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The awards are to the cyber-security field what the Oscars and the Razzie awards, combined, are to the movie industry.
Each year, cyber-security professionals are invited to nominate and then vote for both the best and worst in their industry. This includes selecting the best and most ingenious vulnerabilities discovered over the past twelve months, but also the worst vendor responses and epic fails that have ended up putting users at risk.
For the past decade, the Pwnie Awards ceremony has taken place during the Black Hat USA security conference, each August, in a Las Vegas hotel, where organizers usually hand out plastic pony dolls with pink hair to the winners of their categories.