Korean Government: 11 out of 21 Crypto Exchanges Complete Security Measures

Korean Government: 11 out of 21 Crypto Exchanges Complete Security Measures

The South Korean government has announced the outcome of its inspection of 21 cryptocurrency exchanges. While a number of exchanges have completed implementing both short-term and wallet management measures, many security vulnerabilities remain at most exchanges.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

21 Exchanges Inspected

Korean Government: 11 out of 21 Crypto Exchanges Complete Security MeasuresSouth Korea’s government has announced the result of its mid-term review of 21 cryptocurrency exchanges. The inspection was conducted in June and July by the Korea Internet and Security Agency (KISA) and the Korean Ministry of Science and Technology.

KISA security experts visited each exchange to check on the 85 items identified during its previous crypto exchange inspection, conducted between January and March. They focused on 17 items which needed immediate implementation; six were short-term measures and 11 concerned crypto wallet management.

Korean Government: 11 out of 21 Crypto Exchanges Complete Security Measures“Intermediate checks were carried out in such a way as to confirm whether improvements had been made, focusing on the 17 security items recommended for quick action,” the government explained. These items include dedicated security and management staff, a password management system, crypto deposit and withdrawal controls, and a system to monitor wallets for abnormalities.

The agencies revealed that 11 out of 21 exchanges have completed the short-term measures. In addition, eight of them have also improved their wallet management systems. The eight are Upbit, Bithumb, Korbit, Coinnest, Coinlink, Coinone, Coinplug, and Huobi Korea, local media detailed. The government reiterated:

In the management of virtual currency wallets, most of the vulnerabilities in the business have not yet been improved.

Furthermore, twelve companies have been found to have insufficient security procedures to prevent data leakage and loss of funds from their cold wallets. Ten companies have inadequate systems to monitor hot wallets for suspicious activities. In addition, at least ten businesses lack wallet backup and recovery measures.

Further Inspections Planned

The final check on the implementation of recommended measures will be carried out next month, the agencies noted, adding that any new crypto exchanges will also be inspected.

Korean Government: 11 out of 21 Crypto Exchanges Complete Security Measures“Because of the weak security of virtual currency exchanges, we should be careful in investing,” Kim Jong-sam, a spokesperson for the Ministry of Information and Communication, commented. “We will continue to check virtual currency exchanges to improve security.”

Referencing the hack of Coinrail and Bithumb in June, KISA described that “the leakage of virtual currency due to the hacking of recent dealers has directly led to the damage of users,” adding that after checking 85 security items, “there are many dealers with low security.”

Emphasizing that they have been asking crypto exchanges to “improve security levels by completing the recommendations for improvement,” the agencies revealed:

We plan to support the improvement of the security level of the dealers through continuous inspection of the dealers.

What do you think of the Korean government’s review? Let us know in the comments section below.


Images courtesy of Shutterstock and Kisa.


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Create an Unforgettable Wallet Seed by Building a Memory Palace

Create an Unforgettable Wallet Seed by Building a Memory Palace

A 12 or 24-word recovery seed is the key to your cryptocurrency wallet. That’s why, upon creating it, you’re prompted to write it down and store it in a safe place. But what if you didn’t have to write it down? What if there was a virtually failsafe means of committing those words to memory, enabling you to recall them at a moment’s notice? As it happens, there is. It’s called a memory palace and, with a little practice, it provides an effective means of developing an unforgettable wallet seed.

Also read: An In-Depth Look at the Cryptocurrency Economy’s ‘Stablecoin’ Trend

Build a Memory Palace and Lock Your Crypto Away from Fire and Thieves

Create an Unforgettable Wallet Seed by Building a Memory PalaceIn his 2011 book “Moonwalking with Einstein: The Art and Science of Remembering Everything”, Joshua Foer details the astonishing exploits of “mental athletes”. The author embarks on a year-long quest to improve his memory with the help of professionals, the best of whom can memorize a deck of cards in under 30 seconds. The secret to the feat is the construction of a ‘memory palace’, a visual technique that was practiced by the Ancient Greeks and Romans. This mnemonic method calls for creating “an imaginary location in your mind where you can store images. The most common type of memory palace involves making a journey through a place you know well, like a building or town. Along that journey there are specific locations that you always visit in the same order.”

The technique can be used to memorize extremely long numbers and phrases. In 2005, Lu Chao, for example, recited pi to 67,890 places. Memorizing a 12 or 24-word seed, in comparison, should be child’s play, and it doesn’t call for incredible mental athleticism. Even if you’re the sort of person who struggles to recall where you left your keys and constantly forgets birthdays, committing a dozen words to memory should be within your grasp thanks to the highly visual technique involved.

Create an Unforgettable Wallet Seed by Building a Memory Palace

How to Create a Memory Palace

The title of Joshua Foer’s book – Moonwalking with Einstein – is a reference to one of the bizarre mental images he used as part of his mental journey to stash and then later retrieve a particular item. The more unusual the image you conjure, the better your chances of recalling it when required. As an example of how this might work in practice, let’s take the 12-word wallet seed cited on Bitcoin Wiki: witch collapse practice feed shame open despair creek road again ice least.

The particular ‘palace’ we’ll choose for this exercise is your childhood home. Picture it in your head: the color of the front door; the scent of the hallway; the layout of the rooms. Now, with that imagery at the forefront of your mind, prepare to revisit your home with your wallet seed in tow:

Create an Unforgettable Wallet Seed by Building a Memory PalaceAs you walk up the path, you hear a shriek and, looking up, see a witch upon a broomstick fall out of the sky and collapse onto the doormat. Alarmed, you sidestep her and turn the key in the door, catching the lock at the first attempt thanks to years of practice. You step inside and something brushes against your leg and miaows. You realize you didn’t feed the cat that morning, to your shame, and walk to the kitchen to make amends. You open the cupboard and despair at the realization that you forgot to purchase cat food at the store. Exiting your home, you jump in the car and drive past the creek as you take the same road again into town. The route is treacherous as the puddles freeze and ice starts to form, but feeding the poor cat is the least you can do.

That’s a pretty dumb story, but if you were to run through it enough times while visualizing your childhood home, there’s a good chance you’d be able to commit it to memory and keep it there. Of course, that’s not the only possible setting for your memory palace; you could choose the route of the paper round you used to cycle, a former workplace, favorite art gallery, or friend’s home. So long as it’s a place you know intimately, and the prompts you lay down as you traverse that ‘palace’ are as quirky as possible, you should have no trouble recalling them.

Why Use a Memory Palace?

Create an Unforgettable Wallet Seed by Building a Memory PalaceCommitting a seed phrase to memory may seem pointless when you could just as easily write it down and stash it in a safe place. But aside from the satisfaction to be derived from completing the exercise, there are practical benefits to be derived. Citizens of war-torn countries, or who live under despotic regimes, may be obliged to flee at short notice; knowing that their cryptocurrency remains retrievable, even if they’re obliged to escape with just the shirt on their back, will be of comfort. And for those who live in less turbulent lands, fire and theft can separate you from your seed for good. Even bank vaults aren’t entirely safe. Keep a physical copy of your seed with a backup in your head and you’ll be protected from acts of god, men, and anyone else intent on depriving you of your precious crypto.

Do you think a memory palace is an effective way of recalling a wallet seed, or is the risk of forgetting it too high? Let us know in the comments section below.


Images courtesy of Shutterstock, and Keepkey.


Need to calculate your bitcoin holdings? Check our tools section.

The post Create an Unforgettable Wallet Seed by Building a Memory Palace appeared first on Bitcoin News.

PR: ExCraft Launches DAO, User-Governed Cryptocurrency Exchange

ExCraft Launches DAO, User-Governed Cryptocurrency Exchange

This is a paid press release, which contains forward looking statements, and should be treated as advertising or promotional material. Bitcoin.com does not endorse nor support this product/service. Bitcoin.com is not responsible for or liable for any content, accuracy or quality within the press release.

Hong Kong, 10 August 2018 – ExCraft, a cloud-native cryptocurrency exchange based in Hong Kong that implements a DAO governance ran by the users and pools, was launched today. ExCraft stands out by being a community and pool focused exchange, rewarding traders through a combination of “Proof of Existence” (PoE) and “Proof of Stake” (PoS) mechanisms, allowing power-users to create pools, vote for new project listings, and even create dedicated pool exchanges based on its immutable and fair PoE and PoS meritocracy.

The first DAO-based exchange – “ExCraft, Craft Your Own Exchange!”

ExCraft introduces the first decentralized autonomous organization exchange managed based on a single or pooled user trade volume meritocratic Proof of Existence voting system. Verified KYC (Know Your Customer) users will be able to vote on listing new projects to be sponsored in the exchange. The ExCraft community values all users input as well as those who trade most frequently.

The governance of the DAO will combine ExCraft with a Congress and a Senate made of Pool Masters and Grand Pool Masters to which all votes will be submitted. All votes will be subjected to a Congress and a Senate smart contract voting based on both KYC users and the meritocratic system:
• The Representative Proof of Stake Congress will be a meritocracy based on the top 101 users holding EXT tokens as determined by a smart contract. Any current representative of the congress may bring an issue to vote. The vote result will be transparent and easily verifiable on the blockchain. When a bill passes the Congress, it is passed to the Senate for a second vote in a new smart contract.
• The Representative Pool Master Senate is made of Pool Masters of the top 101 pools containing the most PoE across their pool members. The system will empower the Senate with the ability to pass legislation through a democratic process. Conversely, users with only a single vote must convince the pools of senators with Proof of Existence to approve the legislation they have passed. Member of Congress are free to change pool and shift their PoE voting power to a new pool for the next round of voting should they disagree with the outcome of the vote.
• The top 30 Senators who have at least 1000 KYC users on average over the past two weeks will be automatically designated as a Grand Pool Master. They will have the additional decision-making rights to request ExCraft to list custom tokens to their pool members only without requiring a full DAO vote, and only needing to go through a centralized ExCraft approval process. If 80% of all Grand Pool Masters (24) list a custom token, the token will be automatically and permanently approved for use for all ExCraft exchange users without requiring a DAO vote.

An Innovative approach to rewarding users

ExCraft will create an initial decentralized service by rewarding users based on “Proof of Existence” (PoE). The ExCraft platform will introduce three separate ways to reward users for their activity, with its own ERC20 compatible EXT token. The reward system is designed to sustain the EXT token economy ensuring value redistribution and increase over time:
• Excraft will reward the community with a calculated number of EXT tokens daily which are distributed based on each user’s Proof of Existence volume. The exchange will also purchase EXT tokens with no less than 80% of the fees collected and permanently remove them from the overall supply.
• A Proof of Stake mechanism will enable users who hold EXT tokens in the exchange or any private Ethereum wallet address registered with the exchange to receive rewards on a daily basis based on the amount of EXT they hold.
• Pool Rewards will be distributed to users who chose to join “Exchange Pools’ and have their PoE counted towards the total pool PoE increasing their chance of receiving a larger portion of the daily token distribution. A pool will be considered eligible for pool rewards if it is among the top 101 pools as measured by the combined PoE of all their members and contains at least 100 KYC users. The Pool Master will elect to have the reward automatically redistributed to pool members, and may decide to retain a certain percentage of the reward.

This innovative trifecta of user activity reward possibilities puts ExCraft a step ahead of other exchange as it values all users based on a meritocracy system totally new to the industry.

Unparalleled reliability and security by design powered by cloud-native microservices

The ExCraft Exchange Platform is implemented in Google Compute Platform, custom built to support both security and performance. The cloud-native exchange platform is architected to be both modular and scalable by utilizing docker for encapsulating key components into a set of microservices managed by Kubernetes.

Unlike many traditional monolithic centralized exchanges, the ExCraft architecture promotes performance by allowing the exchange to quickly add additional resources and changes in functionality with minimal to no disruption to any existing trading activity. The exchange platform has been tested to support thousands of trading pairs with an overall capability to support tens of millions of transactions per second.

The ExCraft platform utilizes docker not just as a means to bring operational efficiencies but also to reduce security risks by compartmentalizing critical services through network isolation and resource management. Should a vulnerability be found in one service, ExCraft uses hardened docker containers with Kubernetes to enforce “deny by default” to reduce the possibility of an attacker using a compromised service from accessing another service.

About ExCraft
ExCraft is registered in Hong Kong with the support of the Hong Kong Science Park, and invested in by Collinstar Captial, Eagle Fund, BXTING, RC4. The project is spearheaded by Roy Lam kt, CEO, and early bitcoin investor, investment fund manager and celebrity in high IQ and memory championships. The technical architecture of the exchange was developed under the leaderships of CTO Benjamin who brings over a decade of experience and multiple patents from working as Senior IT Architect and CTO at various blue chip tech companies.

Follow ExCraft:
Website: www.excraft.com
Facebook: https://www.facebook.com/ExCraftExchange
Twitter: https://twitter.com/ExCraftExchange
Telegram: https://t.me/ExCraftExchangeEN
Medium: https://medium.com/ExCraftExchange
Naver Blog https://blog.naver.com/excraft_exchange

Media Contact:
Influence Matters PR
blockchain@inmatt.com
www.influencematters.asia

Supporting Link
http://www.excraft.com

This is a paid press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.

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