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Jail over Silk Road bitcoin deals

Written By Unknown on Selasa, 23 Desember 2014 | 23.43

22 December 2014 Last updated at 12:53

Bitcoin trader Charlie Shrem has been sentenced to two years in jail for indirectly helping people swap cash for bitcoins on the Silk Road marketplace.

The Silk Road shut down in 2013 following raids by the FBI and other law enforcement agencies which said it was trading in illegal drugs.

Shrem was caught in the Silk Road raids for trading a total of $1m (£640,000) for bitcoins used on the site.

His sentence also includes forfeiting $950,000 (£608,000) to the US government.

Shrem was not directly involved with the Silk Road but was charged because of his association with Robert Faiella who set up an exchange that let the marketplace's customers swap cash for bitcoins. The virtual cash was the only form of currency accepted on the Silk Road.

Bitcoins are a virtual currency built around a complicated cryptographic protocol and a global network of computers that oversee and verify which coins have been spent by whom.

The Judge who handed down the sentence said Shrem was not "some kid making a one-time mistake" but had "excitedly" helped Faiella get access to bitcoins. Faiella is due to be sentenced in late January. He has pleaded guilty to running an unlicensed money transmitting business.

Prior to his arrest Shrem was a strong advocate for bitcoins and served as vice chairman of the foundation that helped to guide the virtual currency's development. He has now resigned from this post.

Lawyers working for Shrem said his involvement stemmed from his interest in bitcoins rather than the Silk Road. The two year sentence is less than government lawyers sought who said he should face 57 months in jail.

The operator of the Silk Road, Ross Ulbricht, is due to face trial in January. He has pleaded not guilty to charges of dealing drugs and conspiracy.


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Tripadvisor fined by Italy regulator

22 December 2014 Last updated at 22:38

Italy's competition watchdog has fined travel website Tripadvisor €500,000 (£392,000) for publishing misleading information in its reviews.

The regulator began a seven-month investigation following a complaint from a consumer group and hotel owners.

Tripadvisor was accused of presenting its reviews as "authentic and genuine" despite not taking measures to avoid contributors publishing false opinions.

The US company said it disagreed with the decision and would appeal.

Tripadvisor publishes reviews of hotels and restaurants, and other travel information. But there has been criticism that the reviews cannot always be trusted.

The Rome-based regulator said Tripadvisor and its Italian arm should stop "publishing misleading information about the sources of its reviews", adding that the practice started in September 2011.

But the company said in a statement: "Our systems and procedures are extremely efficient in protecting consumers from a small minority of people who try to con our system.

"We firmly believe that Tripadvisor is a force for good, both for consumers and the hospitality industry."


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Star threatened with sex tape release

Iggy Azalea

Hackers linked to Anonymous are threatening to release photos from a sex tape it says features Iggy Azalea.

A tweet from @TheAnonMessage, whose account has now been suspended, said she had two days to comply.

"You are guilty of misappropriating black culture, insulting peaceful protesters, and making light of Eric Garner's death," the group said.

That was referring to the death of the New York man who was put in a chokehold by a police officer in July.

"You have exactly 48 hours to release a statement apologizing to @AzealiaBanks and the protesters in NYC, " Anonymous continued.

The tweets are part of an online feud between rappers Iggy Azalea and Azealia Banks.

Azealia Banks

Banks criticised Azalea for not speaking out about the deaths of Mike Brown and Eric Garner.

Michael Brown, 18, was killed by Missouri police officer Darren Wilson on 9 August in the St Louis suburb of Ferguson.

It caused violent protests across the US.

There were also demonstrations after Eric Garner died.

Azalea responded to Banks on Twitter saying: "Try not to judge anothers support or 'lack there of' solely on if they have ranted on twitter about it, thats not right or helpful."

Banks told Hot 97: "I have a problem when you're trying to say that it's hip-hop and you're trying to put it up against black culture."

In response Iggy Azalea hit back on Twitter saying: "Special msg for banks: There are many black artists succeeding in all genres. The reason you haven't is because of your... poor attitude."

A Tribe Called Quest rapper Q-Tip also had a go at Iggy Azalea at the weekend asking her to respect the history of hip-hop.

Writing on Twitter he said: "Now u are fulfilling your dreams ... BUT! You have to take into account the HISTORY as you move underneath the banner of hiphop."

Iggy Azalea has denied making a sex tape.

Porn producer Steven Hirsch claimed in September to have footage of her dancing naked when she was younger.

Follow @BBCNewsbeat on Twitter and Radio1Newsbeat on YouTube


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Hack causes 'damage' at steel works

22 December 2014 Last updated at 13:01

A blast furnace at a German steel mill suffered "massive damage" following a cyber attack on the plant's network, says a report.

Details of the incident emerged in the annual report of the German Federal Office for Information Security (BSI).

It said attackers used booby-trapped emails to steal logins that gave them access to the mill's control systems.

This led to parts of the plant failing and meant a blast furnace could not be shut down as normal.

The unscheduled shutdown of the furnace caused the damage, said the report.

In its report, BSI said the attackers were very skilled and used both targeted emails and social engineering techniques to infiltrate the plant. In particular, said BSI, the attackers used a "spear phishing" campaign aimed at particular individuals in the company to trick people into opening messages that sought and grabbed login names and passwords.

The phishing helped the hackers extract information they used to gain access to the plant's office network and then its production systems.

Once inside the steel mill's network, the "technical capabilities" of the attackers were evident, said the BSI report, as they showed familiarity with both conventional IT security systems but also the specialised software used to oversee and administer the plant.

BSI did not name the company operating the plant nor when the attack took place. In addition, it said it did not know who was behind the attack nor what motivated it.

The attack is one of only a few on industrial systems known to have caused damage. The most widely known example of such an attack involved the Stuxnet worm which damaged centrifuges being used by Iran in its nuclear enrichment programme.

Benjamin Sonntag, a software developer and digital rights activist, told Reuters: "We do not expect a nuclear power plant or steel plant to be connected to the internet.

"To be computerised, but to be connected to the internet and to be hackable - that is quite unexpected," he said.


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Cheap spyware used by stalkers

22 December 2014 Last updated at 17:25 By Zoe Kleinman Technology reporter, BBC News

Stalkers and abusers are increasingly using cheap spyware to monitor and harass their victims, claims a charity.

Tracking and listening devices, often disguised as everyday objects, retail online for under £50 and are easy to install, says the Digital-Trust.

There are no official figures but "digital abuse" is often experienced by victims of domestic violence, it adds.

People with abusive partners should also be wary of gadgets given to their children, the charity warns.

"Eighteen months ago I issued advice to domestic violence groups about fathers gifting smartphones or even allowing them to take them on access visits because it is so easy for abusers to use them as surveillance," said Jennifer Perry, chief executive of the newly formed Digital-Trust.

"I recommend children are given inexpensive pay as you go phones when visiting an abusive parent."

Ms Perry said incidents of digital abuse - ranging from surveillance to accessing voicemails, emails and cloud accounts, is escalating in the UK.

In addition cheap surveillance devices - small GPS trackers, listening devices and cameras hidden inside books, lamps, plug sockets and carbon monoxide detectors, are freely available online despite some of them being illegal.

"If I have a domestic violence victim I assume there will be some type of digital abuse - it's not the exception, it's the assumption," she told the BBC.

Ms Perry added that in her experience it is more likely to happen to female victims.

"I get a lot of criticism for saying it but I don't see this level or type of surveillance used against male victims," she added.

"I see men using it against women. It is rare to see a man targeted surveillance-wise by women."

Ms Perry began working in the field of e-crime in 2005. She said that often victims need very specific advice, which is not easily available.

"Safety advice is often done by topic but if you don't know what you're looking for it doesn't help," she added.

"We'll ask a series of questions that deal with the symptoms - are you being harassed by your partner? Is he showing up where you are? Has he had access to your house or your PC?"

Smartphone owners may have not set up their device themselves so may not know what has been installed on it, she added.

"The main thing I try to do is stop any form of data leaking. That's my number one objective," Ms Perry said.

"If you have a stalker and they get access to some information about you it's like the rush they get from a gambling addiction.

"You're taking about jealous or obsessive personalities. One stalker Googled a colleague of mine 40,000 times in a year. Another looked at someone's Facebook page 2,500 times in one month."


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E-books 'damage sleep and health'

23 December 2014 Last updated at 00:45 By James Gallagher Health editor, BBC News website

If you curl up under the duvet with an e-book for a bedtime read then you are damaging your sleep and maybe your health, US doctors have warned.

A team from Harvard Medical School compared reading paper books and light-emitting e-readers before sleep.

They found it took longer to nod off with a back-lit e-reader, which led to poorer quality sleep and being more tired the next morning.

Original Kindle readers do not emit light so should be fine, say experts.

Experts said people should minimise light-exposure in the evening.

Whether you are perusing the Man Booker shortlist or leafing through Zoella, the impact of reading on your sleep is probably the last thing on your mind.

But there has been growing concern about the dangers of light before bedtime.

Body clock

Our bodies are kept in tune with the rhythm of day and night by an internal body clock, which uses light to tell the time.

But blue light, the wavelength common in smartphones, tablets and LED lighting, is able to disrupt the body clock.

Blue light in the evening can slow or prevent the production of the sleep hormone melatonin.

Twelve people were locked in a sleep laboratory for two weeks.

They spent five days reading from a paperback and five days from an iPad.

Regular blood samples showed the production of the sleep hormone melatonin was reduced by reading an e-book.

People also took longer to fall asleep, had less deep sleep and were more tired the next morning.

The researchers said other e-readers such as the Nook and Kindle Fire produced similar wavelengths of light and would have the same impact.

The findings were published in the journal Proceedings of the National Academy of Sciences.

'Concern'

Lead researcher Prof Charles Czeisler told the BBC News website: "The light emitted by most e-readers is shining directly into the eyes of the reader, whereas from a printed book or the original Kindle, the reader is only exposed to reflected light from the pages of the book."

He said disrupting sleep in turn affected health.

"Sleep deficiency has been shown to increase the risk of cardiovascular disease, metabolic diseases like obesity and diabetes, and cancer.

"Thus, the melatonin suppression that we saw in this study among participants when they were reading from the light-emitting e-reader concerns us."

Sleep hygiene

Dr Victoria Revell, who researches the impact of light on the body at the University of Surrey, told the BBC: "This is a very good study and I think it's really interesting.

"We should be advising people to minimise their [light-emitting e-reader] use in the evening, particularly teenagers who are a group that are using their phones and tablets late in to the evening."

Teenagers naturally have a late body clock, which makes them slow to rise in the morning and up late at night.

"People who already have a delayed body clock are delaying themselves much further and that is a very important message," Dr Revell added.

Prof Czeisler agreed, saying there was "special concern" for teenagers who were already sleep deficient by being forced to get up early for school.


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Sony warns Twitter over leaked emails

Sony Pictures Entertainment

Sony Pictures Entertainment is threatening to sue Twitter if the company doesn't suspend accounts containing links to hacked emails.

The film company's lawyer David Boies has sent a letter to the social network demanding that accounts sharing information be shut down.

US website Motherboard has posted a letter sent from Boies to Twitter.

In it one user is singled out, Val Broeksmit, who tweets screenshots of Sony emails as @BikiniRobotArmy.

In the letter to Twitter, Sony's lawyer says Twitter should "comply with all future requests with regard to any other account holder seeking to disseminate the Stolen Information via Twitter".

The letter also asks the network to send a copy to @BikiniRobotArmy user Val Broeksmit, advising him to stop publishing stolen information.

It continues: "If Twitter does not comply with this request, and the Stolen Information continues to be disseminated by Twitter in any manner, SPE will have no choice but to hold Twitter responsible for any damage or loss arising from such use or dissemination by Twitter."

Letter from Sony to Twitter
Letter from Sony to Twitter
Letter from Sony to Twitter

Sony Pictures warned some American news outlets about using information from leaked emails earlier this month after its internal computer system was hacked.

The US accused North Korea of orchestrating the cyber-attack on the company in November, although the country has denied that.

The hack resulted in unreleased films and the script for the next James Bond movie being leaked online.

Details of corporate finances and private emails between producers and Hollywood figures were also released.

It also led Sony to cancel the Christmas release of The Interview, a film about the assassination of North Korean leader Kim Jong-un.

Meanwhile, North Korea's entire internet went down early on Tuesday.

The US had warned the country that it would launch a proportional response to the cyber-attack on Sony Pictures but would not comment on any American involvement in the outages.

Follow @BBCNewsbeat on Twitter and Radio1Newsbeat on YouTube


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Lin to direct next Star Trek outing

23 December 2014 Last updated at 10:43

Film-maker Justin Lin is to direct the next instalment of the Star Trek movie franchise, it has been confirmed.

Lin, whose previous credits include four instalments of the Fast and Furious series, replaces Roberto Orci, who recently pulled out of the role.

JJ Abrams, who made the first two reboots of the sci-fi series, stepped down to make the new Star Wars film.

A release for the third Star Trek prequel - or "threequel" - has not been set by Hollywood film studio Paramount.

However, there has been speculation that it will come out in 2016 to coincide with the 50th anniversary of the launch of the Star Trek television series.

Casting details are not confirmed, but actors who starred in the first two outings, including Chris Pine as Kirk and Zachary Quinto as Spock, are expected to return.

Star Trek Into Darkness, released in 2013, made more than $467m (£278m) worldwide. It co-starred Benedict Cumberbatch as villain Khan.

The first prequel, looking at the younger lives of its famous characters, was released in 2009.

Orci, who was due to make his directorial debut on the project, is co-writing the script.

Orci, along with Abrams, will continue to be on board as producers.


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Apple automates bug update for Macs

23 December 2014 Last updated at 11:29

Apple has sent out its first automatic security update for Mac computers as researchers warn about new bugs.

Previously Apple has released security patches through its regular software update system which requires user approval.

The latest bugs were so severe it felt it needed to get customers protected immediately, the firm said.

"The update is seamless. It doesn't even require a restart," Apple spokesman Bill Evans told Reuters.

The Mac bugs were mentioned in security bulletins issued last week by the Department of Homeland Security and the Carnegie Mellon University Software Engineering Institute.

It identified dozens of technology companies, including Apple, whose products might be vulnerable.

The vulnerability targets a component of its OS X operating system called the network time protocol (NTP) which is used for synchronising clocks on computer systems.

The protocol is a global method of synchronising time over a network and has previously been exploited by hackers.

Microsoft has been offering automatic updates for security flaws for some time.

Apple developed technology for automatically pushing out security updates two years ago but has never previously used it.

The firm said that it did not know of any cases where hackers had exploited the bug.


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North Korea websites back online

23 December 2014 Last updated at 11:46

Internet services have been restored in North Korea after an almost unprecedented internet outage following a cyber security row with the US.

Though there has been no comment from the authorities in Pyongyang, South Korean officials and US experts reported the restoration.

Some analysts say the country's web access was cut entirely for a time.

China meanwhile has denounced reports suggesting it was responsible for the North Korean online shutdown.

Foreign Ministry spokeswoman Hua Chunying said that such reports were "speculative" and had "no basis in reality".

"These reports themselves are extremely irresponsible, unprofessional and misleading," she added.

China's permanent representative to the United Nations has called for all sides to avoid an escalation of tension on the Korean Peninsula after the UN Security Council put the North's human rights record on its agenda.

Analysis: Stephen Evans, BBC News, Seoul

There is a paradox. North Korea is highly "teched up" but is denied the world wide web. Many people have smart phones, for example, but they cannot access the web with them.

The authorities take great pains to prevent citizens from accessing the internet. Recently, embassies in Pyongyang were told they could not have wifi networks within the building. It transpired that demand for neighbouring property had risen because residents there could get access to the embassies' wifi.

What North Korea does have is an intranet, its own internal internet with a lot of state-controlled news websites disseminating the party line, but also a cookery website.

Ordinary North Koreans are unlikely to notice the absence of the internet because they were denied it anyway. But they might notice the disappearance of their own online newspapers and sources of news. And also the cookery website.

'Proportional response'

South Korean officials say the websites of the North Korean Central News Agency and the Rodong Sinmun newspaper - the main official news outlets - were up and running on Tuesday after earlier being shut down.

Among the stories online were posts glorifying the ruling Kim family, including an article about North Korean leader Kim Jong-un visiting a catfish farm.

The US earlier said it would launch a proportional response to a cyber-attack on Sony Pictures, which made a comedy about Kim Jong-un.

Officials would not comment on any US involvement in the current outages.

The BBC's Stephen Evans in Seoul says that the attack on the North's internet may have been meant as a message to Kim Jong-un that his country was vulnerable.

Internet services were partially restored after nine hours and 31 minutes of disruption, cyber security firm Dyn Research says.

While most mainstream North Korean websites are back online, the recovery initially appeared to be partial and potentially unstable with some websites still inaccessible.

Analysts had said technical problems or a cyber-attack could be to blame.

Doug Madory of Dyn Research said they had seen a progressive degradation of North Korea's connectivity to the outside world until the point at which they were totally offline.

Arbor Networks, an internet technology service, said it had detected denial-of-service attacks against North Korea's infrastructure beginning on Saturday.

Only a small proportion of people have access to the internet in North Korea, one of the world's most secretive countries.

KCNA website

Please turn on JavaScript. Media requires JavaScript to play.

Matthew Prince from CloudFlare, on the size and scope of North Korea's internet network

Vulnerable connection

North Korea's internet is handled by state-run company Star Joint Ventures, which in turn is routed through Chinese telecommunications firm China Unicom.

Dyn's chief scientist, James Cowie, told the BBC that if it were indeed an attack, "it would not take a tremendous effort to carry out".

"It is one connection across the border... to overload the routing infrastructure would probably not require the efforts of a nation-state, it could be just one dedicated person," he added.

Last week, the US government said an FBI investigation had shown that North Korea was behind a hacking attack on Sony, which led to unreleased films and private emails being leaked online.

North Korea denied being responsible but praised the attack.

It had for months condemned a Sony comedy, The Interview, which depicts the assassination of the North Korean leader. Sony eventually cancelled the cinema release of the film.

Mr Obama had said that the US would respond to the attack on Sony "in a place and time and manner that we choose".

The internet disruption came as the UN Security Council discussed North Korea's human rights for the first time, despite opposition from China and Russia.

US ambassador to the UN Samantha Power dismissed North Korea's demand to launch a joint investigation with the US into the attack on Sony.

She said threats to retaliate if the US refused was "the kind of behaviour we have come to expect from a regime that threatened to take 'merciless countermeasures' against the US over a Hollywood comedy".

North Korea has "no qualms about holding tens of thousands of people in harrowing gulags," she added.

North Korean diplomat Kim Song said a decision on how to respond to the Security Council's move would be made in Pyongyang.

"We totally reject the decision to bring DPRK [North Korea's] human rights record to the UN Security Council," he told Reuters.


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