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Trump signs cybersecurity executive order, mandating a move to cloud computing – GeekWire

The White House plan to address cybersecurity is taking shape. (White House / Pho.to / GeekWire Graphic)

President Donald Trump today signed a long-awaited executive order aimed at beefing up cybersecurity at federal government agencies with a shift of computer capabilities to the cloud as a key part of the strategy.

Weve got to move to the cloud and try to protect ourselves instead of fracturing our security posture, Homeland Security Adviser Tom Bossert told reporters during a White House briefing.

The executive order gives the lead role in managingthe cloud shift to the director of the White Houses newly established American Technology Council, which is due to meet for the first time next month.

Although the councils full roster of members has not yet been announced, the director is said to be Chris Liddell, who formerly served as chief technology officer at Microsoft and General Motors.

Some agencies already have begun shiftingdata resources to cloud computing services, including Amazon Web Services and Microsoft Azure. Carson Sweet, CTO and co-founder of San Francisco-based CloudPassage, said the emphasis on the cloud makes sense and builds on a trend that began during the Obama administration.

The question now will be how well the administration does with identifying and eliminating the obstructions agencies are facing as they consider adopting cloud / shared services, Sweet told GeekWire in an email.

The executive order also calls upon all federal agencies to implement the NIST Cybersecurity Framework, a set of best practices developed by the National Institute of Standards and Technology for the information technology industry. And it calls on Cabinet secretaries to develop plans to protect critical infrastructure, ranging from utilities to the health care system to the financial system.

Bossert said the measures build on the efforts made by the Obama administration. A lot of progress was made in the last administration, but not nearly enough, he said.

As an example of past failures, Bossert pointed to 2015s data breach at the Office of Personnel Management, which exposed millions of sensitive employment records to hackers. He said such records are the crown jewels of the governments dataassetsand require enhanced protection.

Bossertnoted that Trumps budget blueprint sets aside $1.5 billion for cybersecurity.

Back in January, Trump vowed to come up with a major report on hacking defense within 90 days,but some observers said the executive order didnt meet the target.

Drew Mitnick, policy counsel at Access Now, said in a statement that the measures will serve as incremental changes to existing policies, while the Trump administration has otherwise either ignored or undermined pressing digital security threats internet users face.

The action does not touch several critical areas, like the insecurity of Internet of Things devices, data breaches, or vulnerability disclosure, Mitnick said.

During the briefing, one reporter asked whether shifting the federal governments data to the cloud might heighten rather than reduce cybersecurity risks. Bossert said its better to centralize risk, rather thanhaving 190 federal agencies come up with separate measures.

I dont think thats a wise risk, Bossert said.

Another reporter asked whether concerns over Russias online meddling with last years presidential campaign had any effect on the executive order.

The Russians are not our only adversary, Bossert replied. The Russians, the Chinese, the Iranians, other nation-states are motivated to use cybersecurity and cyber tools to attack our people and our governments and their data. And thats something we can no longer abide.

He declined to say what type of cyber attack might constitute an act of war, other than to say that if somebody does something to the United States of America that we cant tolerate, we will act.

Trump was reportedly on the verge of signing an executive order on cybersecurity back in January, but held off. Bossert said there was nothing unusual behind the delay. He noted that between then and now, the White House had the chance to lay out a budget blueprint and announced the formation of the technology council two developments that set the stage for the executive order.

Bossert also acknowledged that some tech companies expressed concerns that theyd be compelled to take actions to head off distributed denial-of-service attacks, also known as botnet attacks. He emphasized today that the anti-botnet initiative would be voluntary.

The executive order callson Commerce Secretary Wilbur Ross and Homeland Security Secretary John Kelly to file a preliminary report on the anti-botnet campaign within 240 days.

Bossert declined to confirm a claim that federal computers are hit by tens of thousands of hacking attempts daily, but he acknowledged that attempted data break-ins and successful intrusions are on the rise.

The trend line is going in the wrong direction, he told reporters.

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CLOUD COMPUTING Microsoft Build Developer Expo Focuses on Artificial Intelligence – CIO Today

During the first day of its annual Build developer conference yesterday, Microsoft unveiled a number of new artificial intelligence capabilities that can be integrated into everything from online presentations to business database management. The conference, which is being held in Seattle, is scheduled to run through tomorrow.

During his keynote address, CEO Satya Nadella (pictured above) revealed that the Windows 10 operating system, launched nearly two years ago, is now installed on 500 million devices around the world. Microsoft's Office 365 suite has also reached a milestone: more than 100 million monthly commercial active users.

Other announcements made yesterday included the launch of a public preview of the Cortana Skills Kit, which lets developers create bots using Microsoft's intelligent digital assistant, and the debut of Azure IoT Edge, which helps developers bring machine learning and other advanced capabilities to other devices on the Internet of Things.

AI in 'Every Product and Service'

Microsoft's vision of artificial intelligence is to make those capabilities "available to everyone, from developers and data scientists to tech enthusiasts and students," Harry Shum, executive vice president of Microsoft's AI and research group, said yesterday in a blog post.

Shum said Microsoft now offers 29 different cognitive services to developers, making it possible for them to incorporate AI capabilities in new apps "with just a few lines of code."

Launched at the 2015 Build conference, Microsoft Cognitive Services is today used by more than 568,000 developers around the world, Shum said. Those services include Bing Custom Search, Custom Vision Service, Custom Decision Service and Video Indexer.

Another intelligent service, the Microsoft Bot Framework, lets developers create ways for people to interact with AI in conversational ways. Announced last year, the framework now has more than 130,000 registered developers.

"We are infusing AI into every product and service we offer, from Xbox to Windows, from Bing to Office," Shum noted. For example, one new offering unveiled yesterday, Presentation Translator, will use Microsoft's Translation APIs to enable real-time translations in a variety of languages during PowerPoint presentations.

"Once launched, Presentation Translator embeds live transcriptions of the presenter into a specific language and even generates a unique link that attendees can use to get translations in their own language in real time," Shum said.

New Intelligence for Azure

Microsoft is adding new intelligence capabilities to Azure, its cloud platform for enterprise customers. For instance, Azure Batch AI Training, announced yesterday and currently available in private preview, will allow developers to "train their own deep neural networks," according to Shum.

The company also took the wraps off Azure Cosmos DB, which it's calling "the industry's first globally distributed, multimodel database service" with 99th-percentile uptime and millisecond latency.

"Azure Cosmos DB automatically indexes data so you can perform blazing fast queries without having to deal with complexities of schema and index management or schema migration in a globally distributed setup," Scott Guthrie, executive vice president for Microsoft's cloud and enterprise group, wrote yesterday on the Azure blog. "Customers, including Jet.com, are using Azure Cosmos DB to scale to 100 trillion transactions per day and growing, spanning multiple regions. Tapping into Azure Cosmos DB gives them planet scale, so they can keep focused on growing their business."

Other news announced at Build yesterday include new MySQL- and PostgreSQL-managed services for Azure SQL Database, general availability of Visual Studio 2017 for Mac, and new Microsoft Graph APIs to enable developers to access Office 365 data and insights.

Developers will also be able to publish new apps to Microsoft Teams, a chat-based workspace in Office 365. A new "app experience" will also be added soon to Teams that will allow end-users to searh for specific applications.

During Build yesterday, Microsoft also demonstrated how it will integrate a variety of its products and services into a sales platform called Tact, which is expected to be released later this year. Capable of working with Office 365, Dynamics 365, Microsoft Teams and other services, Tact will turn "any connected device into an AI-powered virtual sales assistant," Microsoft said.

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8 Steps to Evaluating Cloud Service Security | CPA Practice Advisor – CPAPracticeAdvisor.com

With the current break-neck pace of software and technology we can often overlook the fact that "the cloud" is really just outsourcing. The term "cloud" is simply a catch-all term for subscription-based services running on someone else's network. Evaluating the security of such services requires digging in and asking the provider some possibly uncomfortable questions. If you aren't currently doing this for each cloud opportunity, and thinking through how its failure will impact your firm and your clients, you are simply putting the firm at risk.

As an example, I recently had a Partner forward me some information about a potential cloud service that we could use to help our staff by easing their manual data entry tasks. The idea behind the service was straightforward. Their cloud service would aggregate a client's transactions and allow the transactions to be bulk downloaded into our chosen software. To accomplish this, we would need to have each client enter their financial institution credentials into this cloud provider's system.

Our use of a cloud application like this would necessarily mean asking the client to participate. And, even if not actually stated, the fact that we would use it and ask the client to use it, conveys to the client that we "endorse" this software in some way. That means I had to ask the right questions before committing. If we ask our clients to participate in a cloud application, and then down the road that application is breached or found to be low quality, the client will be askingusthe hard questions.

These are the questions I always ask any potential cloud vendor:

If you can't get satisfactory answers to these questions, deciding to do business with such a provider boils down to a decision about how much risk your firm is willing to take on to gain the potential benefits the service will provide. And, if this is an app for doing client work, you will also be passing on that risk on to your clients. That has to be fully understood at the Partner level.

So, what do I consider "satisfactory" answers to the questions above?

Not answering one of the above questions doesn't necessarily shut the door on using the service. As long as the refusal to answer makes sense. For instance, a provider might tell you they definitely hash passwords stored in their database, but for security reasons they don't want to divulge which hashing algorithm they use. I'd be ok with that, as long as the rest of their answers seem competent and pass the "smell test".

Unfortunately, you will run into many startups that refuse to give straightforward answers to these questions. It's not enough that an app works well or solves a problem. If the people running the service don't have enough experience running and protecting such a service reliably at large scale, it's up to us to identify that ahead of time before we commit the data of our firm or our clients into their hands.

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Dave Jones is the IT Manager for Pearce, Bevill, Leesburg, Moore, P.C in Birmingham, AL. He has been a network and system administrator in the Birmingham, AL area for 20 years. He has been in the CPA technology field for 18 years. Email: dave@pearcebevill.com; LinkedIn: https://www.linkedin.com/in/daveajones.

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And a Bitcoin Is Now Worth… – Bloomberg

With a 94 percent year-to-date gain, and a single "coin" now worth $1,843, bitcoin has been on a helluva run lately.

Theincrease in the cost of the massively-volatile electronic tokens has led to many comparisons with that other favorite outsider "currency'' gold recently.

True, a unit of Bitcoin passed the dollar value of one troy ounce of gold this year, and is now more than $600 higher.

But the daily swings in the digitally created asset have been vast. Evenduring the huge run up this year, it has movedmore than fivepercent on 21different days, with nine of those being moves lower. Gold on the other hand, has been much more stable.

Volatility aside, there is amajor problem with gold as a comparator for the software-based unit.

Nobody thinks comparing one shareof Apple Inc. current price around $155 with one shareof, for example, outdoor lighting company Acuity Brands Inc. current price around $178 is valid. It certainly does not show that Acuity (market cap $7.9 billion) is worth more than Apple (market cap $814 billion).

By the time the supply of new bitcoins ends, sometime after the year 2110, there will be 21 million bitcoins in (digital) existence, meaning the total value of all of the electronictokens that will ever exist, at today's market price, is just under $39 billion. According to the World Gold Council, total gold stocks amount to approximately six billion troy ounces, or $7.3 trillion at today's price.

To put it another way, in order for bitcoin to be worth more than gold, a one 'coin' would have to trade at $347,000 in order for 'bitcoin worth more than gold' to be a defensible statement.

Must dash now, one bitcoin is about be worth more than one aluminum future...

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Cyberattack Hits Nearly 100 Countries and Thousands of Computers – NBCNews.com

Gillian Hamm, a general practitioner in England, received this message on her computer Friday. Gillian Hann via Twitter

The extent of the attack globally and the author of the malicious software known as the Wanna Decryptor, or WannaCry were unclear, but cyber security experts said they were surprised at its apparent reach.

"The scale of it that's pretty unprecedented," Ben Rapp, the CEO of IT support company Managed Networks,

In a statement to NBC News, FedEx said that "like many other companies, FedEx is experiencing interference with some of our Windows-based systems caused by malware. We are implementing remediation steps as quickly as possible."

The Memphis, Tennessee-based global delivery company did not immediately say whether a ransom was demanded for return of their computers' functions.

Some English hospitals tweeted that they were taking precautionary measures to protect patients, while doctors' offices tweeted problems obtaining patients' files because of the attack.

The NHS blamed the Wanna Decryptor for infecting computers an encryption-based ransomware that locks a system and its files from use unless money is paid to hackers for access. It's typically spread through email phishing programs and affects computers using Windows operating systems.

The program is especially nasty because it acts like a worm finding security holes in a computer to spread throughout a network.

It could take days before a company cleans up its system and is fully functioning again, security experts say.

But sometimes, hackers hit the jackpot: Last year, Hollywood Presbyterian Medical Center

The IT systems of NHS sites were reportedly bombarded by pop-up messages Friday demanding such a ransom, and purported screenshots showed the cyber attacker asking for "$300 worth of bitcoin" a form of digital currency to be sent to a certain online address.

"It's a small ransom," said Gene Spafford, founder and executive director emeritus of Purdue University's Center for Education and Research in Information Assurance and Security. "But if you set the price too high then many of their victims won't pay."

Spafford said ransomware typically targets those without strong security in place, such as home users and small companies.

Hospitals and larger companies might be susceptible, he added, if they're slow to fully upgrade their networks or use pirated programs.

This particular ransomware is "using this flaw in the file-sharing that is giving it apparently a real boost," Spafford said.

He added that companies are at the mercy of the hackers, who could decide if their ransomware becomes too big they might decide "not to cash out because they're worried about being traced" and tipping off authorities about their whereabouts.

Spanish telecom giant Telefonica confirmed in a statement that a "cybersecurity incident" occurred Friday that affected the computers at its Madrid headquarters.

A Telefonica spokesman told Reuters that a window appeared on its computers also demanding a bitcoin payment in order to regain control.

Spain's National Cryptology Center said that an attack had been launched "against various organizations" in the country through their Windows systems, and other companies were taking preventative measures.

It wasn't just companies affected by this particular ransomware.

The mayor of the small community of Timra, Sweden population 10,000 told Reuters it has "around 70 computers that have had a dangerous code installed."

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Looks Like We’re Going To Have To Talk About Bitcoin Again – Dealbreaker

No one wanted it to come to this, but circumstances require that we talk about bitcoin. I mean, just look at this:

The worlds favorite digital currency doubled between May of last year and January then doubled again into this month, with a particularly ferocious streak in the past five days. Blocks of code denoting the existence of a single bitcoin fetcheda high of $1,832 on Thursday before slumping Friday.

As always, the proximate causes for the run-up are murky. Last month Japanese authorities shrugged and admittedthat bitcoin might as well be considered a currency, a much-needed morale boost after the SEC decided that bitcoin ETFs were an abomination of nature not destined for this world. It doesnt seem to matter, however, that Germanys Bundesbank made the opposite judgment earlier this week:

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Bitcoin is a means of exchange which is not issued by a central bank, but by unidentified actors. I do not see it as a currency, Carl-Ludwig Thiele, a board member of the German central bank, told the newspaper Welt am Sonntag. If you think Bitcoin would be as safe as the euro or the dollar, you have to take responsibility for it. We can only warn people not to use the bitcoin to preserve purchasing power.

Bitcoin rose another 7 percent in the days following Germanys pronouncement.

You can find all sorts of other justifications for the recentexplosion. Heres a redditor saying its about a MASSIVE rise of the public interest in Bitcoin in Latin America (and some other regions). Heres a guy who thinks paying for stuff with a smartphone, asmillions of people currently do with fiat currency, is helping drive bitcoin up.Heres a guy launching a fund to attract institutional investors to bitcoin arguing that institutional investors have become attracted to bitcoin:

The biggest driver right now is youre starting to see institutional investors take a keen interest in the entire sector, said Brian Kelly, founder of Brian Kelly Capital, which recently launched a digital assets fund for outside investors.

I dont think this is hot money. This is real money thats going to sit around and build the new internet, Kelly said, citing his conversations with institutions and other investors.

Whatever the reasons, if there are any, its a good show. To wit:in the course this posts creation, bitcoin went from a day of feeling queasy to a day of spewing chunks. Over the last 24 hours the assetfellmore than 8 percent:

Once again the inexorablecurrency of the future, boundby no governmental authority and subject only to the immutable Code, is doing a fine impression oftulip mania. Were happy to watch.

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UN Agency Launches Cryptocurrency Cybercrime Training – CoinDesk

The United Nations agency dedicated to fighting drug trafficking and organized crime has developed a new cryptocurrency training program.

The UN Office on Drugs and Crime (UNODC) revealed its "Cryptocurrency Investigation Train-the-Trainers" this week, partnering with law enforcement officials from 22 countries on the sessions.

What's happening: According to UNODC which has taken part in similar discussions in the past the initiative is centered around "[conducting] bitcoin tracing as a part of a wider financial investigation".A follow-up training was specifically dedicated to improving institutional knowledge of the tech.

The agency also worked with blockchain analytics startup Chainalysis to develop the program.

"It's thanks to donor Governments such as the UK, USA, Norway that UNODC GPML has been able to develop and deliver this innovative course," Neil Walsh, UNODC's point person on cybercrime, said of the venture.

The bigger picture: With the launch of the trainings, yet another UN agency is expanding into blockchain.

As CoinDesk has previously reported, various elements of the UN are testing the tech to see if it can help withsending remittances, delivering financial aid and endingchild poverty, among other areas.

Some of those UN agencies are even moving toward more collaborative efforts, signaling that the organization sees a positive role for blockchain in its global operations.

Disclosure: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in Chainalysis.

Image Credit:Arsenie Krasnevsky/Shutterstock.com

United NationsCybercrime

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Cryptocurrency exchange Changelly adds support for altcoin Decred – CryptoNinjas

Changelly,a service to exchange cryptocurrencies in a simple and cost-effective way by charging a 0.5% fee on all transactions has today announced support for cryptocurrency altcoin newcomerDecred(DCR) which was developed by former Bitcoin developers.

Decred uses a hybridized consensus system with the goal to strike a balance between minersand users to create a more robust currency.

Typically, the miners who operate the infrastructure exercise considerable influence while the users have relatively little sway. Decred allows users to participate in the project directly without the need for expensive mining hardware.

Decred is a multi-platform digital currency with support for Windows, Mac, and Linux. The assetprovides a full suite of command line tools allowing customization of the Decred experience.

There are three main ways to interact with Decred:

1) The Wallet For sending and receiving funds as well as participating in PoS mining. 2) Proof-of-Work Mining Using computing power to validate transactions on the network and generate new Decred tokens. 3) Proof-of-Stake Mining Using funds to vote on important network development matters and validate transactions for rewards.

Changelly now supports the following coins:

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Aryaka report reveals 50% of enterprise traffic is composed of cloud and SaaS traffic – Cloud Tech

Global enterprise wide area network (WAN) traffic saw an increase of 200% annually, with almost 50% of enterprise traffic composed of cloud and SaaS traffic, according to the latest study from Aryaka.

Aryaka has collated data of enterprise WAN traffic from over 5000 sites in 63 countries in different industries over the past four years to analyse trends, response times and inconsistencies in application performance, WAN reliability and bandwidth access. The report analyses the threshold of the network inconsistencies to affect mission-critical applications over a medium. It also examines conventional application performance time over the public Internet.

WAN traffic increased 248% in Asia-Pacific in 2016 owing to the increased use of cloud technology, Aryaka added, while the use of 100 Mbps links in China last year increased by 25%.

By industry, WAN traffic increased the most in the manufacturing vertical. Network traffic increased 526% in the software and Internet sector, whereas real estate, energy and utilities, and travel industries saw an increase of 200%. A combined 50% of all WAN traffic can be seen coming from HTTP and HTTPS. Aryaka also added that with improved Internet bandwidths and quality, the hand-off between ISPs over the Internet needs to be improved. Latency, packet loss, and jitters need to be addressed when data is transferred between long distances.

Shawn Farshchi, Aryaka president and CEO, said: With nearly 50% of all global enterprise traffic now comprising cloud and SaaS, and legacy technologies, like MPLS, failing to address this trend, the ability to address the needs of the business translates into better business execution and competitive advantage.

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Puppet on a string of successes: New products, partners and customers announced – Cloud Tech

The DevOps landscape got something of a timely boost with a couple of recent pieces of news; open source software provider Puppet announced figures indicating global momentum as well as product updates, while CyberArk secured the acquisition of Conjur for $42 million (32.7m).

Puppet said Thursday that it had added more than 250 new enterprise customers over the past 12 months. The company added that more than 37,000 companies including more than three quarters of the Fortune 100 use its product in some capacity. New offices have also been opened in Singapore and Seattle, the latter as an R&D centre, as well as an updated facility in Sydney.

Product news includes updates to Puppet Enterprise, a new version of Open Source Puppet, as well as entirely new products which mark the first the company has brought to market since 2011. The two new products are Lumogon and Puppet Cloud Discovery, which aims to give enterprise IT teams greater insight into the services running across containerised applications and cloud infrastructure.

The company also revealed a series of new partner offerings for Enterprise. The cast list is pretty stellar, with Amazon Web Services (AWS), Cisco, Nutanix and VMware among the companies involved.

Puppets momentum underscores the continued demand that we are experiencing from customers and organisations that need to improve agility, efficiency and reliability to support them through their DevOps and digital transformation journeys, said Sanjay Mirchandani, president and CEO of Puppet in a statement.

According to research on DevOps salaries published by the company in August, IT manager salaries in the US had gone off the chart, with more than half of those respondents earning more than $100,000 per year. A report from Rackspace in June found practically all vacancies for cloud and DevOps skills including Puppet increasing in number over the past year.

Elsewhere, with the acquisition of Conjur, a provider of DevOps security software, CyberArk uniquely empowers CIOs and CISOs to accelerate modern software development securely with the industrys only enterprise class security solution that delivers comprehensive privileged account management and secrets protection, in the words of the press materials.

Conjur was recently named as a cool vendor in DevOps by analyst firm Gartner, in part due to its focus on protecting organisations from cyber attacks which have found their way through the network perimeter.

While empowering organisations with more efficiency and speed, the DevOps process is also dramatically expanding the attack surface across the entire enterprise, said Udi Mokady, CyberArk chairman and CEO in a statement. CyberArks acquisition of Conjur further strengthens our market leadership position providing the industrys only enterprise-class solution for privileged account security and secrets management on premises, in the cloud and across the DevOps pipeline.

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