A blockchain is a distributed and decentralized digital ledger of transactions that is distributed across an entire network of computers. The data within the chain is grouped into blocks, and because each block contains the hash of the previous one, it creates an established record that provides a single source of truth. This is because no single entity controls the ledger, and though everyone on the network is able to access it, once a transaction is recorded it cannot be altered or deleted.

Commonly used in the finance sector, especially for matters concerning cryptocurrency, the use of blockchain technology has expanded into several key areas. For example, they can be used for optimal supply chain management by tracking goods and services and verifying authenticity. Healthcare services are also using them to secure patient records and enhance their data management. To ensure transparency when voting, they are also being leveraged by government services during election processes too.

How are hackers accessing blockchains?
This is because – on paper – the blockchain is cryptographically secured, making it suitable for storing sensitive information. However, they are still an attractive target for cyber criminals. A number of vulnerabilities may reside in the surrounding ecosystem, including flaws in smart contracts (which automate the transactions within the chain), centralized exchanges, or human errors like lost private keys. If a hacker is able to gain access through these, they may be able to drain funds, cause disruptions, and hold data to ransom for a significant pay-out.

Methods of gaining access to the blockchain can vary. These include ‘Sybil’ attacks, in which attackers create numerous fake identities – known as nodes – to gain greater influence over the network, with the aim of obtaining more than 50% of its computing power. From this position, they are able to manipulate transactions and control the blockchain’s consensus process. Hackers could also utilize a routing attack to intercept and manipulate the transmissions between nodes, delaying transactions and giving them capacity for payment fraud.

Additionally, quantum devices are just over the horizon, and this will cause unprecedented issues to blockchain security. Experts now believe the first quantum device will be developed between 2030-2035, and – using Grover’s algorithm –  break the symmetric encryptions protecting blockchains today.

How are standards protecting blockchains?
So how can entities protect their transactions against this growing threat landscape? The answer lies with the technologies, standards and specifications developed by organizations like the Trusted Computing Group (TCG).

Leveraging a Trusted Platform Module (TPM), for example, can help users protect cryptographic keys and data to ensure these remain inaccessible to unauthorized users within the blockchain. It also delivers essential hardware-based security capabilities, including the ability to take security measurements during the boot process to ensure that only authorized code is used and that platform integrity is assured. These measurements can then by provided to a remote element to attest the health of its configurations. If each node within the blockchain is running on a trusted, secure platform – delivered through TCG technologies – then its sensitive operations will remain protected.

TCG are also taking steps to mitigate the threat of quantum computers. This process began with the algorithmic agility that was implemented during the transition to TPM 2.0 in 2013. The organization is now working hard to update our specifications to prepare for post-quantum cryptography, aligning with the required algorithms and parameter sets published by institutions such as NIST.

Using TCG solutions remain the best option for hardening elements within blockchain, and delivering secure endpoints, contracts and sensitive data. By leveraging the latest standards and specifications, entities within the blockchain can rest assured the information they store within it will remain secure.