Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

DNC Email Hack Serves as a Business Lesson for All

When an organization like the US Democratic National Committee (DNC) can fall victim to an email hacking scam, then virtually any business in the world is susceptible to cyber criminals.

Although the exact details of how the hack was carried out haven’t been released, the end result was a slew of private information making it out into the open. Indeed, according to the stats, WikiLeaks was able to publish 19,252 emails and 8,034 attachments detailing conversations between high-ranking members of the DNC.


Security experts believe that one of the techniques used by the hacker/s was spear phishing. Phishing is a practice known is as a social engineering attack that aims to gain a foothold in a user’s/company’s system by masquerading as a legitimate source. In general, a phishing attack can take the form of an instant message, text message or, in the case of the spear phishing attack used against the DNC, emails.

Phishing Back in the Spotlight

By posing as a legitimate entity, the hacker is hoping to trick the victim into clicking on an infected link. Once this happens a piece of malware is often installed on the victim’s system and the hacker is then able to use this to obtain sensitive data. While many of us will have seen a malicious email in the past, it’s likely the technique used against the DNC was a more complex than your average attack and that’s the issue here for businesses.


As cyber criminals become more proficient and advanced in their methodology, it’s becoming increasingly important to try and stay ahead of the game. One of the main ways to prevent phishing attacks and the loss of personal data is education. Alerting employees to the potential dangers out there so they can identify possible phishing attacks is crucial. However, as the DNC case has shown, a single slip can have potentially devastating consequences which means other forms of protection also have to be used.

One such countermeasure are two-factor authentication (2FA) solutions that ask users for additional form of identification, in addition to their login credentials. By adding such extra layer of verification the organization it makes it tougher for hackers to gain access to the system, even when after they successfully compromised their target.

Millions in Losses

Computers Data Storga Cloud Computing

The DNC incident has not only brought the issue of phishing back to the fore, but it’s shown the devastating impact it can have on a company. While the DNC incident was more of a PR disaster than a financial blow, things are different in the business world – according to a recent study by the Ponemon Institute, phishing attacks cost companies $3.77 million per year.

While DNC will do what all good political parties do and find a way to bounce back from this latest incident, it should certainly serve as a valuable lesson to all businesses out there. In an age where more and more information is being stored online, staying vigilant and using the right safeguards are crucial.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.