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SafePay ransomware
advanced ransomware techniques Cyber Security Cyber Threats Data Encryption LockBit source code ransomware strain ransomware tactics SafePay ransomware

SafePay Ransomware: A New Threat with Advanced Techniques

 

In October 2024, cybersecurity experts at Huntress identified a previously undocumented ransomware strain named SafePay. This malware was deployed in two separate incidents and stands out for its distinctive features, including the use of .safepay as an encrypted file extension and a ransom note titled readme_safepay.txt. Despite its limited exposure, SafePay’s techniques signal a skilled operator leveraging advanced ransomware methods.

SafePay is linked to older ransomware families like LockBit, with Huntress analysts stating: “During our analysis of the ransomware binary, we began to notice a large number of similarities to the extensively analyzed LockBit samples from the end of 2022.” These parallels suggest that SafePay’s developers may have utilized leaked LockBit source code to create their malware, showcasing a blend of stealth and sophistication.

SafePay follows a systematic two-phase attack process:

  • Data Collection and Exfiltration: In one observed incident, attackers used WinRAR to archive data across multiple systems and exfiltrated it via FileZilla. Analysts remarked, “This activity looks like potential data exfiltration from the network—collected and archived with WinRAR and then possibly exfiltrated out using FTP.” Tools were uninstalled post-use to erase traces.
  • Encryption Deployment: Using Remote Desktop Protocol (RDP) access, attackers deployed ransomware scripts via PowerShell, targeting network shares. Commands such as disabling shadow copies and modifying boot configurations were executed to impede recovery. The ransom note ominously begins with: “Greetings! Your corporate network was attacked by SafePay team,” and outlines negotiation steps for data recovery.
The SafePay group operates on both the Tor network and the decentralized The Open Network (TON). Their leak site showcases victim organizations and stolen data directories. Huntress analysts discovered vulnerabilities in the site’s backend, exposing an Apache server status endpoint, offering insights into the group’s operations.

Although relatively new, SafePay’s connection to LockBit and its sophisticated techniques present significant risks across industries. As Huntress analysts concluded: “The threat actor was able to use valid credentials to access customer endpoints and was not observed enabling RDP, creating new user accounts, or establishing persistence.”

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Windows Vulnerability
corporate network breach CRON#TRAP cybersecurity threat Linux VM backdoor malware Phishing Attack QEMU ransomware tactics stealth malware virtual machine attacks Windows Vulnerability

New Phishing Attacks Use Backdoored Linux VMs to Infect Windows Systems

 

A recent phishing campaign, named 'CRON#TRAP,' is targeting Windows systems by deploying a Linux virtual machine with an embedded backdoor, allowing covert access to corporate networks.

While attackers have previously used virtual machines in malicious activities like ransomware and cryptomining, these installations were often done manually after gaining initial access. However, Securonix researchers identified that this new campaign automates the installation of a Linux VM through phishing emails, giving attackers a persistent foothold in corporate environments.

The phishing emails mimic a "OneAmerica survey," including a 285MB ZIP file that sets up a Linux virtual machine with a backdoor once opened. The ZIP archive contains a Windows shortcut labeled "OneAmerica Survey.lnk" and a folder named "data," which houses the QEMU application disguised as "fontdiag.exe."

When executed, the shortcut triggers a PowerShell command, extracting files to the "%UserProfile%\datax" directory and launching "start.bat" to set up a QEMU Linux VM. During installation, a fake server error message in a PNG format is displayed as a decoy, suggesting a broken survey link. This custom VM, called 'PivotBox,' includes a preconfigured backdoor for continuous command-and-control (C2) communication, enabling covert background operations.

The use of QEMU—a legitimate, digitally signed virtualization tool—means Windows security systems often fail to detect these malicious processes within the virtual environment.

The campaign’s backdoor mechanism uses a tool called Chisel for secure tunneling over HTTP and SSH, allowing attackers to maintain contact with the compromised system, even if firewalls are in place. To ensure persistence, the QEMU VM is set to restart on reboot, while SSH keys are uploaded to eliminate re-authentication requirements.

Securonix researchers noted two critical commands: 'get-host-shell,' which opens an interactive shell on the host for command execution, and 'get-host-user,' which checks user privileges. These commands facilitate activities like surveillance, network management, payload deployment, file control, and data exfiltration, enabling attackers to adapt and maximize their impact on target systems.

The CRON#TRAP campaign is not the first instance of QEMU misuse in stealthy attacks. In March 2024, Kaspersky observed a similar tactic, where a lightweight backdoor within a 1MB Kali Linux VM used QEMU to create hidden network interfaces and connect to a remote server.

To mitigate these types of attacks, experts recommend monitoring for processes like 'qemu.exe' in user-accessible folders, blocking QEMU and similar virtualization tools, and disabling virtualization in critical systems’ BIOS configurations.
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ransomware tactics
Cyber Extortion Cyber Threats Cybersecurity data exfiltration. logistics industry LukaLocker ransomware Malware attacks manufacturing sector phone call intimidation Ransomware group ransomware tactics

This New Ransomware Group Uses Phone Calls to Pressure Victims

 



Researchers have identified a new ransomware group called Volcano Demon, responsible for at least two successful attacks in the past two weeks. Tim West, an analyst at cybersecurity firm Halcyon, revealed that the group targeted companies in the manufacturing and logistics industries. However, further details about the targets were not disclosed.

Unlike typical ransomware groups, Volcano Demon does not have a public leaks website. Instead, they use phone calls to intimidate and negotiate payments with leadership at the victim organizations. These calls, often threatening, originate from unidentified numbers.

Before making the calls, the hackers encrypt files on the victims' systems using previously unknown LukaLocker ransomware and leave a ransom note. The note threatens to inform clients and partners about the attack and sell data to scammers if the ransom is not paid.

Volcano Demon uses a double extortion technique, exfiltrating data to command-and-control (C2) services before encrypting it. They successfully locked Windows workstations and servers by exploiting common administrative credentials from the network. Tracking Volcano Demon has proven difficult due to their practice of clearing log files on targeted machines, which hampers comprehensive forensic evaluation.

West mentioned that the hackers, who spoke with a heavy accent, call very frequently, almost daily in some cases. However, the origin of the callers remains unclear as no recordings are available.

It is uncertain whether Volcano Demon operates independently or as an affiliate of a known ransomware group. Halcyon has not yet identified any such links.

Ransomware operators continue to evolve, with new threat actors emerging and targeting various industries. In May 2024, researchers identified a criminal gang named Arcus Media, operating a ransomware-as-a-service model and targeting victims in the U.S., U.K., India, and Brazil. Another group, Space Bears, appeared in April, quickly gaining notoriety for their corporate-themed data leak site and affiliations with the Phobos ransomware-as-a-service group. Researchers suggest that these groups may be more organized and funded than previously anticipated.
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sellers
buyers chat records cryptocurrency transactions Cyber Security Darknet market Incognito Market mass extortion ransomware tactics sellers

Incognito Market Engages in Large-Scale Extortion of Buyers and Sellers on the Darknet


Taking a cue from ransomware operators, the illicit online drug marketplace known as Incognito Market has initiated a campaign of extortion targeting both its vendors and buyers. Users are being threatened with the exposure of their cryptocurrency transaction histories and chat records unless they pay a fee ranging from $100 to $20,000. This brazen attempt at mass extortion follows closely on the heels of an alleged "exit scam" by Incognito Market administrators, where users were left unable to access millions of dollars' worth of funds.

The homepage of Incognito Market was recently updated with a blackmail message from its owners, warning users that purchase records of vendors who refuse to pay will soon be made public. The message boasts of having amassed years' worth of private messages, transaction information, and order details, which were supposedly never deleted as users were led to believe. The administrators plan to release a dump of 557,000 orders and 862,000 cryptocurrency transaction IDs by the end of May

To add pressure, a "Payment Status" page has been set up listing the top vendors who have paid to keep their information confidential, suggesting that those who haven't paid do not care about their customers' privacy. Incognito Market also intends to launch a "whitelist portal" allowing buyers to remove their transaction records in the coming weeks.

The situation has escalated after reports emerged that numerous users were unable to withdraw funds from their accounts. Incognito Market, known for its trade in narcotics, is now facing a crisis as users fear being exposed as drug dealers. This development mirrors the tactics of ransomware groups, which often employ double extortion techniques to pressure victims into paying.

The extortion fees vary depending on the vendor's level within the marketplace, with Level 1 vendors facing a $100 fee and Level 5 vendors being asked to pay $20,000. Brett Johnson, a former cybercriminal, highlights the inevitability of exit scams in the darknet market scene, emphasizing that law enforcement intervention is often the only obstacle preventing such schemes.

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