Common API Security Risks and How to Mitigate Them

APIs are fundamental to modern digital ecosystems, yet they also create security risks by exposing sensitive data to external applications. In 2023, APIs accounted for 91% of all web traffic1, and this number continues to grow. This increased reliance on APIs expands the attack surface for cyber criminals. The first blog in our series examines the true cost of API security breaches. In this blog, we’ll gain an understanding of the common API security risks and how to mitigate them.

What are API security risks?

APIs create new opportunities for digitalization by enabling interactions between different services, software and systems. However, this increased connectivity introduces multiple points of vulnerability—giving hackers more sophisticated methods to exploit weaknesses. API security risks are vulnerabilities that attackers can use to breach software systems, access sensitive information and even initiate harmful activities like Denial of Service (DoS) attacks. These risks often stem from poor API design, faulty implementation or improper configuration. Additionally, outdated security protocols can leave APIs exposed as cyber threats continue to evolve.

Given that more and more companies are using APIs in their B2B integration, APIs inherently provide entry points for attackers. These access points can become prime targets for disruption, data manipulation and unauthorized access to confidential information.

API security challenges: What’s at stake?

As APIs become a critical component of modern digital infrastructures, they are increasingly exposed to a wide range of security risks. With APIs handling everything from essential business workflows to valuable customer data, the consequences of a breach can be devastating. API security challenges are real and ever-present, as hackers exploit API vulnerabilities to access sensitive data, manipulate systems and disrupt operations.

Valuable data, such as Personally Identifiable Information (PII), financial records and business logic, is often handled by APIs. This type of data is a prime target for cyber criminals, who can sell stolen identities on the dark web for profit. According to recent reports, 33% of adults in the USA had their personal data breached in May 2024—an alarming 13% increase from 20232. API security attacks can compromise this type of highly sensitive information and lead to identity theft, financial fraud and reputational damage for businesses.

But it’s not just personal data at stake. APIs also control the flow of critical business processes. When attackers gain access to APIs that govern key workflows—such as supply chain operations, payment systems or customer service platforms—they can cause major disruptions. For example, a breach could lead to unauthorized changes in supply chain data or manipulation of customer accounts, severely affecting business continuity.

Hackers are constantly developing new methods to exploit API security vulnerabilities, so it’s essential for businesses to stay ahead of potential attacks. Without a comprehensive approach to API management security, companies are vulnerable to a wide range of threats that could compromise their most valuable digital assets.

The importance of securing APIs goes far beyond simple compliance or internal safety. API security is about protecting confidential company data that powers your business. The cost of a breach—whether financial, reputational or operational—is far too high to ignore. As API security threats evolve, businesses must ensure they have the right tools, processes and expertise to safeguard their data and minimize potential damage.

How to mitigate the risk of common API security vulnerabilities

APIs power seamless communication between services and enable innovation across industries. However, with great power comes great responsibility. The sheer volume of API security risks that businesses face today requires a proactive, vigilant API management approach to ensure API integrations remain secure. After all, there’s no successful API management without API integration.

A comprehensive, layered approach to API security can address vulnerabilities head-on to protect against data breaches, disruptions and reputational damage. By understanding the most common API security vulnerabilities and implementing mitigation strategies, businesses can drastically reduce the chances of a data breach. Here are the most common API vulnerabilities and how to tackle them3.

1. Broken Object Level Authorization (BOLA): This is one of the most prevalent API vulnerabilities. BOLA occurs when APIs fail to restrict access to specific data objects, giving attackers the ability to access unauthorized records. How to mitigate this risk? Implement strict object-level authorization checks to ensure that users can only access data they are explicitly authorized to view. Consistently apply this model across all API endpoints to prevent unauthorized access, because securing API access depends on key strategies for authentication and authorization.

2. Security misconfigurations: APIs are often misconfigured, leaving them exposed to an API attack. Misconfigurations, like the lack of encryption, contributed to 30% of APIs being unprotected in 20244​. How to mitigate this risk? Implement secure default configurations, regular audit settings and utilize automated tools to detect misconfigurations. Also, enforce encryption for all API communication.

3. Broken authentication: Weak or poorly implemented and managed authentication systems enable attackers to bypass security measures. A 2022 Gartner report predicted that by 2025, less than half of enterprise APIs will be properly managed5. How to mitigate this risk? Adopt strong authentication methods like OAuth 2.0 and JSON Web Tokens (JWT). Two-factor authentication is the key to increased cyber protection for your business.

4. DoS attacks: Denial of Service (DoS) attacks overwhelm APIs with high traffic, causing them to crash and disrupt services. How to mitigate this risk? Implement rate-limiting to control API request volume, use load balancing and deploy content delivery networks (CDNs) to distribute traffic efficiently.

5. Broken Function Level Authorization (BFLA): BFLA occurs when access to specific API functions isn’t restricted based on user roles. This allows hackers to execute unauthorized actions, such as accessing admin functions or users’ resources. How to mitigate this risk? Employ fine-grained access controls based on user roles and functions, and rigorously test the controls to ensure they are effective.

6. Unrestricted access to sensitive business flows: APIs that expose key business processes without proper limitations on automated usage can be targeted for abuse. For example, APIs handling ticket purchases could be exploited for automated ticket scalping. How to mitigate this risk? Restrict access to critical business flows and implement mechanisms to detect and prevent automated abuse, such as CAPTCHAs or rate-limiting.

7. Server-Side Request Forgery (SSRF): SSRF occurs when APIs fetch remote resources using user-provided URIs, enabling attackers to manipulate these requests and bypass security barriers. An attacker can exploit this type of API vulnerability to send malicious requests to internal systems, bypassing security measures like firewalls or VPNs. How to mitigate this risk? Sanitize and validate all user-provided URLs, utilize allow lists for permitted URLs and restrict the ability of APIs to make requests to internal systems.

8. Improper inventory management: As APIs evolve, older versions might remain online without proper security updates. A lack of a comprehensive API inventory can result in “shadow APIs” that aren’t properly secured. How to mitigate this risk? Maintain a current inventory of all active APIs, implement a versioning policy and phase out older versions to prevent vulnerabilities from being exposed.

9. Unsafe consumption of APIs: Third-party APIs often receive less scrutiny, but they can be a major entry point for attackers—particularly if they are trusted without proper validation. Attackers can exploit this vulnerability by targeting third-party services to indirectly compromise the main API. How to mitigate this risk? Treat data from third-party APIs with the same level of scrutiny as user-provided input. Apply stringent security measures to ensure that third-party integrations don’t become a weak link.

For the automotive industry, where security and data integrity are paramount, API standardization plays a critical role in enhancing both security and industry progress. As APIs become increasingly integral to vehicle systems, establishing standardized protocols ensures that security measures are consistently applied across the entire automotive ecosystem. You can read more about this approach in our blog post on API Standardization for Enhanced Automotive Security and Industry Progress.

Mitigating API security vulnerabilities requires ongoing effort and a proactive approach. Businesses must be diligent in protecting APIs again cyber threats and adopt strategies that go beyond the basics. Regular audits, advanced monitoring tools and a robust security framework are essential to minimizing the risk of an API attack. As the digital landscape grows more complex, organizations that prioritize API security will be better positioned to safeguard their data, ensure smooth operations and build long-term customer loyalty.

How SEEBURGER API Management helps mitigate API security risks

The SEEBURGER BIS Platform with API Management offers advanced security controls such as automated API discovery, vulnerability scanning and threat analytics. These tools identify security risks before they can be exploited, ensuring that your APIs remain secure. SEEBURGER also supports real-time monitoring to detect anomalies, such as a spike in traffic that could signal a DoS attack.

SEEBURGER API Management provides businesses with proactive protection, including the following advanced security controls:

• Automated API discovery: Identifies all active APIs, helping to prevent the existence of shadow APIs.
• Vulnerability scanning: Proactively identifies security weaknesses before they can be exploited.
• Threat analytics: Provides insights into API traffic and potential security threats.
• Real-time monitoring: Detects anomalies, such as a spike in traffic that could signal a DoS attack.
• Role-Based Access Control (RBAC): Simplifies permission management based on user roles.
• Attribute-Based Access Control (ABAC): Allows granular control based on user attributes, location and time.
• Centralized control: Provides a single point of control for security policies.
• API gateway functionality: The API gateway is essential to API security, acting as a reverse proxy to protect backend systems and manage API access.
• Encryption: Enforces encryption for data in transit and at rest.

In the final blog of our API Security series, we’ll explore how SEEBURGER API Management ensures security across the entire API lifecycle and helps companies protect their most valuable digital assets.

Source: https://blog.seeburger.com/common-api-security-risks-and-how-to-mitigate-them/