On May 20 it was confirmed that cyber-hackers had broken into one of the district banks of the Federal Reserve, validating what many experts predicted will be a massive increase to state sponsored and rogue lone wolf electronic break-ins of banks and businesses in 2015.
The St. Louis Federal Reserve website was hacked in April, causing a large portion of website traffic to be re-routed to a spoofed site and potentially placing clients at risk to malware infiltration which could lead to secure data on their own systems being compromised.
A cyberattack on the Federal Reserve Bank of St. Louis last month compromised the bank’s domain name and routed web traffic to rouge websites created by the hackers that simulated the original, the bank confirmed this week.
Bank officials said in a statement on Monday that while the hackers didn’t compromise its website, they did manipulate the bank’s routing on April 24.
“As is common with these kinds of DNS (domain name service) attacks, users who were redirected to one of these phony websites may have been unknowingly exposed to vulnerabilities that the hackers may have put there, such as phishing, malware and access to user names and passwords,” the Fed statement said. – Russia Today
The Federal Reserve is not the only financial institution to receive the attention of cyber-hackers in 2015. According to the Wall Street Journal, cyber theft at ATM machines has risen this year, with thieves using your data to create their own simulated credit cards and stealing millions from customers and banks.
Cyber-hacking is one of the new asymmetrical means of warfare that smaller nations are increasingly using to fight back against their much bigger neighbors, with countries like Ukraine and North Korea fielding just as much cyber attacks as the state run cyber-war agencies in both China and Russia.
With banks now increasingly calling for an end to cash, and wanting to force a completely electronic form of commerce on society, it is vital that people realize that trusting completely in a banking system to secure your money and wealth is no longer a sure thing. And for account holders in these financial institutions it is now becoming a double edged sword because if government bureaucrats don’t seize your funds through new capital controls to stave off the coming collapse, cyber-thieves have the same chance to rob you of your cash because of the inadequacies of many banks who have limited electronic protections and security measures.
Kenneth Schortgen Jr is a writer for Secretsofthefed.com, Examiner.com, Roguemoney.net, and To the Death Media, and hosts the popular web blog, The Daily Economist. Ken can also be heard Wednesday afternoons giving an weekly economic report on the Angel Clark radio show.