By challenging common authentication-related excuses with critical thinking, your organization can take a proactive approach to security and strengthen your authentication.
Many organizations don’t spend enough time thinking about (and rethinking) their authentication methods and related security practices. While it can be tempting to keep things as they’ve always been, this can create dangerous blind spots.
Let’s break down the top five excuses preventing organizations from implementing stronger authentication — and the reasons why they don’t hold up.
1. “Passwords are secure enough”
Many believe that using strong passwords is enough to keep their accounts secure. Unfortunately, passwords alone are a weak defense against modern cyber threats.
The reality: The future of authentication is passwordless. Relying solely on passwords isn’t just an outdated strategy — it also puts your organization at risk. After all, even the strongest passwords can be compromised and wrongfully obtained through phishing attacks and data breaches.
Here are some stats that may reshape the way your organization thinks about passwords:
- Password fatigue is real: In a 2022 survey, 44% of internet users admitted that they rarely reset their passwords.
- Forrester researchers found that the typical cost of a single password reset is $70.
- Gartner predicts that more than 50% of the workforce and over 20% of customer authentication transactions will be passwordless in 2025.
2. “SMS OTPs securely get the job done”
SMS-based one-time passwords (SMS OTPs) remain as a widely used authentication method, so it may seem reasonable to assume that they’re a reliable way to securely authenticate customers. In fact, this isn’t the case — SMS OTPs come with a number of significant flaws.
The reality: SMS OTPs are outdated due to security risks, high costs, and regulatory limitations. The use of SMS OTPs exposes users to phishing and SIM swapping attacks, where fraudsters trick users into sharing their OTPs or exploit weaknesses in telco security. Beyond security concerns, this authentication method is inconvenient for users, insufficient for regulatory compliance, and costly for banks and fintech companies. Security-minded organizations should transition to authentication via mobile app or hardware tokens to level up security and improve user experience.
3. “But this was the customer’s fault…”
While it can be convenient to put the blame on customers whenever things go wrong, things simply aren’t that straightforward.
The reality: Cybercriminals are constantly evolving their tactics to create increasingly sophisticated phishing scams, so it only makes sense that it’s more difficult for your customers to recognize and avoid scams. In addition to email, social engineering attacks now use techniques like smishing (SMS phishing) and vishing (voice phishing) via spoofed phone numbers of your organization as well as other complex tactics that exploit urgency and fear to trick victims into making security mistakes.
Moreover, fraudsters have taken to leveraging AI-generated deepfakes to impersonate business executives, manipulate employees, and extract sensitive information from customers. By assuming that your organization and customers are immune to these threats, you’re leaving your doors wide open to attacks.
4. “We’re safe because we use an anti-fraud system”
This one may seem pretty logical: Having a trusted anti-fraud system in place is enough to protect your organization from fraud and other digital threats, right?
The reality: In fact, this isn’t the case due to the fact that anti-fraud systems work the best while detecting and preventing known fraud scenarios that have already impacted your customer base, which leaves organizations vulnerable to zero-day attacks and innovative fraud scenarios — think hyper-personalized phishing attacks (such as those we’ve mentioned above), interactive deepfakes, or remote access attacks.
Additionally, not all anti-fraud protection is created equal: Some tools fail to provide robust defense against the latest threats. With this in mind, implementing a holistic security strategy that includes secure authentication, in-app protection, and continuous threat monitoring is crucial.
5. “We already have an authentication solution in place, so we’re protected”
Many organizations assume that once they’ve implemented an authentication solution, their security is set in stone. Don’t be lulled into a false sense of security: Authentication is not a one-time fix — instead, it requires continuous updates and improvements to keep pace with emerging threats.
The reality: Simply having an authentication system in place doesn’t guarantee that your organization will remain protected if your solution relies on outdated technologies or lacks modern protection against evolving cyberattacks. Emerging threats, such as quantum computing, are set to disrupt current cryptographic security standards. Thus, organizations need to stay ahead by adopting post-quantum cryptography to future-proof their authentication systems.
Strengthen your authentication strategy today
By staying informed and addressing the shifting challenges related to authentication, your organization can proactively safeguard sensitive data, avoid falling prey to vulnerabilities, and ultimately provide better protection for your customers.
Wultra can help your organization avoid the pitfalls associated with each of these excuses. Our future-proof authentication solutions provide robust security and allow your organization to focus on core tasks while we ensure that your customers remain protected against ever-changing digital threats.
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