The cryptocurrency industry is a frequent target for hackers, with security incidents occurring regularly. According to CertiK Alert, in the first half of June alone, the cryptocurrency industry suffered total losses of up to $85 million. Among these, the UwU Lend protocol was attacked, resulting in losses exceeding $22 million. Since the beginning of the year, the industry has incurred approximately $821 million in losses. Several major exchanges and users have also experienced varying degrees of security attacks and asset losses, making cryptocurrency exchanges hotbeds for digital asset security incidents.
Established in 2013, the cryptocurrency exchange Gate.io has always been at the forefront of the industry. Its unique security strategies, such as binding IP and dual internal and external security measures, have built a “digital asset security protection gateway” for numerous users. Today, let’s explore Gate.io’s “multiple security protection system.”
Security issues remain a chronic problem for the industry, with the positioning problem being crucial. As we enter 2024, the cryptocurrency industry continues to face “security risks.” In February 2024, a Hong Kong cryptocurrency exchange, BF, suffered losses of approximately $56.5 million in assets. In April, a Middle Eastern cryptocurrency exchange lost $14.8 million in an attack, and in May, a leading Japanese cryptocurrency exchange was hacked, resulting in the theft of 4,502.9 bitcoins, amounting to $305 million in losses. In June, a UK cryptocurrency exchange halted trading after losing $22 million due to a “security incident.” Additionally, a Turkish cryptocurrency exchange was targeted, affecting the hot wallet assets of 10 cryptocurrencies.
The industry’s positioning issues are critical, with several major problems currently existing in three areas. Firstly, on the exchange side, some exchanges have vulnerabilities in risk management mechanisms, lack encryption protection for user data management, and have issues with disaster recovery backups or access control. Additionally, the single asset storage method is a major cause of frequent digital asset security incidents. Secondly, on the user side, the natural “anonymous mechanism” of blockchain networks and the complex, high-risk network environment provide convenience to hackers or attackers. Lack of awareness in asset security management is a major reason for cryptocurrency asset losses. Finally, on the security company side, despite over 10 years of industry development, a comprehensive “white hat hacker” mechanism has not yet been established. The absence of a clear security vulnerability feedback mechanism makes it difficult to address and resolve many issues in a timely manner.
Gate.io, as a veteran exchange established in 2013, has continuously gained the trust and support of numerous loyal users through ongoing technological product updates, risk management, and a convenient trading system. With over 16 million global users and support for over 2,200 cryptocurrencies, Gate.io is one of the leading exchanges in the market, providing users with a diverse range of cryptocurrency trading options.
To address hacker attacks, financial strength and a 100% reserve fund that combines transparency and security are the most crucial elements of the user asset security protection system. Gate.io, committed to “making adequate preparations for the security of users’ digital assets,” has been one of the first exchanges in the industry to allow users to verify reserve proofs, providing independent verification of various digital assets held in a 1:1 ratio. Additionally, Gate.io regularly issues 100% reserve fund reports to ensure that user assets will not be maliciously misappropriated or encounter other security issues.
In terms of asset security management, Gate.io’s efforts are evident. The exchange has constructed a digital asset security protection system based on multiple protection strategies. For the exchange side, Gate.io utilizes a dual storage solution that combines online and offline methods to protect user assets, effectively maintaining the high confidentiality of asset storage. Advanced encryption technology, cloud security protection, anti-DDoS measures, robust DNS security, and web application firewalls provide comprehensive protection against external threats.
On the user side, Gate.io has prepared a series of comprehensive security infrastructure to protect platform user account assets. This includes a unique “IP binding” function, isolation of fund operation passwords, enabling 2FA dual-factor authentication, and activating email anti-phishing passwords to effectively prevent fraudulent emails. These security features have been recognized and supported by industry experts and have been verified in numerous real-world applications.
Furthermore, Gate.io has built a top-notch internal security expert team and formed a diverse professional team of senior security experts and external auditors to conduct rigorous testing and inspection of the platform’s components. The exchange has also established a long-term partnership with renowned blockchain security company Hacken, providing a comprehensive security vulnerability feedback mechanism and substantial incentive rewards for white hat hackers and anonymous security personnel.
After experiencing the early development pains of the industry in 2014 and 2015, Gate.io has emerged as a leading exchange, actively supporting early high-quality assets, innovative trading protocols, and high-interest investment targets. With a responsible attitude and patience, the platform has achieved long-term stable development in safeguarding user asset security and ensuring the stable operation of asset trading.
In conclusion, asset security remains a critical issue for users and the industry as a whole. Creating a secure, open, and decentralized blockchain world requires the efforts and support of many parties. Gate.io is dedicated to playing a more proactive role as a builder in this process, always striving to build a “security protection gateway.”