Ryanair falls prey to cybercrime

April 29, 2015 11:11 AM

That governments are involved in this type of warfare is beyond dispute. We previously covered how a broad spectrum of countries had perpetrated cyber-attacks against their rivals.

The outcomes of such attacks, while not on a par with a nuclear holocaust, should not be taken lightly. It is believed that the deployment of the stuxnet virus by the U.S. and Israel against an Iranian nuclear facility almost caused a major environmental catastrophe.

Trojan malware, apparently of Russian origin, was found in on Nasdaq’s central servers which was capable, according to the NSA, of “wiping out the entire exchange”. The knock-on effects of such an action would likely have led to stock market crashes, recession and possibly depressions and social upheaval across the world.

The new cold war may indeed be one of cyber-warfare. If so we can expect an escalation of such attacks should relations between Washington and NATO and Russia, Iran and other Middle Eastern nations deteriorate further.

The fact that cyber theft can occur demonstrates the abstract nature of modern currency. By manipulating digits on a computer screen and through hacking, wealth can be transferred from one part of the world to another and from one bank account to another.

The means to acquire goods and services is now almost entirely determined by an intangible and virtual medium of exchange. This renders cash little better than crypto currency, although in theory crypto currency should not and cannot be printed and electronically created with reckless abandon as is happening to the dollar, euro, pound and other paper and electronic currencies today.

The risks posed by cyber-crime, cyber-warfare and cyber-terrorism to this type of monetary system should not be underestimated.

If the system were to become severely compromised or even collapse – through cyber-attacks or any of the myriad risks to the system that exist today – it is highly likely that in the ensuing panic gold and silver buying, prices would surge to levels never seen before.

That would see gold and silver rise well above the inflation adjusted record highs or real record highs above $2,500 per ounce and $150 per ounce.

Owning physical gold in segregated, allocated accounts is essential financial insurance to protect wealth today.

Page 2 of 2
About the Author

Mark O'Byrne is executive director of Ireland-based GoldCore.