Cloud computing has practically changed how every business operates. It is a technology which has grown in importance over the last decade, becoming a part of our jobs and our personal lives. In the last few years there have been a lot of discussions around the safety of the cloud and how vulnerable it could be to cyber-attack. Many in business are asking: is the cloud secure and reliable enough for the heavily regulated finance industry?

What Are the Security Concerns?

When it comes to storing any kind of personal data, security issues are always a prime concern. The finance industry involves storing a lot of sensitive data that in the wrong hands could cause a lot of problems. Over the years there have been a number of very public data breaches as a result of cyber-attacks on cloud technology, resulting in many in the finance industry being wary of the technology.

What is Data Encryption? 

Strong data encryption is one of the best methods of defence against a cyber-attack. Encrypted data is data which has been scrambled, meaning that without the correct password or pin the data will be meaningless to anyone who has gained access to it by force. It is a must that any cloud service being used to store personal and financial information uses strong encryption technology which is regularly updated.

Compliance

When it comes to processing and storing financial, there are a lot of compliance issues. Financial institutions will need to be strict in their vetting process when it comes to identifying the best cloud service for them. Financial institutions should read all minute details in contracts with cloud operators and vet security procedures, making sure they are as up-to-date as they can be and will be continually updated as technology evolves.

Protect Your Business

Making sure all financial information stored on the cloud is secure starts within financial companies themselves. Companies must ensure all employees are properly trained in cyber security; for example, employees should be aware of how to spot potential phishing scams which can be used by attackers to gain access to pins and passwords to decrypt secure data on the cloud. Phishing scams often come in the form of an email where the sender purports to be a known trustworthy source in an attempt to obtain sensitive information such as passwords and login details.

Cloud Investment 

 Many companies, such as Amazon and Google, are now investing huge sums of money into this technology, making sure it evolves and adapts to alleviate the ever-growing security concerns. In a recent interview last year, Andre Pienaar, owner of the venture capital investment company C5, said: “People used to see cloud computing as the blocker to cybersecurity, now they see it as the answer.”