cryptography. It is attracting attention recently because it is easier to raise funds than IPO (Initial Public Offering). The ICO is trying to raise funds by issuing its own tokens and passwords, and investors buy tokens in other cryptography, and cryptographic money in the hands of companies. The ICO has the advantage of being able to raise funds more easily than an IPO that requires examination of a securities company and allowing investors from all over the world to participate easily.

On the contrary, ICOs are often said to be fraudulent financing methods. In fact, ICO start-ups that have already got a lot of money have lost their whereabouts. In fact, when LoopX, which collected funds in February, raised $ 4.5 million, it suddenly closed its Web site and all SNS accounts and closed its tracks. Loop X abruptly shut down its Web site on February 13 and removed Facebook, Telegram, and YouTube accounts one after another. A week before the incident, Loop X also sent investors an email saying that they would be surprised by a week. Of course, nobody thought at the time that it was such a thing. It should be borne in mind that the securities brokers who play the role of brokerage intermediaries are not in the middle, so you may need to be careful when participating in the ICO.

Interest in cryptography began to attract interest in the middle of last December, when the price of bits coins exceeded 20 million won (animation below). There is a growing interest in cryptography and ICOs, as there are some movements to introduce cryptography in opposition to the trend of tightening regulations around the world. In the block-chain industry, 2018 is sometimes referred to as the block-chain first year.

However, there is an average of five security flaws per ICO. According to Positive, an ICO security firm, an average of five security flaws per ICO last year were revealed. Among the ICO projects investigated by Positive.com, 71 percent of ICOs have identified security flaws. Among them, smart contract security flaws, which is a program that automates password transaction using block chains, was the most common.

Once you start ICO, you will not be able to change the cryptography or smart contract program used in ICO since its release. Because of this, anyone can find ICO security flaws. Most of the security flaws are caused by lack of expertise in the programmer, such as random number imprecision, or insufficient soak code testing.

The company added 2.5 times more mobile app defects than ICO’s web apps, adding that all mobile apps out of last year’s ICO have security flaws. As a result, ICO mobile apps have the potential to hacker’s passwords due to flaws that make data transmission unsafe and store user data in a mobile device backup.

Of course, there seems to be a lack of security consciousness on the ICO side. Some of the organizers of ICO do not have official domain or SNS accounts. This means, in other words, that someone can make it look like an official SNS, and it could be a hacker neglecting to direct an ICO investor to a phishing site. He pointed out the vulnerability of ICO or ICO organizers’ hacking attacks, such as not setting up 2-step authentication.

The amount of ICO that went through last year is more than 5 billion dollars (5 trillion won). As ICO side and investors have to operate a large amount of money, it is necessary to check carefully about security measures.

The security problem is part of the basics, but you should keep in mind that if you join the ICO you need a careful check in that it is not easy to protect investors. One study found that 81% of the ICOs surveyed were considered deceptive, whether or not they were doing the project. 6% said they failed in funding, 5% said they succeeded in financing, but they are not trading on the exchange, and 8% said that they can trade on the real exchange.

Cryptographic currency trading on the exchange is also showing a decline of 2.8%, a promising 1.6%, and a cipher money rate of 3.8%, which could be said to be successful. Success means saying that the block chain configuration or related products are at least in the testing phase, or that there is a road map that is easy to understand on the site and that the code is released to the hub within three months. Of course, if the market capitalization goes up to more than $ 1 billion, there are many things that can be judged to be successful or promising in terms of money. On the contrary, when the market cap is lowered, the opposite figure is high.