SMS OTPs Aren’t As Secure As You Think: Why It's Time for a Change

• SMS OTPs are vulnerable to a long list of security threats and are no longer considered a secure authentication method.
• Businesses should opt for multi-factor authentication alternatives like Symantec VIP—with push notification, phishing resistant-authenticators and biometric authentication—for stronger and more user-friendly security.
• Transitioning away from SMS OTPs can seem daunting, but simple steps can help you make the best choice for your sensitive data and systems. 

In today's digital world, passwords comprise the default security protection for most users and accounts, and SMS one-time passwords (OTPs) are a popular way to add a second form of authentication. But attackers know this, and SMS OTPs aren’t keeping up with the latest techniques. Despite their widespread use, SMS OTPs are leaving businesses exposed to a host of threats. Let's take a closer look at why it's time to rethink your security strategy and upgrade to stronger, smarter authentication with solutions like Symantec VIP.

The hidden dangers of SMS OTP authentication

Businesses love using SMS OTPs—and who wouldn’t? They’re simple and easy to implement. But they’re also vulnerable to an array of threats, including:

• Phishing Attacks: Attackers use fake emails or texts that mimic legitimate security alerts, tricking users into sharing their OTPs. Once they have the code, they can access accounts within seconds.
• SIM Swapping: Hackers can manipulate mobile providers into transferring your phone number to their device. Once they get control, they receive all your SMS messages—including OTPs.
• Man-in-the-Middle (MitM) Attacks: Cybercriminals can trick you into visiting fake pages that look identical to the real ones. Once you’ve “logged in,” they steal your credentials and hijack the session.
• SS7 Exploits: The Signaling System 7 (SS7) protocol, used by mobile networks to route messages, has some serious security flaws. Hackers can exploit vulnerabilities in SS7 to redirect texts to their own devices, intercepting them before they even get a chance to reach you.
• SMS Interception: Rogue Cell Towers: Some hackers will emulate legitimate cell towers and intercept nearby traffic, including unencrypted SMS OTPs. If your OTP gets caught in this trap, it's as good as gone and you won’t even realize it.
• SMS Mobile Malware: Malware like Eurograbber can infect mobile devices and sneakily intercept SMS OTPs, forwarding them to attackers so they can use them to complete unauthorized transactions.
• Online Access to SMS Messages: Some phone service providers offer online portals where you can view texts online. If these portals are breached, attackers can read your OTPs without even hacking your phone.

What is the industry doing about it?

Growing security concerns around SMS OTPs haven’t gone unnoticed by the cybersecurity industry or its governing bodies. Here’s how regulatory bodies are taking action: 

• Combining two-factor authentication with SMS OTPs –The National Institute of Standards and Technology (NIST) initially considered deprecating SMS OTPs due to security concerns, but later revised its stance due to the slow adoption of two-factor authentication (2FA). Despite this, NIST continues to acknowledge the security risks and encourages organizations to consider more secure alternatives.
• Limiting use of SMS OTPs – The EU’s Payment Services Directives (PSD2 and PSD3) allow limited use of SMS OTPs, but emphasize the need for strong customer authentication. Since SMS OTPs often fall short of meeting these standards, the push for more secure authentication methods in financial services continues.
• Phasing out SMS OTPs – Leading companies like Twitter and Microsoft have moved away from SMS-based 2FA due to security concerns. Instead, they’ve shifted to more secure alternatives like app-based authenticators that better protect users.

As threats evolve, both regulatory bodies and businesses are recognizing that SMS OTPs may not be enough anymore. To stay ahead of hackers and phishing attempts, multi-factor authentication is quickly becoming the must-have solution for more robust, reliable security. 

The future is multi-factor authentication (MFA)

Offering layered, robust security, Symantec VIP cranks your protection to 11. Several secure alternatives to SMS OTPs keep your accounts locked down and safe from cybercriminals with:

• Phishing Resistant Authenticators: These hardware or software authenticators meet the FIDOv2 standards for passwordless authentication, stopping hackers from requesting or using an authentication code on their own. Unable to steal or generate codes, their attempts are rendered useless and you can carry on about your day, worry free.
• VIP Push Authentication: Skip the waiting game with SMS OTPs and get a push notification directly to your device for instant, secure authentication. It’s faster, more user-friendly and way more secure.
• Biometric Authentication: Biometric data like fingerprints or facial recognition provide a more secure and convenient way to authenticate users without relying on texts. Your biometric data stays secure in your device, safeguarding both your information and accounts.

For stronger authentication, follow these 4 steps

Shifting from SMS OTPs to more secure methods doesn’t have to be complicated. Consider these four simple steps to help your business transition seamlessly to stronger security: 

1. Assess your current infrastructure: Take a close look at your existing authentication infrastructure to identify areas where more secure methods can be integrated. This includes assessing the compatibility of new authentication methods with existing systems.
2. Choose the right solution: Select a versatile solution like Symantec VIP that offers multiple authentication methods, ensuring flexibility and top-tier security, while accounting for user experience and ease of implementation.
3. Train your users: Educate your users on the benefits and proper use of new authentication methods for a smoother transition. Providing clear instructions and resources can help avoid confusion and potential phishing attacks.
4. Monitor and adapt: Keep an eye on the effectiveness of your new authentication methods. Regularly updating your approach and staying up to date with the latest security standards and best practices will help you stay ahead of emerging threats. 

Evolve your security strategy with Symantec VIP

By adopting more secure alternatives like Symantec VIP, organizations can significantly strengthen their authentication security, protecting both users and sensitive data from emerging threats. We know transitions aren’t always easy, but the long-term benefits—both in security and user trust—far outweigh the effort.

Discover how Symantec VIP can provide robust security solutions tailored to your needs, ensuring a seamless and secure authentication experience for your users.