Caesars becomes 2nd major casino giant after MGM to report cyberattack

Updated: 20.10.2023

Caesars Entertainment has become the second major casino behemoth to suffer a cyberattack within months after reporting to the federal Securities and Exchange Commission that it could not guarantee the personal information of tens of millions of customers.

The leak on 7th September potentially exposed key details from documents, including driver's licenses and Social Security numbers.

It follows in the footsteps of a mass data breach at MGM Resorts International, where a cyberattack enforced a 10-day computer shutdown to combat the onslaught. It has since been controlled, and systems are operating normally once more.

In a statement, the company said:

We have taken steps to ensure that the stolen data is deleted by the unauthorized actor, although we cannot guarantee this result.

Those steps are believed to include payments of a $15 million ransom demand, in direct opposition to authorities like the FBI, who actively advise against giving into demands of cyber criminals.

Who or What is Behind the Criminality?

The attacks are believed to be down to a sophisticated group named Scattered Spider, which was founded in 2022 and started attacking telecommunications firms.

Charles Carmakal, chief technical officer at cybersecurity firm Mandiant, has called the group "incredibly disruptive and aggressive".

They leverage tradecraft that is challenging for many organizations with mature security programs to defend against. This relatively new entrant in the ransomware industry has hit at least 100 organizations, most of them in the U.S. and Canada.

Why Are Cyberattacks on the Rise?

The latest attack should be an eye-opener for the industry, especially given the sensitivity of the data and the costly implications of not having up-to-date protocols to protect customer data.

Failing to prevent these types of attacks usually stems from a lack of education in workers failing to spot the tell-tale signs of an incursion, which hackers exploit.

Common types of attacks include Vishing - a form of social engineering that uses voice chat or phone calls to manipulate employees into parting with sensitive information on company details.

Many industry experts, including CasinoCanada, advise bettors to research a company's data protection policy before signing up.

Is Gambling Online Safter Than With Land-Based Casinos?

When it comes to data protection, online gambling platforms often have robust security measures in place, making them potentially safer than traditional land-based betting firms. Given the digital nature of their operations, online gambling companies are inherently more invested in data security policies to protect their customers.

They employ advanced encryption technologies to secure financial transactions and personal data, ensuring that user information remains confidential and safe from breaches. However, the level of data protection varies widely among different online platforms, so users should always research and choose reputable online gambling sites with stringent security measures.

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Author: Dmitry Rogalchuk

47 articles

With his reader-focused approach, Dmitry ensures that the website is a trusted source of information for players of all levels. As the Head of Content, Dmitry's passion for the iGaming industry is evident in his ability to produce reports that fully represent the brand's values.

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