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Tycoon
Gmail malware MFA Bypass Microsoft 365 multifactor authentication phishing kit Safety Security Tycoon

'Tycoon' Malware Kit Bypasses Microsoft and Google Multifactor Authentication

 

An emerging phishing kit called "Tycoon 2FA" is gaining widespread use among threat actors, who are employing it to target Microsoft 365 and Gmail email accounts. This kit, discovered by researchers at Sekoia, has been active since at least August and received updates as recent as last month to enhance its evasion techniques against multifactor authentication (MFA).

According to the researchers, Tycoon 2FA is extensively utilized in various phishing campaigns, primarily aimed at harvesting Microsoft 365 session cookies to bypass MFA processes during subsequent logins. The platform has amassed over 1,100 domain names between October 2023 and late February, with distribution facilitated through Telegram channels under different handles such as Tycoon Group, SaaadFridi, and Mr_XaaD.

Operating as a phishing-as-a-service (PhaaS) platform, Tycoon 2FA offers ready-made phishing pages for Microsoft 365 and Gmail accounts, along with attachment templates, starting at $120 for 10 days, with prices varying based on the domain extension. Transactions are conducted via Bitcoin wallets managed by the "Saad Tycoon Group," suspected to be the operator and developer of Tycoon 2FA, with over 1,800 recorded transactions as of mid-March.

The phishing technique employed by Tycoon 2FA involves an adversary-in-the-middle (AitM) approach, utilizing a reverse proxy server to host phishing webpages. This method intercepts user inputs, including MFA tokens, allowing attackers to bypass MFA even if credentials are changed between sessions.

Despite the security enhancements provided by MFA, sophisticated attacks like Tycoon 2FA pose significant threats by exploiting AitM techniques. The ease of use and relatively low cost of Tycoon 2FA make it appealing to threat actors, further compounded by its stealth capabilities that evade detection by security products.

Sekoia researchers outlined a six-stage process used by Tycoon 2FA to execute phishing attacks, including URL redirections, Cloudflare Turnstile challenges, JavaScript execution, and the presentation of fake authentication pages to victims.

The emergence of Tycoon 2FA underscores the evolving landscape of phishing attacks, challenging the effectiveness of traditional MFA methods. However, security experts suggest that certain forms of MFA, such as security keys implementing WebAuthn/FIDO2 standards, offer higher resistance against phishing attempts.

To assist organizations in identifying Tycoon 2FA activities, Sekoia has published a list of indicators of compromise (IoCs) on GitHub, including URLs associated with Tycoon 2FA phishing campaigns.
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US Schools
CAPTCHA Security cyber attack Cyber Attacks PHaas phishing Scam Storm-1575 Tycoon US Schools

Rise in Phishing Attacks Targeting US Schools Raises Concerns

 



Through a recent report by PIXM, a cybersecurity firm specialising in artificial intelligence solutions, public schools in the United States face a significant increase in sophisticated phishing campaigns. Threat actors are employing targeted spear phishing attacks, utilising stealthy patterns to target officials in large school districts, effectively bypassing Multi-Factor Authentication (MFA) protections.

Since December 2023, there has been a surge in MFA-based phishing campaigns targeting teachers, staff, and administrators across the US. The attackers, identified as the Tycoon and Storm-1575 threat groups, employ social engineering techniques and Adversary-in-the-Middle (AiTM) phishing to bypass MFA tokens and session cookies. They create custom login experiences and use services like dadsec and Phishing-as-a-Service (PhaaS) to compromise administrator email accounts and deliver ransomware.

The Tycoon Group's PhaaS, available on Telegram for just $120, boasts features like bypassing Microsoft's two-factor authentication. Meanwhile, Microsoft identifies Storm-1575 as a threat actor engaging in phishing campaigns through the Dadsec platform. The attacks involve phishing emails prompting officials to update passwords, leading them to encounter a Cloudflare Captcha and a spoofed Microsoft password page. If successful, attackers forward passwords to legitimate login pages, requesting two-factor authentication codes and bypassing MFA protections.

The attacks commonly target officials such as the Chief of Human Capital, finance, and payroll administrators. Some attempts involve altering Windows registry keys, potentially infecting machines with malicious scripts. The attackers conceal their tracks using stealth tactics, hiding behind Cloudflare infrastructure and creating new domains.

Despite using CAPTCHAs in phishing attacks providing a sense of legitimacy to end-users, there's potential for malicious trojan activity, including modifying Windows registry keys and injecting malicious files. These attacks can result in malware installation, ransomware, and data exfiltration.

Schools are the most targeted industry by ransomware gangs, with student data being a prominent prey of cybercrime. A concerning trend shows unprecedented data loss, with over 900 schools targeted in MOVEit-linked cyber attacks. Recent data leaks, such as the one involving Raptor Technologies, have exposed sensitive records belonging to students, parents, and staff, raising concerns about student privacy and school safety.

To protect against these phishing attacks, organisations are advised to identify high-priority staff, invest in tailored awareness efforts, caution users against suspicious links, and implement proactive AI-driven protections at the browser and email layers.

To take a sharp look at things, the surge in phishing attacks targeting US schools states the significance of cybersecurity measures and the need for increased awareness within educational institutions to safeguard sensitive information and ensure the privacy and safety of students and staff.


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