Biblio

Cyber insurance is a viable method for cyber risk transfer. However, the cyber insurance faces critical challenges, the most important of which is lack of statistical data. In this paper, we proposed an incentive model considering monitoring signals for cybersecurity information haring based on the principal-agent theory. We studied the effect of monitoring signals on increasing the rationality of the incentive contract and reducing moral hazard in the process of cybersecurity information sharing, and analyzed factors influencing the effectiveness of the incentive contract. We show that by introducing monitoring signals, the insurer can collect more information about the effort level of the insured, and encourage the insured to share cybersecurity information based on the information sharing output and monitoring signals of the effort level, which can not only reduce the blindness of incentive to the insured in the process of cybersecurity information sharing, but also reduce moral hazard.

We propose a game theoretic framework for task allocation in mobile cloud computing that corresponds to offloading of compute tasks to a group of nearby mobile devices. Specifically, in our framework, a distributor node holds a multidimensional auction for allocating the tasks of a job among nearby mobile nodes based on their computational capabilities and also the cost of computation at these nodes, with the goal of reducing the overall job completion time. Our proposed auction also has the desired incentive compatibility property that ensures that mobile devices truthfully reveal their capabilities and costs and that those devices benefit from the task allocation. To deal with node mobility, we perform multiple auctions over adaptive time intervals. We develop a heuristic approach to dynamically find the best time intervals between auctions to minimize unnecessary auctions and the accompanying overheads. We evaluate our framework and methods using both real world and synthetic mobility traces. Our evaluation results show that our game theoretic framework improves the job completion time by a factor of 2-5 in comparison to the time taken for executing the job locally, while minimizing the number of auctions and the accompanying overheads. Our approach is also profitable for the nearby nodes that execute the distributor's tasks with these nodes receiving a compensation higher than their actual costs.

The initiative to protect against future cyber crimes requires a collaborative effort from all types of agencies spanning industry, academia, federal institutions, and military agencies. Therefore, a Cybersecurity Information Exchange (CYBEX) framework is required to facilitate breach/patch related information sharing among the participants (firms) to combat cyber attacks. In this paper, we formulate a non-cooperative cybersecurity information sharing game that can guide: (i) the firms (players)1 to independently decide whether to “participate in CYBEX and share” or not; (ii) the CYBEX framework to utilize the participation cost dynamically as incentive (to attract firms toward self-enforced sharing) and as a charge (to increase revenue). We analyze the game from an evolutionary game-theoretic strategy and determine the conditions under which the players' self-enforced evolutionary stability can be achieved. We present a distributed learning heuristic to attain the evolutionary stable strategy (ESS) under various conditions. We also show how CYBEX can wisely vary its pricing for participation to increase sharing as well as its own revenue, eventually evolving toward a win-win situation.