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UK Government Presses Apple for iCloud Backdoor, Raising Security Concerns for Crypto Users

1 month ago
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The UK Government’s Demands on Apple

The UK government is intensifying its demands on Apple, urging the tech giant to implement a backdoor into its encrypted iCloud backup services. This move has sparked significant concern among supporters of cybersecurity and cryptocurrencies. According to a report by the Financial Times, the directive specifically targets iCloud backups belonging to users in the UK, marking a shift from the previous approach that sought broader access to encrypted data. Critics contend that this approach still presents substantial security vulnerabilities.

Impact on Cryptocurrency Wallets

Many popular mobile cryptocurrency wallets, such as Coinbase Wallet, Uniswap Wallet, Zerion, Crypto.com DeFi Wallet, and MetaMask, rely on iCloud for storing encrypted private key backups. This situation leaves users exposed if the government intervention leads to any alterations in how encrypted data is managed. While the backups in question are encrypted, any attempt to access these files could allow for dictionary or brute-force attacks—methods where an attacker tries numerous combinations to crack the encryption. Therefore, even the strongest encryption could be compromised if an assailant acquires the backup file and possesses knowledge of the user’s password.

Concerns from Digital Rights Advocates

The Electronic Frontier Foundation (EFF), a nonprofit organization that champions digital rights, has voiced alarm over the UK government’s push, labeling it as an extreme overreach which undermines user safety and freedom. The EFF stated:

“This is still an unsettling overreach that makes U.K. users less safe and less free. Any backdoor created for government purposes increases the risk of hacking, identity theft, and fraud for everyone.”

Historical Context and Legislative Background

This latest initiative is not an isolated incident; earlier this year, the UK government demanded comprehensive capabilities to access encrypted data rather than merely assistance with specific accounts. Such requests fall under a mechanism known as a Technical Capability Notice (TCN), as outlined in the UK’s Investigatory Powers Act. The initial TCN was issued in January, placing Apple in a challenging position where it risked either creating a backdoor or disabling its Advanced Data Protection feature—which enables end-to-end encryption for iCloud—specifically for users in the UK. Although a US intelligence chief previously suggested that this demand had been retracted, the Advanced Data Protection feature remains unavailable to UK users.

The Legacy of Cryptocurrency and Privacy Advocacy

The origins of cryptocurrency can be traced back to privacy advocacy and digital rights movements, with Bitcoin being developed by groups advocating for cryptography against government control. This legacy resonates in the current crypto community’s ongoing activism. Ethereum co-founder Vitalik Buterin has criticized recent legislative proposals in the European Union, such as the controversial “Chat Control” legislation, which would mandate client-side scanning of encrypted messages for illicit content. Buterin emphasized that backdoors intended for law enforcement are fundamentally insecure, jeopardizing safety for all users. Both Buterin and the EFF underline the necessity of protecting individual privacy against government overreach, especially in light of the UK’s renewed push for access to encrypted data.