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Major Malware Attack Costs Taiwanese Bank $60m

by on October 10, 2017

Consumers are not the only ones facing malware threats these days. Banks and financial institutions are also very prone to malicious attacks. One such attack cost a Taiwanese bank $60m in funds. Hackers infiltrated the bank’s servers and deployed malware. As a result, they were able to siphon off $60m through the Swift network. Not a good sign for this bank or finance in general, to say the least.

It has to be said, banks have suffered from a lot of attacks over the past few years. Hackers get craftier when it comes to infiltrating systems in different ways. The mounting number of malware attacks only illustrates this point even further. Over in Taiwan one bank last $60m due to such an attack. Due to improperly secured servers, hackers could plant a malware strain on the network. This allows them to siphon money from different accounts without detection.

A Very Expensive Malware Lesson

It is unclear how long the attacks lasted, although a time span of two years is being touted right now. If that is the case, this bank has a lot of problems to solve. Eastern International Bank processed a lot of unauthorized transfers in this regard. The $60m in funds were routed to several bank accounts in different countries. A portion of the money even ended up in US bank accounts and Sri Lanka.

It is in this latter region the police arrested two individuals. It is believed they are involved in this major heist. Thankfully, the bank has also recovered most of this money. Half a million dollars are still missing as we speak, though. It is unclear how they recouped the money or which banks it was claimed from. This will not impact customer balances, by the look of things, which is a positive sign.

Such an incident highlights the need for proper cybersecurity measures by banks. Swift is preparing for its annual banking conference next week. Rest assured the group will issue some stern warnings regarding institutions not keeping up with cybersecurity precautions. Preventing cybercrime has proven to be far more difficult than originally assumed. The past few years have been very unkind to banks in this regard.

Header image courtesy of Shutterstock

JP Buntinx is a 30-year old FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he is working to achieve the same level of respect in the FinTech sector.
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