It seems not a day goes by without seeing a multi-national organisation on the back foot due to a data breach. Now BA has joined the list of bluechip’s that are leaking customer data and staring a PR disaster in the face. In BA’s case, they appear to have been the victim’s of a ‘sophisticated hack’, the net result of which is the leaking of 380,000 payment cards — including the three digits on the back of the credit card. Yesterday BA lost 3% of its share value, and they will need to compensate any customers who have had their cards used fraudulently. The financial cost of this breach will be sizeable, the reputational damage? Incalculable. Let’s remember that British Airways are 99 years old and one of the most visible and iconic British companies’.
As we explored recently in our piece on ‘Wanna Cry’ the average cost of a lost or stolen record for a company is $148 so make no mistake about this, this data breach for BA will result in a significant dent in their profits. We find it surprising that a company who generated revenue of £12.2 billion in 2017 can be left so exposed by a hack, be it ‘sophisticated’ or not. Quite simply, it shouldn’t happen.
Securing data on blockchain could (and will) prevent these types of hacks. In a nutshell if BA has secured the 380,000 leaked records on a blockchain database this wouldn’t have happened. Blockchain records are cryptographically secured, the hackers, in this case, would have had to have ‘the key’ to each record in order to extract them. How much would it have cost BA to create a Blockchain system? Probably significantly less than the dented share price, reputational damage, potential fines and refunds for the fraudulent transactions.
Hacks of this nature will only continue and become even more sophisticated. The old ways of securing data are no longer fit for purpose, a blockchain revolution is not just a ‘nice to have’, buzzword or PR exercise. A blockchain security solution is now required to make customer data protection fit for purpose for the 21st century.
© Yotta Laboratories