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Nok Nok
30 Apr
4 Min read

Verizon 2025 DBIR: Credential Attacks Still Dominate – A Nok Nok Perspective

April 30, 2025 Nok Nok News Cybersecurity, Industry News, Passkeys, passwordless authentication 0 comments

Verizon 2025 DBIR: Credential Attacks Still Dominate – A Nok Nok Perspective

The Verizon 2025 Data Breach Investigations Report (DBIR) paints a clear, urgent, and yet familiar picture: password-related attacks remain the number one threat to organizations worldwide. As a leader in passwordless authentication, here at Nok Nok, we see the findings as both a wake-up call and a validation of our mission to move everyone beyond passwords.

Key Findings: Passwords and Credential Abuse Remain Top Risks

The report highlights several critical points regarding the persistence of credential-based attacks:

  • Stolen Credentials Are the Primary Entry Point: Credential abuse was the initial vector in 22% of breaches globally, making it the single most common way attackers get in. Attackers aren’t hacking their way in-they’re logging in through the front door using stolen, guessed, or leaked passwords.
  • Web Application Attacks Rely on Credentials: A staggering 88% of basic web application attacks involved stolen credentials. This highlights how password reuse and weak password policies continue to undermine security.
  • Phishing and Social Engineering Fuel Credential Theft: Phishing accounted for nearly 25% of breaches, and social engineering remains a top tactic for stealing login information. The median time for a user to click a phishing link was just 21 minutes-far faster than most organizations can detect and respond. Yikes!
  • Infostealers Target Devices and Credentials: 30% of infostealer-compromised systems were enterprise-managed, but 46% were unmanaged, often personal devices used for work (BYOD). This exposes organizations to credential theft outside their direct control.
  • Ransomware and Credentials: Ransomware was present in 44% of breaches, and infostealer logs containing corporate credentials were found in over half of ransomware victims. Credentials are often the first step to a much larger compromise.

Other Notable Trends from the 2025 DBIR

Beyond credential attacks, the DBIR also highlights other significant trends:

  • Exploitation of Vulnerabilities: Exploits targeting unpatched edge devices (like VPNs and firewalls) surged by 34%, now accounting for 20% of breaches. Attackers are increasingly automating the exploitation of known and zero-day vulnerabilities.
  • Third-Party Breaches: The share of breaches involving third parties doubled to 30%, highlighting the risks in supply chains and partner ecosystems.
  • Human Error: Human involvement remains a factor in 60% of breaches, reinforcing the need for user training and better security design.
  • Remediation Gaps: Only 54% of vulnerable edge devices were patched, with a median fix time of 32 days-leaving a wide window for attackers.

Why Passwords Remain the Weak Link

The DBIR’s findings confirm what we at Nok Nok have long argued: passwords are fundamentally flawed as a security mechanism. Attackers exploit them because:

  • They are easily stolen via phishing, malware, or leaks.
  • Users often reuse passwords, at work and at home, across multiple sites.
  • Passwords can be guessed, brute-forced, or found in breached databases.
  • Device and BYOD risks mean credentials can be compromised outside IT’s visibility.

As the report states, “Credential theft continues to be the key to the kingdom in the majority of breaches. And it’s not slowing down”.

The Path Forward: Passwordless Authentication

For organizations looking to break the cycle, the DBIR offers a clear mandate: move beyond passwords. Here’s how Nok Nok recommends responding:

  • Adopt Passwordless, Phishing-Resistant Authentication: FIDO-based authentication(aka passkeys) eliminate the risks of credential theft, phishing, and reuse by removing passwords from the equation.
  • Enforce Strong Access Controls for Devices: Ensure only managed, secure devices can access sensitive systems-especially in BYOD environments.
  • Accelerate Patch Management: Reduce the window for vulnerability exploitation by patching edge devices and VPNs rapidly.
  • Invest in User Training and Real-Time Detection: While technology is critical, user awareness and rapid response to phishing remain essential.

Conclusion: The Time to Act Is Now

The 2025 Verizon DBIR makes it clear: attackers are evolving, but they still rely on the same old trick – stealing passwords. Why? Because it’s the least path of resistance. Why spend time hacking when you can just log in instead? As long as organizations depend on passwords, breaches will continue. At Nok Nok, we believe the solution is simple: eliminate passwords, embrace modern authentication, and close the door on credential-based attacks for good. This gets us out of the arms-race and leap-frogs credential based attacks. If you’re attending Kuppinger Cole EIC 2025, our very own Rolf Lindemann, Vice President, Products, will be speaking to this very topic!  

The future of security is passwordless. Let’s make 2025 the year we finally leave passwords behind.

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02 Apr
3 Min read

Another Step Towards a Passwordless Future

April 2, 2025 Nok Nok News Cybersecurity, Industry News, Passkeys, passwordless authentication 0 comments

Another Step Towards a Passwordless Future

Microsoft’s announcement that it will be replacing passwords with passkeys for over a billion users by 2025 is huge news for the entire digital security landscape. At Nok Nok, we’re not just excited – we see this as the right approach, and another step on the long-overdue journey toward a passwordless future.

Why Microsoft’s Move Matters
Microsoft’s decision to make passkeys the default sign-in method across its platforms (including Outlook, Xbox, and Microsoft 365) is a powerful endorsement of passwordless authentication.

Here’s why we think it’s so important:

Reach: Microsoft can bring passwordless authentication to a massive audience. Educating their users about the benefits and ease of use of passkeys will accelerate adoption across the board.

Security: Passkeys, built on FIDO standards, offer significantly stronger security than passwords. They are resistant to phishing, keylogging, social engineering, and other common attacks that passwords are vulnerable to. With cyberattacks targeting login credentials on the rise, this enhanced security is purpose-built to meet security needs.

User Experience: Microsoft is focusing on a streamlined sign-up and sign-in process, making passkeys easy to adopt and use. By making the user experience simple and intuitive, they are removing a major barrier to adoption.

Another Nail in the Password Coffin
For years, passwords have been the weakest link in online security. They are hard to remember, easy to guess, and constantly targeted by attackers. The industry has known this for a long time, and we’ve been working towards a better solution. Microsoft’s move is another big step in getting rid of passwords once and for all, leading us closer to a more secure online world.

What This Means for the Industry
Microsoft’s commitment to passkeys will likely have a ripple effect across the industry. As more and more users experience the benefits of passwordless authentication, other companies will be compelled to follow suit. This increased adoption will drive further innovation and standardization in the passkey space, making it easier for everyone to implement and use passwordless solutions.

Why We’re Thrilled Here at Nok Nok
We here at Nok Nok have been a pioneer in passwordless authentication, and we’re excited to see a tech giant like Microsoft championing passkeys. We know that passkeys are the future of authentication. Microsoft’s initiative validates our vision and demonstrates the growing momentum behind passwordless technology. We have been building and deploying FIDO-based passwordless solutions for over a decade and our FIDO-certified solutions are deployed at internet scale to hundreds of millions of global end users. We are ready to support businesses in implementing passkeys and are excited about helping make the internet safer for everyone!

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31 Jul
3 Min read

Navigating the Path to Passkeys: One Approach Does Not Fit All

July 31, 2024 Nok Nok News Passkeys, passwordless authentication 0 comments

As businesses and government organizations embark on their journey towards implementing passkeys, careful planning and consideration of various factors are crucial to ensure a smooth transition. We think one of the most critical and valuable to the organization is “the path” – where to start, and how to stage the phases.  Passkeys offer numerous benefits, including enhanced security, improved user experience, and reduced operational costs. But careful consideration of the steps that surround the actual passwordless path is critical, especially for organizations in high security and regulated markets.

What are all these steps and why are they important in migrating to Passkeys?

  1. Defining Goals and Priorities

Before diving into implementation, organizations must first define their specific goals and priorities for adopting passwordless technologies. Whether the aim is to bolster security measures, streamline user access, or cut down on operational expenses, clarity on objectives is essential from the outset.

  1. Assessing Current Security Infrastructure

With goals and priorities aligned, next up is understanding the current state of the organization’s security infrastructure. Too often organizations will miss a step as they haven’t identified potential gaps in existing solutions and assessing security posture are vital steps in preparing for the transition to passwordless authentication. This is particularly critical in industries with stringent regulatory requirements, such as finance and healthcare, where compliance and data integrity are paramount.

  1. Prioritizing Use Cases

Once goals are established and the security landscape is assessed, prioritizing use cases becomes the next step. Different applications and user interactions may require varying levels of security and access control. Thus, businesses must identify which use cases are most critical and prioritize them accordingly. This involves determining which use cases necessitate the highest level of security and which could benefit from a simplified user experience.

  1. Paths to Implementing Passwordless Solutions

With these considerations in mind, we have learned that organizations can explore various paths towards implementing passwordless solutions, each tailored to specific needs and use cases with related benefits. Where an organization starts depends on their goals and priority use cases. For example, for organizations with a mobile first strategy and high security needs, they may consider “hardening” their mobile application with a device-bound passkey first as most companies are enabling biometrics in a less secure way. This provides a “trust anchor” through the mobile app.  Alternatively, businesses can opt to start by replacing passwords in applications with synced passkeys, either for web-only usage or across both web and native applications. There are pros and cons to consider and it’s important to understand the security and user experience ramifications. For high security markets, combining device bound and synced passkeys can enable organizations to address various use cases in the most convenient and secure manner.

  1. Planning and Rollout

While these paths may seem straightforward, transitioning to passwordless requires meticulous planning and phased rollout. Testing and refining your approach in controlled environments allows organizations to mitigate risks and make necessary adjustments based on initial feedback and performance. This approach ensures a smoother transition and enhances both security measures and user satisfaction.

For businesses seeking guidance on navigating the complexities of implementing passwordless authentication, partnering with experienced providers like Nok Nok can offer invaluable support and expertise. With over a decade of experience in deploying FIDO-based solutions for trusted brands across various industries, Nok Nok is well-equipped to assist organizations in transitioning to a passwordless future.

To learn more about accelerating your journey towards passwordless authentication, reach out to Nok Nok today.

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02 May
4 Min read

Friction and Fatigue = Fraud: not with Passkeys!

May 2, 2024 Nok Nok News FIDO Alliance, Passkeys 0 comments

Friction and Fatigue = Fraud: not with Passkeys!
Enhancing Banking Security Through Advanced Authentication: Embracing Passkeys

In today’s digital landscape, where online transactions have become ubiquitous, ensuring robust security measures within the banking sector is paramount. But users too often encounter friction in their onboarding process or just give up due to the multiple times they are asked to prove their identity.

With the proliferation of cyber threats and the increasing sophistication of malicious actors, traditional authentication methods have proven to be inadequate in safeguarding sensitive financial data. However, a transformative shift is underway, powered by advanced authentication technologies such as FIDO (Fast Identity Online), revolutionizing the way banks protect their customers’ accounts and transactions. Here, we delve into four key considerations and an outlook on how banking security is being fortified with advanced authentication, particularly through the adoption of FIDO technology:

  1. Seamless Authentication Across Platforms
    Banks have made significant strides in leveraging biometrics for native banking app sign-ins, offering users a convenient and secure authentication experience. However, this convenience is often absent when accessing banking services via web browsers, where users are still required to rely on traditional usernames and passwords. By adopting FIDO-based passkey authentication for web applications, banks can provide a consistent and frictionless user experience across all platforms, enhancing security while reducing login time and fatigue.
  2. Streamlining Payment Approvals
    The current process of approving payments during e-commerce transactions often involves app-switching or device-switching, introducing unnecessary friction and potentially impacting conversion rates. With the integration of Secure Payment Confirmation (SPC) technology, powered by FIDO authentication, users can seamlessly approve payments without the need to switch apps or devices. Initial pilots have demonstrated a significant uplift in conversion rates, underscoring the efficacy of this approach in enhancing user experience and security.
  3. Expanding the Role of Banking Cards
    Traditional banking cards are primarily designed for offline use, limiting their utility in online transactions and contributing to the prevalence of card-not-present (CNP) fraud. By incorporating FIDO security key technology into banking cards, financial institutions can extend the functionality of these cards to online transactions, providing users with a secure and convenient authentication method. This not only simplifies device migration for banking app access but also reduces reliance on vulnerable authentication methods such as SMS-based OTPs.
  4. Optimizing User Onboarding Processes
    The conventional approach to user onboarding in banking often involves ID proofing before credentialing the user, resulting in potential disruptions and drop-offs during the signup process. By reversing this order and leveraging FIDO passkeys, banks can enhance the onboarding success rate while providing a seamless user experience. Passkeys eliminate the need for passwords altogether, further streamlining the authentication process and ensuring a smoother transition for new users.

Outlook: Shifting Towards FIDO-Based Authentication

The authentication landscape is undergoing a paradigm shift, transitioning from traditional methods like passwords and OTPs to FIDO passkeys. This evolution is driven by the need for stronger security measures, improved user experience, and compliance with regulatory requirements such as PSD2 and SCA. As banks embrace FIDO technology, they stand to benefit from enhanced security, reduced friction, and greater flexibility in authentication methods.

Where can you find the cross platform, streamlined but secure onboarding for your banking applications – Nok Nok. As one of the creators of FIDO-based authentication credentials, Nok Nok offers passwordless sign-up and sign-in to online services. Nok Nok™ solutions are built from the ground-up leveraging FIDO standards and offer the most comprehensive passkey support to meet the widest range of use cases.

In conclusion, FIDO-based authentication holds the key to fortifying banking security in an increasingly digital world. By embracing advanced authentication technologies and prioritizing user experience, banks can stay ahead of evolving threats and provide their customers with the peace of mind they deserve in their financial transactions.

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17 Nov
4 Min read

Missing the Forest for the Trees

November 17, 2023 Jackie Comp FIDO Alliance, Passkeys 0 comments

New technologies, especially those that are transformational, get scrutinized – that’s normal.  The benefits need to be carefully understood along with any potential drawbacks. The danger to progress however, results from an imbalance in focus … when we place too much emphasis on “edge cases” at the sacrifice of all the benefits.  

We miss the forest for the trees.

Passkeys are a perfect example. Passkeys (aka passwordless FIDO credentials) are transformational as an authentication approach. They are phishing-resistant, easy to use, and future proof (open standard supported by the ecosystem). While they are still new to most users, passkeys will quickly become the preferred method of authentication in the same way most users happily adopted Touch ID and Face ID when offered for app sign-in.

Simply put, passkeys are more secure and more convenient than passwords and one-time passwords (OTP):

  • Keys cannot be “phished” (there is no “secret” to share)
  • Fake sites (man-in-the-middle attacks) will fail because they do not have the appropriate private key to impersonate a user.  
  • Attacks don’t scale because the attacker must physically have the user’s device where the private key is stored, as well as their user verification method (fingerprint, face recognition, etc). 
  • Users don’t need to remember complex passwords or fumble with OTPs — they just sign in with a swipe or look into the camera.  The complexity of the private/public keys is behind the scenes.

Although passkeys are vastly more secure and greatly improve the user experience, the attention seems to be focused on the “edge cases” that make them not “perfect”.   

  • Edge Case #1: Unclear how the synced key is protected – what if it is compromised.  Synced passkeys may be stored by platform providers like Apple and Google, or they may be protected by password managers. That is no different from passwords. The big difference, however, is that passwords can be easily phished and stolen. While password managers can help prevent phishing, not everyone uses one. Also, the relying party cannot tell if they are using a password manager or how strong the password really is. With passkeys the phishing resistance doesn’t depend on user behavior. It is guaranteed by the standard. And to steal someone’s passkey you’d have to take over their account or trick a provider to restore a key to your device, which is orders of magnitude more difficult to achieve. Is it possible, yes, but the current risk with passwords is far greater.
  • Edge Case #2: The transport security of the keys is unknown. The protocol may be proprietary to the provider, however the large providers strongly encrypt the passkeys and synchronization of passwords to the cloud uses proprietary protocols, too.
  • Edge Case #3: The key may have been shared (“AirDropped”). This is true, a user can air drop their passkey to another user. It is also true, however, that someone can just as easily share their password.  And, unlike passkeys, passwords can be easily guessed making them much more vulnerable.

Understanding risk is important, but not at the expense of gain.  

Imagine all the doors and windows in your house with flimsy padlocks that can be easily snapped off with one kick. You have the opportunity to replace them with a high-security deadbolt system that is resistant to being kicked in. However there is one very tiny window on your 3rd floor that would require a 30 ft ladder and gymnastics across your roof for a thief to reach, but it cannot leverage the new lock system. Since you can’t secure that one window, you decide not to secure any of them.

That’s missing the forest for the trees.

The bottom line is even if you change nothing else, you are greatly reducing your attack surface by implementing passkeys to replace passwords wherever possible. For regulated markets that typically require MFA with strong device binding, you can combine device-bound passkeys with synced passkeys, creating a “trust anchor” to deal with the 3rd floor window.  

Nok Nok has all the capabilities and expertise to help you on your journey through the enchanted forest.

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  • World Password Day: Time to Ditch Passwords for Good?
  • Verizon 2025 DBIR: Credential Attacks Still Dominate – A Nok Nok Perspective
  • Phillip Dunkelberger Recognized as a “Champion in Security” by Portal26 at RSA Conference 2025
  • Another Step Towards a Passwordless Future

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“Transactions using mobile devices are rapidly spreading and it is essential to support both usability and security. By combining Hitachi’s abundant system development capabilities and know-how in the financial system and security related fields, and Nok Nok’s globally deployed and proven FIDO certified products, we achieved this compatibility, which led to this adoption.”

– Mr. Nobuo Nagaarashi, General Manager, Financial Information Systems 1st Division, Hitachi, Ltd.

 

The M in MUFG stands for Mitsubishi, which is a combination of the words mitsu and hishi. Mitsu means three. Hishi means water chestnut, and the word denotes a rhombus or diamond shape.  In partnership with Hitachi, MUFG has enabled passwordless authentication solutions across many of the bank’s apps and services.

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intuit

“As an early adopter of FIDO, we’ve seen significant business benefits and are completely on board with continuing to leverage the latest FIDO innovations with our partner, Nok Nok.”

– Rakan Khalid, Group Product Manager, Identity.

 

Intuit has delivered passwordless authentication across mobile applications and devices using Nok Nok’s S3 Suite. The results have reduced customer friction in their Intuit application experience.

Read The Nok Nok Intuit Case Study
Watch the FIDO Alliance Webinar: The Right Mix
Watch Marcio Mello discuss Intuit’s Nok Nok implementation at Identiverse 2019:
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“DOCOMO is a worldwide innovator in providing its millions of customers with simple and strong authentication backed by a standards-based approach.”

– Phillip Dunkelberger, President & CEO of Nok Nok Labs.

 

As one of Nok Nok’s earliest customers, NTT DOCOMO became the first carrier to offer a billing system that is enabled by FIDO, the first to offer a federated Identity system integrated FIDO, and was the first to offer a mobile device that authenticates via the iris biometric modality.

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“Traditionally, one of the biggest challenges of authentication systems has been to balance security with user experience. Due to the FIDO standard, we are confident that both elements work together seamlessly to provide customers with the highest security standards, along with a transparent and agile user experience.”

– Juan Francisco Losa, Global Technology & Information Security Officer.

Nok Nok partnered with banking leader, BBVA to improve the security and user experience of the bank’s mobile banking services through state-of-the-art biometric capabilities.

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“We can no longer rely on passwords for our financial or other sensitive transactions as they are weak, forgotten and easily hacked. We are very pleased with SoftBank’s decision to choose our standards-based authentication platform for their millions of customers.”

– Phillip Dunkelberger, President & CEO of Nok Nok Labs.

 

Millions of SoftBank’s mobile subscribers now have the ability to use biometrics for authentication through the mobile application “My SoftBank Plus”. With this implementation, SoftBank’s mobile users access data with the My SoftBank service using biometrics for a frictionless, simple and fast authentication experience.

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“Aflac is the first Japanese insurance provider to deploy a FIDO-certified solution, and we would like to continue collaborating with Nok Nok Labs to introduce it to banks, insurance industry and other industries.”

– Michihiko Ejiri, VP, Head of Portal Service Division, Service Technology Unit, Fujitsu Limited.

With the Nok Nok S3 Suite, Fujitsu has provided Aflac customers with strong authentication to their mobile claims payment application using any biometrics on their iOS and Android devices. The solution also provides Aflac and their customers with a scalable method to authenticate users that is interoperable with their existing security environments and reduces or eliminates the reliance on usernames and passwords.

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“For our customers, we only use the most secure products on the market that meet their requirements. Nok Nok perfectly aligns within our product portfolio and we are proud of the very trusted partnership.”

– Lukas Praml, CEO of YOUNIQX.

 

YOUNIQX Identity AG, the award-winning subsidiary of the Austrian State Printing House (OeSD) and Nok Nok partnered to deliver a electronic identity system (eID) for the citizens of the country of Liechtenstein.  This deployment represents the first time that Nok Nok’s FIDO platform has been used to deliver an eID.

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As of 2009 Liechtenstein’s per capita income was $139,100, the highest of any country in the world.

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“Nok Nok’s state-of-the-art, standards-based platform will deliver a tremendous user experience,”

– Steve Bell, Chief Technology Officer at Gallagher

When a horse called Joe took too much of a liking to using a car as a scratching post, owner Bill Gallagher Sr. devised a cunning electrical circuit that delivered a shock whenever the horse rocked the vehicle, and in doing so created a company.  Today, with passwordless authentication from Nok Nok, Gallagher is leading the IoT industry with innovative solutions that work in your office and in the outback.

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“Our Forgot Password flows were running at about 65%. After we rolled out FIDO by Nok Nok, our forgot passwords dropped to 7%.”

Michael Engan, T-Mobile

 

Using the Nok Nok S3 Suite, T-Mobile has become a leader in carrier adoption of passwordless authentication. Their solutions have reduced forgotten passwords and dramatically improved customer satisfaction.

Watch Michael Engan from T-Mobile talk about their implementation of Nok Nok’s S3 Authentication Suite at Identiverse 2019.

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