United Kingdom: Companies Are Stacking More and More Bitcoins

///United Kingdom: Companies Are Stacking More and More Bitcoins

British companies are prepared to pay up to £136,000 on average to recover critical data taken hostage by ransomware. This is the outcome of the 2017 survey sponsored by Citrix UK, a company that provides collaborative, virtualization and networking products to facilitate mobile work and adoption of cloud services.

The survey covered 500 British companies with a minimum workforce of 250 employees. It follows a precedent launched by the same company a year ago. The average amount of the ransom payment was then £29,544. With the £136,000 pledged this year, there was an increase of 361 percent.

It should be made clear that these companies are complying with one of the major requirements of the authors of ransomware: receiving payments in bitcoins.

The 2017 survey shows that companies with more than 1,000 employees store an average of 23 BTCs in order to be able to mitigate any eventuality as soon as possible. Approximately 28% of these would store more than 30 BTC, the equivalent of £50,000, ready to satisfy any hacker requirements.

The 2017 survey also shows that the number of businesses with 250 to 500 employees who adhere to such practices increased by 14% compared to 2016. At the same time, The proportion of businesses with 250 to 500 employees who maintain funds in Bitcoins ready to be transferred to hackers is always greater than that of companies with more than 1,000 employees who also store bitcoins.

Taking into account that this poll initiated by Citrix last year already revealed that British companies were storing bitcoins to satisfy any hacker demands. It should not be surprised to review these figures upwards next year when we know that the ransomware WannaCry first hit the British.

But is the approach of setting aside funds to satisfy hackers the right one? The answer is no since the payment does not guarantee the restoration of the data. Rather, these funds could be used to implement better security policies.

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By |2017-06-26T13:04:46+00:00June 26th, 2017|Data Security, Technology|2 Comments

2 Comments

  1. Aldon September 8, 2017 at 7:06 pm - Reply

    I agree that the funds used to purchase bitcoin can be instead used as investment on better security for the company. However, there is some reason to stacking bitcoins early on as the price of bitcoins have increased several thousand fold from a few months ago and will probably continue to increase as its popularity grows. In the future, companies can sell these bitcoins for a much larger value than what was used to buy them in the first place.

  2. Ogeto Omwancha D. October 9, 2017 at 1:23 pm - Reply

    The digital technology revolution has seen many innovative startups come to life. One such startup is the Bitcoin currency. On whether companies should pay out ransom money, my opinion is a big NO. Companies should invest in better and more robust security matrix for their digital infrastructure. Away from the hacker and ransom problem, should the companies create bitcoin banks, my opinion is YES and for a good reason. One of the criticisms often leveled at bitcoin is that there’s no easy way to spend them. Yes, you’d get a strange look in most shops if you offered an invisible chunk of cryptographically-protected data at the till instead of a fiver, but an increasing number of businesses are adopting it. Technology is growing fast, everything is becoming digital including money as we know it. It’s only fair to say that Bitcoin has taken its place as the digital currency of the 21st century and its adoption is increasing rapidly. Blockchains are set to go mainstream. As opposed to bitcoin – the currency – the underlying blockchain technology is embraced by prominent companies, banks, and even governments. A brand new industry is emerging based on this technological advancement that allows multiple entities to agree on a single version of a database with no need for a trusted third party.

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