Cryptography


Dotcom Offers €10,000 Reward For Breaking Mega’s Crypto

Of all the problems that entrepreneur Kim Dotcom has faced in the last decade, including several arrests, insider trading charges and even a raid on his New Zealand home involving black helicopters and dozens of agents in body armor, the criticism of the cryptography employed by his new Mega cloud-storage service would seem to be fairly low on the list. However, Dotcom is taking that criticism rather personally, if the €10,000 reward he’s offering to anyone who can break the service’s crypto is any indication.


An unusual new strain of ransomware makes good on its threat, doing what the majority of other varieties only claim to do. The Trojan actually encrypts data on infected machines, effectively rendering certain files inaccessible to users on compromised computers in order to block removal.

The series of missteps and failures that led to a Turkish government-related agency eventually ending up with a valid wild card certificate for Google domains began in June 2011 when the TURKTRUST certificate authority began preparing for an audit of its systems and started moving some certificate profiles from production systems to test systems. Two months later, a pair of subordinate certificates–which carried the full power and inherited trust of TURKTRUST’s root certificate as far as most browsers were concerned–were issued, and one of them later was used by a Turkish government transportation and utility agency to create an attacker’s holy grail: a valid certificate enabling him to intercept encrypted Google traffic.

The Messaging, Malware and Mobile Anti-Abuse Working Group on Tuesday recommended businesses replace 512- and 768-bit verification keys with 1024-bit or higher encryption to counter a current vulnerability that allows the shorter keys to be cracked within 72 hours using cheap cloud-based services.

Side-channel attacks against cryptography keys have, until now, been limited to physical machines. Researchers have long made accurate determinations about crypto keys by studying anything from variations in power consumption to measuring how long it takes for a computation to complete.A team of researchers from the University of North Carolina, University of Wisconsin, and RSA Security has ramped up the stakes, having proved in controlled conditions that it’s possible to steal a crypto key from a virtual machine.