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Two-factor Authentication: Why you need it

March 1, 2013 | Posted by Cody


Financial advisory firm, Deloitte, recently published an article detailing the ever expanding need for two-factor authentication. They predict that, “a number of technology and telecommunication companies will likely implement some form of multifactor authentication with their services, software and/or devices in 2013.” I see this less as a prediction and more of an advanced report of the facts, since we had the same notion back in 2010 when we announced two-factor authentication for Blesta.

Deloitte’s predictions go even further, stating that passwords that were previously considered secure (8-characters of mixed case, numbers, letters, and symbols) are now vulnerable to hackers, primarily due to password reuse and the use of graphics cards (GPUs) to perform dictionary attacks. Personally, I’ve never found those types of passwords to be very secure. After all, we know that password security is derived from entropy (randomness) and entropy increases with length. So rather than trying to remember 8 to 10 character passwords with letters, numbers, and symbols that have no meaning, why not simply use a long natural password? Bonus points if your language of choice is not typical of the application’s audience. Extra bonus points if it’s a dead/non-existent language. Anata no o pasuwado wa nan desu ka?

Password Entropy Explained
Comic by xkcd / CC BY 2.5

Of course, what’s more secure than a secure password? How about a password that changes every time you use it? “How could I possibly keep track of that,” you might ask? That’s where two-factor authentication takes over.

Time-Based One-Time Passwords (TOTP) are generated using an algorithm that produces a pseudo-random value based on any given moment in time (remember, randomness = good). The benefit of using two-factor authentication is that you need not put all your trust into the security of your password. Random token generators (or apps for your smart phone) can produce a one-time password that’s used in combination with your standard password, and as the name suggests are used only once. That means that even an attacker that knows your password and knows the token you just used to login to your account still can’t use the information to login as you.