Data theft is a severe security and privacy breach with potentially devastating consequences. Protecting critical information is essential for every organization as a data breach can not only put your business at risk but also damage your company’s reputation.
With the widespread adoption of cloud computing the number of attempted data thefts has increased rapidly. The cost of data breaches is estimated to reach an average of $4.2 million per attack by the end of 2023. Data thefts have already impacted around 294 million people.
This blog will dive into data theft and how to prevent it by explaining the severe consequences and some massive data breaches in history. Explore the ways to safeguard your data against data breaches.
What Is Data Theft?
Do you know what data theft is? In the current digitally evolving world, data theft is a modern phenomenon defined as an act of stealing someone’s confidential and sensitive information stored on computers and other electronic devices. Data theft is unauthorized access to sensitive information, and that information can be anything, including personal information, bank data, patient records, or intellectual property.
Cybercriminals and hackers can use various techniques to gain access to computer systems or websites and steal your data to destroy your reputation. So, safeguarding your data and sensitive information in the digital realm is more crucial than ever. However, it has severe consequences for individuals and organizations, leading to financial losses and identity theft. What could be the possible reasons for data theft?
How Does Data Theft Occur?
There are various reasons for data theft or digital theft. Hackers and criminals can steal your data by using multiple hacking techniques. We are discussing some of the most common reasons your sensitive and crucial data can be compromised.
Using Weak Passwords
Your passwords are the most critical thing to safeguard your accounts and secure your sensitive information. So, using weak passwords that are easy to guess can allow cybercriminals to get unauthorized access to your organization’s sensitive data. Using common passwords like your name and birth or using the same passwords in multiple places can also be the reason for unauthorized access and data theft.
Insider Threat
Data theft can sometimes result from your organization’s employees or trusted individuals. Some employees have access to all the organization’s critical data and can sometimes intentionally and accidentally leak or steal data. This is commonly referred to as the insider threat. However, the insider threat can be your former employees, partners, or contractors accessing your organization’s data. One of the most critical reasons for the insider threat is rogue employees.
System Vulnerabilities
Poorly designed applications and network software can create system vulnerabilities, making it easier for hackers to exploit and steal sensitive data. Another reason for data theft is if you do not timely upgrade your antivirus software, it creates security loopholes. However, safe and secure software and timely security updates are essential to avoid system vulnerabilities. Hence, another primary reason for data theft.
Social Engineering
The most common form of social engineering is phishing. Social engineering is manipulating and deceiving a victim to gain access to a computer system or website. It is another type of cyberattack that cybercriminals use to steal and get unauthorized access to your sensitive data. Phishing is the most prevalent form of social engineering, and it takes place when a malicious actor accesses the system to trick the victim into opening a text message, email, and other entities.
The Possible Consequences of Data Theft
What could be the possible consequences of data theft? Organizations and businesses that become victims of data theft can suffer in many ways. Data theft can lead organizations to face financial losses. However, let’s explore some of the most crucial consequences of data theft.
Reputational Damage
Cybercriminals and hackers steal your data to damage your online reputation and to make changes to your data or website. The reputation damage makes it difficult for businesses and organizations to attract new customers. The stolen information through data theft can be further used for fraud and other malicious activities. Therefore, it results in a loss of customer trust and damages the victim’s reputation.
Ransomware
Ransomware attacks mean to get access to an organization’s sensitive data. And the attackers demand a hefty amount to give the data back. However, if you fail to pay the ransom, the attackers may permanently destroy your crucial data. But, getting back your crucial data is not guaranteed even after paying the hefty amount as ransomware.
Lawsuits
Securing your customer’s sensitive data is critical for every organization or business. If an organization fails to secure the data of its customers and employees, it may face lawsuits from the affected individuals. So, organizations having poor security practices and mishandling the employees’ or customer data can be subject to legal action.
Regulatory Fines
Do you know about the strict data privacy laws? Some regulatory bodies like GDPR and HIPAA have some privacy laws for online data privacy. So, if your organization lacks in securing sensitive data, it may lead to data theft, and your organization has to face steep fines for compromising data privacy. Do you know about the massive data thefts that recently occurred?
Massive Data Breach Incidents of Recent Times?
Cyber attacks, when they occur, usually affect millions of users and have many heavy financial repercussions. Here are some of the major data theft incidents that happened in recent years.
Yahoo Data Theft
We all know about the popularity of Yahoo. However, despite being a significant industry player, Yahoo faced two major data thefts between 2013-2016. Anyone can be a victim of data theft. This is why securing your data is crucial.
Yahoo experienced massive data theft in history that compromised the data of approximately 1 billion user accounts. This enormous data theft occurred due to an unauthorized party trying to access users’ accounts without needing a password. Data thefts cause organizations to bear massive financial losses.
Alibaba Data Theft
Alibaba, a Chinese e-commerce giant, also suffered from a data breach that contained their customers’ sensitive data, including names, ID numbers, phone numbers, physical addresses, and criminal records.
Approximately 23 terabytes of sensitive data were compromised with this huge data breach in 2022. This data breach compromised the data of over 1.1 billion users. So, industry giants like Alibaba also became the victim of massive data theft.
So, how can you safeguard your data from cyber-attacks and data thefts? There are various effective ways to prevent your data from data breaches. But, effective implementation is essential to protect your data from cybercriminals and hackers.
How to Prevent Your Sensitive Data from Data Theft?
Organizations must follow sound data protection techniques to prevent data theft. However, the number of data thefts has increased, so it is essential to take prevention measures to safeguard your data from data breaches. What are the most effective ways to protect your sensitive data?
Create Strong and Secure Passwords
Strong passwords are essential to secure your data from data breaches and thefts. Easy passwords are easy to break, and cybercriminals can quickly access sensitive information, leading to data breaches. Strong passwords should contain at least 12 letters, including numbers, letters, upper case, lower case, and symbols.
Use Secure Network Connections
One of the most effective ways to protect your data from being stolen is to use secure network connections. So, the safest way is to comply with a secure VPN connection. A premium VPN encrypts your data and safeguards you from several types of malicious onslaughts such as DDoS attacks.
OysterVPN provides DDoS protection that prevents your data from being accessed by third parties looking to compromise the security of your data storage systems. Providing reliable VPN servers in 28+ countries worldwide, it masks your geographical location and offers a unique IP address that makes it difficult for hackers to access your geolocation. Moreover, a secure connection provides the best encryption protocols to secure your internet traffic.
Regular Security Updates
Regularly update your website with reputable anti-virus and anti-malware programs to protect against data breaches. It also helps minimize the security vulnerabilities. So, stay updated, harness security fixes, and keep your system resilient against known threats.
Use Multi-Factor Authentication
Multi-factor authentication adds an extra layer of security to your website and computer programs. It requires users to provide two distinctive verification forms before accessing the data. Implementing role-based access control is another way to prevent your data from unauthorized access.
Data Encryption
One of the most protected ways is to encrypt sensitive data using robust encryption algorithms. This makes it impossible for hackers to access the data without the decryption key. OysterVPN provides secure encryption protocols such as AES-256-bit encryption, and advanced features like DDoS Protection, and DNS/IP Leak protection to secure your web traffic. You can extend the security of military-grade encryption to 10+ registered devices with a single OysterVPN account and run it on 5 devices simultaneously.
Summing Up
Data breaches have been extensively increasing, and it has become essential for everyone to counteract data thefts and cyber attacks. Organizations can reduce the risk of data theft by enforcing robust encryption protocols, using a solid network connection, and staying vigilant with security updates. However, preventing data theft is an ongoing commitment, essential for maintaining trust and integrity in the digitally connected world.
