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Bitcoin: Hackers’ ‘Anonymous’ Currency

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An illustration photo shows a Bitcoin (virtual currency) paper wallet with QR codes and a coin
  • Bitcoin: Hackers’ ‘Anonymous’ Currency

The perpetrators of the global cyberattack that caused havoc in 150 countries demanded “ransom” money in bitcoins, but experts believe the anonymity that the virtual currency affords is not necessarily impenetrable.

Bitcoin, heavily-coded electronic tokens that take their name from software first put online in February 2009 by several software designers using the pseudonym Satoshi Nakamoto, essentially allow those who possess them to remain anonymous.

The message that flashed up on hundreds of thousands of screens infected by the WannaCry virus over the last few days demanded payment of US$300 (€275) in Bitcoin, saying: “Ooops, your files have been encrypted!”

It warned that if payment was not made within three days the price would double, and if none was received within seven days the locked files would be deleted.

“Bitcoin is digital cash. The transactions are totally anonymous and non-refundable. However they are totally traceable, Nicolas Debock of London-based Balderton Capital that specialises in virtual currencies said.

“All the transactions are stored in databases called blockchains. It’s anonymous but anyone can monitor a bitcoin address and see how the money moves,” Debock said.

“No-one can take the money off those who hold it, but it is possible to follow in detail the activity on the account.”

That is the problem for investigators, according to Pierre-Antoine Gailly, who compiled a study on bitcoin and other cyber currencies for French state body CESE in 2015.

“Bitcoin doesn’t need a bank so this monetary flow escapes any supervision and any checks,” he told AFP. “The accounts don’t have a physical address or a bank address and they are not stored centrally – anonymity comes before anything else.”

‘RANSOM NOT THE POINT’

The extent of the damage caused to computers around the world, the number of victims and the sheer number of companies concerned is likely to push international investigators and national security agencies to investigate the bitcoin address to which any ransom money has been paid.

Adding to the complexity of tracking the hackers, the holders of bitcoins can use services available on the so-called dark web known as “tumblers” which can offer an additional layer of anonymity.

“The tumbler divides the bitcoin amounts into thousands of tiny pieces, spreads them around to millions of different addresses and carries out lots of transactions,” said Manuel Valente, the manager of a Bitcoin-selling service in Paris.

“Within a week, all of the bitcoins can be put on a new address with the aim of covering (the holder’s) tracks. It is essentially money-laundering of bitcoins. And people offer this kind of service on the dark web.”

Clement Francomme, the director-general of Utocat, a software company that specialises in blockchains, said collecting ransoms was perhaps not the hackers’ real aim.

“The idea was perhaps to show the rest of the world that they have pulled off a really, really big coup. With an attack like that, they’re going to gain notoriety in the international hacking fraternity.

“They probably don’t have any desire to spend the bitcoins, knowing they are being monitored. Their real aim is to use their reputation to sell other services.”

And Francomme warned: “This team has made a show of force and I suppose there will be another attack before very long.”

European police agency Europol said Tuesday it was too early to say whether North Korea was involved in the massive cyberattack.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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TikTok Vows Legal Battle Amid Threat of US Ban

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As the specter of a US ban looms large over TikTok, the popular social media platform has declared its intention to wage a legal battle against potential legislation that could force its Chinese-owned parent company, ByteDance Ltd., to divest its ownership stake in the app.

In what amounts to a fight for its very existence in one of its most crucial markets, TikTok is gearing up for a high-stakes showdown in the courts.

The alarm bells were sounded within TikTok’s ranks as Michael Beckerman, the company’s head of public policy for the Americas, issued a rallying cry to its US staff.

In a memo obtained by Bloomberg News, Beckerman characterized the proposed legislation as an “unprecedented deal” brokered between Republican Speaker and President Biden, signaling TikTok’s readiness to challenge it legally once signed into law.

“This is an unprecedented deal worked out between the Republican Speaker and President Biden,” Beckerman stated in the memo. “At the stage that the bill is signed, we will move to the courts for a legal challenge.”

The urgency of TikTok’s response stems from recent developments in the US Congress, where lawmakers have fast-tracked legislation mandating ByteDance’s divestment from TikTok.

The bill, intricately linked to a vital aid package for Ukraine and Israel, has garnered significant bipartisan support and is expected to swiftly pass through the Senate before landing on President Biden’s desk.

Beckerman minced no words in his critique of the proposed legislation, labeling it a “clear violation” of TikTok users’ First Amendment rights and warning of “devastating consequences” for the millions of small businesses that rely on the platform for their livelihoods.

TikTok’s defiant stance reflects the gravity of the situation facing the tech giant, which has spent years grappling with concerns from US officials regarding potential national security risks associated with its Chinese ownership.

Despite extensive lobbying efforts led by TikTok CEO Shou Chew to allay these fears, the company now finds itself at a critical juncture, where legal action appears to be its last line of defense.

ByteDance, TikTok’s Beijing-based parent company, has also signaled its intent to challenge any US ban in court, signaling a united front in the face of mounting pressure.

However, navigating the legal landscape will not be without its challenges, as ByteDance must contend with both US legislative measures and potential obstacles posed by the Chinese government, which has reiterated its opposition to a forced sale of TikTok.

As TikTok prepares to embark on what promises to be a protracted legal battle, the outcome remains uncertain.

For the millions of users and businesses that call TikTok home, the stakes have never been higher, as the platform fights to preserve its presence in the fiercely competitive landscape of social media.

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Starlink Pulls Plug on Ghana, South Africa, and Others

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Starlink, the satellite internet service operated by SpaceX, has announced the cessation of services in countries including Ghana and South Africa.

This decision comes as a significant blow to users who have come to rely on Starlink for their internet connectivity needs.

The decision, set to take effect by the end of April 2024, will disconnect all individuals and businesses in unauthorized locations across Africa, including Ghana, South Africa, Botswana, and Zimbabwe.

While subscribers in authorized countries such as Nigeria, Mozambique, Mauritius, and others can continue to use their kits without interruption, those in affected regions face imminent loss of access.

One of the reasons cited by Starlink for the discontinuation is the violation of its terms and conditions.

The company explained that its regional and global roaming plans were intended for temporary use by travelers and those in transit, not for permanent use in unauthorized areas. Users found in breach of these conditions face the termination of their service.

Furthermore, Starlink’s recent email to subscribers outlined stringent measures to enforce compliance.

Subscribers who use the roaming plan for more than two months outside authorized locations must either return home or update their account country to the current one. Failure to do so will result in limited service access.

The decision to discontinue services in certain countries raises questions about the future of internet connectivity in these regions.

Also, concerns have been raised about Starlink’s ability to enforce the new rules effectively. Reports indicate that the company has previously failed to enforce similar conditions for over a year, raising doubts about the efficacy of the current measures.

Starlink’s decision to pull the plug on Ghana, South Africa, and other nations underscores the complexities of providing satellite internet services in diverse regulatory environments.

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Nigeria’s Broadband Penetration Stalls at 42.53% Amid Connectivity Challenges

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Nigeria’s broadband penetration has stalled at 42.53% as of January, according to the latest report.

Subscriptions currently stand at 92.19 million, indicating a significant gap in connectivity, particularly in rural areas.

The Nigerian National Broadband Plan 2020-2025 aims to increase broadband penetration to 70% by 2025, with the ultimate goal of achieving 96% mobile broadband coverage by 2030.

However, this ambitious target requires substantial investment—approximately $461 million, according to a recent report by the Global System for Mobile Communications Association (GSMA).

While the country’s major telecommunications companies, such as MTN Nigeria and Airtel Africa, have invested heavily in expanding their network infrastructure, much of this development has been concentrated in urban areas. Rural and underserved regions face a significant coverage gap, exacerbating the digital divide.

Despite these challenges, Nigeria has made progress in improving its broadband infrastructure. Since 2012, the mobile broadband coverage gap across Africa has decreased from 56% to 13% in 2022, due to significant investments in network capacity and new technologies.

Nonetheless, millions of Nigerians, particularly those in rural regions, remain without access to essential telecom services.

To address this issue, Nigeria’s government established the Universal Service Provision Fund (USPF) in 2006, aimed at bridging the connectivity gap and expanding broadband access to unserved and underserved areas.

The fund provides resources for deploying telecommunications infrastructure in economically unviable regions.

The success of these initiatives, along with increased investments in broadband infrastructure and policies to incentivize internet expansion in remote areas, will be crucial in closing the connectivity gap and improving digital access for all Nigerians.

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