Passwork Blog (Page 4)

InfoSec

Latest — Aug 14, 2025

HIPAA requirements for password management

Introduction

In the complex ecosystem of modern healthcare, patient data is essential for secure management. In 2024, the U.S. healthcare sector experienced over 700 large-scale data breaches, marking the third consecutive year with such a high volume of incidents. This surge compromised over 275 million patient records, a significant 63.5% increase from 2023.

"Healthcare data are more sensitive than other types of data because any data tampering can lead to faulty treatment, with fatal and irreversible losses to patients" — Healthcare Data Breaches, MDPI

The consequences go far beyond financial penalties and reputational damage. Breaches of electronic Protected Health Information (ePHI) can disrupt patient care, compromise safety, and erode public trust. As the American Hospital Association highlights, since 2020, healthcare breaches have affected over 590 million patient records — more than the entire U.S. population, with a significant number of individuals being affected multiple times.

Healthcare operates in a 24/7 environment where delays in authentication can impact patient care. Systems must provide strong protection without disrupting urgent clinical workflows. Password management is no longer just an IT function. It is now a mission-critical process directly tied to patient safety and regulatory compliance under the Health Insurance Portability and Accountability Act (HIPAA).

How HIPAA works

HIPAA is a U.S. federal law that establishes strict requirements for safeguarding sensitive patient health information from unauthorized disclosure. In addition to privacy protection acts, the HIPAA Security Rule specifically addresses the protection of ePHI, any personally identifiable health information created, stored, transmitted, or received electronically.

HIPAA applies to:

Covered entities: hospitals, clinics, physicians, insurers, and healthcare clearinghouses
Business associates: service providers (IT, billing, cloud hosting, consultants) that handle ePHI on behalf of covered entities

HIPAA is structured around several interconnected rules, each serving a distinct purpose in protecting patient data:

The Privacy Rule sets standards for how PHI can be used and disclosed
Security Rule defines administrative, physical, and technical safeguards to protect ePHI
Breach Notification Rule requires covered entities and business associates to notify affected individuals, the U.S. Department of Health and Human Services (HHS), and sometimes the media, in the event of a breach
The Enforcement Rule outlines penalties for violations

Organizations must document their policies, conduct periodic risk assessments, and ensure that staff are properly trained. Non-compliance can lead to сivil fines up to millions of dollars, criminal penalties, including imprisonment, in cases of willful neglect or malicious misuse, and permanent listing on the public "Wall of Shame" for reported breaches. HIPAA compliance isn’t just about avoiding penalties — it’s about protecting patient safety and trust. A breach of PHI can result in identity theft, financial fraud, and critical interruptions to patient care, underscoring the vital importance of robust healthcare data security.

Cybersecurity and clinical efficiency

The 2024 NIST Digital Identity Guidelines (SP 800-63B) represent a significant evolution in cybersecurity best practices. These guidelines advocate for a shift away from overly complex passwords towards longer, more memorable passphrases, widespread adoption of multi-factor authentication (MFA), and enhanced breach detection capabilities. While these changes undeniably enhance healthcare cybersecurity, they also necessitate that healthcare providers reassess their existing tools and policies to align with modern security paradigms, like Zero trust architecture.

The NIST Digital Identity Guidelines provide a comprehensive framework that complements HIPAA requirements, offering detailed guidance on implementing robust identity and access management. For healthcare organizations, this means:

Identity proofing. Ensuring that individuals are the ones who they claim to be during the account creation process, reducing the risk of fraudulent access.
Authenticator Assurance Levels (AALs). NIST defines different levels of assurance for authenticators, from single-factor passwords to strong multi-factor methods. Healthcare organizations should strive for higher AALs for access to sensitive ePHI.
Federated identity management. Leveraging standards like Single Sign-On (SSO) and LDAP Integration to streamline user access across disparate systems while maintaining strong security controls. This reduces password fatigue and improves overall security posture.
Lifecycle management. Implementing robust processes for managing identities from creation to deactivation, including timely revocation of access rights for departing personnel. This is crucial for maintaining data integrity and preventing unauthorized access.

By integrating NIST recommendations, healthcare organizations can build a more resilient and adaptable cybersecurity posture in healthcare, moving beyond minimum compliance to proactive risk mitigation. This proactive approach is vital in combating evolving threats such as ransomware attacks and sophisticated phishing campaigns.

HIPAA and password management

The HIPAA Security Rule takes a structured approach to password management, breaking it into administrative and technical safeguards. Together, these safeguards form a framework that organizations must adapt to their operational realities, while still meeting regulatory expectations. All of that is done to keep their patient data secure.

Administrative safeguards focus on policy, governance, and people. They require:

Documented password policies that define how passwords are created, changed, stored, and removed. These policies must be clear, enforceable, and aligned with risk assessments
User training programs that educate staff on password hygiene, how to avoid common pitfalls such as reusing or sharing passwords, and how to recognize social engineering attempts. Training must be ongoing, not a one-time event
Risk-based access controls that ensure staff have only the level of access they need to perform their duties, following the HIPAA minimum necessary principle
Retention of documentation — all policies, risk assessments, and decisions must be recorded and kept for at least six years, enabling compliance audits and investigations

Technical safeguards address the systems and tools used to enforce secure authentication and access management. They include:

Authentication mechanisms to verify that the person accessing ePHI is the one who they claim to be — for example, username and password combinations backed up by multi-factor authentication
Logging and audit trails that record every authentication event and track changes to sensitive data, enabling investigation procedures of anomalies or breaches
Interoperability, ensuring that authentication and password controls work consistently across all environments — from electronic health record (EHR) systems to medical devices and cloud services

HIPAA further differentiates between required and addressable specifications. Required safeguards are non-negotiable — failure to implement them constitutes non-compliance. Addressable safeguards give organizations some flexibility: they can either adopt the recommended control or implement an alternative that achieves the same level of protection. In either case, the decision must be well-documented, justified, and periodically reviewed to ensure it remains appropriate and effective.

A well-designed password management program under HIPAA doesn’t stop at compliance — it also considers usability, scalability, and the unique pressures of healthcare workflows. Implemented correctly, it can reduce risks without creating operational friction, making secure access part of the daily routine rather than a barrier to patient care.

How to train staff to meet HIPAA standards

Human error remains a primary driver of healthcare data breaches. Therefore, effective staff training is not just a regulatory checkbox but an essential component of HIPAA compliance and overall ePHI protection. While regular, role-specific security awareness training for clinicians, administrators, and IT staff is fundamental, a truly effective program extends far beyond basic awareness. The goal is to transform passive compliance into active participation, empowering employees to be the first line of defense against breaches. Compliance is as much about operational discipline as it is about technology. Healthcare organizations should:

Implement Role-Based Access Control (RBAC) to enforce least-privilege policies.
Utilize LDAP Integration and Single Sign-On for centralized onboarding and offboarding processes, enhancing access rights management.
Separate vaults and permissions by department, specialty, or function to ensure granular control
Maintain comprehensive audit trails for all credential activities, crucial for accountability and forensic analysis

Organizations should consider incorporating advanced training modules on emerging cybersecurity threats, such as ransomware and advanced persistent threats (APTs), specifically tailored to the healthcare context. This includes practical exercises in incident response, data recovery, and business continuity planning. Furthermore, training should focus on the human element of security and foster a culture of vigilance, making sure that every employee understands their role in protecting sensitive patient data. This can involve gamified learning, interactive workshops, and regular communication channels for security updates and best practices.

How Passwork supports HIPAA compliance

Selecting a password manager for healthcare organizations means not only meeting the highest standards of healthcare data security and regulatory compliance, but also ensuring that the solution fits seamlessly into the daily workflow of medical staff. Complex tools are often rejected in practice, forcing employees to revert to insecure workarounds. Passwork architecture is designed to meet HIPAA-specific compliance challenges while remaining intuitive enough for fast and easy adoption.

Certifications and security practices. Passwork is ISO 27001 certified, demonstrating adherence to internationally recognized information security standards. Regular penetration testing via HackerOne ensures the platform remains resilient against emerging threats.
On-premise deployment. Passwork supports self-hosted deployment, allowing healthcare organizations to run the system entirely within their infrastructure. This approach keeps credentials under direct organizational control, meets HIPAA data protection requirements, and minimizes exposure to third-party risks.
Data protection by design. With a zero-knowledge architecture and AES-256 end-to-end encryption, Passwork ensures that no one — not even the service provider — can access stored credentials. This aligns directly with HIPAA privacy, security, and technical safeguard provisions.
Access management. Integration with LDAP and SSO centralizes authentication and user management, making it easier to enforce consistent security policies across large and distributed healthcare environments.
Granular access control. Passwork RBAC enables administrators to assign precise permissions to each user or group. Only authorized staff can access specific vaults or entries, supporting the HIPAA minimum necessary standard.
Audit trail and real-time monitoring. HIPAA requires detailed audit controls. Passwork logs all actions, including password creation, modification, sharing, and deletion. Real-time alerts for critical events enable quick detection and response to potential security incidents.
Multi-factor authentication (MFA). Adding an extra layer of protection, MFA helps safeguard accounts even if a password is compromised.
Easy onboarding and usability. The clean and intuitive interface allows healthcare staff to start using the system immediately without requiring extensive training or disrupting patient care workflows. Passwork received the "Ease of Use" award from Capterra, which confirms that the solution is user-friendly and does not require extensive training.

By combining advanced security measures, regulatory alignment, and user-friendly design, Passwork enables healthcare organizations to protect ePHI effectively while maintaining HIPAA compliance in a practical, sustainable manner.

Sustainable HIPAA compliance

Achieving compliance is only the first step. Maintaining compliance requires ongoing attention. Healthcare organizations should:

Conduct regular risk assessments and update policies accordingly
Review audit logs for anomalies
Refresh training content annually
Continuously evaluate tools and workflows against evolving threats and regulatory updates

HIPAA compliance is not just a legal obligation — it is central to fostering patient trust and ensuring patient safety. Secure, efficient password management plays a critical role in protecting ePHI and enabling high-quality care. By combining strong encryption, granular access controls, integration with enterprise systems, and ease of use, Passwork helps healthcare organizations meet and sustain HIPAA compliance. In doing so, it safeguards sensitive data, reduces breach risks, and supports the life-critical mission of healthcare.

Ready to take the first step? Try Passwork with a free demo and explore practical ways to protect your business.

HIPAA requirements for password management

Releases

Jul 28, 2025 — 2 min read

Passwork 7.0.10 update is available in the Customer portal.

Improved handling of additional parameters in Acivity log when migrating from Passwork 6
Fixed incorrect vault data export when access to its nested folder is restricted
Fixed an issue where access confirmation requests to a vault failed to be sent under certain scenarios
Improved data import performance

You can find all information about Passwork updates in our release notes

Passwork 7.0.10 release

News

Jul 22, 2025 — 3 min read

Passwork 7: Security verified by HackerOne

Passwork has successfully completed the penetration testing, carried out by HackerOne — the world’s largest platform for coordinating bug bounty programs and security assessments. This independent evaluation confirmed Passwork’s highest level of data protection and strong resilience against modern cyber threats.

What the pentest covered

Security architecture and data protection
Experts examined the overall design of Passwork’s infrastructure, focusing on how sensitive data is stored, transmitted, and protected.

Protection against major web vulnerabilities
The assessment included a comprehensive check for vulnerabilities listed in the OWASP Top 10 and SANS Top 25, ensuring that Passwork is safeguarded against the most widespread and dangerous web application threats.

User authentication and authorization mechanisms
The test verified the robustness of login processes, session management, and access control systems to prevent unauthorized access.

API security and access control
Security specialists thoroughly tested Passwork’s API endpoints, checking for proper validation, authorization, and protection against unauthorized or malicious requests.

Incident detection and response
The evaluation reviewed Passwork’s ability to detect, respond to, and recover from security incidents, ensuring rapid mitigation of potential threats.

Resilience against targeted attacks
Simulated attacks tested Passwork’s defenses against advanced persistent threats.

Why this matters

For IT leaders, developers, and security professionals, independent penetration testing provides objective assurance that a product’s security measures are not just theoretical but effective against real-world attack vectors. The collaboration with HackerOne means that Passwork’s security was tested by some of the world’s leading ethical hackers, using up-to-date tactics and tools.

Continuous improvement

Passwork’s recent ISO 27001 certification, combined with the positive results of this penetration test, demonstrates a systematic approach to information security management. Passwork undergoes regular assessments, code reviews, and updates to ensure ongoing compliance with best practices and emerging standards.

Our security team monitors the threat landscape and adapts defenses proactively, so your data remains protected as new risks evolve. We are constantly developing and improving Passwork, keeping its security aligned with the industry-leading standards at every stage.

Ready to take the first step? Start your free trial of Passwork today and explore practical ways to protect your business.

Passwork 7: Security verified by HackerOne

Webinar

Jul 16, 2025 — 5 min read

Introduction

Insider threats account for a significant portion of cybersecurity incidents, yet they remain one of the least understood and most challenging risks to mitigate. Whether caused by malicious intent or negligence, insider threats can have devastating consequences, especially when sensitive data is involved.

During the webinar, Senior Executive in Infrastructure and Security Georgi Petrov shared his insights on how Malta Gaming Authority (MGA) manages insider threats while safeguarding trust within the organization. From Edward Snowden’s infamous whistleblowing to phishing attacks that exploit inattentiveness, the discussion emphasized the importance of proactive strategies that address both technical and human vulnerabilities.

At the end of the day, everybody is susceptible to data leaks. Every organization will face insider threats eventually — it’s not a matter of if, but when.
— Georgi Petrov

What are insider threats?

Insider threats refer to the risks posed by individuals within an organization, such as employees, contractors, or partners, who misuse their access to sensitive data or systems. These threats can be categorized into two types:

Malicious insiders: Individuals who intentionally harm the organization, such as stealing data or sabotaging systems.
Negligent insiders: Individuals who unintentionally compromise security, often due to ignorance or carelessness.

Georgi emphasized that insider threats often arise from poor system design, inadequate controls, or malicious intent. Addressing these vulnerabilities requires a combination of robust security frameworks and education.

You need to ensure that your insider threat program collects the right type of data — not everything. Focus on metadata, not sensitive content, and always ask: Why am I collecting this information? How does it help safeguard the organization?
— Georgi Petrov

Ethical dilemmas: Surveillance vs. privacy

One of the most debated topics during the webinar was whether insider threat monitoring programs merely serve as a facade for surveillance. Georgi argued that monitoring is not inherently invasive if implemented responsibly. The key is to collect only what is necessary — metadata rather than sensitive content — and to be transparent with employees.

For example: Instead of logging every keystroke or web browsing activity, organizations should focus on detecting risk-based behaviors, such as attempts to access unauthorized data or upload files to cloud storage.

Transparency and clear communication are vital. Employees need to understand that monitoring is designed to protect the organization, not to spy on them. This approach fosters trust while maintaining security.

We are not the big brother. We’re here to protect the organization’s cybersecurity posture, not to track employee activities unnecessarily.
— Georgi Petrov

Insiders vs. outsiders: Who poses a bigger risk?

When asked who poses a greater risk — trusted insiders or outsiders with limited access — Georgi provided a nuanced perspective:

Outsiders: Unpredictable and capable of exploiting vulnerabilities to escalate privileges, which makes them harder to control.
Insiders: More predictable and manageable through safeguards like role-based access controls and monitoring.

An outsider with minimal credentials can often pose a bigger risk because they’re unpredictable. They might escalate privileges or exploit vulnerabilities, which can be devastating for an organization.
— Georgi Petrov

Separating signals from noise

Monitoring tools generate vast amounts of data, making it challenging to distinguish genuine threats from irrelevant noise. Georgi stressed the importance of context in threat detection:

Noise: Routine activities, such as a finance employee downloading spreadsheets during end-of-quarter reporting.
Signal: Abnormal behaviors, such as an offboarding employee attempting to access and upload sensitive files to cloud storage.

The moment it becomes a signal is when you see abnormal activity — like accessing sensitive folders unrelated to their department or trying to exfiltrate data. That’s when you flip the switch and investigate.
— Georgi Petrov

Predictive vs. reactive threat detection

Should insider threat programs shift from reactive detection to predictive prevention? Georgi strongly advocated for predictive approaches that leverage AI and machine learning to identify subtle patterns that human analysts might miss.

For example: In a reactive system, an employee gradually exfiltrating files over weeks could evade detection. However, predictive tools can identify abnormal patterns and flag potential threats early.

Predictive prevention minimizes the damage caused by insider threats by allowing organizations to act before incidents escalate.

Balancing trust and security

Continuous monitoring can create a culture of mistrust among employees. To strike a balance, Georgi recommended the following:

Transparency: Clearly communicate what is being monitored and why.
Risk-based monitoring: Focus on behaviors that indicate potential threats rather than conducting blanket surveillance.
Education: Regularly train employees on cybersecurity best practices to reduce negligence-based risks.

The main point: Trust and security are not mutually exclusive. By fostering a culture of transparency and education, organizations can build trust while maintaining robust defenses.

Trust, but verify. Build a culture of trust, educate your employees, and configure your monitoring tools to focus on risk-based behaviors — not constant surveillance.
— Georgi Petrov

Key takeaways

Collect meaningful data: Avoid over-monitoring and focus on metadata and risk-based behaviors.
Adopt predictive tools: Use AI to identify patterns and prevent threats before they occur.
Foster trust: Transparency and education are essential for balancing security with employee confidence.
Prepare for the inevitable: Insider threats are not a matter of "if" but "when". A multilayered approach ensures resilience.

Conclusion

Insider threats present a complex challenge for organizations, requiring them to navigate the fine line between prevention and privacy. As Georgi Petrov highlighted during the webinar, the key lies in building a culture of trust, implementing risk-based monitoring, and adopting predictive tools to stay ahead of threats.

At Passwork, we empower organizations with tools that enhance security without compromising trust. From managing passwords securely to fostering a culture of cybersecurity awareness, our solutions are designed to help you protect what matters most.

Ready to take your insider threat prevention to the next level? Explore Passwork today and see how we can help you safeguard your organization while maintaining employee trust.

Insider threats: Prevention vs. privacy

Insider threats are a major cybersecurity risk, often overlooked. Prevention requires balancing trust and security focus on monitoring risk-based behaviors, not constant surveillance. Use AI for early detection, educate staff, and be transparent to foster trust while protecting data.

Releases

Jul 16, 2025 — 3 min read

In the new version we’ve enhanced filtering capabilities in Security dashboard and User management, optimized performance with large data volumes, and introduced several interface and localization improvements.

Improvements

Added the option to filter passwords by username and login in Security dashboard
Added the option to open a new tab when navigating to a password or folder from Security dashboard
Added the option to select multiple roles when filtering users in User management
Added a progress bar for actions performed in User management
Added support for handling the data export restriction parameter in the web interface
Optimized performance when processing large amounts of data

Bug fixes

Fixed duplication of events in Activity log when viewing recent, favorite, and inbox passwords
Fixed duplication of the Save and Cancel buttons in System and SSO settings under certain scenarios
Fixed pagination issues when viewing password cards in a directory with many items
Fixed an issue where users with viewing rights in User management could not access some user pages
Fixed an issue where the Create shortcut, Create link, and Send buttons were displayed in the additional access window even though users had no permission for these actions
Fixed an issue where the Manage roles option in role settings remained unavailable in certain scenarios
Fixed an issue allowing the Read and edit access to be set for a shared password through the additional access window, even though sharing passwords with that access level was restricted
Fixed an issue preventing the creation of a nested folder with the same name as its parent folder
Fixed an issue where outdated settings could be used when starting background tasks
Fixed an issue with data decryption when configuring SMTP with anonymous authentication
Fixed an issue that occurred when connecting a user to a vault via a group in User management (relevant for the version without client-side encryption)
Fixed incorrect navigation to the target directory when copying a folder via the context menu
Fixed incorrect redirect to the Recents page when selecting Mailer config for the email service in System settings
Fixed an error in the validation of passwords with the underscore special character
Fixed a migration issue from Passwork 6 with invalid IDs

You can find all information about Passwork updates in our release notes

Passwork 7.0.9 release

Cryptography

Jul 14, 2025 — 16 min read

Private password breach checking: A new algorithm for secure password validation

Introduction

Data breaches have become routine: millions of users worldwide face the consequences of compromised passwords. The scale is staggering: billions of credentials are exposed, fueling automated attacks and credential stuffing on a massive scale. Services like "Have I Been Pwned" now track over 12 billion breached accounts, and that number keeps growing.

Security professionals and users face a direct challenge: how can we check if a password has been compromised in a data breach without revealing the password itself to the checking service? The task sounds simple, but in reality, it requires a delicate balance between privacy, security, and performance.

Traditional approaches force a trade-off. Direct hash lookups are fast but unsafe: they expose the full hash, risking password leaks. More sophisticated cryptographic protocols offer strong privacy guarantees but come with significant computational overhead and implementation complexity that makes them impractical for many real-world applications.

We’re introducing a solution that bridges this gap: Private password breach checking using obfuscated deterministic bloom filter indices. This innovative approach provides strong privacy guarantees while maintaining the efficiency needed for practical deployment in password managers, authentication systems, and enterprise security infrastructure.

Existing solutions and their tradeoffs

To understand the significance of our new approach, it's important to examine the current methods for password breach checking and their inherent limitations.

Direct hash lookup: Simple but insecure

The earliest password breach checking services, such as LeakedSource, employed a straightforward approach: users would submit the SHA-1 hash of their password, and the service would check if that exact hash appeared in their breach database. Although simple to deploy and very fast to apply, this method is insecure and prone to potential attacks.

When a user submits their password hash directly, they're essentially handing over a cryptographic fingerprint of their password to the service. This creates several attack vectors: malicious actors could perform rainbow table attacks against the submitted hash, launch focused dictionary attacks targeting that specific hash, or correlate the same password across multiple services. The fundamental problem is that the hash itself becomes a valuable piece of information that can be exploited.

K-anonymity: A step forward with remaining vulnerabilities

Recognizing the security issues with direct hash submission, Troy Hunt introduced the k-anonymity approach for the "Have I Been Pwned" service, which has since been adopted by major companies including Cloudflare and Microsoft. This method represents a significant improvement in privacy protection while maintaining reasonable performance characteristics.

In the k-anonymity approach, instead of sending the full password hash, the client computes the SHA-1 hash of their password and sends only the first 5 hexadecimal characters (representing 20 bits) to the server. The server then returns all hashes in its database that begin with that prefix, typically between 400 and 800 hashes. The client then checks locally whether their full hash appears in the returned list.

This approach offers several advantages: it's simple to implement, provides reasonable privacy protection, and uses bandwidth efficiently. However, recent security analysis has revealed significant vulnerabilities. The method still leaks 20 bits of entropy about the password, and research has demonstrated that this partial information can increase password cracking success rates by an order of magnitude when attackers have access to the leaked prefixes. The approach is particularly vulnerable to targeted attacks against highvalue accounts, where even partial information can be valuable to sophisticated adversaries.

Cryptographic protocols: Strong privacy at a high cost

At the other end of the spectrum, advanced cryptographic protocols offer robust privacy guarantees but come with substantial implementation and performance costs. Two primary approaches have emerged in this category: Oblivious Pseudorandom Functions (OPRF) and Private Set Intersection (PSI).

The OPRF approach, used in Google's Password Checkup service and Apple's iCloud Keychain, employs a sophisticated cryptographic dance. The client first "blinds" its password hash using a random value, creating a masked version that reveals nothing about the original password. The server then applies a pseudorandom function to this blinded value without learning anything about the underlying password. Finally, the client "unblinds" the result and checks if the final value exists in a pre-downloaded set of breached identifiers.

Private Set Intersection protocols take a different approach, using advanced cryptographic techniques like homomorphic encryption or garbled circuits. These protocols allow a client to learn the intersection of its password set and the server's breach database without either party revealing their complete set to the other.

While these cryptographic approaches provide excellent privacy guarantees with no information leakage, they come with significant drawbacks. They require complex implementations involving elliptic curve cryptography, impose high computational costs that can be 100 to 1000 times slower than simple hash operations, and in some PSI protocols, require substantial bandwidth for large breach sets. These factors make them impractical for many real-world applications, particularly those requiring real-time password validation or deployment on resource-constrained devices.

Local and offline approaches: Perfect privacy with practical limitations

Some organizations have opted for local or offline approaches to achieve perfect privacy. There are services like "Have I Been Pwned" that offer downloadable password lists, allowing organizations to download the entire breach database (approximately 25GB uncompressed, 11GB compressed) and perform searches locally. Organizations can also build local Bloom filters from these datasets, reducing storage requirements to around 860MB for 500 million passwords with a 0.1% false positive rate.

While local approaches provide perfect privacy since no network communication is required, they present their own challenges. Storage requirements can be prohibitive, especially for mobile applications. Keeping the local database synchronized with new breaches requires regular updates, and the approach is generally impractical for most enduser applications, particularly on mobile devices with limited storage capacity.

Our innovation: Obfuscated deterministic bloom filter indices

Our new algorithm represents a fundamental breakthrough in password breach checking by introducing a new approach that combines the efficiency of Bloom filters with sophisticated obfuscation techniques. The result is a system that provides strong privacy guarantees while maintaining the performance characteristics needed for real-world deployment.

Understanding bloom filters: The foundation

To understand our approach, it's helpful to first grasp the concept of a Bloom filter. A Bloom filter is a space-efficient probabilistic data structure designed to test whether an element is a member of a set. Think of it as a highly compressed representation of a large dataset that can quickly answer the question "Is this item definitely not in the set?" or "This item might be in the set."

The beauty of Bloom filters lies in their efficiency. Instead of storing the actual password hashes, a Bloom filter represents the breach database as a large array of bits. When a password hash is added to the filter, multiple hash functions are applied to generate several index positions in the bit array, and those positions are set to 1. To check if a password might be compromised, the same hash functions are applied to generate the same index positions, and if all those positions contain 1, the password might be in the breach database.

The probabilistic nature of Bloom filters means they can produce false positives (indicating a password might be breached when it actually isn't) but never false negatives (they will never miss a password that is actually breached). This characteristic makes them perfect for security applications where it's better to err on the side of caution.

The core innovation: Deterministic obfuscation

The key insight behind our algorithm is that while Bloom filters are efficient, directly querying specific bit positions would still reveal information about the password being checked. Our solution introduces a sophisticated obfuscation mechanism that hides the real query among carefully crafted noise.

The algorithm operates on a simple but powerful principle: when checking a password, instead of requesting only the bit positions that correspond to that password, the client also requests additional "noise" positions that are generated deterministically but appear random to the server. This creates a situation where the server cannot distinguish between the real query positions and the fake ones, effectively hiding the password being checked.

What makes this approach particularly elegant is the use of deterministic noise generation. Unlike random noise, which would create different query patterns each time the same password is checked, our deterministic approach ensures that checking the same password always generates the same set of noise positions. This consistency is crucial for both security and efficiency reasons.

How the algorithm works: A three-phase process

Our algorithm operates through three distinct phases, each designed to maintain privacy while ensuring efficient operation.

Phase 1: Server setup
The server begins by taking a comprehensive set of compromised password hashes from known data breaches. These hashes are then used to populate a large Bloom filter bit array. For each compromised password hash, multiple hash functions are applied to generate several index positions in the bit array, and those positions are marked as 1. The result is a compact representation of millions or billions of compromised passwords that can be queried efficiently.

Phase 2: Client query generation
When a client wants to check a password, the process begins by computing a cryptographic hash of the password. The client then generates two sets of indices: the "true indices" that correspond to the password being checked, and "noise indices" that serve as decoys.

The true indices are generated by applying the same hash functions used by the server to the password hash. These are the positions in the Bloom filter that would need to be checked to determine if the password is compromised.

The noise indices are generated using a pseudorandom function keyed with a secret that only the client knows. This secret ensures that the noise appears random to the server but is deterministic for the client. The number of noise indices is carefully chosen to provide strong privacy guarantees while maintaining efficiency.

Once both sets of indices are generated, they are combined and shuffled in a deterministic but unpredictable manner. This shuffling ensures that the server cannot distinguish between real and fake indices based on their position in the query.

Phase 3: Query processing and response
The client sends the shuffled set of indices to the server, which responds with the bit values at each requested position. The server has no way to determine which indices correspond to the actual password being checked and which are noise.

Upon receiving the response, the client examines only the bit values corresponding to the true indices. If any of these positions contains a 0, the password is definitively not compromised. If all true index positions contain 1, the password may be compromised, though there's a small possibility of a false positive due to the probabilistic nature of Bloom filters.

The power of deterministic noise

The deterministic nature of our noise generation provides several crucial advantages over alternative approaches. When the same password is checked multiple times, the exact same query is sent to the server each time. This consistency prevents correlation attacks where an adversary might try to identify patterns across multiple queries for the same password.

In contrast, if random noise were used, repeated queries for the same password would generate different noise patterns each time. A sophisticated adversary could potentially analyze multiple queries and identify the common elements, gradually narrowing down the true indices. Our deterministic approach eliminates this vulnerability entirely.

The deterministic noise also provides computational efficiency benefits. Since the same password always generates the same query, clients can cache results, and the system can optimize for repeated queries without compromising security.

Key benefits: Bridging the privacy-performance gap

Our algorithm delivers a unique combination of benefits that address the fundamental challenges in password breach checking, offering a practical solution that doesn't force users to choose between privacy and performance.

Strong privacy guarantees

The algorithm provides robust privacy protection through several mechanisms. The deterministic obfuscation ensures that queries for different passwords are computationally indistinguishable to the server. Even with access to vast computational resources and knowledge of common passwords, an adversarial server cannot determine which password is being checked based solely on the query pattern.

The system is specifically designed to resist correlation attacks, where an adversary attempts to learn information by analyzing multiple queries over time. Because the same password always generates the same query pattern, repeated checks don't provide additional information that could compromise privacy. This stands in stark contrast to systems using random noise, where multiple queries for the same password would eventually reveal the true query pattern.

Operating under an honest-but-curious threat model, the algorithm assumes the server will follow the protocol yet may attempt to extract information from observed queries. Our approach ensures that even a sophisticated adversary with access to public breach databases and the ability to store and analyze all queries over time cannot extract meaningful information about the passwords being checked.

Exceptional performance characteristics

One of the most compelling aspects of our algorithm is its performance profile. Experimental evaluation demonstrates that the system achieves sub-millisecond query times, making it suitable for real-time password validation scenarios. This performance is achieved through the efficient nature of Bloom filter operations and the streamlined query process.

The bandwidth overhead is minimal, typically requiring less than 1KB per query. This efficiency makes the algorithm practical for mobile applications and environments with limited network connectivity. The low bandwidth requirements also reduce server costs and improve scalability for service providers.

The computational overhead on both client and server sides is minimal. Clients need only perform basic cryptographic hash operations and simple bit manipulations. Servers can respond to queries with straightforward bit array lookups. This simplicity stands in stark contrast to cryptographic protocols that require complex elliptic curve operations or homomorphic encryption computations.

Scalability and practical deployment

Built for real-world deployment, the algorithm ensures that server-side infrastructure can efficiently process millions of concurrent queries while keeping response times consistent. The Bloom filter representation allows for compact storage of massive breach databases, making it economically feasible to maintain comprehensive breach checking services.

The system supports easy updates as new breaches are discovered. New compromised passwords can be added to the Bloom filter without requiring changes to the client-side implementation or forcing users to update their software. This flexibility is crucial for maintaining up-to-date protection against emerging threats.

Robust resistance to denial-of-service attacks is another advantage. The lightweight nature of query processing means that servers can handle high query volumes without significant resource consumption. Because queries are deterministic, effective caching can further boost performance and reduce server load.

Compatibility and integration

Our approach is designed to integrate seamlessly with existing security infrastructure. The algorithm can be implemented as a drop-in replacement for existing password breach checking mechanisms without requiring significant changes to client applications. Password managers, authentication systems, and enterprise security tools can adopt the algorithm with minimal modification to their existing codebases.

The system is compatible with various deployment models, from cloud-based services to on-premises installations. Organizations can choose to operate their own breach checking infrastructure using our algorithm while maintaining the same privacy and performance benefits.

The algorithm also supports various customization options to meet specific security requirements. Organizations can adjust the noise levels, Bloom filter parameters, and other configuration options to balance privacy, performance, and storage requirements according to their specific needs.

Real-world applications: Transforming password security

The practical benefits of our algorithm translate into significant improvements across a wide range of security applications and use cases. The combination of strong privacy guarantees and high performance opens up new possibilities for password security that were previously impractical or impossible.

Password managers: Enhanced security without compromise

Password managers represent one of the most compelling applications for our algorithm. These tools are responsible for generating, storing, and managing passwords for millions of users, making them a critical component of modern digital security. However, traditional password managers have faced challenges in implementing comprehensive breach checking due to privacy and performance constraints.

With our algorithm, password managers can now offer real-time breach checking for all stored passwords without compromising user privacy. When users save a new password or during periodic security audits, the password manager can instantly verify whether the password has appeared in known data breaches. This capability enables password managers to provide immediate feedback to users, encouraging them to change compromised passwords before they can be exploited.

The low latency and minimal bandwidth requirements make it practical to check passwords in real-time as users type them during password creation. This immediate feedback can guide users toward stronger, uncompromised passwords without creating friction in the user experience. The privacy guarantees ensure that even the password manager service provider cannot learn about the specific passwords being checked, maintaining the trust that is essential for these security tools.

Authentication systems: Proactive security measures

Modern authentication systems can leverage our algorithm to implement proactive security measures that protect users from credential-based attacks. During login attempts, authentication systems can check submitted passwords against breach databases in real time, identifying potentially compromised credentials before they can be used maliciously.

This capability enables authentication systems to implement adaptive security policies. For example, if a user attempts to log in with a password that has been found in a data breach, the system can require additional authentication factors, prompt for a password change, or temporarily restrict account access until the user updates their credentials. These measures can significantly reduce the success rate of credential stuffing attacks and other password-based threats.

The algorithm's performance characteristics make it suitable for high-volume authentication scenarios, such as enterprise login systems or consumer web services with millions of users. The sub-millisecond query times ensure that breach checking doesn't introduce noticeable delays in the authentication process, maintaining a smooth user experience while enhancing security.

Enterprise security infrastructure: Comprehensive protection

Large organizations face unique challenges in password security due to the scale and complexity of their IT environments. Our algorithm provides enterprise security teams with powerful tools for implementing comprehensive password security policies across their organizations.

Enterprise security systems can use the algorithm to continuously monitor employee passwords against breach databases, identifying compromised credentials before they can be exploited by attackers. This monitoring can be integrated with existing identity and access management systems, automatically triggering password reset requirements when compromised credentials are detected.

The algorithm also supports compliance requirements by providing organizations with the ability to demonstrate that they are actively monitoring for compromised credentials. Many regulatory frameworks and security standards require organizations to implement measures for detecting and responding to credential compromise, and our algorithm provides a practical, privacy-preserving solution for meeting these requirements. For organizations with strict data privacy requirements, the algorithm's privacy guarantees ensure that sensitive password information never leaves the organization's control. This capability is particularly important for organizations in regulated industries or those handling sensitive personal information.

Consumer applications: Democratizing security

The efficiency and simplicity of our algorithm make it practical to implement in consumer applications that previously couldn't afford the overhead of comprehensive breach checking. Mobile applications, web browsers, and other consumer software can now offer enterprise-grade password security features without requiring significant computational resources or complex cryptographic implementations.

Web browsers can integrate the algorithm to provide real-time feedback when users create or update passwords on websites. This integration can help users avoid reusing compromised passwords across multiple sites, reducing their exposure to credential stuffing attacks. The low bandwidth requirements make this practical even on mobile networks with limited connectivity.

Consumer applications can also use the algorithm to implement security dashboards that help users understand and improve their overall password security posture. By checking all of a user's passwords against breach databases, these applications can provide personalized recommendations for improving security without compromising the privacy of individual passwords.

Service providers: Enabling privacy-preserving security services

Our algorithm creates new opportunities for service providers to offer privacy-preserving security services. Companies can build breach checking services that provide strong privacy guarantees to their customers, enabling new business models and service offerings that were previously impractical due to privacy concerns.

The algorithm's efficiency makes it economically viable to operate large-scale breach checking services. The low computational and bandwidth requirements reduce operational costs, making it possible to offer these services at scale while maintaining reasonable pricing. The ability to handle high query volumes also enables service providers to serve large customer bases without significant infrastructure investments.

Service providers can also offer the algorithm as a component of broader security platforms, integrating breach checking with other security services such as threat intelligence, vulnerability management, and security monitoring. This integration can provide customers with comprehensive security solutions that address multiple aspects of cybersecurity while maintaining strong privacy protections.

Conclusion: A new era in password security

The introduction of our Private password breach checking algorithm using obfuscated deterministic bloom filter indices represents a significant advancement in the field of password security. By successfully bridging the gap between privacy and performance, we have created a solution that makes comprehensive password breach checking practical for a wide range of applications and use cases.

The algorithm's key innovations — deterministic noise generation, efficient Bloom filter operations, and sophisticated obfuscation techniques — combine to deliver a system that provides strong privacy guarantees while maintaining the performance characteristics needed for real-world deployment. With sub-millisecond query times and minimal bandwidth overhead, the algorithm makes it possible to implement real-time password breach checking in applications ranging from consumer password managers to enterprise authentication systems.

The privacy guarantees provided by our algorithm are particularly significant in today's regulatory environment, where data protection and user privacy are increasingly important considerations. By ensuring that password information never needs to be revealed to checking services, our algorithm enables organizations to implement comprehensive security measures while maintaining compliance with privacy regulations and user expectations.

The practical impact of this technology extends far beyond technical improvements. By making privacy-preserving password breach checking accessible and efficient, we are enabling a new generation of security tools and services that can better protect users from the growing threat of credential-based attacks. The algorithm's compatibility with existing infrastructure and ease of implementation mean that these benefits can be realized quickly and broadly across the security ecosystem.

As cyber threats continue to evolve and data breaches become increasingly common, the need for effective password security measures will only grow. Our algorithm provides a foundation for building more secure, privacy-preserving systems that can adapt to meet these challenges while maintaining the usability and performance that users expect.

The development of this algorithm represents just the beginning of our work in privacy-preserving security technologies. We are committed to continuing research and development in this area, exploring new applications and improvements that can further enhance the security and privacy of digital systems.

We believe that the future of cybersecurity lies in solutions that don't force users to choose between security and privacy. Our Private password breach checking algorithm demonstrates that it is possible to achieve both goals simultaneously, providing a model for future innovations in security technology.

For organizations and developers interested in implementing this technology, we encourage you to explore the detailed technical specifications and implementation guidance provided in our comprehensive research paper. The paper includes formal security analysis, detailed implementation recommendations, and comprehensive performance evaluations that provide the foundation for successful deployment of this algorithm in production environments.

For complete technical details, implementation guidance, and formal security analysis, please refer to our full research paper: Private password breach-checking using obfuscated deterministic bloom filter indices.
* The research paper includes detailed mathematical proofs, comprehensive performance benchmarks, and complete implementation examples for developers interested in integrating this technology into their applications.

Private password breach checking: A new algorithm for secure password validation

InfoSec

Jul 7, 2025 — 7 min read

Introduction

Would you trust a single key to open every door in your life? Probably not. And yet, when it comes to online security, countless people unwittingly take similar risks by using weak or easy-to-guess passwords — or by using the same password over and over again. Enter password managers — software designed to protect your digital life. But despite their growing popularity, myths about password managers persist, often deterring people from adopting them.

In this article, we’ll unravel common myths about password managers, explain how they work, and why indeed you can’t afford not to use them in order to up your cybersecurity. Let’s separate fact from fiction and give you the necessary tools to make smart choices to be safe online.

What is a password manager?

A password manager is like a digital vault that stores, generates, and manages your passwords securely. Instead of remembering dozens of complex passwords, you only need to remember one. These software products encrypt your credentials, ensuring that even if someone gains access to your device, they can’t decrypt your data without the master key.

Modern password managers, like Passwork, are not limited just by storing passwords. They offer features like password sharing, secure notes, and compatibility with multi-factor authentication (MFA). Think of it as your personal cybersecurity assistant, making it easy for you to stay safe without sacrificing your online experience.

Myth 1: Password managers aren’t safe or secure

This is one of the oldest password myths out there. Many believe that storing all your sensitive information in one place is just asking for trouble, but the reality is quite the opposite. Reputable password managers use end-to-end encryption to protect your data, so even if their servers are compromised, your passwords remain unreadable without your master password. And since most password managers don’t store your master password, even the provider can’t access your information.

No security system is 100% foolproof, but dismissing password managers for this reason is like refusing to lock your door because a burglar might pick the lock. In fact, password managers greatly reduce your risk by helping you create and store strong, unique passwords for every account. Consider this: a Verizon study found that 81% of data breaches are caused by weak or reused passwords. Using a password manager is like having a bank vault for your credentials—far safer than sticky notes, spreadsheets, or browser storage. It’s a crucial layer in your cybersecurity strategy.

Real-world perspective: A study by Verizon found that 81% of data breaches are caused by weak or reused passwords. Using a password manager minimizes this risk, making it a crucial layer in your cybersecurity strategy.

Myth 2: Putting all my passwords in one place makes them easy to hack

This myth stems from the fear of a "single point of failure." However, password managers are designed to be resilient. They use zero-knowledge architecture, meaning your data is encrypted locally before it’s stored. Even if the manager’s servers are compromised, your information remains secure.

And — depending on the app or service in question — features such as biometric authentication and MFA add another layer of defense, one that can't be pierced without you there to open it.

Myth 3: Remembering all my passwords is safer than trusting technology to do it for me

Let’s face it: How many of us can be bothered to remember a unique, 16-character password for every account? The human brain simply isn’t wired for this task. This is why people frequently depend on risky practices like weak passwords or using the same password for multiple accounts.

Analogy: Would you memorize every phone number in your phone book? No, you keep them in your phone. Password managers serve the same purpose, but for your digital credentials.

Myth 4: It’s a hassle to get a password manager up and running

Some people are fed up with password managers because they think the setup process is too technical. The reality? The majority of password managers are built as user-friendly as possible.

For instance, Passwork provides clear user interfaces and easy step-by-step instruction, with which absolute lay persons can't do anything wrong. Their API connector also specialise in browser extensions and mobile apps for ease of use.

Pro tip: Start small by importing passwords from your browser or manually add just a few important accounts. Once you realize how much time and strain it saves, you might even regret that you didn’t make the switch sooner.

Myth 5: Your passwords will be compromised if your computer is stolen

This is a myth, and it neglects several strong security features in modern password managers. Even if someone physically stole your device, they’d still need your master password or biometric data to access your vault.

Myth 6: Password length doesn’t matter as long as it’s complex

Complexity is important, but so does length, and maybe even more so. It becomes exponentially more difficult to crack a longer password, even with the most sophisticated software.

Example: A 12-character password consisting of random words (e.g., "PurpleElephantSky") is far more secure than a shorter, complex one will ever be ("P@ssw0rd").

Myth 7: Two-factor authentication (2FA) makes passwords irrelevant

While 2FA is an excellent security measure, it’s not a replacement for strong passwords. Instead, consider it an added layer of protection. A weak or reused password is enough to get you hacked even with the added layer of 2FA protection.

Myth 8: You can reuse passwords for low-importance accounts

Even "low-importance" accounts can be exploited in credential stuffing attacks, where stolen passwords are used to break into other accounts. It also requires you to reset a lot of other passwords and, if you’ve reused a lot of passwords (which is a bad idea), might put a significant portion of your digital life at risk

This is where a password manager comes in — creating unique passwords for each and every account without determining a tier of "importance".

How Passwork improves online security

Passwork takes password management to the next level by combining robust security features with user-friendly design. Here’s how it stands out:

Team sharing: Share passwords with your team securely keeping everything private.
Customizable policies: Set password strength requirements and expiration dates to enforce best practices.
End-to-end encryption: Your data is encrypted locally, ensuring that only you can access it.
Seamless integration: Use browser extensions and mobile apps to access your credentials anytime, anywhere.

With Passwork, managing your passwords becomes effortless, freeing you to focus on what truly matters.

FAQs

Are password managers safe to use?
Yes, password managers encrypt everything, so, much safer than say browser storage.
Is it possible for hackers to get into my password manager?
Not without your master password or biometric authentication. Features like zero-knowledge architecture further enhance security.
What happens if I forget my master password?
With most password managers, you can set up recovery options, but you must safeguard your master password.
I use 2FA, do I still need a password manager?
Yes, 2FA complements strong passwords but doesn’t replace them. A password manager ensures your passwords are both strong and unique.
Are password managers difficult to set up?
Not at all! Most tools, including Passwork, are designed for ease of use and come with setup guides.
Can I share passwords securely with a team?
Yes, tools like Passwork offer features for secure password sharing within teams.

Conclusion

Password managers are no longer a luxury: they are a must-have in today’s pretty much entirely digital world. By debunking these myths, we hope to encourage more users to embrace password managers.

Still hesitant? The risks of weak or reused passwords far outweigh the few minutes it takes to set up a password manager. Be in charge of your online security today — your future self will thank you.

Ready to take the first step? Try Passwork with a free demo and explore practical ways to protect your business.

Common myths about password managers

Worried that password managers are risky or hard to use? It’s time to rethink. In this article, we debunk common myths about password managers, break down how they actually work, and show why solutions like Passwork are vital for your cybersecurity. Learn how these tools keep your data protected.

Releases

Jun 30, 2025 — 4 min read

In the new version, we've introduced an option to share passwords with groups of users, implemented support for the OTPAuth encryption algorithm for generating TOTP codes, added internal link support between the 6th and 7th versions of Passwork, and resolved various UI and localization issues.

Now you can send passwords to a group of users — a new Groups field has been added to the password-sharing modal window. Password access updates automatically:

When new users are added to a group, they will immediately see the password in their Inbox
When users are removed from a group, the password will disappear from their Inbox
If the same password is shared with a user both directly and through a group, the access level set directly will take precedence

Improvements

Added support for links to vaults, folders, passwords, shortcuts, and other entities between the 6th and 7th versions of Passwork
Added support for the OTPAuth encryption algorithm for generating TOTP codes
Added a Forbidden by role tooltip for settings unavailable to users due to role limitations
Added detailed logging of SSO settings changes
Added an option to view the action history for shortcuts linked to deleted passwords
Added the option to navigate to a shortcut's directory from additional access modal windows, provided users has access to the specified directories
Added an empty state for the data export modal window
Disabled checkboxes for directories in User management if the user has Full access or lower permissions for them
Updated the appearance of deleted shortcut card

Bug fixes

Fixed an issue where the master password reset button in the Authorization and 2FA modal window did not work correctly when local password authorization was disabled
Fixed an issue where users could see the Assign as owner button when changing another user's role, but attempting to assign ownership resulted in an Access denied message
Fixed an issue where opening a password caused the current directory selection to disappear in the navigation panel
Fixed an issue where the 2FA connected event was logged in Activity log before the 2FA connection was confirmed
Fixed an issue where not all groups and roles were displayed in filters
Fixed an Access denied error when attempting to navigate from a shortcut to the initial password in a vault with Read and edit access level
Fixed an error that occurred when opening the password context menu if the TOTP field contained an OTPAuth URI
Fixed an issue where deleting a password via API or by another user did not trigger a redirect to the Recents page in the web version
Fixed an issue where enabling/disabling the Automatically clear background task history setting caused the task to appear in the scheduler only after refreshing the page
Fixed an issue where a folder continued to display in its original directory after being moved until the expanded directories in the navigation panel were collapsed/expanded
Fixed an issue where creating a new vault caused expanded directories in the navigation panel to collapse
Fixed an issue where not all users were displayed in the user addition window for a vault
Fixed an issue where the cancel button did not clear the DN for finding groups in AD/LDAP field when adding an LDAP server
Fixed an issue where the system notification about resetting the authorization password did not automatically disappear
Fixed an issue with resetting selected roles, groups, and invitations in user management when the search query was empty
Fixed an issue where the group filter was reset after clearing the role filter
Fixed an issue where nested elements in the navigation panel collapsed after creating a new vault
Fixed an issue with incorrect display of some icons on the vault access request tab
Fixed incorrect font in directory names

You can find all information about Passwork updates in our release notes

Passwork 7.0.8 release

InfoSec

Jun 30, 2025 — 8 min read

How to protect your online business from cyberattacks

Introduction

Imagine waking up one morning to find your business crippled by a cyber attack — your customer data stolen, your systems locked, and your reputation hanging by a thread. It’s a nightmare scenario, but one faced by countless businesses every year. Cybersecurity is no longer optional; it’s a necessity. Whether you're running a small business or managing a large enterprise, understanding how to prevent cyber attacks is critical to staying ahead of increasingly sophisticated threats.

In this article, we’ll dive into practical strategies for protecting your business from cyber attacks, ranging from securing networks to educating employees. We’ll also explore how tools like Passwork password manager can play a pivotal role in fortifying your defenses. Ready to safeguard your business? Let’s get started.

What is a cyberattack?

A cyberattack is an intentional attempt by hackers or malicious actors to compromise the security of a system or network. These attacks come in various forms, including phishing, ransomware, denial-of-service (DoS), and malware. For businesses, the stakes are high — financial loss, data breaches, and damaged reputations are just the tip of the iceberg.

Common types of cyber attacks on businesses

Phishing

Phishing involves fraudulent emails or messages designed to trick employees into revealing sensitive information, such as login credentials or financial data.

Reports: Phishing remains one of the most prevalent and damaging forms of cyberattacks. In Q4 2024 alone, 989,123 phishing attacks were detected globally (APWG).

Example: In 2023, attackers impersonated Microsoft in a phishing campaign targeting over 120,000 employees across industries. The emails mimicked legitimate notifications, resulting in compromised credentials for several corporate accounts.

Ransomware

Ransomware attacks involve hackers encrypting your systems and demanding payment for decryption keys.

Reports: In 2024, 59% of organizations were hit by ransomware attacks, with 70% of these attacks resulting in data encryption. The average ransom demand increased to $2.73 million, a sharp rise from $1.85 million in 2023 (Varonis Ransomware Statistics).

Example: In 2024, the Colonial Pipeline ransomware attack crippled fuel supply across the eastern U.S. The company paid a $4.4 million ransom to regain access to its systems, highlighting the severe operational and financial impacts of such attacks.

DDoS (Distributed Denial of Service)

DDoS attacks aim to disrupt operations by overwhelming servers with traffic.

Reports: In 2023, the largest recorded DDoS attack peaked at 71 million requests per second, targeting Google Cloud.

Example: In 2024, the GitHub DDoS attack brought down the platform for hours, affecting millions of developers globally. The attack exploited botnets to flood GitHub’s servers with malicious traffic.

Credential stuffing

Attackers use stolen login credentials from one breach to gain access to other systems due to password reuse. Attackers use stolen credentials from one breach to gain access to other systems.

Reports: With 65% of users reusing passwords, credential stuffing remains a critical threat.

Example: In 2023, attackers used credential stuffing to breach Zoom accounts, exposing private meetings and sensitive data. The attack leveraged credentials leaked in earlier breaches of unrelated platforms.

Malware

Malware refers to malicious software, such as viruses, worms, or spyware, that infiltrates systems to steal data or cause damage.

Reports: Malware-related email threats accounted for 39.6% of all email attacks in 2024, and the global financial impact of malware exceeded $20 billion annually (NU Cybersecurity Report).

Example: The Emotet malware campaign in 2023 targeted financial institutions worldwide, stealing banking credentials and causing widespread disruptions.

Social engineering manipulates individuals into revealing confidential information or granting access to secure systems.

Reports: In 2024, 68% of breaches involved the human element, often through social engineering tactics like pretexting, baiting, and tailgating (Verizon DBIR).

Example: In 2023, an attacker posing as a senior executive tricked an employee at Toyota Boshoku Corporation into transferring $37 million to a fraudulent account.

Supply chain attacks

Supply chain attacks exploit vulnerabilities in third-party vendors or suppliers to infiltrate larger organizations.

Reports: In 2023, 62% of system intrusions were traced back to supply chain vulnerabilities (IBM X-Force).

Example: The SolarWinds attack remains one of the most damaging supply chain incidents. Hackers compromised the Orion software update, affecting thousands of organizations, including government agencies and Fortune 500 companies.

Data breaches

Data breaches involve unauthorized access to sensitive customer or company information.

Reports: In 2024, the average cost of a data breach reached $4.45 million, a 15% increase over three years (IBM Cost of a Data Breach Report 2024). These breaches often result from weak passwords, phishing, or insider threats.

Example: In 2023, the T-Mobile data breach exposed the personal information of 37 million customers, including names, addresses, and phone numbers, leading to significant reputational damage and regulatory scrutiny.

Understanding these threats is the first step toward prevention.

How to protect your online business from cyber attacks

Protecting your business from cyber threats requires a multi-layered approach. Below are actionable strategies to fortify your defenses.

Secure your networks and databases

Your network is the backbone of your business operations, making it a prime target for attackers. Implement these measures to secure it:

Install firewalls
Firewalls act as a barrier between your internal network and external threats.

Use VPNs
Encrypt data transfers with Virtual Private Networks to prevent interception.

Segment networks
Divide your network into smaller sections to contain breaches.

Recommendation: Reduce the risk of data breaches by segmenting your network. Isolate sensitive customer data from general operations to limit unauthorized access and minimize potential exposure in case of a breach.

Educate your employees

Your employees are your first line of defense — and often the weakest link. Training them on cybersecurity best practices can significantly reduce risks.

Conduct regular workshops
Teach employees how to recognize phishing emails and suspicious links.

Simulate cyber attacks
Run mock scenarios to test their response and improve preparedness.

Create a reporting system
Encourage employees to report potential threats immediately.

Recommendation: Since 95% of cybersecurity breaches are caused by human error, prioritize educating your team. Implement regular cybersecurity training to raise awareness and equip employees with the knowledge to identify and prevent potential threats.

Ensure proper password management

Weak passwords are an open invitation for hackers. Proper password management is essential to protecting your systems.

Use strong passwords
Encourage the use of complex passwords with a mix of letters, numbers, and symbols.

Adopt a password manager
Implement a secure solution like Passwork to simplify password management, encourage unique passwords for each account, and reduce the risk of breaches.

Change passwords regularly
Implement policies for periodic password updates.

Recommendation: Use a secure password manager to generate and store complex, unique passwords for all accounts, enforce regular password updates, and eliminate the risks associated with weak or reused credentials.

Carefully manage access and identity

Controlling who has access to sensitive data is crucial. Follow these steps:

Role-based access control (RBAC)
Assign access based on job roles.

Monitor access logs
Regularly review who accessed what and when.

Deactivate unused accounts
Immediately revoke access for former employees.

Set up multi-factor authentication (MFA)

Passwords alone aren’t enough. MFA adds an extra layer of security by requiring multiple forms of verification.

SMS or email codes
Require a code sent to the user’s phone or email.

Biometric authentication
Use fingerprint or facial recognition for secure access.

App-based authentication
Tools like Passwork 2Fa and Google Authenticator offer reliable MFA solutions.

Encrypt your data

Encryption ensures that even if data is intercepted, it remains unreadable to unauthorized users.

Encrypt files
Use advanced encryption algorithms for sensitive documents.

Secure communication channels
Encrypt emails and messaging platforms.

Adopt end-to-end encryption
Particularly important for customer-facing applications.

Create backups

Backups are your safety net in the event of a ransomware attack or accidental data loss.

Automate backups
Use cloud services to schedule regular backups.

Keep multiple copies
Store backups both online and offline.

Test recovery
Periodically test your ability to restore data from backups.

Ensure your software is kept up-to-date

Outdated software is a goldmine for hackers. Regular updates close known vulnerabilities.

Enable automatic updates
Ensure your systems update without manual intervention.

Patch management
Use tools to monitor and apply security patches.

Audit software
Regularly review third-party applications for potential risks.

Create security policies and practices

Formal policies provide a clear framework for cybersecurity.

Draft a cybersecurity policy
Include guidelines for data handling, password use, and incident response.

Conduct regular audits
Review compliance with security protocols.

Update policies
Adapt your policies to evolving threats.

Inform your customers

Transparency builds trust. Inform customers about your cybersecurity measures and educate them on protecting their data.

Send security tips
Share advice via newsletters or blogs.

Offer secure payment options
Use encrypted payment gateways.

Respond to breaches
Communicate openly and promptly if an incident occurs.

Understand what data you have and classify it

Knowing what data you store — and its value — is key to prioritizing protection.

Inventory your data
Create a list of sensitive information, such as customer details and financial records.

Classify data
Separate high-risk data from less critical information.

Limit data collection
Only collect what’s necessary for business operations.

How Passwork protects your business from cyberattacks

Passwork password manager is a game-changer for businesses aiming to strengthen their cybersecurity. Here’s how:

Centralized password management
Simplifies and secures access for teams.

Role-based permissions
Ensures employees only access what they need.

Audit trails
Tracks password usage for accountability.

Encrypted storage
Keeps passwords safe from unauthorized access.

FAQ

What’s the most common type of cyberattack on businesses?
Phishing is the most prevalent, accounting for over 80% of reported incidents.

How does Passwork enhance password security?
Passwork provides encrypted storage, role-based permissions, and audit trails for secure password management.

How often should I update my software?
Software should be updated as soon as patches are available to close vulnerabilities.

What’s the importance of encryption in cybersecurity?
Encryption ensures that intercepted data remains unreadable to unauthorized users.

Can small businesses afford cybersecurity measures?
Yes, many affordable tools and strategies cater specifically to small businesses. Passwork provides flexible and cost-effective plans tailored for small businesses.

What should I do if my business suffers a cyberattack?
Immediately contain the breach, inform stakeholders, and consult cybersecurity professionals.

How can I educate employees about cybersecurity?
Conduct regular workshops, simulate attacks, and provide easy-to-follow guidelines.

Conclusion

Cybersecurity isn’t just a technical issue — it’s a business imperative. By implementing the strategies outlined above, you can protect your online business from cyberattacks, safeguard sensitive data, and build trust with your customers. Tools like Passwork make it easier than ever to stay secure without sacrificing efficiency.

Ready to take the first step? Try Passwork with a free demo and explore practical ways to protect your business.

How to protect your online business from cyberattacks

Protect your online business from cyber threats with actionable strategies, from employee education to advanced tools like Passwork. Learn about phishing, ransomware, and more while discovering how to enhance security with simple yet effective measures. Stay protected — read the full article!

Releases

Jun 19, 2025 — 2 min read

Passwork 7.0.7 update is available in the Customer portal.

Fixed incorrect migration of attachments and password editions to Passwork 7
Fixed an issue where the API session could be reset after token renewal
Improved overall performance and stability

You can find all information about Passwork updates in our release notes

Passwork 7.2.4 release

Introduction

How HIPAA works

HIPAA applies to:

Cybersecurity and clinical efficiency

HIPAA and password management

How to train staff to meet HIPAA standards

How Passwork supports HIPAA compliance

Sustainable HIPAA compliance

Further reading

HIPAA requirements for password management

Passwork 7.0.10 release

What the pentest covered

Why this matters

Continuous improvement

Passwork 7: Security verified by HackerOne

Introduction

What are insider threats?

Ethical dilemmas: Surveillance vs. privacy

Insiders vs. outsiders: Who poses a bigger risk?

Separating signals from noise

Predictive vs. reactive threat detection

Balancing trust and security

Key takeaways

Conclusion

Further reading:

Insider threats: Prevention vs. privacy

Improvements

Bug fixes

Passwork 7.0.9 release

Introduction

Existing solutions and their tradeoffs

Direct hash lookup: Simple but insecure

K-anonymity: A step forward with remaining vulnerabilities

Cryptographic protocols: Strong privacy at a high cost

Local and offline approaches: Perfect privacy with practical limitations

Our innovation: Obfuscated deterministic bloom filter indices

Understanding bloom filters: The foundation

The core innovation: Deterministic obfuscation

How the algorithm works: A three-phase process

The power of deterministic noise

Key benefits: Bridging the privacy-performance gap

Strong privacy guarantees

Exceptional performance characteristics

Scalability and practical deployment

Compatibility and integration

Real-world applications: Transforming password security

Password managers: Enhanced security without compromise

Authentication systems: Proactive security measures

Enterprise security infrastructure: Comprehensive protection

Consumer applications: Democratizing security

Service providers: Enabling privacy-preserving security services

Conclusion: A new era in password security

Private password breach checking: A new algorithm for secure password validation

Introduction

What is a password manager?

Myth 1: Password managers aren’t safe or secure

Myth 2: Putting all my passwords in one place makes them easy to hack

Myth 3: Remembering all my passwords is safer than trusting technology to do it for me

Myth 4: It’s a hassle to get a password manager up and running

Myth 5: Your passwords will be compromised if your computer is stolen

Myth 6: Password length doesn’t matter as long as it’s complex

Myth 7: Two-factor authentication (2FA) makes passwords irrelevant

Myth 8: You can reuse passwords for low-importance accounts

How Passwork improves online security

FAQs

Conclusion

Further reading

Common myths about password managers

Group password sharing (only in the version without client-side encryption)

Improvements

Bug fixes

Passwork 7.0.8 release

Introduction

What is a cyberattack?

Common types of cyber attacks on businesses

Phishing

Ransomware

DDoS (Distributed Denial of Service)

Credential stuffing