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The World’s Top Hacking Groups – Part 1

Click here to read Part 2 of AXEL’s blog on the world’s top hacking groups

Ever since the invention of computers, there have been hackers. However, in the early history of computers, “hackers” weren’t seen as shadowy, havoc-wreaking figures, but simply as enthusiasts. These early hackers tinkered with computers, and ended up creating some of the earliest computer programs. But as computers rapidly gained popularity in the 1980s, cybersecurity cracks were starting to show, and skilled individuals took advantage. In 1989, Joseph Popp created the first ransomware device: A floppy disk sent to world health professionals disguised as medical research. When inserted, the disk locked the user’s computer, and demanded the victim mail $189 to a PO Box in Panama [1]. 

While this early example of hacking is easy-to-understand, modern hacking and ransomware is far more complicated, not just from a technological standpoint, but from an organizational standpoint as well. Gone are the days of individual, hoodie-clad loners furiously typing on their computers in the dark. Today, the people who carry out the world’s worst hacks are part of hacking groups. After all, hackers are smart, and realize that they can do more damage working together, rather than alone. Most of the world’s worst hacks have occurred at the hands of a few hacking organizations, committed to causing chaos around the globe.

These groups have the money and manpower to cause digital devastation on a global scale:

Bureau 121 & Lazarus

North Korea has long been a mysterious, yet aggressive nation, and its state-sponsored hacking group is no exception. Although not much is known about Bureau 121, cybersecurity experts have tied the group to the North Korean government. However, because of the country’s poor infrastructure, experts believe that Bureau 121 plans and executes its operations in Shenyang, China, a city just 100 miles from the North Korean border [2]. The organization mostly targets South Korean businesses, unsurprisingly. One of its biggest attacks was a ransomware attack on South Korea’s Hydro & Nuclear Power Company, resulting in a massive data breach.

While North Korean hackers mostly focus on their South Korean neighbors, it gained worldwide notoriety when Lazarus Group, an affiliate of Bureau 121, attacked Sony Pictures. First, the group leaked thousands of emails between Sony Pictures executives, and leaked unannounced, upcoming films from the studio. More concerningly, the group threatened to commit acts of terrorism at movie theaters unless Sony’s film “The Interview,” a comedy whose plot includes the assassination of Kim Jong-Un, North Korea’s leader, was pulled from theaters [3]. The United States quickly tied the hack to North Korea, but because of the countries’ icy relationship, no arrests have been made.

Syrian Electronic Army

The Syrian Electronic Army (SEA) was formed during the Arab Spring, a series of anti-government protests and uprisings in the Middle East in the early 2010s. It was created to protect controversial Syrian President Bashar al-Assad from Syrian dissidents during the widespread protests [4]. Interestingly, cybersecurity experts are unsure if the group is sponsored by the Syrian government, or is simply a group of pro-Assad hackers [5]. In either case, the SEA is a vehemently pro-Assad organization that has two goals: Punish media organizations that are critical of Assad, and spread Syria’s state-sponsored narrative [4].

One of the SEA’s most famous hacks occurred in 2013, when the group hacked into the Associated Press’ Twitter account and falsely reported that then-President Obama was injured in an explosion at the White House [6]. This single Tweet caused stocks to plummet, highlighting just how much damage can be caused from hackers thousands of miles away. In addition to this notable AP hack, the SEA has hacked Western media organizations, including Facebook, Microsoft, and The New York Times.

Fancy Bear

Although this group may have a cuddly name, its actions are anything but soft. Cybersecurity experts widely believe Fancy Bear to be a Russian-sponsored hacking group responsible for a variety of hacks to advance Russian interests [7]. The group has committed attacks on Germany’s Parliament, French President Emmanuel Macron, and a variety of other Western governments [8]. The group typically uses well-disguised phishing emails to gain access to restricted information.

Fancy Bear used this strategy to pull off its most daring, consequential hack: an attack that leaked thousands of Democratic National Committee (DNC) emails in 2016 [9]. The cyberattack resulted in the public reveal of thousands of DNC emails, many of which were seen as controversial or simply embarrassing. While many countries spy on others during elections, this was one of the first times a foreign country was able to successfully meddle in a United States election. Although it’s impossible to determine if the 2016 Presidential election would have been different if Fancy Bear didn’t commit the attack, this hack showed how valuable, and devastating, cyberattacks can be before elections.

Anonymous

Perhaps the most famous hacking organization in the world, Anonymous is unlike any other group. Anonymous is decentralized, with no leader or physical hub. While this may sound like a disadvantage, this organization ensures that the group can continue its activities even if members drop out or are apprehended. Anonymous is a “hacktivist” group, and does not have specific goals or enemies. However, Anonymous certainly has a broad aspiration to promote freedom of speech and diminish government control [10].

Anonymous gained notoriety during its 2008 cyberattacks on the Church of Scientology, when the group managed to shut down the Church’s website. Following this attack, the organization gained popularity around the world, expanding the group’s hacking capabilities (and potential targets). The group targeted Tunisia’s government during the Arab Spring protests, Visa and MasterCard for declining to do business with WikiLeaks, and Bank of America for its shady mortgage practices [11].

Since 2008, Anonymous has continued to attack governments and organizations that break the group’s core beliefs. However, the long-term impact of these attacks are often negligible. Anonymous’s main strategy is a distributed denial of service (DDoS) attack. While DDoS attacks are successful in shutting down websites and gaining notoriety, once the website is back up, there are few long-term effects of Anonymous’s involvement. So although Anonymous is one of the most notorious hacking collectives in the world, more organized groups are able to cause greater long-term effects with their cyberattacks.

About AXEL

Hacking groups aren’t going away any time soon. That’s why data security and user privacy remain as important as ever. At AXEL we believe that privacy is a human right, and that your information deserves the best protection. That’s why we created AXEL Go. AXEL Go uses 256-bit encryption, blockchain technology and decentralized servers to ensure it’s the best file transfer software on the market. Whether you need cloud video storage or cloud file management, AXEL Go is the secure file hosting solution. If you’re ready to try the best file sharing app for PC and mobile devices, try two free weeks of AXEL Go here.

[1] Kelly, Samantha Murphy. “The Bizarre Story of the Inventor of Ransomware.” CNN. Cable News Network, May 16, 2021. https://www.cnn.com/2021/05/16/tech/ransomware-joseph-popp/index.html

[2] Lee, Dave. “Bureau 121: How Good Are Kim Jong-Un’s Elite Hackers?” BBC News. BBC, May 29, 2015. https://www.bbc.com/news/technology-32925503

[3] VanDerWerff, Emily, and Timothy Lee. “The 2014 Sony Hacks, Explained.” Vox. Vox, January 20, 2015. https://www.vox.com/2015/1/20/18089084/sony-hack-north-korea

[4] Harding, Luke, and Charles Arthur. “Syrian Electronic Army: Assad’s Cyber Warriors.” The Guardian. Guardian News and Media, April 30, 2013. https://www.theguardian.com/technology/2013/apr/29/hacking-guardian-syria-background

[5] Perlroth, Nicole. “Hunting for Syrian Hackers’ Chain of Command.” The New York Times. The New York Times, May 17, 2013. https://www.nytimes.com/2013/05/18/technology/financial-times-site-is-hacked.html?pagewanted=all&_r=0

[6] Moore, Heidi, and Dan Roberts. “AP Twitter Hack Causes Panic on Wall Street and Sends Dow Plunging.” The Guardian. Guardian News and Media, April 23, 2013. https://www.theguardian.com/business/2013/apr/23/ap-tweet-hack-wall-street-freefall

[7] O’Flaherty, Kate. “Midterm Election Hacking — Who Is Fancy Bear?” Forbes. Forbes Magazine, August 23, 2018. https://www.forbes.com/sites/kateoflahertyuk/2018/08/23/midterm-election-hacking-who-is-fancy-bear/?sh=5bccc7aa2325

[8] Hern, Alex. “Macron Hackers Linked to Russian-Affiliated Group behind US Attack.” The Guardian. Guardian News and Media, May 8, 2017. https://www.theguardian.com/world/2017/may/08/macron-hackers-linked-to-russian-affiliated-group-behind-us-attack

[9] Frenkel, Sheera. “Meet Fancy Bear, the Russian Group Hacking the US Election.” BuzzFeed News. BuzzFeed News, October 15, 2016. https://www.buzzfeednews.com/article/sheerafrenkel/meet-fancy-bear-the-russian-group-hacking-the-us-election

[10] Sands, Geneva. “What to Know About the Worldwide Hacker Group ‘Anonymous.’” ABC News. ABC News Network, March 19, 2016. https://abcnews.go.com/US/worldwide-hacker-group-anonymous/story?id=37761302

[11] “The 10 Craziest Hacks Done by Anonymous.” Complex. Complex, May 31, 2020. https://www.complex.com/pop-culture/2011/08/the-10-craziest-anonymous-hacks/

2021 Cybersecurity Year in Review

Throughout 2021, cybersecurity incidents have grabbed headlines across the world. Although the topic may not have been at the forefront of most people’s minds in 2021, cybersecurity has greatly affected everyone’s life in some way. From vicious cyberattacks to genuine progress on user privacy, cybersecurity has undoubtedly had a long, eventful year. And although exciting progress has been made in some areas of cybersecurity, cybercrime and other online attacks will, unfortunately, continue into 2022 and beyond.

2021 has been a long year for many, particularly for cybersecurity experts. Here are all the ways cybersecurity has changed for the better (and worse) throughout the past year.

COVID Phishing

Near the beginning of 2021, COVID-19 vaccinations became readily available to people in the United States. While this helped minimize the negative effects of the pandemic, it also offered a new opportunity for scammers. As businesses and governments began to mandate COVID vaccinations, cybercriminals responded by creating phishing emails that disguised themselves as genuine business emails [1]. From fake vaccine-record upload sites to emails from phony public health organizations, scammers used the uncertainty and anxiety of COVID to make a quick buck off of unsuspecting people.

Unfortunately, phishing emails aren’t the trick cybercriminals are using. COVID scams are coming from all angles, including texts, social media posts, and robocalls. In fact, the Federal Trade Commission (FTC) has logged over 600,000 complaints in 2021 regarding COVID-related scams. In all, these scams have cost consumers over USD $600 million [2]. And with COVID remaining in the public spotlight into 2022, these scams are likely to continue. With this in mind, it’s important to brush up on cybersecurity tips. Check out AXEL’s blog, The History of Internet Spam, to learn how to protect yourself from phishing emails, social media spam, and more.

Colonial Pipeline Attack

In May, the Colonial Pipeline, an oil pipeline that supplies much of the gasoline to the Southeastern United States, was struck by a ransomware attack. Interestingly, the cybercriminals attacked the pipeline’s billing system, rather than its operational systems [3]. Because of this, Colonial itself shut down its own pipeline, as the company would have been unable to bill customers with the ransomware. Soon after the sheer scale of the attack was realized, Colonial Pipeline paid the nearly USD $5 million ransom.

While Colonial Pipeline quickly paid the ransom, the negative consequences of the attack were felt by consumers for weeks. States from New Jersey to Texas faced severe gas shortages, causing price jumps and panic buying [4]. In all, the Colonial Pipeline attack affected millions of consumers, and caused a severe breach of trust in Colonial Pipeline. Undoubtedly, 2021’s most memorable cyberattack was a doozy.

Ransomware is Evolving

When thinking of ransomware, many people picture a single offender, causing digital chaos while hunkered in a dark basement. However, this stereotype of modern cybercriminals is far from the truth. In 2021, ransomware groups are practically businesses, regularly recruiting new hackers to join criminal enterprises. Nowadays, just a handful of organizations are the perpetrators of most ransomware attacks [5]. And these shady organizations have ransomware down to a science.

Some ransomware organizations even offer customer service help desks to help victims pay the ransom and receive the decryption key. This is possible because of skyrocketing ransom demands. In fact, the average ransom payment was over USD $310,000 last year [5]. But because there’s little action that can be taken after being struck with ransomware, businesses and firms are usually forced to pay the extraordinary cost. In 2021, cyberattacks aren’t just individuals wreaking havoc; they’re carried out by well-funded, well-organized criminal syndicates. That’s why it’s vital to stay up to date on the latest strategies to protect yourself, your business, or your firm.

Crackdowns on Russian Cybercrime

One of the most notorious ransomware organizations is REvil, a Russian-based cybercrime syndicate responsible for many of the most expensive ransomware attacks. REvil had a successful first half of 2021, attacking JBS Foods and extracting USD $11 million from the meat-processing giant [6]. However, following this attack, REvil finally began to face crackdowns from law enforcement.

In September, the FBI hacked into REvil’s servers, obtaining a universal decryption key. Even worse for the group, the FBI remained hidden even after gaining access to REvil’s information, giving law enforcement more time to prowl around the servers of the shadowy criminal enterprise [7]. With this information, the United States Department of Justice coordinated arrests against two alleged REvil members, along with retrieving USD $6 million in cryptocurrency from the group [8]. This action greatly impaired REvil’s work, highlighting the strategies law enforcement can take in the future to shut down similar criminal organizations.

The Rise of Multi-Factor Authentication

Whenever you log in to Google, Facebook, or nearly any other secure website, a password simply isn’t enough anymore. Multi-Factor Authentication (MFA) has become the norm among most sites, requiring anything from text authentication to security questions to successfully log in. While this can be a headache for some users, it undoubtedly prevents countless cyberattacks each year. After all, passwords just aren’t the same as they used to be.

In fact, Microsoft is even allowing users to simply not have passwords. Instead, the company offers a mixture of authenticators including security keys, SMS verification, and email verification [9]. While the traditional password is unlikely to go away soon, the pivot to MFA highlights the extra security measures that companies are taking to protect users (and themselves). MFA is one of the cheapest, easiest, and quickest ways to protect user privacy, and its widespread adoption is a positive step toward a more secure digital future.

What to Expect in 2022

While there have been both positive and negative developments for cybersecurity in 2021, the problems that have plagued individuals and businesses are likely to continue into 2022. Ransomware isn’t going away any time soon, even with the crackdown on REvil. Phishing emails will remain, and will simply take advantage of other current events to harm individuals. Finally, MFA will remain widespread, and will hopefully lead businesses to take even more precautions against cybercrime. In 2022, cybersecurity will remain a vital issue for businesses and individuals alike. However, if appropriate precautions are taken by all, we can make 2022 a disastrous year for cybercriminals.

About AXEL

In today’s chaotic Digital Age, hacks, data breaches and ransomware attacks are an everyday occurrence. That’s why data security and user privacy remain as important as ever. At AXEL we believe that privacy is a human right, and that your information deserves the best protection. That’s why we created AXEL Go. AXEL Go uses 256-bit encryption, blockchain technology and decentralized servers to ensure it’s the best file transfer software on the market. Whether you need cloud video storage or cloud file management, AXEL Go is the secure file hosting solution. If you’re ready to try the best file sharing app for PC and mobile devices, try two free weeks of AXEL Go here.

[1] Hunter, Tatum. “That Email Asking for Proof of Vaccination Might Be a Phishing Scam.” The Washington Post. WP Company, September 24, 2021. https://www.washingtonpost.com/technology/2021/08/24/covid-vaccine-proof-scam-email/

[2] Waggoner, John, and Andy Markowitz. “Coronavirus Scams – Beware Fake Claims, Phony Websites.” AARP, December 6, 2021. https://www.aarp.org/money/scams-fraud/info-2020/coronavirus.html

[3] Bertrand, Natasha, Evan Perez, Zachary Cohen, Geneva Sands, and Josh Campbell. “Colonial Pipeline Did Pay Ransom to Hackers, Sources Now Say.” CNN. Cable News Network, May 13, 2021. https://edition.cnn.com/2021/05/12/politics/colonial-pipeline-ransomware-payment/index.html

[4] Bair, Jeffrey, and Javier Blas. “Petrol Shortages Sweep Us as Colonial Pipeline Remains Down.” Oil and Gas News | Al Jazeera. Al Jazeera, May 11, 2021. https://www.aljazeera.com/economy/2021/5/11/petrol-shortages-sweep-us-as-colonial-pipeline-remains-down

[5] Bajak, Frank. “Ransomware, Explained: How the Gangs That Shut down Colonial Pipeline, JBS USA Operate.” USA Today. Gannett Satellite Information Network, June 3, 2021. https://www.usatoday.com/story/tech/2021/06/03/how-does-ransomware-work-colonial-pipeline-jbs-usa-attacks-explainer/7520704002/

[6] Montalbano, Elizabeth. “JBS Paid $11m to Revil Gang Even after Restoring Operations.” Threatpost English, June 10, 2021. https://threatpost.com/jbs-paid-11m/166767/

[7] De Chant, Tim. “FBI, Others Crush Revil Using Ransomware Gang’s Favorite Tactic against It.” Ars Technica, October 22, 2021. https://arstechnica.com/tech-policy/2021/10/fbi-others-crush-revil-using-ransomware-gangs-favorite-tactic-against-it/

[8] “Revil: Day of Reckoning for Notorious Cyber Gang.” BBC News. BBC, November 8, 2021. https://www.bbc.com/news/technology-59215167

[9] Warren, Tom. “Microsoft Accounts Can Now Go Fully Passwordless.” The Verge. The Verge, September 15, 2021. https://www.theverge.com/2021/9/15/22675175/microsoft-account-passwordless-no-password-security-feature

INTERVIEW: How COVID Changed the Courtroom (and the Future of Law)

When COVID-19 struck the United States in January of 2020, every industry in the United States (and, really, the world) was shaken. It forced everything from mom-and-pop restaurants to the largest law firms to send employees home, left to their own devices to figure out how to run a business from miles away. This problem was particularly evident for those in the legal industry. As the pandemic continued into April, firms began to take drastic measures in response to decreased demand for legal services. Many law firms opted for pay cuts, in an attempt to save as many jobs as possible. However, some firms were still forced to lay off paralegals, attorneys, and other legal professionals[1].

While the demand for legal services subsided at the beginning of the pandemic, there was no decrease in the need for legal services[1]. After all, the pandemic provided a bevy of new legal questions that attorneys and clients alike had to ponder. So, while people weren’t speaking with lawyers during the height of the COVID-19 pandemic, a backlog of people needing legal help was growing quickly. Although business was down during the height of the pandemic, two attorneys, Nancy Rapoport and Joe Tiano Jr. predicted that the pandemic would only cause temporary struggles for the legal industry, while also forcing old-school firms to innovate.

Nancy is the Garman Turner Gordon Professor of Law at the William S. Boyd School of Law, University of Nevada, Las Vegas (UNLV), and Joe is a former lawyer turned businessman who founded Legal Decoder, a legal tech software that optimizes efficiency and pricing uncertainty. Together, they authored The Legal Industry’s Second Chance to Get it Right, which foresaw the legal industry’s comeback in February 2021, and they offered their insight on the future of law in an exclusive interview with AXEL. 

How COVID Changed the Courtroom

“All of the stuff that we thought we knew about the practice of law has been wrong,” Rapoport says. Regarding the pandemic, she says, “it gave us a chance to rethink what a law practice should be.” While nearly every industry had to learn new things like Zoom meetings at the beginning of the pandemic, legal professionals faced unique challenges.

“The inability to read a witness’s or deponent’s body language … Doing it over Zoom is a challenge,” Tiano said. “You can’t read body language. It’s kind of hard to see inflections … It had to be an enormous hurdle for any lawyers who’ve been practicing the same way for decades.”

In addition to these remote depositions, the COVID-19 pandemic introduced new ethical dilemmas for legal professionals as well.

“There are now cases saying ‘Lawyers, stop texting your clients’ answers.'” says Rapoport. She describes a case where attorneys would communicate with witnesses during testimony through email, an impossible task to pull off in a physical courtroom. “No one does that because it’s unethical, but now we have to come up with all of these new ways of dealing with court and mediations, bringing people into separate rooms, dealing with witnesses.”

The Legal Industry’s New Challenges

Even before COVID-19, some observers predicted a radical change in how firms charge their clients[2]. For years, law firms big and small have used the “Billable Hour” model, a simple formula where a firm charges the client a certain cost per hour. Put simply, “[the billable hour] is the economic model upon which a law firm operates,” Tiano says.

After the pandemic hit and the demand for legal services dropped, many predicted that this radical change would finally occur. However, the industry-wide shift to alternative pricing agreements never came, even with the massively decreased demand for legal services at the beginning of the pandemic. But why didn’t alternative pricing become the norm, especially in a time as volatile and tumultuous as the pandemic? As Rapoport humorously puts it, “the billable hour is easy for lawyers because we’re not good at math.”

But just because it’s the most common pricing agreement doesn’t mean it’s the most efficient. “If we used data and we figured out other ways to value delivery of services, we’d all be better off,” Rapoport says. “[The billable hour model] encourages piling on of work, and it encourages slow work, neither of which a good lawyer should want to do. But if that’s the reward system, it’s very hard to break away from that. I would love to see people use data better, to rethink how they adjust the value to clients.” As Tiano succinctly puts it, “there’s a fallacy that every hour is equal in value.”

In addition to the continued use of the billable hour, law firms also face new challenges related to the rise of at-home work. “One of our biggest worries is how the newest professionals are going to get trained and socialized,” Rapoport says. A common problem among many offices since the pandemic, the lack of socialization for new employees can affect everything from office camaraderie to firm loyalty. And with at-home work becoming more and more normalized, these anxieties that firms and businesses face are unlikely to go away any time soon.

Finally, as the pandemic wanes and legal demand increases, law firms face a unique problem: “One of the biggest challenges that firms are having today is keeping their personnel, because they have too much work,” Tiano says. Although the legal industry started to bounce back when COVID vaccines became readily available, the industry soon came across new problems. The sheer amount of work has caused firms to lose personnel, risking the continuation of the legal industry’s comeback after COVID-19.

Legal Tech: Tool or Replacement?

Rapoport and Tiano see the benefits of legal software as complementary, but are skeptical about the technology replacing skilled lawyers regarding the ever-growing legal tech industry. As Rapoport says, “there are some things that computers are better at than lawyers … They can do things all day long in nanoseconds.” There is no shame in using the tools available to lawyers, especially if it helps increase efficiency. However, Rapoport warns that “if we’re not careful about how we use technology, we’re going to create a generation of untrained professionals who will become senior without knowing how to do things.”

“We’ve got to make sure technology augments what lawyers do, rather than replacing the skills that lawyers uniquely bring to the table,” Tiano says. “It’s very difficult to counsel a client from a legal, psychological perspective if you’re a piece of software.”

However, just because Rapoport and Tiano see legal tech as a complementary tool for quality attorneys does not mean that technology won’t replace second-rate lawyers. Rapoport warns: “For lawyers who are good counselors, there’s no software in the world that replaces that. For lawyers that fill in the blanks, their days are numbered.”

The Future of Law

Legal tech is unlikely to replace every lawyer any time soon. As Tiano says, “I don’t see technology replacing lawyers. I see it amplifying what lawyers can do and supplementing their processes.” But just because your next traffic court lawyer is unlikely to be a software program doesn’t mean legal tech can’t help lawyers increase efficiency. Legal tech saves firms and clients both time and money. It’s a valuable tool that, when used correctly, can help clients and firms in a myriad of ways.

[1] Wittenberg, Daniel. “The Pandemic’s Dramatic Effect on the Business of Law.” Americanbar.org. American Bar Association, October 28, 2020. https://www.americanbar.org/groups/litigation/publications/litigation-news/business-litigation/the-pandemics-dramatic-effect-the-business-law/

[2] Ambrogi, Bob. “Guest Post: Beating the Alternative – Why the Billable Hour Is the Truest Representation of Cost.” LawSites, August 25, 2021. https://www.lawsitesblog.com/2021/08/guest-post-beating-the-alternative-why-the-billable-hour-is-the-truest-representation-of-cost.html

Enron, Ethics, and the Fight for Privacy

In the modern history of business, few names are as synonymous with corruption, deceit and greed as Enron. For years, the Texas-based energy giant engaged in rampant, systematic accounting fraud, covering up massive losses through shady, illegal business practices. After years of abnormally high stock prices, the massive fraud of Enron was uncovered in 2001. Following these revelations, on December 2, 2001, Enron filed for bankruptcy. It was a swift downfall for a formerly massive energy corporation. However, many executives and insiders were aware of Enron’s deceptive accounting practices before the public knew, and took decisive (and illegal) action[1].

In mid-2001, Enron announced a massive USD $638 million loss in its third quarter, shocking investors. Following this report, accountants at Arthur Andersen, Enron’s auditor, began shredding documents related to the fraud[2]. Andersen did this to hide Enron’s documents from the Securities and Exchange Commission (SEC). However, revelations of this illegal shredding came out quickly, and Arthur Andersen, the company itself, was convicted of obstruction of justice. And because the SEC did not allow felons to hold Certified Public Accountant (CPA) licenses, this ruling effectively put Arthur Andersen out of business, costing 85,000 innocent employees their jobs[2].

Arthur Andersen’s illegal paper shredding was one of the most infamous aspects of the Enron scandal, highlighting how far the auditing agency went to protect its client. Unfortunately, this illegal act caused tens of thousands of innocent employees who knew nothing about Enron’s blatant fraud to lose their jobs. However, there’s more to the story than just deception and fraud. Enron and Arthur Andersen’s actions highlight just how important ethics are when handling clients’ documents.

AXEL’s Layers of Protection

Here’s the thing: Protecting your clients and their privacy isn’t an inherently bad thing. After all, that’s exactly what a business should do for its customers. Arthur Andersen, unfortunately, just went way too far, breaking laws and ethics to protect its client. A business ought to do everything in its power to protect its client, while also upholding the law and ethics. And that’s exactly what AXEL does. In fact, AXEL even “shreds” documents too, but we do it to protect you from cybercriminals, not the feds.

Whenever you use AXEL’s network, your documents are split up into digital shards and sent to dozens of different servers across the world. This shredding technique keeps your files safe because even if a hacker compromises a single server, they don’t have access to the full file. This means your file remains whole for you, but separate and illegible for any potential cybercriminals. It’s a vital part of AXEL’s decentralized technology, giving users another layer of protection against cybercrime.

Privacy isn’t the Problem

When Arthur Andersen shredded Enron’s documents, that was an explicitly illegal and unethical act. The accounting firm knew that Enron’s numbers were fudged, and were trying to cover their tracks, as well as Enron’s. However, the problem with Arthur Andersen isn’t what they did. It’s why they did it. Doing everything to keep your client’s files private is perfectly ethical. Doing everything to keep your client’s files private because you know they committed illegal acts is absolutely unethical. So what can we learn from Enron and Arthur Andersen’s actions? Well, if you commit illegal acts, you’re probably going to get caught. But more importantly, there’s nothing wrong with desiring privacy.

For years, anti-privacy activists and lawmakers have repeated a slogan: “If you have nothing to hide, you have nothing to fear.” This Orwellian saying has especially gained popularity in today’s era of mass surveillance, where nearly everything we do is being recorded in some form. Taking a walk outside? There will be cameras to keep an eye on you on street corners. Staying in to go online shopping? Your computer will remember every single search and click. With surveillance taking place inside and outside our homes, it’s easy to forget how much we’re being tracked by governments, businesses and advertisers. With the sheer amount of surveillance occurring in our everyday lives, who can blame anyone who is searching for more privacy?

However, just because this surveillance is happening doesn’t mean it has to stay this way. At AXEL, we believe privacy is a human right. That’s why all of our products and technologies are made with one focus in mind: Privacy. Nearly every popular online space is controlled by a few megacorporations that have shown time and again that they don’t care about privacy. They collect data about you, track you, and know every detail about your life. However, this bleak reality doesn’t have to be our future as well. A better, more private digital future is possible. And AXEL is leading that charge.

Keep Your Clients Safe (Legally)

Whether it’s a small business, massive corporation or mid-sized law firm, it’s their responsibility to protect their clients. Of course, that responsibility ends once a client asks you to break the law like Enron, but a business or firm ought to do everything to protect its customers. And in today’s digital age, protecting customers means protecting them online as well. From ransomware to data leaks, there are a variety of digital threats that are ever-present. Clients and customers don’t only give money to a business; they give them their trust as well. It’s up to businesses and firms to uphold that trust by recognizing digital threats and taking appropriate precautions.

One way to take action is to use AXEL Go, the innovative, secure file-sharing software. AXEL Go uses 256-bit encryption, blockchain technology and decentralized servers to ensure it’s the best file sharing storage software on the market. Whether you need cloud video storage or cloud file management, AXEL Go is the secure file hosting solution. There are a variety of cloud storage options available to businesses and individuals, but none can match the security and simplicity of AXEL Go. If you’re ready to take back your data security, get two free weeks of AXEL Go here.

[1] Bondarenko, Peter. “Enron Scandal: Downfall and Bankruptcy.” Encyclopædia Britannica. Encyclopædia Britannica, Inc., November 30, 2021. https://www.britannica.com/event/Enron-scandal/Downfall-and-bankruptcy

[2] Dowell, Steve. “The Decline and Fall of Arthur Andersen.” ToughNickel. ToughNickel, February 24, 2015. https://toughnickel.com/industries/The-Decline-and-Fall-of-Arthur-Andersen

The History and Modern Uses of Encryption

Codebreaking has long been a staple of futuristic sci-fi movies. So many times when we go to the movie theater, we’ll see a sunglasses-donned man typing furiously at his computer, trying to break a seemingly unbreakable computer code. And more often than not, the man cracks the code in just a matter of seconds, showing the audience just how astute the man is. However, this stereotypical portrayal of hackers and codebreaking, thankfully, is not grounded in reality.

In the real world, encryption technologies are much more complicated than Hollywood likes to present. No single hacker is ever breaking modern encryption technology by themselves, thanks to its incredible security in the modern-day. But, what exactly is encryption? It’s certainly used as a cybersecurity buzzword, but what about encryption actually keeps your files safe? 

Well, simply put, encryption is a code. A user enters legible information, known as plaintext, and then encryption software encodes the plaintext into ciphertext, an illegible string of characters. It can be a code as simple as A=1, B=2, C=3 and so on, or something as complicated as AXEL Go’s 256-bit encryption. After the translation from plaintext into ciphertext, only authorized members with a “key”, a piece of information that decrypts encoded information, can translate the ciphertext back to readable plaintext. This relatively simple process has revolutionized cybersecurity, allowing an extra, vital layer of protection between someone’s information and unauthorized users.

The History of Encryption

Some may believe that encryption started with the invention of the computer. However, the practice of encoding information has been popular (and necessary) long before the Digital Revolution. Encryption was first used by Ancient Greeks and Egyptians to conceal secret information. In fact, the earliest known example of encryption was found in ancient Mesopotamia, when a scribe used symbols to hide a formula for pottery glaze[1]. Later, this method was used to protect military secrets and strategies, a practice still used today. 

Centuries later, encryption technology became much more advanced. By the beginning of World War II, encrypted communications during war was the norm for all nations. The Axis powers used an Enigma machine, an encryption device that used rotating wheels to scramble plaintext into ciphertext. However, the Allied powers quickly learned how to decrypt these messages through brute force, using computers to try all combinations until the key was discovered[2]. Although computers were just in their infancy during World War II, the successful decryption of the Enigma machine highlighted just how powerful and secure computers can be, especially in the field of encrypted communications.

Following the Allied victory, encryption technology advanced exponentially. Computers gained more and more processing power, making encryption devices, such as the Enigma, artifacts of the past. Now, computers have become so powerful that brute force attacks simply are not feasible. For example, the United States military and AXEL Go use the Advanced Encryption Standard (AES), which contains a 256-bit sized encryption key. While 256 bits may not seem like a lot, this means that there are 2256 possible key combinations, or 1.158 x 1077 combinations. To put this number in perspective, there are only an estimated 7.5 x 1018 grains of sand on Earth[3]. It’s safe to say that modern-day encryption is incredibly secure.

How is Encryption Used Today?

In the earlier days of encryption, cracking encryption keys was difficult, but not impossible. Now, however, cracking modern-day encryption technology is impossible without human error. That’s because it would take the world’s most powerful supercomputer millions of years to go through the number of possible key combinations in AES encryption[4]. Because of this incredible amount of security, encryption isn’t just used by governments any more. Any large company that stores customer data uses encryption as an extra layer of defense against unauthorized cybercriminals. With encryption, even if attackers gain access to a company’s data, they’d need a key to translate the ciphertext into legible plaintext. And as long as the encryption key is stored safely, no outsiders will be able to decrypt that data.

However, it’s important to note that not all encryption is built the same. In fact, there are two broad categories of encryption: Symmetric Key and Public Key. Symmetric Key encryption uses the same key to encrypt and decrypt the data. This simpler method is the most used, as it executes the encryption quickly[5]. Public Key, however, uses a public, shared key for encryption, and a different, private key for decryption. Because of the complex logic required for Public Key encryption, it is not as popular[5].

Unfortunately, some have begun to use the incredible power of encryption for less-than-savory reasons. Cybercriminals typically use encryption during ransomware attacks to encrypt the victim’s files. And because modern-day encryption is so secure, victims typically must either pay the ransom to the cybercriminals in exchange for the decryption key, or simply lose all of their encrypted files forever[6]. Even worse, the targets of these attacks can range from individuals to entire governments. That’s why it’s important to use cybersecurity strategies when handling any amount of shared cloud files. While encryption technology has done so much good in the fields of secure communications and cybersecurity, it has also been taken advantage of by criminals who wish to harm individuals and businesses for a quick buck.

Why Encryption Matters

From its humble beginnings in Ancient Mesopotamia to its complex usage today, encryption has been a useful tool for centuries because of one simple philosophy: Not everything should be public. Whether you’re handling your government’s top-secret documents or your grandmother’s top-secret pumpkin pie recipe, encryption is the best way to ensure secure communications. 

AXEL believes that privacy is a human right, and that your information ought to be protected. Put simply, we believe that you should control your data and who gets access to it. That’s why we created AXEL Go. AXEL Go uses AES encryption, blockchain technology and decentralized servers to ensure it’s the best file transfer software on the market. Whether you need cloud video storage or cloud file management, AXEL Go is the secure file hosting solution. In today’s Digital Age, secure file sharing is a necessity for businesses and individuals. If you’re ready to try the best file sharing app for PC and mobile devices, get two free weeks of AXEL Go here.

[1] “History of Cryptography.” Binance Academy. Binance Academy, August 24, 2021. https://academy.binance.com/en/articles/history-of-cryptography

[2] “Colossus.” The National Museum of Computing. Accessed November 23, 2021. https://www.tnmoc.org/colossus

[3] Dotau, Sean. “All You Need to Know about 2^256.” Talk Crypto Blog, April 8, 2019. http://www.talkcrypto.org/blog/2019/04/08/all-you-need-to-know-about-2256/

[4] Nohe, Patrick. “What Is 256-Bit Encryption? How Long Would It Take to Crack?” Hashed Out by The SSL Store, June 11, 2021. https://www.thesslstore.com/blog/what-is-256-bit-encryption/

[5] “Exploring the Differences between Symmetric and Asymmetric Encryption: Cyware Hacker News.” Cyware Labs. Cyware, November 30, 2019. https://cyware.com/news/exploring-the-differences-between-symmetric-and-asymmetric-encryption-8de86e8a

[6] Johansen, Alison Grace. “What Is Encryption and How Does It Protect Your Data?” Norton, July 24, 2020.                   https://us.norton.com/internetsecurity-privacy-what-is-encryption.html

Self-Driving Cars are Here. Are Businesses, Consumers, and Lawyers Ready?

The introduction of the automobile changed not only American transportation, but American culture as well. While automobiles had existed since the late 1800s, they were typically very expensive and unreliable. However, in 1908, Ford released the Model T, an automobile made for the middle class. Sold for a measly USD $850 (a less measly USD $23,000 in today’s dollars), the Model T rapidly gained popularity in the United States [1]. Ultimately, the introduction of affordable mass-market automobiles led to the car-centric transportation system the United States has today. For over a century, this system has persisted, with wide interstate highways and large parking lots dominating American cityscapes.

But even after a century of automobile innovation, relatively little has changed about the fundamentals of driving. At least one passenger must control the car at all times, and if they lose control, even for a split-second, there could be disastrous consequences. Now, in 2021, those fundamentals are beginning to change. With massive tech companies like Uber and Amazon investing heavily in this emerging technology [2], it’s fair to wonder: How soon will self-driving cars become the norm? And how will this eventual change affect tech, law, and culture?

History of Autonomous Vehicles

One of the first autonomous vehicles came just a few years after the popularization of the automobile. However, this car was far from a technological masterpiece, closer to a life-size RC car than an automotive revelation. In 1925, electrical engineer Francis Houdina paraded a driverless sedan with a massive antenna down the streets of New York City. He controlled the car via remote control in a trailing vehicle. Ironically, the car crashed into another automobile full of journalists during the parade [3]. Despite the embarrassing end to the initial showcase, radio-controlled cars became tourist attractions for the next decade. Spectators were amazed by driverless cars, and automobile companies noticed. In 1935, Chevrolet even advertised the benefits of self-driving cars in an automobile safety video [4]. Even when mass-market automobiles were just beginning to flourish, a future filled with autonomous vehicles was dreamt by consumers and automakers alike. However, while automobile companies continued research and development into self-driving cars, it amounted to little else but prototypes and tourist gimmicks.

Beginning in the early 2010s, these prototypes and gimmicks began to have legitimate functionality. Cars manufacturers began to include features that were previously limited to autonomous vehicle prototypes. For example, in 2013, Mercedes-Benz released a luxury car featuring automatic braking, adaptive cruise control and parking assistance [5]. While this tech was exclusive to high-end cars years ago, features like parking assistance and automatic braking are regularly included in more affordable cars today. However, the biggest step toward a future with self-driving cars was made by Tesla. The electric-vehicle company introduced its “autopilot” software in 2015, allowing drivers to take their hands off the wheel while driving [6]. While Tesla’s autopilot feature isn’t fully autonomous, it is one of the first auto manufacturers to produce a mass-market vehicle with significant autonomous capabilities.

Why Autonomous Could be the Future

First and foremost, auto manufacturers are embracing self-driving cars because of their safety. Put simply, humans are not better drivers than robots. Self-driving cars would be able to make split-second decisions quicker than humans. Additionally, an autonomous vehicle future could wipe out incapacitated driving, which makes up 10% of all car crashes [7]. Altogether, one study states that a future with fully autonomous vehicles could cut traffic accidents by at least 34% [7]. While 34% fewer crashes may not seem like a massive decrease, it could have life-saving effects. There were an estimated 36,120 car crash fatalities in 2019 in the United States [8]. If 34% of those crashes were averted by autonomous vehicles, it could save over 12,000 lives each year.

Finally, consumers are drawn to autonomous vehicles because of their convenience. Self-driving cars could put an end to the stresses and anxieties of driving. After all, driving has always required the driver’s complete attention; to the point where eating while driving is heavily discouraged, and texting while driving is illegal in most states. Driving requires full, undivided attention. And for heavy-traffic areas or long road trips, this can be inconvenient for drivers. A future where drivers can send emails, talk to passengers or even nap is incredibly appealing to most drivers. While fully autonomous vehicles are still a long way away, it’s clear why consumers are interested in self-driving cars as well.

Why Autonomous Cars Could Flounder

One of the biggest obstacles facing automakers isn’t one of technological capability, but legal culpability. Right now, in almost every car crash, one of the affected drivers is at fault. Most importantly, the at-fault driver is often on the hook for financial penalties. But if all vehicles are autonomous, and there’s a crash, who is responsible? Because we are nowhere near this level of automation yet, we simply don’t know what the law will be in the era of self-driving cars. Could auto corporations be found at fault? If they are, why would companies continue to make autonomous vehicles if each one could mire the company in a lawsuit? Simply put, there are massive legal questions regarding autonomous vehicles that we don’t know the answer to, and won’t know until self-driving cars are much more integrated into society.

Finally, concern among consumers regarding privacy could cause the future of self-driving cars to sputter. Autonomous vehicles could become yet another device that collects and sells your personal data to advertisers. Even worse, these self-driving cars would have access to loads of unique data points, including travel histories and voice recordings. And because self-driving cars require software updates for new roads, even cars could become subject to ransomware attacks and other cybercrime. While autonomous vehicles can offer unparalleled convenience for their users, they can also force new, invasive forms of surveillance.

Stay Safe with AXEL Go

While AXEL Go can’t protect your autonomous car from ransomware (yet), it can protect your most important files from cybercrime. Offering industry-leading encryption and decentralized blockchain technology, AXEL Go is the best way to protect yourself or your business from data breaches and cybercrime. With AXEL Go, there’s no compromise between security and privacy rights. After all, our business is protecting your data, not collecting it. If you’re ready to try the most secure file-sharing and storage software, get two free weeks of AXEL Go here. 

[1] History.com Editors. “Model T.” History.com. A&E Television Networks, April 26, 2010. https://www.history.com/topics/inventions/model-t

[2] Palmer, Annie. “Amazon Zoox Unveils Self-Driving Robotaxi.” CNBC. CNBC, December 14, 2020. https://www.cnbc.com/2020/12/14/amazons-self-driving-company-zoox-unveils-autonomous-robotaxi.html

[3] Engelking, Carl. “The ‘Driverless’ Car Era Began More than 90 Years Ago.” Discover Magazine. Discover Magazine, May 17, 2019. https://www.discovermagazine.com/technology/the-driverless-car-era-began-more-than-90-years-ago

[4] Chevrolet Presents: The Safest Place. YouTube. YouTube, 2013. https://www.youtube.com/watch?v=cilh7br-P80

[5] Ingraham, Nathan. “Mercedes-Benz Shows off Self-Driving Car Technology in Its New $100,000 S-Class.” The Verge. The Verge, May 18, 2013. https://www.theverge.com/2013/5/18/4341656/mercedes-benz-shows-off-self-driving-car-technology

[6] Golson, Jordan. “Volvo Autonomous Car Engineer Calls Tesla’s Autopilot a ‘Wannabe’.” The Verge. The Verge, April 27, 2016. https://www.theverge.com/2016/4/27/11518826/volvo-tesla-autopilot-autonomous-self-driving-car

[7] Baldwin, Roberto. “IIHS Study: Autonomous Cars Won’t Avoid Majority of Vehicle Crashes.” Car and Driver. Car and Driver, November 10, 2020. https://www.caranddriver.com/news/a32783046/iihs-autonomous-cars-not-as-safe-study/

[8] Media, NHTSA. “Early Estimates of 2019 Motor Vehicle Traffic Data Show Reduced Fatalities for Third Consecutive Year.” NHTSA. NHTSA, May 5, 2020. https://www.nhtsa.gov/press-releases/early-estimates-2019-motor-vehicle-traffic-data-show-reduced-fatalities-third