The IoT and the Day the Internet Died, Almost

A little over a week ago, the Internet almost died.

Starting on Thursday, October 20, much of the U.S. and parts of Western Europe experienced a massive outage. Some of the most popular and heavily used websites in the world went silent. Poor Donald Trump couldn’t tweet for a few hours.

And it was all because of cheap webcams and DVD players… perhaps even one of yours.

Making Connections

To understand how this happened, you need to understand how Internet of Things (IoT) devices work.

If you’re reading this, you have an Internet connection. To make that connection, your computer or smartphone needs to have three things:

  • A piece of hardware designed to connect to the Internet through a cable or wirelessly
  • Software to run that hardware, which contains its unique Internet “IP” address
  • A way to tell the difference between authorized and unauthorized connections

The last requirement is typically met by a username and password to connect to your Internet service provider. But it’s also possible for other devices to connect remotely to your computer across the Internet – “incoming connections.” Some of those are good (e.g., incoming Skype calls), and some are bad (hackers). Having passwords for IoT devices achieves the same thing – but only if they’re strong passwords.

The tech industry has worked hard to develop common techniques to identify and stop unwanted incoming connections to computers. Operating systems are constantly updated to deal with the latest threat. Specialized companies do nothing but watch for viruses, bots, malware and other dangers and design software to fight them. Guys like me write about how you can maintain good digital hygiene. That’s why we have far fewer virus outbreaks than we used to.

When it comes to Internet connections, IoT hardware has pretty much the same setup. But there are three big differences.

One is that the username and password setup may be hard to alter – it may even be hardwired by the manufacturer, as seems to have been the case with the devices that contributed to the recent Internet outage.

Another is that IoT devices are always on and rarely monitored. Unlike a computer, they could be infected and you’d never know.

Above all, there is no collective effort to monitor and prevent hacking of IoT devices. Nobody is sending out general security updates, like a McAfee or Norton antivirus service. They can’t, since IoT devices are all different. There’s no common language or protocol that could address threats to all IoT devices at once.

Instead, it’s up to the manufacturer of each IoT device to secure the device and to update its “firmware” when threats become known.

We tried that approach with computers… and it didn’t work.

How This Led to Last Week’s Outage

In the recent outage, IoT hardware made by a Chinese manufacturer – including those cheap bundled home-security webcams you see advertised at Home Depot – was hacked by someone using software called Mirai. It searches the Internet looking for IoT gadgets that use default passwords or simple passwords, infects them and then assembles them into a “botnet”- a collection of devices that can be made to do the hacker’s wishes.

In this case, they instructed IoT devices to send “tens of millions” of connection requests to the servers of a U.S. company that provides crucial Internet routing information. Overwhelmed, the company’s servers crashed… and with it, the Web pages of sites like Twitter, Facebook, The New York Times and others.

This was possible because the software running the Chinese IoT hardware used a single hardwired username and password for all of them – which couldn’t be changed by the user. Once the hackers got the username and password, it was easy to program them to do what they did.

Roland Dobbins, principal engineer of Internet security company Arbor Networks, blames this on the failure of manufacturers to work together to develop a common security approach to IoT. Instead, each company pursues its own designs and ignores the PC industry’s painful experience in this respect.

“I’m not concerned about the future; I’m concerned about the past,” he said recently. “If I could wave a magic wand, I would make it so there are no unsecured embedded devices out there. We still have a huge problem; we still have tens of millions of these devices out there.”

Don’t Disconnect From the IoT

Does this mean that positive predictions about the IoT are misplaced?

Not at all.

First, companies like Samsung, which plans to make all its products Internet-connected soon, now have an incentive to develop ways to fight this. Otherwise we won’t buy their products.

Second, consumers aren’t going to stand for a situation like the old Betamax versus VCR wars – competing approaches to a common need. The IoT is a platform, like the Internet itself, and everyone needs to be on the same one. Manufacturers will sit down and come up with common protocols to secure IoT devices, even if they’re kicking and screaming all the way.

Third, the same market forces that produced Norton, McAfee, Kaspersky Lab and all the other security companies in the computer space are going to produce solutions for the IoT. And there will be money to be made investing in those as well as the IoT itself.

In the meantime, here’s my advice. Get IoT devices… but only the top of the line. Avoid cheap mass-produced off-brands. Ask salespeople about security protocols and whether you can set your own username and password easily. If not, walk away. They’ll get the picture soon enough.

After all, that’s the way “market forces” are supposed to work.

10 Day Trading Tips to Become a Better Trader

Warren Buffett once said, “The stock market is a device for transferring money from the impatient to the patient”. This applies to both – traders and investors alike. However, if you are an absolute beginner, there is always some room for improvement. We have listed below the 10 best day trading tips that successful traders follow. Learn them mindfully and take note to level up your trading. Moreover, you can also check out the best day trading tips and make money from online trading in Indian stock markets.

This is why rookie traders often look for advice from experts who have carved their names in the industry. Read on to find out what you may require before venturing in this high-risk but ultimately-rewarding industry.

1. Learn from a Professional Trader – Day Trading Tips

It is always better to learn to trade from an expert before you jump directly into the ocean. Try and find out who has a good teaching methodology and carefully choose the one that suits your style. Most of the trainers or masters will definitely charge a fee for the time spared. Don’t you worry! It is no fee. It is called investment.

After all, you are a trader and one day when you have made it big, you may be approached by newbies and you likewise charge them. But most importantly, if you invest into education, you are saving on market tuition from learning the lessons the hard way, on the expense of your account balance.

2. Pay Attention to the Financial News

Want to be the best trader around? Keep a close eye on the world around you especially business news. Stay updated about firms entangled in IP issues, Failed FDA nod, Board reshuffle, International projects, and dismal earnings estimates of the quarter.

Every news related to the firm you are making an investment in makes sense. Back your decision with these inputs. For a smarter decision while trading, keep abreast of every piece of information on your preferred investment firm.

3. Found Your Niche? Ace It!

Nobody can guarantee you a blockbuster return. You make your own choices and decisions and learn from your mistakes. Only you know which strategies or niches worked for you and which don’t. If you really have the zeal to excel in day trading, you need to be right on top of your business.

Once you have found the niche to work upon, become really good at that. Master it and it will enhance your odds of success in the trading manifold.

4. Treat it like a Business!

Have a hobby? Pursue it somewhere else. Making money and day trading is a serious business. You don’t do it for fun so even before you start to trade, you need to settle with the fact that it is a serious, time-consuming business and it will take time to break even. If you want to gamble, Las Vegas might have better odds.

5. Follow the Pros

Julius Caesar once said, “Experience is the teacher of all things”. Trading experts, despite their level of training, have a lot to boast, thanks to experience.

Follow the moves of the pros and find out what are they investing in? When do they buy? When do they sell? For how long do they hold? Try and understand how profit is made. You can learn a great deal from the mistakes they once made and then harness them to your advantage.

6. Have Patience

Rome was not built in a day. It takes time to master any skill and the same goes with stock trading. It can give you the best returns only if you trade wisely. Researchers have shown that those who trade less tend to earn better than the one who trades very frequently.

This is just like stalking your prey and then striking when you have absolute chances of success. Always remember that when you trade in average and not-so-good setups, you lose on good deals and eventually your profits take a hit. Therefore, one crucial day trading tips are that quality matters over quantity.

7. Don’t be Emotional & Follow Day Trading Tips

The world of trading calls that you keep a level mind and remember that if you let your emotions get the better of you while trading, you will most likely lose out on your money. Emotions make you take irrational, impulsive decisions which should never happen.

Frequent errors like letting your losses get out of proportion, adding to a losing position, not making timely withdrawals et cetera are made time and again. People fall into the emotional trap and make unconsidered decisions. And while you cannot help having them, learning to control your emotions will go a long way in positioning you as a shrewd trader. Work on the emotional quotient and you’ll make wiser decisions.

8. Sharing is Caring

Now that you have learned from your mistakes and other’s as well, it is time to share. You must share the experience you had while trading. You can start a blog, a YouTube channel or other medium for reaching out. Furthermore, you can have a comment section for answering the questions of your visitors.

This will not only help others but will certainly keep you disciplined. This habit will make you more accountable and you might think twice before making a trade you know, you should not be making.

9. When There Are No Good Plays, Don’t Trade!

What? Do not be shocked as this is no less a practical tip than the rest. Sometimes it is good that you don’t trade. Trading just for the mere fact is not a smart choice.

Trade only when you see money lying on the floor or the offer is too lucrative to let it go. Take your chances and remember that this is a highly dynamic world so weigh all possible benefits of making a move against sitting back and speculating.

10. Have Confidence

As obvious as it may sound, this is a key component of a refined trader. Whichever trading style you choose, you got to believe in yourself as failure to believe in the efforts you are putting or the decisions you are taking will never make you a winner. I might sound strange but people do not get good returns just because they cannot believe they will. This negative thinking results in negative returns.

Remember! Successful traders were also amateurs and novices when they started out. Their success has come from the hard work and efforts they have put in. Make mistakes and learn from them to continue trading until you start making profits.

As mentioned in the beginning, these day trading tips shared will let you learn some important hacks to improve Your game. Apply these diligently and you are sure to advance in your endeavors.

Good luck with your trading ventures! Don’t forget to like and share this post on your social networks.

Exit mobile version