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I got hacked a few months ago by a cp outfit who turned my server into a cp spam factory. What I did was:
1. Reinstall the OS (Linux)
2. Use iptables to block almost 100% of the server, even including common things like SSH, etc. Obviously you have to put in some back doors so you can manage it, but most importantly of all, never use plaintext protocols like telnet, ftp, etc.
3. That leaves the only possible exploits as coming in through apache or dns or something you can't turn off. As long as you always run the latest patch of those, its not that likely you'll get hacked.
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