- The connection allows smart contracts to request information from the API as per Telefónica.
- Even major institutions like the U.S SEC have been hacked using this method.
The biggest Spanish telecom company, Telefónica, has joined up with Web3 oracle provider Chainlink to strengthen defenses against SIM swaps, a common way hackers break into systems.
Moreover, the two companies’ strategic partnership would “enable the secure connection” of smart contracts with other GSMA Open Gateway APIs, according to Telefónica’s announcement on February 15th. Also, Chainlink and a set of standard network APIs intended to provide access to operator networks are both used in the integration to verify data from various sources.
As a kind of identity theft known as a SIM swap attack, cybercriminals get access to sensitive data such as cryptocurrency accounts, bank records, and credit card numbers by getting access over the victim’s mobile phone number. Even major institutions like the U.S SEC have been hacked using this method since it is so common and effective.
Web of the Future
According to Telefónica, the connection allows smart contracts to request information from the API, which increases transaction security and provides another layer of protection to blockchain transactions. Making sure the SIM card “has not undergone any unauthorized changes” is how this checks whether a device is legitimate.
Furthermore, for Telefónica, this isn’t a first foray into Web3. The firm began accepting Bitcoin, Ethereum, and other cryptocurrencies as payment in 2022 on its web store.
According to Telefónica’s chief metaverse officer Yaiza Rubio Viñuela, this marks the “first use case” of the GSMA Open Gateway SIM Swap API, establishing the business as a “Web3 enabler.” She went on to say that this would put them in a position to work with developers as the sector enters the “web of the future.”
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Source: https://thenewscrypto.com/telefonica-and-chainlink-collaborate-to-safeguard-against-sim-swap-attacks/