BlockChain's DNS Servers Breached By Cybercriminals

Last updated: July 5, 2023 Reading time: minutes

The developer of globally accepted popular BitCoin wallet, BlockChain, suffered a blackout this week after malicious attackers breached its core registrar systems and changed its DNS servers.

On Wednesday, the company reported that it had identified a DNS issue. Later, it found out that the attackers had infiltrated its DNS registrar.

Detailing the issue in a blog post, BlockChain Co-founder and CEO Peter Smith said the malicious attackers changed the DNS servers of in an attempt to redirect users to a phishing website.

Fortunately, compromised registrar and the company responded quickly and restored the DNS servers before it propagated much across the web. The company decided to shut down its entire website platform to further analyze the incident, but luckily the cyber criminals were only able to access the registrar’s system.

The DNS settings were restored and the platform went back online within 8 hours. The company has now placed additional controls to prevent future incidents.

According to Smith, the redirected phishing website took advantage from a self-signed SSL certificate, that prevented modern web browsers from exposing the website. The phishing website page shut down after BlockChain reported it to the owner of the machine used in the attack. However, it is still possible and is unknown whether some users entered their credentials on that fake site.

Users at Reddit reported that the attackers changed the Blockchain’s name servers from Cloudflare webhost to Hostwinds, which claims to offer the cheapest webhosting services on the internet.

Many other BitCoin exchanges have reported being attacked over the past few months including Cavirtex, BitStamp, Bitfinex, BTC-E, and Bter.

Bitcoin-related websites are not only being targeted by profit-driven individual cyber criminals. – the parent organization that monitors BitCoin software development – in August, warned users of potential state-sponsored attacks.

The notices its community that, “We ask the Bitcoin community, and in particular the Chinese Bitcoin community to be extra vigilant when downloading binaries from our website.”

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About the Author

Peter Buttler an Infosec Journalist and Tech Reporter, Member of IDG Network. In 2011, he completed Masters in Cybersecurity and technology. He worked for leading security and tech giants as Staff Writer. Currently, he contributes to a number of online publications, including The Next Web, CSO Online, Infosecurity Mag, SC Magazine, Tripwire, GlobalSign CSO Australia, etc. His favorite areas Online Privacy, AI, IoT, VR, Blockchain, Big Data, ML, Fintech, etc. You can follow him on twitter.

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