Skip to main content

The value of cryptocurrencies is on the rise, but so are the risks from hackers

top tech stories bitcoin cash split
Peter Verreussel / 123rf
Cryptocurrencies are continuing to increase in value. The most popular of these currencies, Bitcoin, recently broke the $6,000 mark. Unfortunately, this recent boom has inspired a new breed of malware designed to help hackers harvest Bitcoin and other cryptocurrencies.

Many websites now unknowingly containin code which will secretly use a visitor’s computer to mine cryptocurrencies. The code is usually written in Javascript and inserted into sites which employ poor security or have fallen victim to software bugs.

In October, it was found that hundreds of websites were hosting code written by Coin-Hive, which allows the websites to generate Monero coins by taking advantage of the processing power of computers that visited the site. Some of the sites had added the Coin-Hive code themselves, but others had been hacked.

In total, roughly 150 domains were found to be hosting the Coin-Hive code. The code was most commonly found on porn, file-sharing, and video sites.

It’s important to keep in mind that most security companies do not consider in-browser mining to be malicious in and of itself, but in this case, many of these sites don’t ask the user’s permission beforehand. While Coin-Hive is one of the larger examples of such code, there are plenty of knock-offs, including some which work on mobile devices. Such code will often rapidly drain a smartphone’s battery, as mining cryptocurrency requires a lot of power.

Many of these programs are also targeting popular content-management systems such as WordPress. Catalin Cimpanu of BleepingComputer found several WordPress plug-ins that use visitors’ computers to mine cryptocurrencies. None of these plug-ins ask a user’s permission beforehand.

This new wave of malware has prompted tech companies to take action. Many anti-virus programs have been updated to combat such software, and Google is working on a fix for the problem within the Chrome browser. Meanwhile, Coin-Hive has released an official version of its software, which requires permission before accessing a user’s computer.

This rise of malware is only one of the problems facing cryptocurrencies right now. Both China and South Korea have banned initial coin offerings due to fears that attempting to raise money via cryptocurrency could lead to fraud.

Editors' Recommendations

Eric Brackett
Former Digital Trends Contributor
How to buy Bitcoin with PayPal

Buying Bitcoin is much easier today than it was in the past, but it would still be easier if you could just use your Paypal account, wouldn't it? It turns out if you try to do that, it's a bit more tricky -- and much more expensive.

One of the main reasons why it's difficult is the potential for chargebacks. Major exchanges won't allow PayPal transactions because it would be too easy for people to buy Bitcoins, then use PayPal's support system to chargeback their purchase and receive their original purchase fee back. That would be an improper and fraudulent way to buy Bitcoin -- even when using the services below -- so it's not encouraged in any manner.

Read more
The best bitcoin alternatives

Bitcoin might still be considered the flagship cryptocurrency that many other alternative currencies sail in the wake of, but that's not to say it's the only viable one. With more than 2,000 different cryptocurrencies out there, knowing which ones to put your money into isn't easy.

Do you opt for one with a low price so you can buy a lot of them in the hopes of making a fortune? Do you buy the ones with low transaction fees or confirmation times to speed up transfers? We'll give you the best Bitcoin alternatives based on features and current values. Whether you're looking to use your cryptocurrency to pay for items online or want to put some aside to create a crypto-nest egg, these are the best Bitcoin alternatives.

Read more
How Coinbase stopped the Twitter Bitcoin hack from being even worse
twitter and laptop hacked

The hackers behind last week's massive Twitter security breach made off with more than $100,000 through their Bitcoin giveaway scam. But it could have been much worse.

Quick responses from Twitter and Bitcoin exchanges like Coinbase reportedly kept a combined $300,000 away from the hackers' pockets.

Read more