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September 13, 2023

How Darktrace Stopped Akira Ransomware

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13
Sep 2023
Learn how Darktrace is uniquely placed to identify and contain the novel Akira ransomware strain, first observed in March 2023.

Introduction to Akira Ransomware

In the face of a seemingly never-ending production line of novel ransomware strains, security teams across the threat landscape are continuing to see a myriad of new variants and groups targeting their networks. Naturally, new strains and threat groups present unique challenges to organizations. The use of previously unseen tactics, techniques, and procedures (TTPs) means that threat actors can often completely bypass traditional rule and signature-based security solutions, thus rendering an organization’s digital environment vulnerable to attack.

What is Akira Ransomware?

One such example of a novel ransomware family is Akira, which was first observed in the wild in March 2023. Much like many other strains, Akira is known to target corporate networks worldwide, encrypting sensitive files and demanding huge sums of money to retrieve the data and stop it from being posted online [1].

Key characteristics of Akira Ransomware

  • Targeted Attacks: Focuses on specific industries and organizations, often targeting those with valuable data.
  • Double Extortion Tactics: Employs double extortion by encrypting data and threatening to release it publicly if the ransom is not paid.
  • Advanced Encryption: Utilizes sophisticated encryption algorithms to ensure that data recovery is impossible without the decryption key.
  • Custom Ransom Notes: Delivers personalized ransom notes tailored to the victim, often containing detailed instructions and specific payment demands.
  • Stealth Techniques: Uses advanced evasion techniques to avoid detection by security tools and to remain undetected for extended periods.
  • Fast Encryption Process: Known for its rapid encryption process, minimizing the time window for detection and response by the victim.
  • Frequent Updates: Regularly updates its malware to bypass the latest security defenses and to improve its effectiveness.
  • Professional Communication: Maintains professional and often polite communication with victims to facilitate ransom payments and decryption.

Darktrace AI capabilities detect Akira Ransomware

In late May 2023, Darktrace observed multiple instances of Akira ransomware affecting networks across its customer base. Thanks to its anomaly-based approach to threat detection, Darktrace successfully identified the novel ransomware attacks and provided full visibility over the cyber kill chain, from the initial compromise to the eventual file encryptions and ransom notes. In cases where Darktrace was enabled in autonomous response mode, these attacks were mitigated the early stages of the attack, thus minimizing any disruption or damage to customer networks.

Initial access and privileged escalation

Methods used by Akira ransomware for privileged escalation

The Akira ransomware group typically uses spear-phishing campaigns containing malicious downloads or links as their primary initial access vector; however, they have also been known to use Remote Desktop Protocol (RDP) brute-force attacks to access target networks [2].

While Darktrace did observe the early access activities that are detailed below, it is very likely that the actual initial intrusion happened prior to this, through targeted phishing attacks that fell outside of Darktrace’s purview. The first indicators of compromise (IoCs) that Darktrace observed on customer networks affected by Darktrace were typically unusual RDP sessions, and the use of compromised administrative credentials.

Darktrace detection of initial access and priviledged escalation

On one Darktrace customer’s network (customer A), Darktrace identified a highly privileged credential being used for the first time on an internal server on May 21, 2023. Around a week later, this server was observed establishing RDP connections with multiple internal destination devices via port 3389. Further investigation carried out by the customer revealed that this credential had indeed been compromised. On May 30, Darktrace detected another device scanning internal devices and repeatedly failing to authenticate via Kerberos.

As the customer had integrated Darktrace with Microsoft Defender, their security team received additional cyber threat intelligence from Microsoft which, coupled with the anomaly alerts provided by Darktrace, helped to further contextualize these anomalous events. One specific detail gleaned from this integration was that the anomalous scanning activity and failed authentication attempts were carried out using the compromised administrative credentials mentioned earlier.

By integrating Microsoft Defender with Darktrace, customers can efficiently close security gaps across their digital infrastructure. While Darktrace understands customer environments and provides valuable network-level insights, by integrating with Microsoft Defender, customers can further enrich these insights with endpoint-specific information and activity.

In another customer’s network (customer B), Darktrace detected a device, later observed writing a ransom note, receiving an unusual RDP connection from another internal device. The RDP cookie used during this activity was an administrative RDP cookie that appeared to have been compromised. This device was also observed making multiple connections to the domain, api.playanext[.]com, and using the user agent , AnyDesk/7.1.11, indicating the use of the AnyDesk remote desktop service.

Although this external domain does not appear directly related to Akira ransomware, open-source intelligence (OSINT) found associations with multiple malicious files, and it appeared to be associated with the AnyDesk user agent, AnyDesk/6.0.1 [3]. The connections to this endpoint likely represented the malicious use of AnyDesk to remotely control the customer’s device, rather than Akira command-and-control (C2) infrastructure or payloads. Alternatively, it could be indicative of a spoofing attempt in which the threat actor is attempting to masquerade as legitimate remote desktop service to remain undetected by security tools.

Around the same time, Darktrace observed many devices on customer B’s network making anomalous internal RDP connections and authenticating via Kerberos, NTLM, or SMB using the same administrative credential. These devices were later confirmed to be affected by Akira Ransomware.

Figure 1 shows how Darktrace detected one of those internal devices failing to login via SMB multiple times with a certain credential (indication of a possible SMB/NTLM brute force), before successfully accessing other internal devices via SMB, NTLM and RDP using the likely compromised administrative credential mentioned earlier.

Figure 1: Model Breach Event Log indicating unusual SMB, NTLM and RDP activity with different credentials detected which led to the Darktrace model breaches, "Unusual Admin RDP Session” and “Successful Admin Brute-Force Activity”.

Darktrace models observed for initial access and privilege escalation:

  • Device / Anomalous RDP Followed By Multiple Model Breaches
  • Anomalous Connection / Unusual Admin RDP Session
  • New Admin Credentials on Server
  • Possible SMB/NTLM Brute Force Indicator
  • Unusual Activity / Successful Admin Brute-Force Activity

Internal Reconnaissance and Lateral Movement

The next step Darktrace observed during Akira Ransomware attacks across the customer was internal reconnaissance and lateral movement.

How Akira Ransomware conducts internal reconnaissance

In another customer’s environment (customer C), after authenticating via NTLM using a compromised credential, a domain controller was observed accessing a large amount of SMB shares it had never previously accessed. Darktrace understood that this SMB activity represented a deviation in the device’s expected behavior and recognized that it could be indicative of SMB enumeration. Darktrace observed the device making at least 196 connections to 34 unique internal IPs via port 445. SMB actions read, write, and delete were observed during those connections. This domain controller was also one of many devices on the customer’s network that was received incoming connections from an external endpoint over port 3389 using the RDP protocol, indicating that the devices were likely being remotely controlled from outside the network. While there were no direct OSINT links with this endpoint and Akira ransomware, the domain controller in question was later confirmed to be compromised and played a key role in this phase of the attack.

Moreover, this represents the second IoC that Darktrace observed that had no obvious connection to Akira, likely indicating that Akira actors are establishing entirely new infrastructure to carry out their attacks, or even utilizing newly compromised legitimate infrastructure. As Darktrace adopts an anomaly-based approach to threat detection, it can recognize suspicious activity indicative of an emerging ransomware attack based on its unusualness, rather than having to rely on previously observed IoCs and lists of ‘known-bads’.

Darktrace further observed a flurry of activity related to lateral movement around this time, primarily via SMB writes of suspicious files to other internal destinations. One particular device on customer C’s network was detected transferring multiple executable (.exe) and script files to other internal devices via SMB.

Darktrace recognized that these transfers represented a deviation from the device’s normal SMB activity and may have indicated threat actors were attempting to compromise additional devices via the transfer of malicious software.

Figure 2: Advanced Search results showing 20 files associated with suspicious SMB write activity, amongst them executable files and dynamic link libraries (DLLs).

Darktrace DETECT models observed for internal reconnaissance and lateral movement:

  • Device / RDP Scan
  • Anomalous Connection / SMB Enumeration
  • Anomalous Connection / Possible Share Enumeration Activity
  • Scanning of Multiple Devices (Cyber AI Analyst Incident)
  • Device / Possible SMB/NTLM Reconnaissance
  • Compliance / Incoming Remote Desktop
  • Compliance / Outgoing NTLM Request from DC
  • Unusual Activity / Internal Data Transfer
  • Security Integration / Lateral Movement and Integration Detection
  • Device / Anomalous SMB Followed By Multiple Model Breaches

Ransomware deployment

In the final phase of Akira ransomware attacks detected on Darktrace customer networks, Darktrace identified the file extension “.akira” being added after encryption to a variety of files on the affected network shares, as well as a ransom note titled “akira_readme.txt” being dropped on affected devices.

On customer A’s network, after nearly 9,000 login failures and 2,000 internal connection attempts indicative of scanning activity, one device was detected transferring suspicious files over SMB to other internal devices. The device was then observed connecting to another internal device via SMB and continuing suspicious file activity, such as appending files on network shares with the “.akira” extension, and performing suspicious writes to SMB shares on other internal devices.

Darktrace’s autonomous threat investigator, Cyber AI Analyst™, was able to analyze the multiple events related to this encryption activity and collate them into one AI Analyst incident, presenting a detailed and comprehensive summary of the entire incident within 10 minutes of Darktrace’s initial detection. Rather than simply viewing individual breaches as standalone activity, AI Analyst can identify the individual steps of an ongoing attack to provide complete visibility over emerging compromises and their kill chains. Not only does this bolster the network’s defenses, but the autonomous investigations carried out by AI Analyst also help to save the security team’s time and resources in triaging and monitoring ongoing incidents.

Figure 3: Darktrace Cyber AI Analyst incident correlated multiple model breaches together to show Akira ransomware encryption activity.

In addition to analyzing and compiling Darktrace model breaches, AI Analyst also leveraged the host-level insights provided by Microsoft Defender to enrich its investigation into the encryption event. By using the Security Integration model breaches, AI Analyst can retrieve timestamp and device details from a Defender alert and further investigate any unusual activity surrounding the alert to present a full picture of the suspicious activity.

In customer B’s environment, following the unusual RDP sessions and rare external connections using the AnyDesk user agent, an affected device was later observed writing around 2,000 files named "akira_readme.txt" to multiple internal SMB shares. This represented the malicious actor dropping ransom notes, containing the demands and extortion attempts of the actors.

Figure 4: Model Breach Event Log indicating the ransom note detected on May 12, 2023, which led to the Darktrace DETECT model breach, Anomalous Server Activity / Write to Network Accessible WebRoot.
Figure 5: Packet Capture (PCAP) demonstrating the Akira ransom note captured from the connection details seen in Figure 4.

As a result of this ongoing activity, an Enhanced Monitoring model breach, a high-fidelity detection model type that detects activities that are more likely to be indicative of compromise, was escalated to Darktrace’s Security Operations Center (SOC) who, in turn were able to further investigate and triage this ransomware activity. Customers who have subscribed to Darktrace’s Proactive Threat Notification (PTN) service would receive an alert from the SOC team, advising urgent follow up action.

Darktrace detection models observed during ransomware deployment:

  • Security Integration / Integration Ransomware Incident
  • Security Integration / High Severity Integration Detection
  • Security Integration / Integration Ransomware Detected
  • Device / Suspicious File Writes to Multiple Hidden SMB Shares
  • Compliance / SMB Drive Write
  • Compromise / Ransomware / Suspicious SMB Activity (Proactive Threat Notification Alerted by the Darktrace SOC)
  • Anomalous File / Internal / Additional Extension Appended to SMB File
  • Anomalous File / Internal / Unusual SMB Script Write
  • Compromise / Ransomware / Ransom or Offensive Words Written to SMB
  • Anomalous Server Activity /Write to Network Accessible WebRoot
  • Anomalous Server Activity /Write to Network Accessible WebRoot

Darktrace autonomous response neutralizes Akira Ransomware

When Darktrace is configured in autonomous response mode, it is able to follow up successful threat identifications with instant autonomous actions that stop malicious actors in their tracks and prevent them from achieving their end goals.

In the examples of Darktrace customers affected by Akira Ransomware outlined above, only customer A had autonomous response mode enabled during their ransomware attack. The autonomous response capability of Darktrace helped the customer to minimize disruption to the business through multiple targeted actions on devices affected by ransomware.

One action carried out by Darktrace's Autonomous Respose was to block all on-going traffic from affected devices. In doing so, Darktrace effectively shuts down communications between devices affected by Akira and the malicious infrastructure used by threat actors, preventing the spread of data on the client network or threat actor payloads.

Another crucial response action applied on this customer’s network was combat Akira was to “Enforce a Pattern of Life” on affected devices. This action is designed to prevent devices from performing any activity that would constitute a deviation from their expected behavior, while allowing them to continue their ‘usual’ business operations without causing any disruption.

While the initial intrusion of the attack on customer A’s network likely fell outside of the scope of Darktrace’s visibility, Darktrace was able to minimize the disruption caused by Akira, containing the ransomware and allowing the customer to further investigate and remediate.

Darktrace Autonomous Response model breaches:

  • Antigena / Network / External Threat / Antigena Ransomware Block
  • Antigena / Network / External Threat / Antigena Suspicious Activity Block
  • Antigena / Network / Significant Anomaly / Antigena Enhanced Monitoring from Server Block
  • Antigena / Network / External Threat / Antigena Suspicious Activity Block
  • Antigena / Network / External Threat / Antigena File then New Outbound Block
  • Antigena / Network / Insider Threat / Antigena Unusual Privileged User Activities Block
  • Antigena / Network / Significant Anomaly / Antigena Breaches Over Time Block
  • Antigena / Network / Significant Anomaly / Antigena Significant Anomaly from Client Block
  • Antigena / Network /Insider Threat /Antigena SMB Enumeration Block

Conclusion

The impact of cyber attacks

Novel ransomware strains like Akira Ransomware present a significant challenge to security teams across the globe due to the constant evolution of attack methods and tactics, making it huge a challenge for security teams to stay up to date with the most current threat intelligence.  

Therefore, it is paramount for organizations to adopt a technology designed around an intelligent decision maker able to identify unusual activity that could be indicative of a ransomware attack without depending solely on rules, signatures, or statistic lists of malicious IoCs.

Importance of AI-powered cybersecurity solutions

Darktrace identified Akira ransomware at every stage of the attack’s kill chain on multiple customer networks, even when threat actors were utilizing seemingly legitimate services (or spoofed versions of them) to carry out malicious activity. While this may have gone unnoticed by traditional security tools, Darktrace’s anomaly-based detection enabled it to recognize malicious activity for what it was. When enabled in autonomous response mode, Darktrace is able to follow up initial detections with machine-speed preventative actions to stop the spread of ransomware and minimize the damage caused to customer networks.  

There is no silver bullet to defend against novel cyber-attacks, however Darktrace’s anomaly-based approach to threat detection and autonomous response capabilities are uniquely placed to detect and respond to cyber disruption without latency.

Credit to: Manoel Kadja, Cyber Analyst, Nahisha Nobregas, SOC Analyst.

Appendices

IOC - Type - Description/Confidence

202.175.136[.]197 - External destination IP -Incoming RDP Connection

api.playanext[.]com - External hostname - Possible RDP Host

.akira - File Extension - Akira Ransomware Extension

akira_readme.txt - Text File - Akira Ransom Note

AnyDesk/7.1.11 - User Agent -AnyDesk User Agent

MITRE ATT&CK Mapping

Tactic & Technique

DISCOVERY

T1083 - File and Directory Discovery

T1046 - Network Service Scanning

T1135 - Network Share Discovery

RECONNAISSANCE

T1595.002 - Vulnerability Scanning

CREDENTIAL ACCESS, COLLECTION

T1557.001 - LLMNR/NBT-NS Poisoning and SMB Relay

DEFENSE EVASION, LATERAL MOVEMENT

T1550.002 - Pass the Hash

DEFENSE EVASION, PERSISTENCE, PRIVILEGE ESCALATION, INITIAL ACCESS

T1078 - Valid Accounts

DEFENSE EVASION

T1006 - Direct Volume Access

LATERAL MOVEMENT

T1563.002 - RDP Hijacking

T1021.001 - Remote Desktop Protocol

T1080 - Taint Shared Content

T1021.002 - SMB/Windows Admin Shares

INITIAL ACCESS

T1190 - Exploit Public-Facing Application

T1199 - Trusted Relationship

PERSISTENCE, INITIAL ACCESS

T1133 - External Remote Services

PERSISTENCE

T1505.003 - Web Shell

IMPACT

T1486 - Data Encrypted for Impact

References

[1] https://www.bleepingcomputer.com/news/security/meet-akira-a-new-ransomware-operation-targeting-the-enterprise/

[2] https://www.civilsdaily.com/news/cert-in-warns-against-akira-ransomware/#:~:text=Spread%20Methods%3A%20Akira%20ransomware%20is,Desktop%20connections%20to%20infiltrate%20systems

[3] https://hybrid-analysis.com/sample/0ee9baef94c80647eed30fa463447f000ec1f50a49eecfb71df277a2ca1fe4db?environmentId=100

Inside the SOC
Darktrace cyber analysts are world-class experts in threat intelligence, threat hunting and incident response, and provide 24/7 SOC support to thousands of Darktrace customers around the globe. Inside the SOC is exclusively authored by these experts, providing analysis of cyber incidents and threat trends, based on real-world experience in the field.
Author
Manoel Kadja
Cyber Analyst
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November 19, 2024

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Darktrace Leading the Future of Network Detection and Response with Recognition from KuppingerCole

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KuppingerCole has recognized Darktrace as an overall Leader, Product Leader, Market Leader and Innovation Leader in the KuppingerCole Leadership Compass: Network Detection and Response (2024).

With the perimeter all but dissolved, Network Detection and Response (NDR) tools are quickly becoming a critical component of the security stack, as the main tool to span the modern network. NDRs connect on-premises infrastructure to cloud, remote workers, identities, SaaS applications, and IoT/OT – something not available to EDR that requires agents and isolates visibility to individual devices.

KuppingerCole Analysts AG designated Darktrace an ‘Overall Leader’ position because of our continual innovation around user-led security. Self-Learning AI together with automated triage through Cyber AI Analyst and real-time autonomous response actions have been instrumental to security teams in stopping potential threats before they become a breach. With this time saved, Darktrace is leading beyond reactive security to truly harden a network, allowing the team to spend more time in preventive security measures.

Network Detection and Response protects where others fail to reach

NDR solutions operate at the network level, deploying inside or parallel to your network to ingest raw traffic via virtual or physical sensors. This gives them unprecedented potential to identify anomalies and possible breaches in any network - far beyond simple on-prem, into dynamic virtual environments, cloud or hybrid networks, cloud applications, and even remote devices accessing the corporate network via ZTNA or VPN.

Rather than looking at processes level data, NDR can detect the lateral movement of an adversary across multiple assets by analyzing network traffic patterns which endpoint solutions may not be able to identify [1]. In the face of a growing, complex environment, organizations large and small, will benefit from using NDRs either in conjunction, or as the foundation for, their Extended Detection and Response (XDR) for a unified view that improves their overall threat detection, ease of investigation and faster response times.

Today's NDR solutions are expected to include advanced ML and artificial intelligence (AI) algorithms [1]

Traditional IDS & IPS systems are labor intensive, requiring continuous rule creation, outdated signature maintenance, and manual monitoring for false positives or incorrect actions. This is no longer viable against a higher volume and changing landscape, making NDR the natural network tool to level against these evolutions. The role of AI in NDRs is designed to meet this challenge, “to reduce both the labor need for analysis and false positives, as well as add value by improving anomaly detection and overall security posture” .

Celebrating success in leadership and innovation

Darktrace is proud to have been recognized as an NDR “Overall Leader” in KuppingerCole Analyst AG’s Leadership Compass. The report gave further recognition to Darktrace as a ‘Product Leader”, “Innovation Leader” and “Market Leader”.

Maximum scores were received for core product categories, in addition to market presence and financial strength. Particular attention was directed to our innovation. This year has seen several NDR updates via Darktrace’s ActiveAI Security Platform version 6.2 which has enhanced investigation workflows and provided new AI transparency within the toolset.

Positive scores were also received for Darktrace’s deployment ecosystem and surrounding support, minimizing the need for extraneous integrations through a unique platform architecture that connects with over 90 other vendors.

High Scores received in Darktrace’s KuppingerCole Spider Chart across Core NDR capability areas
Figure 1: High Scores received in Darktrace’s KuppingerCole Spider Chart across Core NDR capability areas

Darktrace’s pioneering AI approach sets it apart

Darktrace / NETWORK’s approach is fundamentally different to other NDRs. Continual anomaly-based detection (our Self-Learning AI), understands what is normal across each of your network entities, and then examines deviations from these behaviors rather than needing to apply static rules or ML to adversary techniques. As a result, Darktrace / NETWORK can focus on surfacing the novel threats that cannot be anticipated, whilst our proactive solutions expose gaps that can be exploited and reduce the risk of known threats.    

Across the millions of possible network events that may occur, Darktrace’s Cyber AI Analyst reduces that manual workload for SOC teams by presenting only what is most important in complete collated incidents. This accelerates SOC Level 2 analyses of incidents by 10x2, giving time back, first for any necessary response and then for preventive workflows.

Finally, when incidents begin to escalate, Darktrace can natively (or via third-party) autonomously respond and take precise actions based on a contextual understanding of both the affected assets and incident in question so that threats can be disarmed without impacting wider operations.

Within the KuppingerCole report, several standout strengths were listed:

  • Cyber AI Analyst was celebrated as a core differentiator, enhancing both visibility and investigation into critical network issues and allowing a faster response.
  • Darktrace / NETWORK was singled for its user benefits. Both a clear interface for analysts with advanced filtering and analytical tools, and efficient role-based access control (RBAC) and configuration options for administrators.
  • At the product level, Darktrace was recognized for complete network traffic analysis (NTA) capabilities allowing extensive analysis into components like application use/type, fingerprinting, source/destination communication, in addition to comprehensive protocol support across a range of network device types from IT, OT, IoT and mobiles and detailed MITRE ATT&CK mapping.
  • Finally, at the heart of it, Darktrace’s innovation was highlighted in relation to its intrinsic Self Learning AI, utilizing multiple layers of deep learning, neural networks, LLMs, NLP, Generative AI and more to understand network activity and filter it for what’s critical on an individual customer level.

Going beyond reactive security

Darktrace’s visibility and AI-enabled detection, investigation and response enable security teams to focus on hardening gaps in their network through contextual relevance & priority. Darktrace / NETWORK explicitly gives time back to security teams allowing them to focus on the bigger strategic and governance workflows that sometimes get overlooked. This is enabled through proactive solutions intrinsically connected to our NDR:

  • Darktrace / Proactive Exposure Management, which looks beyond just CVE risks to instead discover, prioritize and validate risks by business impact and how to mobilize against them early, to reduce the number of real threats security teams face.
  • Darktrace / Incident Readiness & Recovery, a solution rather than service-based approach to incident response (IR) that lets teams respond in the best way to each incident and proactively test their familiarity and effectiveness of IR workflows with sophisticated incident simulations involving their own analysts and assets.

Together, these solutions allow Darktrace / NETWORK to go beyond the traditional NDR and shift teams to a more hardened and proactive state.

Putting customers first

Customers continue to sit at the forefront of Darktrace R&D, with their emerging needs and pain points being the direct inspiration for our continued innovation.

This year Darktrace / NETWORK has protected thousands of customers against the latest attacks, from data exfil and destruction, to unapproved privilege escalation and ransomware including strains like Medusa, Qilin and AlphV BlackCat.

In each instance, Darktrace / NETWORK was able to provide a holistic lens of the anomalies present in their traffic, collated those that were important, and either responded or gave teams the ability to take targeted actions against their threats – even when adversaries pivoted. In one example of a Gootloader compromise, Darktrace ensured a SOC went from detection to recovery within 5 days, 92.8% faster than the average containment time of 69 days.

Results like these, focused on user-led security, have secured Darktrace’s position within the latest NDR Leadership Compass.

To find out more about what makes Darktrace / NETWORK special, read the full KuppingerCole report.

References

[1] Osman Celik, KuppingerCole Leadership Compass:Network Detection and Response (2024)

[2] Darktrace's AI Analyst customer fleet data

[3] https://www.ibm.com/reports/data-breach

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Gabriel Few-Wiegratz
Product Marketing Manager

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November 18, 2024

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Inside the SOC

From Royal to BlackSuit: Understanding the Tactics and Impact of a Sophisticated Ransomware Strain

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What is BlackSuit Ransomware?

Since late 2023, Darktrace has detected BlackSuit ransomware infiltrating multiple customer networks in the US. This ransomware has targeted a wide range of industries, including arts, entertainment, real estate, public administration, defense, and social security.

Emerging in May 2023, BlackSuit is believed to be a spinoff of Royal ransomware due to similarities in code and Conti, and most likely consists of Russian and Eastern European hackers [1]. Recorded Future reported that the ransomware had affected 95 organizations worldwide, though the actual number is likely much higher [2]. While BlackSuit does not appear to focus on any particular sector, it has targeted multiple organizations in the healthcare, education, IT, government, retail and manufacturing industries [3]. Employing double extortion tactics, BlackSuit not only encrypts files but also steals sensitive data to leverage ransom payments.

BlackSuit has demanded over USD 500 million in ransoms, with the highest individual demand reaching USD 60 million [4]. Notable targets include CDK Global, Japanese media conglomerate Kadokawa, multiple educational institutions, Octapharma Plasma, and the government of Brazil [5][6][7][8].

Darktrace’s Coverage of BlackSuit Ransomware Attack

Case 1, November 2023

The earliest attack on a Darktrace customer by BlackSuit was detected at the start of November 2023. The unusual network activity began on a weekend—a time commonly chosen by ransomware groups to increase their chances of success, as many security teams operate with reduced staff. Darktrace identified indicators of the attackers’ presence on the network for almost two weeks, during which a total of 15 devices exhibited suspicious behavior.

The attack commenced with unusual internal SMB (Server Message Block) connections using a compromised service account. An internal device uploaded an executable (zzza.exe) to a domain controller (DC) and shortly after, wrote a script (socks5.ps1) to another device. According to a Cybersecurity Advisory from the CISA (Cybersecurity and Infrastructure Security Agency, US), the script file was a PowerShell reverse proxy [9].

Approximately an hour and a half later, the device to which the script was written exhibited uncommon WMI (Windows Management Instrumentation) activity. Two hours after receiving the executable file, the DC was observed making an outgoing NTLM request, using PowerShell to remotely execute commands, distributing differently named executable files (<PART OF THE CUSTOMER’S NAME>.exe), and controlling services on other devices.

Eighteen hours after the start of the unusual activity, Darktrace detected another device making repeated connections to “mystuff.bublup[.]com”, which the aforementioned CISA Advisory identifies as a domain used by BlackSuit for data exfiltration [9].

About ten minutes after the suspicious executables were distributed across the network, and less than 24 hours after the start of the unusual activity, file encryption began. A total of ten devices were seen appending the “.blacksuit” extension to files saved on other devices using SMB, as well as writing ransom notes (readme.blacksuit.txt). The file encryption lasted less than 20 minutes.

 An example of the contents of a BlackSuit ransom note being written over SMB.
Figure 1: An example of the contents of a BlackSuit ransom note being written over SMB.

During this compromise, external connections to endpoints related to ConnectWise’s ScreenConnect remote management tool were also seen from multiple servers, suggesting that the tool was likely being abused for command-and-control (C2) activity. Darktrace identified anomalous connectivity associated with ScreenConnect was seen up to 11 days after the start of the attack.

10 days after the start of the compromise, an account belonging to a manager was detected adding “.blacksuit” extensions to the customer’s Software-a-Service (SaaS) resources while connecting from 173.251.109[.]106. Six minutes after file encryption began, Darktrace flagged the unusual activity and recommended a block. However, since Autonomous Response mode was not enabled, the customer’s security team needed to manually confirm the action. Consequently, suspicious activity continued for about a week after the initial encryption. This included disabling authentication on the account and an unusual Teams session initiated from the suspicious external endpoint 216.151.180[.]147.

Case 2, February 2024

Another BlackSuit compromise occurred at the start of February 2024, when Darktrace identified approximately 50 devices exhibiting ransomware-related activity in another US customer’s environment. Further investigation revealed that a significant number of additional devices had also been compromised. These devices were outside Darktrace’s purview to the customer’s specific deployment configuration. The threat actors managed to exfiltrate around 4 TB of data.

Initial access to the network was gained via a virtual private network (VPN) compromise in January 2024, when suspicious connections from a Romanian IP address were detected. According to CISA, the BlackSuit group often utilizes the services of initial access brokers (IAB)—actors who specialize in infiltrating networks, such as through VPNs, and then selling that unauthorized access to other threat actors [9]. Other initial access vectors include phishing emails, RDP (Remote Desktop Protocol) compromise, and exploitation of vulnerable public-facing applications.

Similar to the first case, the file encryption began at the end of the working week. During this phase of the attack, affected devices were observed encrypting files on other internal devices using two compromised administrator accounts. The encryption activity lasted for approximately six and a half hours. Multiple alerts were sent to the customer from Darktrace’s Security Operations Centre (SOC) team, who began reviewing the activity within four minutes of the start of the file encryption.

Darktrace’s Cyber AI Analyst clustering together multiple events related to unusual activity on the network, including file encryption over SMB by BlackSuit.
Figure 2: Darktrace’s Cyber AI Analyst clustering together multiple events related to unusual activity on the network, including file encryption over SMB by BlackSuit.
Figure 3: A spike in model alerts on the day when file encryption by BlackSuit was observed in the network.

In this case, the threat actor utilized SystemBC proxy malware for command and control (C2). A domain controller (DC) was seen connecting to 137.220.61[.]94 on the same day the file encryption took place. The DC was also observed connecting to a ProxyScrape domain around the same time, which is related to the SOCKS5 protocol used by SystemBC. During this compromise, RDP, SSH, and SMB were used for lateral movement within the network.

Figure 4: A Cyber AI Analyst investigation alerting to a device on the VPN subnet making suspicious internal SSH connections due to malicious actors moving laterally within the network.

Signs of threat actors potentially being on the network were observed as early as two days prior to the file encryption. This included unusual internal network scanning via multiple protocols (ICMP, SMB, RDP, etc.), credential brute-forcing, SMB access failures, and anonymous SMBv1 sessions. These activities were traced to IP addresses belonging to two desktop devices in the VPN subnet associated with two regular employee user accounts. Threat actors were seemingly able to exploit at least one of these accounts due to LDAP legacy policies being in place on the customer’s environment.

A Cyber AI Analyst incident summary alerting to a device on the VPN subnet conducting internal reconnaissance.
Figure 5: A Cyber AI Analyst incident summary alerting to a device on the VPN subnet conducting internal reconnaissance.
Examples of the proposed Darktrace Autonomous Response actions on the day BlackSuit initiated file encryption.
Figure 6: Examples of the proposed Darktrace Autonomous Response actions on the day BlackSuit initiated file encryption.

Case 3, August 2024

The most recently observed BlackSuit compromise occurred in August 2024, when a device was observed attempting to brute-force the credentials of an IT administrator. This activity continued for 11 days.

Once the admin’s account was successfully compromised, network scanning, unusual WMI, and SAMR (Security Account Manager Remote protocol) activity followed. A spike in the use of this account was detected on a Sunday—once again, the attackers seemingly targeting the weekend—when the account was used by nearly 50 different devices.

The compromised admin’s account was exploited for data gathering via SMB, resulting in the movement of 200 GB of data between internal devices in preparation for exfiltration. The files were then archived using the naming convention “*.part<number>.rar”.

Around the same time, Darktrace observed data transfers from 19 internal devices to “bublup-media-production.s3.amazonaws[.]com,” totaling just over 200 GB—the same volume of data gathered internally. Connections to other Bublup domains were also detected. The internal data download and external data transfer activity took approximately 8-9 hours.

Unfortunately, Darktrace was not configured in Autonomous Response mode at the time of the attack, meaning any mitigative actions to stop the data gathering or exfiltration required human confirmation.  

One of the compromised devices was seen sending 80 GB of data to bublup-media-production.s3.amazonaws[.]com within a span of 4 hours.
Figure 7: One of the compromised devices was seen sending 80 GB of data to bublup-media-production.s3.amazonaws[.]com within a span of 4 hours.

Once the information was stolen, the threat actor moved on to the final stage of the attack—file encryption. Five internal devices, using either the compromised admin account or connecting via anonymous SMBv1 sessions, were seen encrypting files and writing ransom notes to five other devices on the network. The attempts at file encryption continued for around two hours, but Darktrace’s Autonomous Response capability was able to block the activity and prevent the attack from escalating.

Conclusion

The persistent and evolving threat posed by ransomware like BlackSuit underscores the critical importance of robust cybersecurity measures across all sectors. Since its emergence in 2023, BlackSuit has demonstrated a sophisticated approach to infiltrating networks, leveraging double extortion tactics, and demanding substantial ransoms. The cases highlighted above illustrate the varied methods and persistence of BlackSuit attackers, from exploiting VPN vulnerabilities to abusing remote management tools and targeting off-hours to maximize impact.

Although many similar connection patterns, such as the abuse of Bublup services for data exfiltration or the use of SOCKS5 proxies for C2, were observed during cases investigated by Darktrace, BlackSuit actors are highly sophisticated and tailors their attacks to each target organization. The consequences of a successful attack can be highly disruptive, and remediation efforts can be time-consuming and costly. This includes taking the entire network offline while responding to the incident, restoring encrypted files from backups (if available), dealing with damage to the organization’s reputation, and potential lawsuits.

These BlackSuit ransomware incidents emphasize the need for continuous vigilance, timely updates to security protocols, and the adoption of autonomous response technologies to swiftly counteract such attacks. As ransomware tactics continue to evolve, organizations must remain agile and informed to protect their critical assets and data. By learning from these incidents and enhancing their cybersecurity frameworks, organizations can better defend against the relentless threat of ransomware and ensure the resilience of their operations in an increasingly digital world.

Credit to Signe Zaharka (Principal Cyber Analyst) and Adam Potter (Senior Cyber Analyst)

Insights from Darktrace’s First 6: Half-year threat report for 2024

First 6: half year threat report darktrace screenshot

Darktrace’s First 6: Half-Year Threat Report 2024 highlights the latest attack trends and key threats observed by the Darktrace Threat Research team in the first six months of 2024.

  • Focuses on anomaly detection and behavioral analysis to identify threats
  • Maps mitigated cases to known, publicly attributed threats for deeper context
  • Offers guidance on improving security posture to defend against persistent threats

Appendices

Darktrace Model Detections

Anomalous Connection / Data Sent to Rare Domain

Anomalous Connection / High Volume of New or Uncommon Service Control

Anomalous Connection / New or Uncommon Service Control

Anomalous Connection / Rare WinRM Outgoing

Anomalous Connection / SMB Enumeration

Anomalous Connection / Suspicious Activity On High Risk Device

Anomalous Connection / Suspicious Read Write Ratio

Anomalous Connection / Suspicious Read Write Ratio and Unusual SMB

Anomalous Connection / Sustained MIME Type Conversion

Anomalous Connection / Uncommon 1 GiB Outbound

Anomalous Connection / Unusual Admin SMB Session

Anomalous File / Internal / Additional Extension Appended to SMB File

Anomalous File / Internal / Executable Uploaded to DC

Anomalous File / Internal / Unusual SMB Script Write

Anomalous Server Activity / Anomalous External Activity from Critical Network Device

Anomalous Server Activity / Outgoing from Server

Anomalous Server Activity / Rare External from Server

Anomalous Server Activity / Write to Network Accessible WebRoot

Compliance / Outgoing NTLM Request from DC

Compliance / Remote Management Tool On Server

Compliance / SMB Drive Write

Compromise / Beacon to Young Endpoint

Compromise / Beaconing Activity To External Rare

Compromise / Ransomware / Possible Ransom Note Read

Compromise / Ransomware / Possible Ransom Note Write

Compromise / Ransomware / SMB Reads then Writes with Additional Extensions

Compromise / Ransomware / Suspicious SMB Activity

Device / Anomalous RDP Followed By Multiple Model Breaches

Device / EXE Files Distributed to Multiple Devices

Device / Internet Facing Device with High Priority Alert

Device / Large Number of Model Breaches

Device / Large Number of Model Breaches from Critical Network Device

Device / Multiple Lateral Movement Model Breaches

Device / Network Scan

Device / New or Uncommon WMI Activity

Device / New or Unusual Remote Command Execution

Device / New User Agent To Internal Server

Device / SMB Lateral Movement

Device / SMB Session Brute Force (Admin)

Device / Suspicious SMB Scanning Activity

Device / Unusual LDAP Query For Domain Admins

SaaS / Access / Teams Activity from Rare Endpoint

SaaS / Resource / SaaS Resources With Additional Extensions

SaaS / Unusual Activity / Disabled Strong Authentication

SaaS / Unusual Activity / Multiple Unusual SaaS Activity Scores

SaaS / Unusual Activity / Unusual SaaS Activity Score

SaaS / Unusual Activity / Unusual Volume of SaaS Modifications

Unusual Activity / Anomalous SMB Delete Volume

Unusual Activity / Anomalous SMB Move & Write

Unusual Activity / High Volume Client Data Transfer

Unusual Activity / High Volume Server Data Transfer

Unusual Activity / Internal Data Transfer

Unusual Activity / SMB Access Failures

Unusual Activity / Sustained Anomalous SMB Activity

Unusual Activity / Unusual External Data to New Endpoint

User / New Admin Credentials on Client

User / New Admin Credentials on Server

User/ Kerberos Password Bruteforce

Autonomous Response Models

Antigena / Network / External Threat / Antigena File then New Outbound Block

Antigena / Network / External Threat / Antigena Ransomware Block

Antigena / Network / External Threat / Antigena Suspicious Activity Block

Antigena / Network / External Threat / SMB Ratio Antigena Block

Antigena / Network / Insider Threat / Antigena Internal Anomalous File Activity

Antigena / Network / Insider Threat / Antigena Internal Data Transfer Block

Antigena / Network / Insider Threat / Antigena Large Data Volume Outbound Block

Antigena / Network / Insider Threat / Antigena Network Scan Block

Antigena / Network / Insider Threat / Antigena Unusual Privileged User Activities Block

Antigena / Network / Insider Threat / Antigena Unusual Privileged User Activities Pattern of Life Block

Antigena / Network / Significant Anomaly / Antigena Breaches Over Time Block

Antigena / Network / Significant Anomaly / Antigena Controlled and Model Breach

Antigena / Network / Significant Anomaly / Antigena Enhanced Monitoring from Client Block

Antigena / Network / Significant Anomaly / Antigena Enhanced Monitoring from Server Block

Antigena / Network / Significant Anomaly / Antigena Significant Anomaly from Client Block

Antigena / Network / Significant Anomaly / Antigena Significant Server Anomaly Block

Antigena / Network / Significant Anomaly / Repeated Antigena Breaches

Antigena / SaaS / Antigena Unusual Activity Block

List of Indicators of Compromise (IoCs)

IoC - Type - Description + Confidence

.blacksuit - File extension – When encrypting the files, this extension is appended to the filename – High

readme.blacksuit.txt – ransom note - A file demanding cryptocurrency payment in exchange for decrypting the victim's files and not leaking the stolen data – High

mystuff.bublup[.]com, bublup-media-production.s3.amazonaws[.]com – data exfiltration domains related to an organization and project management app that has document sharing functionality – High

137.220.61[.]94:4001 – SystemBC C2 related IP address (this tool is often used by other ransomware groups as well) - Medium

173.251.109[.]106 – IP address seen during a SaaS BlackSuit compromise (during file encryption) – Medium

216.151.180[.]147 – IP address seen during a SaaS BlackSuit compromise (during an unusual Teams session) - Medium

MITRE ATT&CK Mapping

Tactic - Technqiue

Account Manipulation - PERSISTENCE - T1098

Alarm Suppression - INHIBIT RESPONSE FUNCTION - T0878

Application Layer Protocol - COMMAND AND CONTROL - T1071

Automated Collection - COLLECTION - T1119

Block Command Message - INHIBIT RESPONSE FUNCTION - T0803

Block Reporting Message - INHIBIT RESPONSE FUNCTION - T0804

Browser Extensions - PERSISTENCE - T1176

Brute Force I/O - IMPAIR PROCESS CONTROL - T0806

Brute Force - CREDENTIAL ACCESS - T1110

Client Configurations - RECONNAISSANCE - T1592.004 - T1592

Cloud Accounts - DEFENSE EVASION, PERSISTENCE, PRIVILEGE ESCALATION, INITIAL ACCESS - T1078.004 - T1078

Data Destruction - IMPACT - T1485

Data Destruction - INHIBIT RESPONSE FUNCTION - T0809

Data Encrypted for Impact - IMPACT - T1486

Data from Cloud Storage Object - COLLECTION - T1530

Data Staged - COLLECTION - T1074

Domain Groups - DISCOVERY - T1069.002 - T1069

Email Collection - COLLECTION - T1114

Exfiltration Over C2 Channel - EXFILTRATION - T1041

Exfiltration to Cloud Storage - EXFILTRATION - T1567.002 - T1567

Exploit Public - Facing Application - INITIAL ACCESS - T1190

Exploitation for Privilege Escalation - PRIVILEGE ESCALATION - T0890

Exploitation of Remote Services - LATERAL MOVEMENT - T1210

File and Directory Discovery - DISCOVERY - T1083

File Deletion - DEFENSE EVASION - T1070.004 - T1070

IP Addresses - RECONNAISSANCE - T1590.005 - T1590

Lateral Tool Transfer - LATERAL MOVEMENT - T1570

LLMNR/NBT - NS Poisoning and SMB Relay - CREDENTIAL ACCESS, COLLECTION - T1557.001 - T1557

Modify Alarm Settings - INHIBIT RESPONSE FUNCTION - T0838

Modify Control Logic - IMPAIR PROCESS CONTROL, INHIBIT RESPONSE FUNCTION - T0833

Modify Parameter - IMPAIR PROCESS CONTROL - T0836

Network Service Scanning - DISCOVERY - T1046

Network Share Discovery - DISCOVERY - T1135

Pass the Hash - DEFENSE EVASION, LATERAL MOVEMENT - T1550.002 - T1550

RDP Hijacking - LATERAL MOVEMENT - T1563.002 - T1563

Remote Access Software - COMMAND AND CONTROL - T1219

Remote Desktop Protocol - LATERAL MOVEMENT - T1021.001 - T1021

Remote System Discovery - DISCOVERY - T1018

Rename System Utilities - DEFENSE EVASION - T1036.003 - T1036

Scanning IP Blocks - RECONNAISSANCE - T1595.001 - T1595

Scheduled Transfer - EXFILTRATION - T1029

Service Execution - EXECUTION - T1569.002 - T1569

Service Stop - IMPACT - T1489

SMB/Windows Admin Shares - LATERAL MOVEMENT - T1021.002 - T1021

Stored Data Manipulation - IMPACT - T1565.001 - T1565

Taint Shared Content - LATERAL MOVEMENT - T1080

Valid Accounts - DEFENSE EVASION, PERSISTENCE, PRIVILEGE ESCALATION, INITIAL ACCESS - T1078

Vulnerability Scanning - RECONNAISSANCE - T1595.002 - T1595

Web Protocols - COMMAND AND CONTROL - T1071.001 - T1071

Web Services - RESOURCE DEVELOPMENT - T1583.006 - T1583

Web Shell - PERSISTENCE - T1505.003 - T1505

Windows Management Instrumentation - EXECUTION - T1047

Windows Remote Management - LATERAL MOVEMENT - T1021.006 - T1021

References

1.     https://www.trendmicro.com/en_us/research/23/e/investigating-blacksuit-ransomwares-similarities-to-royal.html

2.     https://www.reuters.com/technology/cybersecurity/blacksuit-hacker-behind-cdk-global-attack-hitting-us-car-dealers-2024-06-27/

3.     https://www.sentinelone.com/anthology/blacksuit/

4.     https://thehackernews.com/2024/08/fbi-and-cisa-warn-of-blacksuit.html

5.     https://www.techtarget.com/whatis/feature/The-CDK-Global-outage-Explaining-how-it-happened

6.     https://therecord.media/japanese-media-kadokawa-investigating-cyber

7.     https://therecord.media/plasma-donation-company-cyberattack-blacksuit

8.     https://thecyberexpress.com/government-of-brazil-cyberattack-by-blacksuit/

9.     https://www.cisa.gov/news-events/cybersecurity-advisories/aa23-061a

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About the author
Signe Zaharka
Senior Cyber Security Analyst
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