The document outlines the history and evolution of bug bounty programs, starting from Netscape's introduction of the first program in 1995 to the growing trend among various sectors in 2015. Key milestones include initiatives by companies like Mozilla, iDefense, Google, and Facebook, which helped popularize and expand these programs into broader markets. The text highlights the shift from software-focused incentives to a wider array of applications, including web, mobile, and even physical devices.

1. The History of
Bug Bounty Programs
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2. Intro and Timeline
Bug bounty programs are becoming an increasingly popular method of finding
security bugs on the internet. Google, Facebook and Paypal are just some of the
companies who now run such programs. But when and how did the idea for this
cost-effective, crowdsourced security testing model arise? In this presentation
we look a little deeper into the interesting history of bug bounty programs.
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1995 2002 2004 2005 2007 2010 2011 2013 2015
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On October 10th, 1995, Netscape launched the very first bug bounty program,
which offered cash rewards to those who were able to find security bugs in their
Netscape Navigator 2.0 Beta. Matt Horner, Netscape's Vice President of marketing,
explained at the time:
"By rewarding users for quickly identifying and reporting bugs back to us, this
program will encourage an extensive, open review of Netscape Navigator 2.0 and
will help us to continue to create products of the highest quality."
Netscape's first-mover mentality was impressive, but the idea did not catch on with
other software vendors. The company's bug bounty program continued until the
final release of Netscape Navigator 2.0 where the winners were announced.
1995

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IDefence - Middleman for bug bounties
As Netscape's bug bounty methodology did not catch
on to other vendors, the security company IDefense,
who were later bought by Verisign, began an
initiative in 2002.
Their vulnerability contributor program offered
researchers cash rewards of up to $400 for reporting
vulnerabilities in software to them. IDefense would
then act as a middleman between the researcher and
the software vendors.
2002

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Mozilla Firefox Bug Bounty
In the summer of 2004, nine years after the
Netscape bug bounty, the Mozilla foundation
launched a bug bounty program offering rewards
of $500 for researchers able to identify critical
vulnerabilities in Firefox.
The program was sponsored by entrepreneur
(and space tourist) Mark Shuttleworth and the
Linux distributor Linspire. The Mozilla bug bounty
program is still going strong today, expanded to
cover most of Mozilla's products.
2004

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Zero Day Initiative
In 2005, IDefense competitor TippingPoint
launched another “middleman” program, called
the Zero Day Initiative (ZDI). Just like IDefense,
TippingPoint connected the security community
with the vendors, by offering cash rewards for
reports on vulnerabilities.
The ZDI is still running, now by Hewlett-Packard,
who acquired TippingPoint's parent company
3Com in 2010. David Endler, who has worked for
both IDefense and TippingPoint and been a prime
mover behind both of their programs, has written
a nice blog post, “Remembering five years of
vulnerability markets,” describing the period from
2002 to the launch of ZDI.
2005

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PWN2OWN
Three weeks before 2007 CanSecWest
conference, Dragos Ruiu announced the
PWN2OWN contest, a hunt for security bugs in
Macs OSX. This was Ruiu's way of showing
frustration with the way Apple handled security
and disclosure. The contest was held within a
limited time frame, with the prize initially
announced as a laptop, but later upgraded to
$10,000 reward provided by ZDI. PWN2OWNwas
a great success and has become a recurring
event at CanSecWest. In 2014, $850,000 was
paid out in rewards to skilled researchers. This
contest-style bug bounty model has also recently
been used by Stripe, in their capture the flag
contest.
2007

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Google Kickstarts Bug Bounties for Web apps
In 2010, the vulnerability reward program for
Google web properties really kickstarted the trend
towards bug bounty programs for web
applications. Earlier the same year, Google had
launched a similar program for the open-source
Chromium project, with good success. Google’s
reward program, that openly invited researchers
worldwide, was similar to the one Mozilla
launched in 2004.
This year a lot happened on the bug bounty
scene: Mozilla decided to expand their program to
web applications, Baracuda networks launched a
bug bounty, and Deutsche Post, the German
federal postal service, launched a bug bounty on
their secure messaging service
2010

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Facebook Whitehat Program
Facebook followed in the footsteps of Google and
launched their whitehat program in 2011.
Facebook would pay out minimum rewards of
$500, with no upper limit. The Facebook whitehat
program is still running today, and more than $2M
has been paid out in rewards, including $1.5M in
2013 alone.
2011

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Model Growing for web and mobile
In 2012 and 2013 online businesses of all sizes
started to feature ongoing bug bounty programs
on their web and mobile applications. Larger
businesses such as Yahoo also entered the game
after the socalled T-shirt gate.
Microsoft and Facebook joined forces to sponsor
the Internet Bug Bounty, a program dedicated
finding vulnerabilities in frameworks, such as
Ruby on Rails or Django, that are used by many
applications.
This period was al the starting point for bug
bounty marketplaces such as our own (Cobalt).
These marketplaces offer an online businesses
the opportunity to easily start and manage their
own bug bounty program, and leverage the power
of the security community.
2013

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Mass Market?
With the launch of bug bounty programs from the
car manufacturer Tesla and United Airlines, 2015
was the year where not only the tech businesses
adopted the bug bounty model.
Until now most bug bounty programs are focused
on web and mobile applications. But with the
increased connectivity of cars, kitchens, airplanes
and other devices and the related security
implications, it will be exciting to discover what the
future holds for bug bounty programs. There is no
doubt it will an exhilarating ride
2015

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