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Case Closed: SSL/TLS Authentication Gap

It was one year ago this week that I began in earnest a coding project to prove or disprove my suspicion of an exploitable weakness in TLS renegotiation. I fully expected to fail in this endeavor as this protocol was generally regarded as having stood the test of time. Even after I had a working demo in hand I scarcely believed it, halfway expecting to be interpreting some result wrongly or to be pointing out a non-issue which had always been obvious to everyone else.

Nevertheless, Steve and I decided to begin the process of disclosing this bug to respected members of the security community, vendors, and other code owners with the expectation of widening the circle over time. Although our sentiments typically favor aggressive disclosure timelines, it was clear that the complex dependencies and the multi-vendor nature of this bug made that approach unrealistic. We reasoned that the most well-engineered solution would have the best chance of emerging from a coordinated process. So for the next few months, we offered our help in working out tentative agreement on a proposed solution and giving some vendors a little head start in their implementation efforts.

A few months later, the vulnerability was independently rediscovered and publicly described. In retrospect, this was a classic case of “sometimes you get what you need” though it was hard for everyone to accept at the time. Now that the cat was out of the bag, the protocol standardization efforts could be conducted with the usual open, public processes of the IETF. After a great deal of discussion, the proposed solution was eventually accepted with just a few missing details filled in (RFC 5746).

At this point, we were a bit surprised at the absence of a great rush to patch vulnerable software with support for the protocol extension which fixed renegotiation (perhaps we were still a bit idealistic). We’d expected open source TLS implementations to take an early lead. But in fact, most distributors had patched their software to simply disable renegotiation outright and now seemed to be in no hurry to re-enable it securely (this logic is flawed for subtle reasons). Sometimes open-source TLS libraries implemented support for the fix which stalled in the pipelines of their downstream distributors. It was the commercial browser vendor Opera that first implemented secure renegotiation in a major product, and many other vendors have followed along since.

Microsoft’s case was particularly challenging. They have invested heavily into web-based technologies and consequently have one of the largest varieties of products speaking TLS. Their commitment to platform support going back years and multiple OS versions meant that, in some cases, older designs had to be given significant architectural upgrades. Through a combination of conservative design and accident, Microsoft clients and servers tended to not be willing to perform TLS renegotiation without reason. Thus in many cases, a Microsoft client talking to a Microsoft server would not be susceptible to the bug (although they still needed to be patched for the greater TLS ecosystem). To their credit, Microsoft never used this argument to advocate delay.

Last Tuesday, just nine months since the public disclosure of the TLS renegotiation vulnerability, Microsoft pushed down a patch via their Windows Update channel which added support for the protocol extension to all their operating systems and applications, beating several smaller vendors in the process.
At a time when vendors are often criticized for slow responses to seemingly small but severe defects, the industry has proven it can work together to fix a very challenging bug in an interoperable protocol in record time. I think now is a good a time as any to claim victory.

- Marsh Ray

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Governments Employ New Tactics to Fight Cyber Security Threats

Governments face a tremendous challenge in addressing cyber security threats. The scope of the problem is enormous, and extends beyond even the broadest definition of cyber warfare to include:

  • Fighting Cyber Crime – In addition to setting policy and regulatory mandates (FFIEC, HIPAA, HITECH) to ensure appropriate measures are taken to protect its citizens, the US government itself processes and stores a vast amount of personal information, everything from healthcare records to tax returns. A single breach could result in large scale identity theft and fraud.
  • Protecting Our National Infrastructure – A disruption to the US financial, energy, transportation, or healthcare systems could result in significant damage, affecting the everyday life of citizens.
  • Preventing Espionage – Both the recent theft and posting of thousands of Afghan War military documents on WikiLeaks.org and The Washington Post’s series “Top Secret America” pointing out the breadth and complexity of the US intelligence operations, illustrate how vulnerable the government is to espionage from internal and external sources.

While cyber warfare has moved to the forefront of the discussion recently, all three are absolutely vital to US national and personal security.

As government agencies scramble to lock down the growing volume of data they are entrusted with while also supporting information sharing among their own staff and across agencies, they are increasingly looking to technologies like PhoneFactor to get the job done. PhoneFactor announced this week the addition of the US Department of State, the District of Columbia government, and the Federal Railroad Administration to its client roster. These organizations join a growing list of federal, state, and local government agencies adopting PhoneFactor to meet their rigorous security requirements while also supporting their need for scalability and affordability. (PhoneFactor Announcement)

- Sarah

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ATM Fraud in Broad Daylight

Before you hit play and watch this news story, just know that the Bad Guy didn’t even have to try as hard as he did. This crime is easier to commit than this news segment shows, and there are places a whole lot more vulnerable than an ATM vestibule in the middle of the day.

It’s an important case because we rely more and more heavily on ATM/Debit and Credit Cards as we move toward a cashless society. And they’re all vulnerable to the type of attack detailed here. New card skimmers are showing up that get the mag stripe data. Some are coupled with small cameras that watch you enter your PIN. The info is sent to a Bad Guy via a wireless network, and the Bad Guy makes a new mag stripe card, drives across town, withdraws money out of another ATM or makes a purchase at a retail store (no PIN is required if the transaction is run as a credit card purchase), and disappears into the sunset. You’ll never see your money again.

Roll ‘em:

Basically, the Bad Guy just needs a few seconds to attach a skimmer to the ATM and attach a camera to a convenient location in view of the keypad. Everything can be pre-programmed, so this whole operation can be done in the blink of an eye. The system works by wirelessly transmitting all of the information to the crook, at a safe distance from the ATM.

The point is it’s easy to read magnetic stripes, it’s easy to re-encode magnetic stripes, and it’s easy to buy a bunch of blank credit-card-sized magnetic stripe cards and encode those stripes with stolen numbers. Since merchants don’t verify that you have a genuine— or even genuine-looking— card anymore, a Bad Guy can copy your card and use it at any gas station, any ATM, or any self-service kiosk, and probably not get caught.

Numerous incidents of ATM skimming have been reported recently, including:

So, what can be done about this?
There are a few things consumers can do to dramatically improve security in their life, like monitoring their transactions, using known ATM machines and keeping an eye out for changes, etc. But just like passwords are no longer considered a sufficient means of protecting access to online accounts due to things like phishing, relying on a magnetic stripe on a credit card is just not enough to protect your financial transactions. Adding a second method to verify that the account owner is, in fact, the person conducting the transaction would offer material benefit.

PhoneFactor’s Transaction Verification is an easy, effective means of protecting consumers. PhoneFactor simply calls the card holder to verify the transaction before dispensing the cash or completing the transaction. It works for online transactions as well as in person transactions as ATMs and retail locations.

- Steve

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PhoneFactor Unveils Out-Of-Band SMS Authentication

PhoneFactor has expanded its two-factor authentication platform to include support for out-of-band authentication via SMS text messaging. Here’s how it works:

Step 1
Enter your username and password just like you do today.

Step 2
Instantly, PhoneFactor sends you a text message with a one-time passcode. To authenticate, simply text the passcode back to PhoneFactor.

That’s it! Because the one-time passcode is both sent and confirmed through SMS, the process is completely out-of-band.

Now users can choose the two-factor method they prefer, phone call or SMS text message, all with the same level of out-of-band security and convenience. This enables the ultimate flexibility for your users and a single platform for your IT team to manage.

Learn more about sms authentication. Or try it yourself in our Online Demo.

- Sarah

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See PhoneFactor’s New Products at RSA Booth 1757

PhoneFactor will be showcasing two new products at the 2010 RSA Conference! Stop by PhoneFactor Booth #1757 to learn more about these exciting additions to our out-of-band authentication platform.

  • We recently launched Biometric Voice Authentication, making three-factor authentication both easy and cost-effective. PhoneFactor’s Biometric Voice Authentication delivers the strongest level of authentication without the overhead typically associated with biometrics. The user’s voiceprint is simply confirmed during the PhoneFactor authentication call.
  • We will also be unveiling another exciting addition to the PhoneFactor platform during show.

And don’t miss PhoneFactor CTO Steve Dispensa’s panel discussion on responsible disclosure.
Responsible Disclosure: It’s Their Fault!
Wednesday, March 3rd, 10:40 AM, Orange Room 305

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PhoneFactor CTO Steve Dispensa to Speak at RSA 2010

Steve Dispensa, CTO and Co-Founder of PhoneFactor, will be participating in a panel discussion on responsible disclosure at RSA 2010. Steve will be joined by representatives from Adobe, PayPal, Continental Airlines, and The Metasploit Project and moderator Martin McKeay for a discussion on the role researchers, vendors, and customers play in the responsible disclosure debate.

Don’t miss – Responsible Disclosure: It’s Their Fault!
Wednesday, March 3rd, 10:40 AM, Orange Room 305

Catch a sneak peak of the discussion with Martin McKeay and Steve Dispensa.
Listen Online | Download Podcast <8:51>

And be sure to stop by the PhoneFactor booth Booth #1757.

- Sarah

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Steve Dispensa and Marsh Ray to Present ShmooCon 2010 Keynote

PhoneFactor CTO Steve Dispensa and Sr. Software Engineer Marsh Ray are headed to DC this week where they will be presenting the keynote address at the ShmooCon conference. The keynote Closing the TLS Authentication Gap will detail the technical aspects of the SSL/TLS authentication vulnerability they made public last fall and the story behind the disclosure process. More information about the keynote is available at: http://www.shmoocon.org/presentations-all.html#tls.

- Sarah

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Three-Factor Authentication in Two Easy Steps

PhoneFactor now offers integrated biometric voice authentication, which simultaneously verifies something you have, your telephone, and something you are, your voiceprint, for the second and third factors of authentication. Here’s how it works:

Step 1
Enter your username and password just like you do today.

Step 2
Instantly, PhoneFactor calls you. Simply answer and speak your passphase to authenticate.

That’s it! The process is simple, secure, and cost-effective.

With IT security threats at an all-time high, utilizing three separate factors to authenticate user access is a necessity for many organizations. However, most biometric solutions require a biometric reader, such as a fingerprint scanner, be installed on each end user’s system. The cost and IT resources required to purchase and deploy biometric readers created an often insurmountable challenge.

With PhoneFactor, no biometric readers are required – it works with any phone. And with automated voiceprint enrollment and centralized user management, it can be set up quickly for large numbers of geographically diverse users.

Learn more about biometric voiceprint authentication.

- Sarah

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VirtualBank Adds Out-of-Band Two-Factor Authentication

VirtualBank recently announced that they will be deploying PhoneFactor’s phone-based two-factor authentication to enhance security for their online banking customers. VirtualBank is the Internet Banking Subsidiary of Lydian Trust Company and serves a growing base of banking and lending clients nation-wide.

“Security comes first for us at VirtualBank and we are constantly working to make it better,” comments Frank Barbato, Virtual Bank Chief Information Officer. “We feel equally as strong about our client’s on-line experience and the impact that all the security protections have on them. After all, our clients just want to access their accounts and get on with their lives rather than answering questions about their pet’s name. PhoneFactor’s flexibility in their platform enables us to both meet today’s security needs while offering a superior user experience.”

VirtualBank has branded the process they have built around the PhoneFactor service “PhoneGuardian,” and will make it available to all of its customers free of charge.

Read Announcement

~Sarah

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PhoneFactor Publishes New Whitepaper on IT Security Trends

PhoneFactor recently published the results of its survey on IT security trends in a new whitepaper IT Security & Authentication: Key Concerns for 2010. Results of the PhoneFactor survey of more than 250 IT professionals indicate a greater level of insecurity today than in the previous years, both from increasing external threats and decreasing confidence in current security practices.

Key findings include…

  • One in four respondents reported that their company’s network or data had been compromised, up from one in five last year.
  • More than half of respondents (57%) feel malware is the greatest data security threat today. Poor password policies ranked second at just over 27%.
  • Only 35% of respondents feel their company’s current authentication system is “very” or “extremely” secure – a 16% percent decrease from last year.
  • More than 3/4 of respondents feel that companies who they give their personal data to are either “extremely” or “very” responsible for protecting their personal or financial information.
  • More than half (57%) of respondents believe users would prefer to carry a cell phone over other two-factor authentication devices, including a security token or fob, a USB token or fob, a grid card, or a smart card. In fact, the majority of respondents – 70% – agreed with Wired’s statement that security tokens are a “top 10 worst gadget ever.”

The complete survey results are available in a new whitepaper IT Security & Authentication: Key Concerns for 2010. Download the whitepaper at http://www.phonefactor.com/how-it-works/white-paper/security-authentication-key-concerns-2010.

-Sarah

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