A report on the security of cryptocurrency exchanges was published Tuesday by ICORating, an agency that does independent analytical research to evaluate initial coin offering projects, and assigns them a rating. The report said that over the past 8 years, about 31 cryptocurrency exchanges had been hacked and about $1.3 billion stolen, and that over half the current exchanges had security vulnerabilities for users’ accounts.
The ICORating report analyzed the potential reasons for exchange being hacked, based on four security criteria: code errors, user account security, registrar and domain security, and web protocol security. According to the report, Coinbase Pro scored 89 (on a maximum of 100) overall, and stood at top of the rankings, followed by Kraken which scored 80. For the purpose of drafting the report, only those exchanges whose daily trade value exceeds $1 million were selected and the total number of exchanges on the list was 100.
Further, only 46 percent of exchanges analyzed in the report met all four parameters for securing users’ accounts. These parameters were creating a password longer than 8 characters, passwords with both digits and letters, email verification, and the presence of two-factor authentication.