According to the reliability rating of passwords on crypto-exchanges, compiled by Dashlane organization, more than 70% of the examined exchanges allow users to create unsafe passwords.
Company Dashlane, specializing in digital security, has tested 35 leading cryptocurrency exchanges, examining their technologies to protect customer accounts. They tested each platform against five basic criteria for account and password security.
Finalizing the study, the company has published the rating of the security cryptocurrency exchanges from the period from the 12th to March 19th the date. Only 10 platforms meet all five security level criteria: Bitcoin.de, BitMEX, BTCC, Cobinhood, Coinbase, Cryptopia, Gemini, Huobi, itBit, and Paxful.
The researchers verified the existence of a password-strengthening tools platform, confirmation and the availability of two-factor authentication (2FA).
The conducted research showed that more than 70% of the leading crypto-instruments allow the creation of accounts with weak passwords. Less than 50% of the platforms provide holders with tools such as counters or color coding. 43% of platforms allow users to choose passwords of less than 8 characters for their accounts. 34% do not require a combination of numbers and letters in the password. In many cases, the testers were able to create an account with passwords at all, using only digital combinations such as "12345" and even the word "password".
The ability to create weak passwords, according to researchers, puts users at risk of becoming victims of financial fraud. Unsafe practices leave defenseless clients of exchanges in front of hacker attacks and financial fraud.
The fact that many platforms allow customers to create weak passwords should "serve as a wake-up call to the entire industry," said Dashlane CEO Emmanuel Shalit. He also noted that the creation of an account on the crypto-exchange is comparable to the opening of a bank account:
Security experts recommend that users create unique passwords for each new account from at least 8 characters. Experts emphasize that the use of digits sensitive to the case of characters, special characters also increases security, and the creation of passwords with frequently used phrases and names should be avoided. Especially researchers pay attention to the importance of connecting two-factor authentication (2FA) when creating an account.