Why Keeping Attack Surfaces Safe Is Vital for FinTech

Fintechs have become hot targets for cybercrimes in recent years. Preventive and reactive tactics for attacks will help your fintech stay efficient, trustworthy, and positioned as a top option.

With cyberattacks and data breaches increasing by 15.1%Opens a new window in 2021 from the previous year, and only 50% of US companies having a cybersecurity plan, fintech companies must commit to keeping critical assets safe. As companies grow to adjust to the market, so do their attack surfaces.

An industry that handles people’s finances and facilitates transferring money from place to place can easily become the number one target for cyberattacks. The data and the assets dealt with are too valuable to spare any precautions. This is why fintechs that thrive today will be defined by their ability to properly integrate their attack surface management tools and internal security controls to map out all connections and critical assets.

Since fintechs require special attention regarding asset protection, their IT teams must ask crucial questions like: How can a fintech identify its attack surfaces and keep them safe? How can fintechs generate profit from robust cybersecurity systems? 

Identify Existing and Future Attack Surfaces

So, what is an attack surface? Simply put, it is an entry point of a company that could potentially give way for data breaches to happen, both digitally and physically. 

Digital attack surfaces in fintech are comprised mainly of APIs, their source code, and a company’s software. Anything stored in the cloud, such as company archives, emails, and internal messaging apps, can also store valuable data.

On the other hand, physical attack surfaces are company computers, hard drives, mobile phones with company apps in the cloud, paperwork, and the most important of all: employees. Internal workers are responsible for safeguarding the information they use, complying with the company’s security policies, and reporting any suspicious activities to the correct team.

See More: Why Mid-market Companies Need Cybersecurity Now More than Ever

Secure Attack Surfaces to a T

The rise of new modalities of cyberattacks created the demand for innovative ways to counterattack these threats. These include, among others:

• Bug bounties: Rewards given by companies with bounty programs to independent hackers when finding security flaws in their systems.
• Red teaming: A simulation practice where a company’s IT employees or third parties act as hackers, find security system flaws, and tackle biases.
• Blue teaming: Unlike red teaming, an IT team evaluates the company’s security environment and protects it from the red team. Both teams help strengthen cybersecurity by attacking and counter-attacking all at once.

These are some procedures where penetration testing and ethical hacking exploit vulnerabilities in companies’ attack surfaces. IT teams should run these tests regularly to ensure no new surface developments.

Another preventive measure for fintechs is encrypting apps with algorithms such as RSA or AES, which make it more difficult for leakages to occur as data is tokenized or replaced by a generated set of numbers.

A security factor to leverage, specifically for fintech companies, is audits such as ISO 27001 or PCI compliance – the latter applying to any company that handles payments or credit cards – to help map the state of organizations and possible vulnerabilities. 

Before completing audits and all necessary security compliance, vulnerability management is key to strengthening the defense against any attack. This process prioritizes looking at how companies’ IT systems administer risks by determining which assets are most vulnerable to attacks and finding ways to prevent them.

With the above in mind, it is imperative to assign responsibilities and deadlines for vulnerability management and the implementation of controls. These are applied to prevent rather than treat any attack. Therefore, it relies heavily on how a company trains its staff. One of the main attack surfaces of a company is its employees. Educating them to mitigate and take the correct measures in case of attacks is indispensable. 

Given that threats are constantly evolving, a company is responsible for keeping awareness programs up to date. For example, every month at Prometeo OpenBanking, we hold sessions on different topics, aiming to continuously raise awareness to identify, evaluate, and deal with risks. By transmitting positive and empowering messages, team members take ownership of their safety and feel part of the solution by changing their attitude towards potential risks.

Best Practices Mean a Competitive Edge

Cybersecurity breaches can be very costly, ranging from ransomware blackmail to penalties and fines if security systems are not proven safe. But only 43% of companies feel financially ready to tackle these attacks. By investing in cybersecurity practices, fintechs will avoid any high costs. And depending on the size of the breach, this could equate to millions of dollars. Losses are not just defined in the capital but also in terms of company reputation. Breaches can halt work and lead to the loss of credibility – and, subsequently, clients and investors.

Given the sensitive nature of the personal and financial information fintechs work with, investors and consumers are looking to businesses that assess cybersecurity risks and know how to face them. With this in mind, marketing a company with the selling point of solid cybersecurity can set fintechs aside from competitors.

To sum up, the risk of each attack surface is determined according to the company’s context, analyzing the probability of occurrence and the impact. Fintechs have especially vulnerable surfaces because the data treated is sensitive and coveted by hackers. It is up to fintechs to drive their success by staying on top of their cybersecurity game.

Why do you think safe attack surfaces are vital for fintech? Share your thoughts with us on LinkedInOpens a new window , TwitterOpens a new window , or FacebookOpens a new window . We’d love to know!

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• Modern Strategies to Combat Cyberattacks