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Global Companies Targeted by "CopyR(ight)hadamantys" Phishing Scam Using Advanced Infostealer Malware

 

Hundreds of organizations worldwide have recently fallen victim to a sophisticated spear-phishing campaign, where emails falsely claiming copyright infringement are used to deliver an advanced infostealer malware.

Since July, Check Point Research has tracked the distribution of these emails across regions like the Americas, Europe, and Southeast Asia. Each email originates from a unique domain, and hundreds of Check Point’s clients have been targeted, suggesting the campaign's scope may be even broader.

The emails are designed to provoke recipients into downloading Rhadamanthys, a powerful infostealer capable of extracting sensitive data, such as cryptocurrency wallet information. Check Point researchers refer to the campaign as "CopyR(ight)hadamantys" and note the use of automated tools to send emails from different addresses. This automation can lead to awkward results, such as emails written in incorrect languages, limiting the emails’ ability to impersonate recognizable brands effectively. Roughly 70% of impersonated companies belong to the tech or media and entertainment sectors, including Check Point itself.

The phishing emails claim that the recipient has violated copyright laws by posting unauthorized content online. According to Sergey Shykevich, threat intelligence manager at Check Point, these accusations often cause recipients to question if they mistakenly used copyrighted material, increasing the chance they'll download the malware.

Recipients are directed to download a password-protected file, which contains a link leading to Dropbox or Discord. This file holds a decoy document, a legitimate program, and a malicious DLL (dynamic link library) that installs Rhadamanthys. Rhadamanthys stands out as one of the most sophisticated information-stealing tools sold on the dark web, priced around $1,000—significantly higher than other infostealers, which typically range from $100 to $200. Rhadamanthys is known for its modularity, obfuscation, and stealth, making detection much more challenging.

One notable feature of Rhadamanthys is its machine-learning-based OCR (optical character recognition) component. While limited in capability—it struggles with complex fonts and handwriting—this feature allows it to extract information from images and PDF files. The OCR module in the current campaign contains a dictionary of words tied to Bitcoin wallet security, suggesting a focus on cryptocurrency theft.

The CopyR(ight)hadamantys campaign aligns with financially motivated tactics, but Rhadamanthys has also been linked to state-sponsored actors, including Iran’s Void Manticore and the pro-Palestinian Handala group. Organizations are advised to enhance phishing defenses, though this campaign has an additional, unusual feature.

Once deployed, the malicious DLL creates a much larger file in the user’s Documents folder, disguised as a Firefox component. This larger version, though identical in function, uses an "overlay" of excess data, which serves two purposes: altering the file’s hash value, and potentially avoiding antivirus detection by exploiting a tendency of some programs to skip scanning large files.

According to Shykevich, organizations should monitor unusually large files downloaded via email, though legitimate files may also be large. He believes implementing effective download rules could help combat this tactic.

Crypto Wallet App on Google Play Steals $70,000 from Mobile Users

 

A fake crypto wallet draining app on Google Play has stolen USD 70,000 from users, making it the first case where mobile users were specifically targeted by such a scam. The app stayed active for several months before being discovered, according to a report from Check Point Research. 

The app pretended to be a real crypto wallet service, tricking more than 10,000 users into downloading it. What made the scam effective was its professional appearance, which included consistent branding and fake positive reviews. These tactics helped the app rank high in Google Play’s search results, making it seem trustworthy to people looking for a secure place to store their cryptocurrency. 

Once users installed the app, it was able to quietly drain funds from their wallets without being noticed right away. This case stands out because, up until now, most crypto wallet attacks have focused on desktop or browser-based platforms. This marks a shift, as cybercriminals are now targeting the growing number of people who use mobile platforms for crypto transactions. 

The app’s ability to avoid detection for such a long time shows how advanced cybercriminal tactics have become. It also highlights the need for greater caution among users when downloading apps, even from trusted platforms like Google Play. This scam underscores the importance of stronger security measures for mobile transactions, such as using verified wallets and enabling two-factor authentication. 

It also calls attention to the need for better app screening by platforms like Google Play to prevent such scams from reaching users in the first place. Though the amount stolen may seem small compared to other crypto thefts, this case is significant because it shows how cybercriminals are adapting to target mobile users as cryptocurrency becomes more popular.

WazirX Responds to Major Cyberattack with Trading Halt and Bounty Program

 

In the wake of a significant cyberattack, WazirX, one of India’s foremost cryptocurrency exchanges, has taken drastic measures to mitigate the damage. The exchange announced a halt in trading and introduced a bounty program aimed at recovering stolen assets. This attack has severely impacted their ability to maintain 1:1 collateral with assets, necessitating immediate action. 

In a series of posts on X, WazirX detailed their response to the breach. They have filed a police complaint and reported the incident to the Financial Intelligence Unit (FIU) and CERT-In. Co-founder Nischal Shetty emphasized the urgency of the situation, stating that the exchange is reaching out to over 500 other exchanges to block the identified addresses associated with the stolen funds. This broad collaboration is essential as the stolen assets move through various platforms. 

To further their recovery efforts, WazirX is launching a bounty program to incentivize individuals and entities to help freeze or recover the stolen assets. This initiative is part of a broader strategy to trace the stolen funds and enhance the security measures of the exchange. The team is also consulting with several expert groups specializing in cryptocurrency transaction tracking to provide continuous monitoring and support during the recovery process. The exchange expressed gratitude for the support from the broader Web3 ecosystem, underscoring the need for a collective effort to resolve the issue and maintain the integrity of the Web3 community. 

Shetty mentioned that the team is conducting a thorough analysis to understand the extent of the damage caused by the attack. This analysis is crucial for developing an effective recovery plan and ensuring that all possible measures are taken to protect customer funds. In addition to their internal efforts, WazirX is working closely with forensic experts and law enforcement agencies to identify and apprehend the perpetrators. This collaboration aims to ensure that those responsible are brought to justice and that as many stolen assets as possible are recovered. 

The cyberattack has resulted in a substantial loss of approximately $235 million, making it one of the largest hacks of a centralized exchange in recent history. Crypto investigator ZachXBT revealed that the main attacker’s wallet still holds over $104 million in funds, which have yet to be offloaded. 

This highlights the ongoing challenges and complexities of securing digital assets in the ever-evolving cryptocurrency landscape. WazirX’s proactive measures and the support from the broader community will be crucial in navigating this crisis and reinforcing the security frameworks essential for the future of cryptocurrency exchanges.

The Week of Crypto Platform Breaches: Prisma Finance Incident Highlights

 

The past week witnessed a series of bewildering events in the realm of cryptocurrency, marked by breaches on two prominent platforms that left the crypto community grappling with perplexing motives and unexpected outcomes. 

The first incident unfolded on Tuesday evening when the Munchables blockchain-based game fell victim to an attack, resulting in the theft of approximately $62 million worth of cryptocurrency. Initial speculation pointed towards North Korea-linked hackers, given the country's history of targeting cryptocurrency platforms for financial gain. However, the situation took an unexpected turn when the alleged perpetrator voluntarily returned the stolen funds without any ransom demands. 

In a surprising twist, Munchables shared that the individual behind the attack had relinquished access to the private keys containing the stolen funds, expressing gratitude for their cooperation. Despite this resolution, questions lingered about the circumstances surrounding the incident, including the attacker's identity and motives, prompting calls for enhanced security measures within the crypto community. Shortly thereafter, another breach occurred on Thursday evening, this time affecting Prisma Finance, a popular decentralized finance (DeFi) platform, which suffered a loss of approximately $11.6 million. 

However, the aftermath of this breach was marked by cryptic messages from the hacker, who claimed the attack was a "white hat" endeavour aimed at highlighting vulnerabilities in the platform's smart contracts. The hacker, whose identity remained undisclosed, reached out to Prisma Finance seeking to return the stolen funds and engaging in a discourse about smart contract auditing and developer responsibilities. 

Despite the hacker's apparent altruistic intentions, the incident underscored the importance of rigorous security measures and comprehensive audits in the DeFi space. Prisma Finance later released a post-mortem report detailing the flash loan attack that led to the breach, shedding light on the exploitation of vulnerabilities in the platform. The report emphasized ongoing efforts to investigate the incident and ensure the safety of users' funds, highlighting the collaborative nature of the crypto community in addressing security breaches. 

These breaches come against the backdrop of heightened scrutiny of cyberattacks on cryptocurrency platforms, with a recent United Nations report identifying North Korean hackers as key perpetrators. The report highlighted a staggering $3 billion in illicit gains attributed to North Korean cyberattacks over a six-year period, underscoring the persistent threat posed by state-sponsored hackers in the crypto space. 

As the investigation into these breaches continues, the crypto community remains vigilant, emphasizing the importance of robust security measures and proactive collaboration to safeguard against future threats. While the motives behind these breaches may remain shrouded in mystery, the incidents serve as a stark reminder of the ever-present risks associated with digital assets and the imperative of maintaining heightened security protocols in the evolving landscape of cryptocurrency.

Lazarus Group Hackers Resurface Utilizing Tornado Cash for Money Laundering

 

The Lazarus hacking group from North Korea is reported to have reverted to an old tactic to launder $23 million obtained during an attack in November. According to investigators at Elliptic, a blockchain research company, the funds, which were part of the $112.5 million stolen from the HTX cryptocurrency exchange, have been laundered through the Tornado Cash mixing service.

Elliptic highlighted the significance of this move, noting that Lazarus had previously switched to Sinbad.io after U.S. authorities sanctioned Tornado Cash in August 2022. However, Sinbad.io was later sanctioned in November. Elliptic observed that Lazarus Group appears to have resumed using Tornado Cash to obscure the trail of their transactions, with over $23 million laundered through approximately 60 transactions.

The researchers explained that this shift in behavior likely stems from the limited availability of large-scale mixers following law enforcement actions against services like Sinbad.io and Blender.io. Despite being sanctioned, Tornado Cash continues to operate due to its decentralized nature, making it immune to seizure and shutdown like centralized mixers.

Elliptic has been monitoring the movement of the stolen $112.5 million since HTX attributed the incident to Lazarus. The funds remained dormant until March 13 when they were observed passing through Tornado Cash, corroborated by other blockchain security firms.

North Korean hackers utilize services such as Tornado Cash and Sinbad.io to conceal the origins of their ill-gotten gains and convert them into usable currency, aiding the regime in circumventing international sanctions related to its weapons programs, as per U.S. government claims.

According to the U.S. Treasury Department, North Korean hackers have utilized Sinbad and its precursor Blender.io to launder a portion of the $100 million stolen from Atomic Wallet customers in June, as well as substantial amounts from high-profile crypto thefts like those from Axie Infinity and Horizon Bridge.

Researchers estimate that North Korean groups pilfered around $1.7 billion worth of cryptocurrency in 2022 and approximately $1 billion in 2023. The Lazarus Group, operational for over a decade, has reportedly stolen over $2 billion worth of cryptocurrency to finance North Korea's governmental activities, including its weapons programs, as stated by U.S. officials. The group itself faced U.S. sanctions in 2019.

Hackers Steal Nearly $10 Million from Axie Infinity Co-founder’s Personal Accounts

 

A significant amount of cryptocurrency, valued at nearly $10 million, has been reported stolen from personal accounts belonging to Jeff "Jihoz" Zirlin, one of the co-founders associated with the video game Axie Infinity and its affiliated Ronin Network.

According to reports, Zirlin's wallets were compromised, resulting in the theft of 3,248 ethereum coins, equivalent to approximately $9.7 million. Zirlin took to social media to confirm the incident, stating that two of his accounts had been breached. 

However, he emphasized that the attack solely targeted his personal accounts and did not affect the validation or operations of the Ronin chain or Axie Infinity,as reiterated by Aleksander Larsen, another co-founder of the Ronin Network.

The method through which the intruders gained access to Zirlin's wallets remains unclear. The Ronin Network serves as the underlying infrastructure for Axie Infinity, a game renowned for its play-to-earn model based on ethereum, particularly popular in Southeast Asia. 

Notably, the system had previously fallen victim to a $600 million cryptocurrency heist in March 2022, an attack attributed by U.S. prosecutors to the Lazarus Group, a cybercrime operation allegedly backed by North Korea.

Analysts tracking the recent theft traced the stolen funds to activity on Tornado Cash, a cryptocurrency mixer designed to obfuscate the origin of funds. It's worth noting that Lazarus had previously utilized this mixer to launder proceeds from the 2022 hack. The U.S. government, in response, had separately imposed sanctions on Tornado Cash.

Blockchain investigator PeckShield described the incident as a "wallet compromise," indicating a breach in security measures. Despite the breach, Zirlin assured stakeholders of the stringent security protocols in place for all activities related to the Ronin chain.