Businesses today rely heavily on web applications and Application Programming Interfaces (APIs) to connect with customers, streamline operations, and drive growth. However, the rapid development of these applications and APIs often leads to vulnerabilities, with insecure design being a significant concern. Insecure design is not just an implementation flaw; it is an architectural weakness that can expose businesses to various security threats. This blog post will explore insecure design in web applications and APIs, how it occurs, its impact on businesses, and steps to prevent it, providing valuable insights for business professionals and organizations looking to integrate robust security measures into their operations.
What is insecure design?
Insecure design is item 4 on the OWASP Top 10. It refers to architectural and design flaws that lead to security vulnerabilities in web applications and APIs. Unlike insecure implementation, which stems from coding errors and discrete point vulnerabilities, insecure design arises from flawed system architecture or inadequate security controls that fail to address potential threats and that cannot be remediated quickly. Designing secure web applications and APIs requires a comprehensive understanding of the application’s or API’s functionality, user interactions, and potential attack vectors. By recognizing these challenges early in the design phase, businesses can develop more secure applications and APIs that are less susceptible to security breaches.
How does insecure design happen?
Insecure design can occur at various stages of the development process. One primary factor is the lack of a structured approach to security during the design phase, where developers often overlook security considerations while focusing on functionality.
Inadequate threat modeling and risk assessment can lead to flawed architecture and incomplete security measures, leaving applications and APIs vulnerable to attacks. Poor communication between developers, security teams, and stakeholders can also contribute to insecure design, as critical security requirements may be misunderstood or neglected.
Examples of insecure design.
Insecure design manifests in several ways:
Scenario #1: An electronics retail website lacks safeguards against inventory scalping bots to buy gaming consoles. The bots purchase all the available inventory and resell it on auction sites at 500% of the retail price. This results in negative publicity for both the console manufacturers and the retail chain, causing ongoing frustration among enthusiasts who cannot acquire these cards at any price. Implementing effective anti-bot mechanisms and domain logic rules, like flagging purchases made seconds after availability, could help detect and prevent inauthentic transactions.
Scenario #2: A password reset process might use “personal questions,” which are not allowed under several security standards such as NIST 800-63b, the OWASP ASVS, and the OWASP Top 10. Since it is possible for multiple people to know the answers, especially if the user is a public personality such as a politician where their answers are publicly known, these questions cannot be relied upon to verify identity. The system design should be modified to use a more secure solution for password resets.
Scenario #3: A travel site offers group booking discounts and requires a deposit for large groups of travelers. Malicious actors could analyze this process and subsequently abuse it to reserve one hundred reservations with just a few requests, potentially resulting in significant revenue risk for the travel site and its fulfillment partners. This system should be redesigned to have better workflow and controls to adapt to this new threat.
Scenario #4: An online auction platform lacks monitoring of bid activities, which opens the door for bid shielding. Fraudulent bidders can place progressively higher fake bids to scare off genuine buyers. Once the auction nears its close, these bids are retracted, allowing the scammer to win the item at a lower price. Implementing automated tools to flag unusual bidding patterns and bid retraction frequencies can mitigate this type of fraud.
Scenario #5: An e-commerce website uses only a client’s IP address to prevent multiple discounts from the same household. This method is insufficient as different users in the same area may share an IP, enabling loopholes for genuine customers being unfairly flagged. The system should incorporate a more nuanced rule set, like device fingerprinting techniques, to identify and limit repeated discounts transparently.
Scenario #6: A ticketing site for major events does not have a CAPTCHA or similar challenge-response test to ensure human interaction. As a result, it becomes vulnerable to automated scripts that rapidly purchase tickets, making them unavailable to genuine fans. Integrating CAPTCHA verification during the buying process would help ensure that tickets are sold to real people.
Scenario #7: A financial service system relies exclusively on SMS for two-factor authentication. Unfortunately, this makes it susceptible to SIM swapping attacks, where hackers take control of the user’s phone number and gain access to sensitive accounts. Switching to app-based authenticators or incorporating multi-layer authentication protocols could offer a stronger defense against such threats.
These examples highlight the importance of addressing design flaws early in the development process to prevent issues from becoming harder and more expensive to fix because they require a more comprehensive system redesign.
The impact of insecure design on your business.
Insecure design results in systemic vulnerabilities and insecure workflows that are not trivially mitigated. This results in a much higher cost to fix the design because the changes are much more architectural or impact core functionality of the application.
Insecure design can significantly impact businesses by leading to financial losses and damaging their reputation. When systems are not designed with security in mind, they become vulnerable to attacks, which can result in costly data breaches. These breaches can disrupt operations, lead to expensive recovery efforts, and erode the trust customers place in the business, affecting its public image.
Security breaches that stem from design flaws can result in severe consequences such as data theft, legal liabilities, and regulatory penalties. When sensitive information is compromised due to inadequate security measures, businesses may face lawsuits and hefty fines from regulatory bodies. This not only affects the company’s financial health but also its standing in the industry, as it may be perceived as neglectful of customer data protection.
The loss of customer trust is another critical consequence of insecure design. When customers feel their personal information is not adequately safeguarded, they are less likely to remain loyal to the company. This erosion of trust can lead to a decline in customer loyalty and a subsequent decrease in market share, as consumers may choose competitors who demonstrate a stronger commitment to data security.
Preventing insecure design.
Preventing insecure design requires a proactive security approach throughout the development lifecycle, particularly during the requirements gathering and design processes.
Here are some key strategies to consider:
Implementing a software security program.
A robust software security program is essential for addressing insecure design. This program should include security training for developers, regular security assessments, and a clear process for reporting and addressing vulnerabilities. By fostering a culture of security within the organization, businesses can ensure that security considerations are integrated into every stage of the development process.
Threat modeling.
Threat modeling is a critical step in identifying potential security threats and vulnerabilities during the design phase. By analyzing the application’s architecture and user interactions, developers can anticipate potential attack vectors and implement appropriate security controls. Regularly updating threat models can help businesses stay ahead of evolving security threats.
Reusing secure and tested components and libraries.
Incorporating secure and tried-and-tested components and libraries into your web application and API development process can significantly enhance security and efficiency. By leveraging established and widely used components, developers can avoid the pitfalls of building complex systems from scratch, reducing the risk of introducing errors or vulnerabilities. Trusted libraries often undergo rigorous testing and are continuously updated to address new threats, providing a solid foundation that ensures reliability. When selecting components or libraries, it is crucial to verify their authenticity, regularly update them, and monitor for any known vulnerabilities. This practice promotes faster development processes and strengthens the overall security posture of the application or API.
Software bill of materials.
A Software Bill of Materials (SBOM) is a comprehensive inventory of a software application’s components and dependencies. By maintaining an up-to-date SBOM, businesses can track and manage security risks associated with third-party components and ensure that all dependencies meet security standards.
Automated code scanning.
Automated code scanning tools can help identify insecure design patterns and coding errors early in the development process. By integrating these tools into the early parts of the development pipeline, businesses can detect and remediate vulnerabilities before deploying the application or API, reducing the risk of security breaches. When a point vulnerability is discovered early in development, organizations can “pivot” on the vulnerability to fix design issues before they lead to additional vulnerabilities.
Software should be secure by design.
Insecure design poses a significant threat to web applications, APIs, and the businesses that rely on them. By understanding the causes and consequences of insecure design, organizations can take proactive measures to enhance their security posture. Implementing a comprehensive software security program is an essential step in preventing insecure design. By prioritizing security in the design phase, businesses can protect their assets, maintain customer trust, and thrive in an increasingly digital world.
How Vercara can help.
While insecure application designs need to be fixed at cost, Vercara offers several solutions that can be used as a virtual patch, or temporary fix, in front of the application or API. This gives the organizations time to assess and implement the substantial changes to their applications and APIs that insecure design requires.
Vercara’s UltraWAF offers robust protection for your applications against data breaches, defacements, malicious bots, and other web-based threats. It secures your applications regardless of hosting location, streamlining operations with uniform rule configurations, free from provider limitations and hardware dependencies.
Vercara’s UltraAPI Comply integrates specialized tools with an easy-to-use interface to provide insights into both internal and external APIs, including those that are shadow, hidden, deprecated, or third-party developed, which are often more vulnerable. It features ongoing testing and risk assessment capabilities, simplifying the process of identifying and addressing coding errors and vulnerabilities to safeguard your digital infrastructure and business operations.
Vercara’s UltraAPI Bot Manager utilizes a sophisticated analytics engine that employs multi-dimensional machine learning and taps into the world’s largest API threat database. It evaluates API and web application requests across your network to identify harmful bot activities, ensuring effective and adaptable protection.
Vercara’s UltraAPI Discover provides API visibility, continuous monitoring, and keeps an updated inventory of service gateways and cloud deployments, securing your API landscape and defending against potential attacks.
For organizations seeking to bolster their security efforts, consider consulting with our security experts to deepen your understanding of secure web applications and API development.
