UK Government’s Request
The UK is once again urging Apple to permit access to encrypted iCloud backups for users in Britain. This push raises concerns regarding the security of cryptocurrency wallet keys, putting many users at risk of potential hacking.
What’s New?
As reported by the Financial Times, the UK’s latest directive limits access to iCloud backups specifically for UK accounts. Critics believe this approach still endangers user security significantly.
Many mobile wallets, including Coinbase Wallet, Uniswap Wallet, Zerion, Crypto.com DeFi Wallet, and MetaMask, rely on iCloud for saving encrypted private key backups, thus making users vulnerable with this policy shift.
Accessing these encrypted files may lead to exploits via dictionary or brute-force attacks, where attackers try numerous combinations to break the encryption. Thus, if an attacker gets the backup file, the security hinges on the robustness of the encryption password.
The Electronic Frontier Foundation expressed concern over this government intrusion, arguing that it jeopardizes the safety and freedom of UK users. They emphasized, “Any backdoor created for government purposes increases risks related to hacking, identity theft, and fraud.”
Caution from Industry Experts
Slava Demchuk, CEO of the blockchain forensics firm AMLBot, warned that complying with the UK’s request could be perilous for standard users. He stated, “The number of threats and attackers will increase. It’s simple logic.”
Image of shirt classified as munitions under old US regulations. Source: Adam Back
Bitcoin and the wider cryptocurrency realm emerged from early digital rights advocacy, largely led by cypherpunks resisting government attempts to control cryptography.
Ethereum’s co-founder, Vitalik Buterin, has strongly criticized the proposed “Chat Control” legislation by the EU, arguing that any law enforcement backdoors are “inevitably hackable” and pose a threat to overall safety. The Electronic Frontier Foundation echoed this caution about the UK’s renewed requests making all users less secure.
