Ransomware is a type of malware that Encryption the victim's personal data until a ransom is paid. Difficult-to-trace Digital currency such as paysafecard or Bitcoin and other cryptocurrency are commonly used for the ransoms, making tracing and prosecuting the perpetrators difficult. Sometimes the original files can be retrieved without paying the ransom due to implementation mistakes, leaked cryptographic keys or a complete lack of encryption in the ransomware.
Ransomware attacks are typically carried out using a Trojan disguised as a legitimate file that the user is tricked into downloading or opening when it arrives as an email attachment. However, one high-profile example, the WannaCry worm, traveled automatically between computers without user interaction.
Starting as early as 1989 with the first documented ransomware known as the AIDS trojan, the use of ransomware scams grew internationally. There were 181.5 million ransomware attacks worldwide in the first six months of 2018, 229% more than the first six months of 2017. In June 2014, security software company McAfee released data showing that it had collected more than double the number of ransomware samples that quarter than it had in the same quarter the previous year. CryptoLocker was particularly successful, procuring an estimated US$3 million before it was taken down by authorities, and CryptoWall was estimated by the US Federal Bureau of Investigation (FBI) to have accrued over US$18 million by June 2015. In 2020, the US Internet Crime Complaint Center (IC3) received 2,474 complaints identified as ransomware, with adjusted losses of over $29.1 million. The losses could exceed this amount, according to the FBI. Globally, according to Statistica, there were about 623 million ransomware attacks in 2021, and 493 million in 2022.
Ransomware payments were estimated at $1.1bn in 2019, $999m in 2020, a record $1.25bn in 2023, and a sharp drop to $813m in 2024, attributed to non-payment by victims and action by law enforcement.
The symmetric key is randomly generated and will not assist other victims. At no point is the attacker's private key exposed to victims and the victim need only send a very small ciphertext (the encrypted symmetric-cipher key) to the attacker.
Ransomware attacks are typically carried out using a Trojan, entering a system through, for example, a malicious attachment, an embedded link in a phishing email, or a vulnerability in a network service. The program then runs a payload, which locks the system in some fashion, or claims to lock the system but does not (e.g., a scareware program). Payloads may display a fake warning purportedly by an entity such as a law enforcement agency, falsely claiming that the system has been used for illegal activities, contains content such as pornography and "pirated" media.
Some payloads consist simply of an application designed to lock or restrict the system until payment is made, typically by setting the Windows Shell to itself, or even modifying the master boot record and/or partition table to prevent the operating system from booting until it is repaired. The most sophisticated payloads cryptography files, with many using strong encryption to encrypt the victim's files in such a way that only the malware author has the needed decryption key.
Payment is virtually always the goal, and the victim is Coercion into paying for the ransomware to be removed either by supplying a program that can decrypt the files, or by sending an unlock code that undoes the payload's changes. While the attacker may simply take the money without returning the victim's files, it is in the attacker's best interest to perform the decryption as agreed, since victims will stop sending payments if it becomes known that they serve no purpose. A key element in making ransomware work for the attacker is a convenient payment system that is hard to trace. A range of such payment methods have been used, including , Premium SMS, pre-paid voucher services such as paysafecard, and the Bitcoin cryptocurrency.
In May 2020, vendor Sophos reported that the global average cost to remediate a ransomware attack (considering downtime, people time, device cost, network cost, lost opportunity and ransom paid) was $761,106. Ninety-five percent of organizations that paid the ransom had their data restored.
The idea of abusing anonymous cash systems to safely collect ransom from human kidnapping was introduced in 1992 by Sebastiaan von Solms and David Naccache. This electronic money collection method was also proposed for cryptoviral extortion attacks. In the von Solms-Naccache scenario a newspaper publication was used (since bitcoin ledgers did not exist at the time the paper was written).
The notion of using public key cryptography for data kidnapping attacks was introduced in 1996 by Adam L. Young and Moti Yung. Young and Yung critiqued the failed AIDS Information Trojan that relied on symmetric cryptography alone, the fatal flaw being that the decryption key could be extracted from the Trojan, and implemented an experimental proof-of-concept cryptovirus on a Macintosh SE/30 that used RSA and the Tiny Encryption Algorithm (TEA) to hybrid encrypt the victim's data. Since public key cryptography is used, the virus only contains the encryption key. The attacker keeps the corresponding private decryption key private. Young and Yung's original experimental cryptovirus had the victim send the asymmetric ciphertext to the attacker who deciphers it and returns the symmetric decryption key it contains to the victim for a fee. Long before electronic money existed Young and Yung proposed that electronic money could be extorted through encryption as well, stating that "the virus writer can effectively hold all of the money ransom until half of it is given to him. Even if the e-money was previously encrypted by the user, it is of no use to the user if it gets encrypted by a cryptovirus". They referred to these attacks as being "Cryptovirology extortion", an overt attack that is part of a larger class of attacks in a field called cryptovirology, which encompasses both overt and covert attacks. The cryptoviral extortion protocol was inspired by the parasitic relationship between H. R. Giger's facehugger and its host in the movie Alien.
Examples of extortionate ransomware became prominent in May 2005. By mid-2006, Trojans such as Gpcode, TROJ.RANSOM.A, Archiveus, Krotten, Cryzip, and MayArchive began utilizing more sophisticated RSA encryption schemes, with ever-increasing key-sizes. Gpcode.AG, which was detected in June 2006, was encrypted with a 660-bit RSA public key. In June 2008, a variant known as Gpcode.AK was detected. Using a 1024-bit RSA key, it was believed large enough to be computationally infeasible to break without a concerted distributed effort.
Encrypting ransomware returned to prominence in late 2013 with the propagation of CryptoLocker—using the Bitcoin digital currency platform to collect ransom money. In December 2013, ZDNet estimated based on Bitcoin transaction information that between 15 October and 18 December, the operators of CryptoLocker had procured about US$27 million from infected users. The CryptoLocker technique was Copycat crime in the months following, including CryptoLocker 2.0 (thought not to be related to CryptoLocker), CryptoDefense (which initially contained a major design flaw that stored the private key on the infected system in a Application Data, due to its use of Windows' built-in encryption APIs), and the August 2014 discovery of a Trojan specifically targeting network-attached storage devices produced by Synology. In January 2015, it was reported that ransomware-styled attacks have occurred against individual websites via hacking, and through ransomware designed to target Linux-based .
In 2022, Costa Rica received widespread Conti ransomware attacks affecting government, healthcare and industry. This led President Rodrigo Chaves to declare a state of emergency and announce that Costa Rica is "at war" with its ransomware hackers.
In some infections, there is a two-stage payload, common in many malware systems. The user is tricked into running a script, which downloads the main virus and executes it. In early versions of the dual-payload system, the script was contained in a Microsoft Office document with an attached VBScript macro, or in a windows scripting facility (WSF) file. As detection systems started blocking these first stage payloads, the Microsoft Malware Protection Center identified a trend away toward with self-contained Microsoft Windows PowerShell scripts. In 2016, PowerShell was found to be involved in nearly 40% of endpoint security incidents.
Some ransomware strains have used proxy server tied to Tor to connect to their command and control servers, increasing the difficulty of tracing the exact location of the criminals. Furthermore, dark web vendors have increasingly started to offer the technology as a service, wherein ransomware is sold, ready for deployment on victims' machines, on a subscription basis, similarly to Adobe Creative Cloud or Office 365.
Symantec has classified ransomware to be the most dangerous cyber threat.
In 2011, a ransomware Trojan surfaced that imitated the Windows Product Activation notice, and informed users that a system's Windows installation had to be re-activated due to "being victim of fraud". An online activation option was offered (like the actual Windows activation process), but was unavailable, requiring the user to call one of six international numbers to input a 6-digit code. While the malware claimed that this call would be free, it was routed through a rogue operator in a country with high international phone rates, who placed the call on hold, causing the user to incur large international long-distance charges.
In 2012, Symantec reported spread out of Eastern Europe of ransomware with a lock screen purporting to be law enforcement demanding payment for illegal activity.
In February 2013, a ransomware Trojan based on the Stamp.EK exploit kit surfaced; the malware was distributed via sites hosted on the project hosting services SourceForge and GitHub that claimed to offer "fake nude pics" of celebrities. In July 2013, an OS X-specific ransomware Trojan surfaced, which displays a web page that accuses the user of downloading pornography. Unlike its Windows-based counterparts, it does not block the entire computer, but simply Clickjacking to frustrate attempts to close the page through normal means.
In July 2013, a 21-year-old man from Virginia, whose computer coincidentally did contain pornographic photographs of underage girls with whom he had conducted sexualized communications, turned himself in to police after receiving and being deceived by FBI MoneyPak Ransomware accusing him of possessing child pornography. An investigation discovered the incriminating files, and the man was charged with child sexual abuse and possession of child pornography.
Common targets for exfiltration include:
Exfiltration attacks are usually targeted, with a curated victim list, and often preliminary surveillance of the victim's systems to find potential data targets and weaknesses.
Different tactics have been used on iOS devices, such as exploiting iCloud accounts and using the Find My iPhone system to lock access to the device. On iOS 10.3, Apple patched a bug in the handling of JavaScript pop-up windows in Safari that had been exploited by ransomware websites. It recently has been shown that ransomware may also target ARM architectures like those that can be found in various Internet-of-Things (IoT) devices, such as Industrial IoT edge devices.
In August 2019 researchers demonstrated it is possible to infect with ransomware. Digital cameras often use Picture Transfer Protocol (PTP - standard protocol used to transfer files.) Researchers found that it was possible to exploit vulnerabilities in the protocol to infect target camera(s) with ransomware (or execute any arbitrary code). This attack was presented at the DEF CON security conference in Las Vegas as a proof of concept attack (not as actual armed malware).
In 2016, a significant uptick in ransomware attacks on hospitals was noted. According to the 2017 Internet Security Threat Report from Symantec Corp, ransomware affected not only IT systems but also patient care, clinical operations, and billing. Online criminals may be motivated by the money available and sense of urgency within the healthcare system.
Ransomware is growing rapidly across the internet users but also for the IoT environment. The big problem is that millions of dollars are lost by some organizations and industries that have decided to pay, such as the Hollywood Presbyterian Medical Center and the MedStar Health.
According to Symantec 2019 ISTR report, for the first time since 2013, in 2018 there was an observed decrease in ransomware activity with a drop of 20 percent. Before 2017, consumers were the preferred victims, but in 2017 this changed dramatically, it moved to the enterprises. In 2018 this path accelerated with 81 percent infections which represented a 12 percent increase. The common distribution method today is based on email campaigns.
In late 2019 ransomware group Maze downloaded companies' sensitive files before locking them, and threatened to leak the data publicly if the ransom was not paid; in at least one case they did this. Many other gangs followed; "leak sites" were created on the dark web where stolen data could be accessed. Later attacks focussed on the threat to leak data, without necessarily locking it—this negated the protection afforded victims by robust backup procedures. there is a risk of hostile governments using ransomware to conceal what is actually intelligence gathering.
The first reported death following a ransomware attack was at a German hospital in October 2020.
There was a significant increase in ransomware attacks during the 2020 COVID-19 pandemic. Evidence found that the targeted institutions of these attacks included government, finance, and healthcare. Researchers have contended that several different factors can explain the increase in attacks during this time. However, a major factor is that remote work, which became the norm for many industries in 2020, led to the surge in attacks because of the lack of security in comparison to traditional work environments.
Ransomware attacks are estimated to have led to payments totalling $1.1bn in 2019, $999m in 2020, and a record $1.25bn in 2023. This decreased to $813m in 2024, with a sharp drop in the second half of the year, according to research firm Chainalysis, attributed to victims refusing to pay, and action by law enforcement. However, Chainalysis said that the downward trend in payments was fragile, and ransomware attacks remained prolific. A coordinated international operation in February 2024 took down gang LockBit, and gang BlackCat/ALPHV disappeared.
As of early 2025, the United Kingdom was considering banning schools, the NHS and local councils from making ransomware payments, requiring private companies to report proposed payouts, and requiring mandatory reporting of ransomware attacks.
Reveton initially began spreading in various European countries in early 2012. Variants were localized with templates branded with the logos of different law enforcement organizations based on the user's country; for example, variants used in the United Kingdom contained the branding of organizations such as the Metropolitan Police Service and the Police National E-Crime Unit. Another version contained the logo of the royalty collection society PRS for Music, which specifically accused the user of illegally downloading music. In a statement warning the public about the malware, the Metropolitan Police clarified that they would never lock a computer in such a way as part of an investigation.
In May 2012, Trend Micro threat researchers discovered templates for variations for the United States and Canada, suggesting that its authors may have been planning to target users in North America. By August 2012, a new variant of Reveton began to spread in the United States, claiming to require the payment of a $200 fine to the FBI using a MoneyPak card. In February 2013, a Russian citizen was arrested in Dubai by Spanish authorities for his connection to a crime ring that had been using Reveton; ten other individuals were arrested on money laundering charges. In August 2014, Avast Software reported that it had found new variants of Reveton that also distribute password-stealing malware as part of its payload.
CryptoLocker was isolated by the seizure of the Gameover ZeuS botnet as part of Operation Tovar, as officially announced by the U.S. Department of Justice on 2 June 2014. The Department of Justice also publicly issued an indictment against the Russian hacker Evgeniy Bogachev for his alleged involvement in the botnet. It was estimated that at least US$3 million was extorted with the malware before the shutdown.
Another Trojan in this wave, TorrentLocker, initially contained a design flaw comparable to CryptoDefense; it used the same keystream for every infected computer, making the encryption trivial to overcome. However, this flaw was later fixed. By late-November 2014, it was estimated that over 9,000 users had been infected by TorrentLocker in Australia alone, trailing only Turkey with 11,700 infections.
The FBI reported in June 2015 that nearly 1,000 victims had contacted the bureau's Internet Crime Complaint Center to report CryptoWall infections, and estimated losses of at least $18 million.
The most recent version, CryptoWall 4.0, enhanced its code to avoid antivirus detection, and encrypts not only the data in files but also the file names.
Like most other pieces of ransomware, it employs scare tactics to extort a hefty sum from the user. The app acts as if it were a notice from the authorities, demanding the victim to pay a fine from $100 to $200 USD or otherwise face a fictitious criminal charge. Fusob requests iTunes gift cards for payment, unlike most cryptocurrency-centric ransomware.
In order to infect devices, Fusob masquerades as a pornographic video player. When it is installed, it first checks the device's system language. If the language is Russian or Eastern-European, Fusob remains dormant. Otherwise, it locks the device and demands ransom. About 40% of victims are in Germany, while the United Kingdom encompasses 14.5% of victims and the US encompasses 11.4%. Fusob and Small (another family of ransomware) represented over 93% of mobile ransomware between 2015 and 2016.
On 27 June 2017, a heavily modified version of Petya was used for a global cyberattack primarily targeting Ukraine (but affecting many countries). This version had been modified to propagate using the same EternalBlue exploit that was used by WannaCry. Due to another design change, it is also unable to actually unlock a system after the ransom is paid; this led to security analysts speculating that the attack was not meant to generate illicit profit, but to simply cause disruption.
Security experts found that the ransomware did not use the EternalBlue exploit to spread, and a simple method to inoculate an unaffected machine running older Windows versions was found by 24 October 2017. Further, the sites that had been used to spread the bogus Flash updating have gone offline or removed the problematic files within a few days of its discovery, effectively killing off the spread of Bad Rabbit.
Mohammad Mehdi Shah Mansouri (born in Qom, Iran in 1991) and Faramarz Shahi Savandi (born in Shiraz, Iran, in 1984) are wanted by the FBI for allegedly launching SamSam ransomware. The two have allegedly made $6 million from extortion and caused over $30 million in damages using the malware.
In May 2021, the FBI and Cybersecurity and Infrastructure Security Agency (CISA) issued a joint alert urging the owners and operators of critical infrastructure to take certain steps to reduce their vulnerability to DarkSide ransomware and ransomware in general.
Security experts have suggested precautionary measures for dealing with ransomware. Using software or other security policies to block known payloads from launching will help to prevent infection, but will not protect against all attacks As such, having a proper backup solution is a critical component to defending against ransomware. Note that, because many ransomware attackers will not only encrypt the victim's live machine but it will also attempt to delete any hot backups stored locally or on accessible over the network on a NAS, it is also critical to maintain "offline" of data Storage security, such as external storage drives or devices that do not have any access to any network (including the Internet), prevents them from being accessed by the ransomware. Moreover, if using a NAS or Cloud storage, then the computer should have append-only permission to the destination storage, such that it cannot delete or overwrite previous backups. According to Comodo Group, applying two Attack Surface Reduction on Operating system/Kernel provides a materially-reduced attack surface which results in a heightened security posture.
Installing security updates issued by software vendors can mitigate the vulnerabilities leveraged by certain strains to propagate. Other measures include cyber hygiene − exercising caution when opening e-mail attachments and links, network segmentation, and keeping critical computers isolated from networks. Furthermore, to mitigate the spread of ransomware measures of infection control can be applied. Such may include disconnecting infected machines from all networks, educational programs, effective communication channels, malware surveillance and ways of collective participation
In August 2021, the Cybersecurity and Infrastructure Security Agency (CISA) released a report that provided guidance for how to mitigate ransomware attacks. This was due to a significant jump in recent attacks related to ransomware. These attacks included aggression against a US pipeline company and a software company, which impacted the downstream customers of MSPs.
Write Once Read Many (WORM) storage, such as many optical disc formats are virtually immune to ransomware since its contents cannot be changed or deleted. However data cannot be deleted in any way making it impractical for many storage due to privacy laws and other content laws, the only way is to copy it to a new WORM disk minus the unwanted files, then destroy the original copy.
The No More Ransom Project is an initiative by the Netherlands' police's National High Tech Crime Unit, Europol’s European Cybercrime Centre, Kaspersky Lab and McAfee to help ransomware victims recover their data without paying a ransom. They offer a free CryptoSheriff tool to analyze encrypted files and search for decryption tools.
In addition, old copies of files may exist on the disk, which has been previously deleted. In some cases, these deleted versions may still be recoverable using software designed for that purpose.
A 2019 ProPublica investigation found the cybersecurity firms Proven Data Recovery and Monstercloud, which advertised ransom-free decryption services, would typically simply pay the ransom and charge the victim a higher price. SamSam hackers dealt with Proven Data so frequently that they would recommend the company to victims having technical difficulties making payment. Other companies like Coveware were more transparent in offering the service of paying the hackers and patching insecure systems. Many American victims found the ransom amount was too low to meet the United States Department of Justice threshold for federal involvement, but that local police lacked the technical capabilities to help and were often victims themselves.
A breakthrough, in this case, occurred in May 2013 when authorities from several countries seized the Liberty Reserve servers, obtaining access to all its transactions and account history. Qaiser was running encrypted virtual machines on his Macbook Pro with both Mac and Windows operating systems. "How police caught the UK's most notorious porn ransomware baron", Matt Burgess, Wired, 12 Apr 2019] He could not be tried earlier because he was sectioned (involuntarily committed) under the UK Mental Health Act of 1983 at Goodmayes Hospital where he was found to be using the hospital Wi-Fi to access his advertising sites. His lawyer claimed that Qaiser had suffered from mental illness. Russian police arrested 50 members of the Lurk malware gang in June 2016. Uadiale, a naturalized US citizen of Nigerian descent, was jailed for 18 months.
Australia requires ransomware victims to report their payments to the Australian Signals Directorate in some cases.
Notable attack targets
Notable software packages
Reveton
CryptoLocker
CryptoLocker.F and TorrentLocker
CryptoWall
/ref> to download the payload. A Barracuda Networks researcher also noted that the payload was signed with a digital signature in an effort to appear trustworthy to security software.
CryptoWall 3.0 used a payload written in JavaScript as part of an email attachment, which downloads executables disguised as JPG images. To further evade detection, the malware creates new instances of explorer.exe and svchost.exe to communicate with its servers. When encrypting files, the malware also deletes volume shadow copies and installs spyware that steals passwords and .
Fusob
WannaCry
Petya
Bad Rabbit
SamSam
DarkSide
Syskey
Ransomware-as-a-service
Mitigation
File system defenses against ransomware
File decryption and recovery
Criminal arrests and convictions
Zain Qaiser
Legal aspects
See also
Further reading
External links
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