The arrival of Finance 3.0 has brought new challenges to the financial industry, with API security becoming a focal point. In the coming years, the number of APIs will grow exponentially, and APIs have become one of the most frequently attacked types of enterprise web applications. As a result, effectively securing APIs has become a critical task for enterprise security teams.
Impact of Government Regulations and Financial Supervisory Commission (FSC) Rules on API Security
As a highly digitalized and information-driven industry, security is crucial in the financial sector. Government regulations and financial supervisory bodies, such as the FSC, typically set forth a series of rules and regulations to protect the operational security of financial institutions and the privacy of user data. These regulations outline specific requirements for API security, and financial institutions must comply with these standards to ensure the security and compliance of their APIs.
1.1 Government Regulations on API Security
Government regulations typically require financial institutions to implement strict security measures for their APIs to ensure the security and privacy of user data. These requirements may include:
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Authentication Requirements: Financial institutions must ensure that access to APIs is strictly authenticated, ensuring that only authorized users can access sensitive data.
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Data Encryption Standards: Financial institutions are generally required to use encryption technology to protect sensitive data during transmission, preventing interception or theft of data.
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Monitoring and Reporting Requirements: Financial institutions must monitor and report the usage of their APIs to promptly detect and respond to potential security threats and risks.
1.2 FSC's Requirements on API Security
The Financial Supervisory Commission (FSC), as the regulatory body for the financial industry, has set forth more specific and professional requirements for the security of financial institution APIs. These requirements are often more detailed and precise, including:
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Authentication and Authorization Requirements: The FSC mandates that financial institutions ensure the security and reliability of their API authentication and authorization mechanisms to prevent unauthorized access to sensitive data.
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Security Monitoring and Reporting Requirements: The FSC requires financial institutions to continuously monitor and report on their API usage, promptly detecting and responding to potential security threats and risks.
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Vulnerability Patch and Risk Assessment Requirements: The FSC mandates regular vulnerability patching and risk assessments of APIs to identify and fix any potential security flaws and risks.
Challenges in API Security for the Financial Industry and Akamai's Solutions
While government regulations and FSC rules have clearly outlined the requirements for API security in the financial industry, financial institutions still face numerous challenges. These challenges include:
2.1 Authentication Vulnerabilities
Authentication is one of the key aspects of API security, but many financial institutions have authentication vulnerabilities that allow unauthorized users to access sensitive data, leading to security risks.
2.2 Data Breach Risks
Financial institution APIs may present data breach risks, where sensitive data could be intercepted or stolen during transmission or storage, resulting in the exposure and damage of user data.
2.3 API Attacks
Financial institution APIs may face various types of attacks, including DDoS attacks, SQL injection, etc. These attacks can disrupt API services and cause damage to user data.
2.4 Akamai's Solutions
Akamai offers a range of solutions to help financial institutions address API security challenges. These solutions include:
- API Security Products: Block API attacks, detect business logic abuses, and use behavioral analysis to identify and monitor API activity.
- Web Application Firewall (WAF): Protect APIs from various network attacks.
- Zero Trust Security: Ensure secure remote access and prevent unauthorized access.
- Enterprise Threat Protection (ETP): Protect against malicious websites, phishing, and malware.
- Guardicore Micro-Segmentation: Prevent ransomware lateral movement, enhancing internal network security.
A Closer Look at BOLA
One of the most common vulnerabilities in API security is Broken Object Level Authorization (BOLA). BOLA occurs when an API allows users to access or modify objects (e.g., data or resources) they are not authorized to access. This vulnerability can result in significant security breaches, such as the unauthorized access or modification of user data.
