THE FLIP SIDE OF VIRTUAL CURRENCIES

Money laundering potential is not the only reason why emerging economies like Nigeria have to be careful with virtual currencies, there is also its potential to breed ransomeware.

This is the growing crime of hacking into organisations computer network, shutting it down and demanding Ransome payment in virtual currency before such systems are unlocked.

According to news reports, an Austrian hotel, Seehotel Jaegerunt was this week attacked and all the 180 guests could not access their computer controlled rooms.

The hackers demanded for 1,500 Euros equivalent in bit coin and unlocked the network only after it had been paid.

What is more, the hackers left a window through which they tried to block again but by then, the hotel had changed the computers and passwords. Now, management is planning to revert back to good old key locks in place of computer access cards.

Indeed, way back in April last year, American and Canadian Cyber agencies had issued alert on ransomeware especially as it affected soft organisations like healthcare providers that computerised operations and patient records.

Very many hospitals, said the alert, had been compromised and forced to pay ransome in untraceable virtual currencies before access to their systems was restored by the hackers.

Hackers have taken the mining field to e wallets and payment systems. According to reports, they send you an innocent email advising about payment into your wallet or account.

Well, open the e mail and what you get is a malware programmed to access and encrypt your code, and other relevant info needed to either empty your wallet or through you access the network.

The implication of these and other dimensions to VCs for emerging countries like Nigeria stems from the fact that presently they are ill equipped to keep up with fast pace of information technology not to talk of developing defence systems and acquiring monitoring expertise to stay in step with the potential to do harm unlocked by VCs.

Yet, the catch up must be achieved fast, if not this time around being behind or being just part of it by acquiring whatever the developed world is inclined to sell could be invitation to avoidable disaster.

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