{"id":44552,"date":"2021-12-23T14:26:29","date_gmt":"2021-12-23T14:26:29","guid":{"rendered":"https:\/\/packetstormsecurity.com\/news\/view\/32942\/Log4j-Makes-Waves-In-The-US-Financial-Industry.html"},"modified":"2021-12-23T14:26:29","modified_gmt":"2021-12-23T14:26:29","slug":"log4j-makes-waves-in-the-us-financial-industry","status":"publish","type":"post","link":"https:\/\/www.threatshub.org\/blog\/log4j-makes-waves-in-the-us-financial-industry\/","title":{"rendered":"Log4j Makes Waves In The US Financial Industry"},"content":{"rendered":"<div>\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/cdn.scmagazine.com\/wp-content\/uploads\/2021\/12\/GettyImages-1312691761-1024x614.jpg\" alt class=\"wp-image-206010\"><figcaption>The New York Stock Exchange stands in lower Manhattan on April 15, 2021, in New York City. (Photo by Spencer Platt\/Getty Images)<\/figcaption><\/figure>\n<\/div>\n<p>The recent Log4j vulnerability has caused widespread concern across every industry, and the financial industry is no exception.<\/p>\n<p>Recently, SC Media<em> <\/em><a rel=\"noreferrer noopener\" href=\"https:\/\/www.scmagazine.com\/video\/vulnerability-management\/log4j-vulnerability-response-for-banks-this-is-not-a-quick-process\" target=\"_blank\">published discussions<\/a> with top banking executives at Texas Capital Bank and Finance of America, as well as cybersecurity vendor Cybereason. Many financial service institutions (FSIs) are recognizing that <a rel=\"noreferrer noopener\" href=\"https:\/\/www.youtube.com\/watch?v=vlMoK9FBjhg\" target=\"_blank\">Log4j<\/a> is the gift that will keep on giving this holiday season for weeks to come. Hence, industry experts have much input on how FSIs will work on mitigating the damage of this recent threat, and what it bodes for the future.<\/p>\n<p>Gary McAlum, currently on the <a rel=\"noreferrer noopener\" href=\"https:\/\/cyber-center.org\/the-national-cybersecurity-center-appoints-gary-mcalum-chief-security-officer-retired-usaa-to-its-board-of-directors\/\" target=\"_blank\">board of directors<\/a> for TAG Cyber Group and a former longtime chief information security officer (CISO) for USAA, pointed out that in the wake of the attention-grabbing SolarWinds attack, Log4j is also, \u201cUbiquitous&#8230; it impacts everybody in some form or fashion, especially since open source is so commonly used.\u201d<\/p>\n<p>\u201cFor the financial sector, it\u2019s a particularly serious issue,\u201d McAlum said. \u201cAnd I wouldn\u2019t say there\u2019s room for over-confidence.\u201d FSIs of all sizes should be implementing an incident response program to mitigate the potential <a rel=\"noreferrer noopener\" href=\"https:\/\/www.scmagazine.com\/video\/vulnerability-management\/log4j-vulnerability-response-for-banks-this-is-not-a-quick-process\" target=\"_blank\">impact of Log4j<\/a>, keeping in mind that this cyber event could have ripple effects through third- fourth and fifth-party providers. \u201cThere is an environment of overlapping controls&#8230; which means that [IT security professionals] need to be methodical, and focus a lot of their attention here.\u201d<\/p>\n<p>\u201cThe hardest thing is to work through complex supply chains,\u201d McAlum said, adding that financial regulators will also be calling on FSIs as they are going through this, seeking updates and looking to potential exposure and mitigating actions.<\/p>\n<p>\u201cThe financial sector has responded well, quick and focused and understanding of the urgency of [Log4j]. Most of the time, when news like this hits, it\u2019s not the first that FSIs are hearing about it,\u201d he added. \u201cThey\u2019re getting data from all sorts of sources about vulnerabilities.\u201d<\/p>\n<p>\u201cBy the time it\u2019s hitting CNN, the wheels are already turning for most FSIs,\u201d McAlum said.<\/p>\n<p>Nick Santora, CEO of Curricula, an IT security awareness training service, pointed out that, \u201c<a href=\"https:\/\/www.scmagazine.com\/analysis\/application-security\/log4j-vulnerability-cleanup-expected-to-take-months-or-years\" target=\"_blank\" rel=\"noreferrer noopener\">Log4j got a lot of attention<\/a>, as this is the first time a vulnerability of this scale has been exposed. It\u2019s the latest and greatest that impacts a lot of industries.&#8221;<\/p>\n<p>He added: \u201cIt\u2019s another event that shows how unprepared most organizations are when an incident like Log4j happens.\u201d<\/p>\n<p>Santora, who previously spent a decade working for the U.S. federal government in critical infrastructure protection, pointed out that, \u201cLog4j affected a lot of legacy industries that rely on Java.&#8221;<\/p>\n<p>\u201cThe majority of organizations impacted were on legacy systems. This includes financial services, the energy sector, transportation \u2014 al<a href=\"https:\/\/www.scmagazine.com\/analysis\/cloud-security\/cisa-fbi-and-nsa-issue-joint-advisory-on-log4j-with-international-security-agencies\" target=\"_blank\" rel=\"noreferrer noopener\">l categorized as critical infrastructure by CISA<\/a>,\u201d Santora said. \u201cThe ironic thing is when a patch was introduced for <a rel=\"noreferrer noopener\" href=\"https:\/\/cyberriskalliancecom-my.sharepoint.com\/:w:\/r\/personal\/karen_hoffman_cyberriskalliance_com\/_layouts\/15\/Doc.aspx?sourcedoc=%7B1b4036d9-221b-411e-b23a-e653b293a0a0%7D&amp;action=edit&amp;wdPreviousSession=eb6fe1d0-df7c-41b7-a732-25f0f0a1c978\" target=\"_blank\">Log4j<\/a>, it exposed another vulnerability. If you\u2019re running a complex system, you can\u2019t just throw a patch on like a Band-Aid, and you can\u2019t turn the system off like you\u2019re rebooting a machine.\u201d<\/p>\n<p>So, what is a financial institution to do in the face of this kind of overwhelming cyber threat?<\/p>\n<p>\u201cYou need to have a planned maintenance process which includes analyzing the impacted systems, testing them in a non-production environment, then planning for an outage to roll out the patch. And if it all doesn\u2019t go as planned, a way to roll it all back,\u201d Santora said. \u201cSo when something like Log4j happens, most companies don\u2019t have a plan on what to do. They have to turn off the service they\u2019re providing to make sure they can patch it properly. This isn\u2019t easy for legacy systems that are mission-critical and foundational for the organization.\u201d<\/p>\n<p>Santora admitted that since critical infrastructure is not under one single compliance framework when it comes to the patch management process, formal incident response and patch management processes can be more complicated for FSIs.<\/p>\n<p>\u201cLog4j is spread across an array of industries and some were not regulated for patch management and have never had to deal with something on this scale to turn off all of their systems to update it and fix the vulnerability,\u201d Santora said, adding that incidents like Log4j underscore the need for FSIs to have incident response plans that take such events into account.<\/p>\n<p>\u201cBuilding a community of trust among your vendors will be taken more seriously now because you want to know your software providers are doing the right things for cybersecurity. Cross contaminating amongst the community is a real problem,\u201d Santora said. \u201cWe have to build trust in the private sector that we\u2019re all doing the right thing.&#8221;<\/p>\n<p>READ MORE <a href=\"https:\/\/packetstormsecurity.com\/news\/view\/32942\/Log4j-Makes-Waves-In-The-US-Financial-Industry.html\">HERE<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>READ MORE HERE&#8230;<\/p>\n","protected":false},"author":2,"featured_media":44553,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","footnotes":""},"categories":[277],"tags":[9794],"class_list":["post-44552","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cybersecurity-blogs","tag-headlinehackerbankflawapache"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Log4j Makes Waves In The 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