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DraftKings Breached, Consumers Urged to Change Passwords

In late November, DraftKings, one of the leading sports betting platforms in the world, revealed that several hundreds of customer accounts were compromised. Customers were locked out of their accounts, and nearly $300,000 in funds were affected.

DraftKings maintains that it wasn’t directly hacked but that the log-in credentials of its customers were compromised on other websites and then used to access their DraftKings accounts. The platform has committed to righting the wrongs committed against affected customers and has urged all members to change their passwords.

The breach has also affected DraftKings rival, FanDuel, and betting platform BetMGM.

Cyber Breaches are on the Rise

Betting sites are urging their customers to change their passwords, especially as the World Cup is in full swing, and to take the utmost precautions when browsing the web in general. In today’s digital age, breaches are becoming more and more common across all industries, and both consumers and companies need to protect themselves as much as possible.

Statista said about 15 million data records were compromised through data breaches worldwide in the third quarter of 2022, a 37% increase from Q2. Forbes cited an increase of 15.1% in cyberattacks and data breaches from 2020 to 2021.

While cybercriminals are constantly devising new ways to hack into databases, there are several ways consumers can protect themselves:

• Use a password generator to create complex passwords (i.e., not your name and birthday)
• Use two-factor authentication and multi-factor authentication when available
• Check your credit card statements regularly to monitor strange expenses
• Use a reputable antivirus program on all your devices
• Don't open suspicious emails or click on suspicious links

As for companies, transparency is essential. Customers appreciate companies that are honest with them and share information about data breaches. Moreover, it can be illegal for a company to cover up a data breach. In October 2022, Uber's former chief security officer was convicted of covering up a data breach that occurred in 2016. (Uber hacked again in September 2022, but management learned its lesson and disclosed the breach.)

Another high-profile breach of 2022 was the Crypto.com hack that took place at the beginning of the year when cyber criminals stole about $18 million worth of bitcoin and $15 million worth of Ethereum.

In general, the crypto world and online gambling/sports betting worlds are prime targets for hacks, as they both hold consumers’ financial information. Being proactive about cyber defence is crucial for any gambler or punter who likes to bet online.