Blog
/
Network
/
January 4, 2023

BlackMatter's Smash-and-Grab Ransom Attack Incident Analysis

Stay informed on cybersecurity trends! Read about a BlackMatters ransom attack incident and Darktrace's analysis on how RESPOND could have stopped the attack.
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.
Written by
The Darktrace Analyst Team
Default blog imageDefault blog imageDefault blog imageDefault blog imageDefault blog imageDefault blog image
04
Jan 2023

Only a few years ago, popular reporting announced that the days of smash-and-grab attacks were over and that a new breed of hackers were taking over with subtler, ‘low-and-slow’ tactics [1]. Although these have undoubtedly appeared, smash-and-grab have quickly become overlooked – perhaps with worrying consequences. Last year, Google saw repeated phishing campaigns using cookie theft malware and most recently, reports of hacktivists using similar techniques have been identified during the 2022 Ukraine Conflict [2 & 3]. Where did their inspiration come from? For larger APT groups such as BlackMatter, which first appeared in the summer of 2021, smash-and-grabs never went out of fashion.

This blog dissects a BlackMatter ransomware attack that hit an organization trialing Darktrace back in 2021. The case reveals what can happen when a security team does not react to high-priority alerts. 

When entire ransomware attacks can be carried out over the course of just 48 hours, there is a high risk to relying on security teams to react to detection notifications and prevent damage before the threat escalates. Although there has been hesitancy in its uptake [4], this blog also demonstrates the need for automated response solutions like Darktrace RESPOND.

The Name Game: Untangling BlackMatter, REvil, and DarkSide

Despite being a short-lived criminal organization on the surface [5], a number of parallels have now been drawn between the TTPs (Tactics, Techniques and Procedures) of the newer BlackMatter group and those of the retired REvil and DarkSide organizations [6]. 

Prior to their retirement, DarkSide and REvil were perhaps the biggest names in cyber-crime, responsible for two of last year’s most devastating ransomware attacks. Less than two weeks after the Colonial Pipeline attack, DarkSide announced it was shutting down its operation [7]. Meanwhile the FBI shutdown REvil in January 2022 after its devastating Fourth of July Kaseya attacks and a failed return in September [8]. It is now suspected that members from one or both went on to form BlackMatter.

This rebranding strategy parallels the smash-and-grab attacks these groups now increasingly employ: they make their money, and a lot of noise, and when they’re found out, they disappear before organizations or governments can pull together their threat intelligence and organize an effective response. When they return days, weeks or months later, they do so having implemented enough small changes to render themselves and their attacks unrecognizable. That is how DarkSide can become BlackMatter, and how its attacks can slip through security systems trained on previously encountered threats. 

Attack Details

In September 2021 Darktrace was monitoring a US marketing agency which became the victim of a double extortion ransomware attack that bore hallmarks of a BlackMatter operation. This began when a single domain-authenticated device joined the company’s network. This was likely a pre-infected company device being reconnected after some time offline. 

Only 15 minutes after joining, the device began SMB and ICMP scanning activities towards over 1000 different internal IPs. There was also a large spike of requests for Epmapper, which suggested an intent for RPC-based lateral movement. Although one credential was particularly prominent, multiple were used including labelled admin credentials. Given it’s unexpected nature, this recon quickly triggered a chain of DETECT/Network model breaches which ensured that Darktrace’s SOC were alerted via the Proactive Threat Notification service. Whilst SOC analysts began to triage the activity, the organization failed to act on any of the alerts they received, leaving the detected threat to take root within their digital environment. 

Shortly after, a series of C2 beaconing occurred towards an endpoint associated with Cobalt Strike [9]. This was accompanied by a range of anomalous WMI bind requests to svcctl, SecAddr and further RPC connections. These allowed the initial compromised device to quickly infect 11 other devices. With continued scanning over the next day, valuable data was soon identified. Across several transfers, 230GB of internal data was then exfiltrated from four file servers via SSH port 22. This data was then made unusable to the organization through encryption occurring via SMB Writes and Moves/Renames with the randomly generated extension ‘.qHefKSmfd’. Finally a ransom note titled ‘qHefKSmfd.README.txt’ was dropped.

This ransom note was appended with the BlackMatter ASCII logo:

Figure 1- The ASCII logo which accompanied BlackMatter’s ransom note

Although Darktrace DETECT and Cyber AI Analyst continued to provide live alerting, the actor successfully accomplished their mission.  

There are numerous reasons that an organization may fail to organize a response to a threat, (including resource shortages, out of hours attacks, and groups that simply move too fast). Without Darktrace’s RESPOND capabilities enabled, the threat actors could proceed this attack without obstacles. 

Figure 2- Cyber AI Analyst breaks down the stages of the attack [Note: this screenshot is from V5 of DETECT/Network] 

How would the attack have unfolded with RESPOND?

Armed with Darktrace’s evolving knowledge of ‘self’ for the customer’s unique digital environment, RESPOND would have activated within seconds of the first network scan, which was recognized as highly anomalous. The standard action taken here would usually involve enforcing the standard ‘pattern of life’ for the compromised device over a set time period in order to halt the anomaly while allowing the business to continue operating as normal.

RESPOND constantly re-evaluates threats as attacks unfold. Had the first stage still been successful, it would have continued to take targeted action at each corresponding stage of this attack. RESPOND models would have alerted to block the external connections to C2 servers over port 443, the outbound exfil attempts and crucially the SMB write activity over port 445 related to encryption.

As DETECT and RESPOND feed into one another, Darktrace would have continued to assess its actions as BlackMatter pivoted tactics. These actions buy back critical time for security teams that may not be in operation over the weekend, and stun the attacker into place without applying overly aggressive responses that create more problems than they solve.

Ultimately although this incident did not resolve autonomously, in response to the ransom event, Darktrace offered to enable RESPOND and set it in active mode for ransomware indicators across all client and server devices. This ensured an event like this would not occur again. 

Why does RESPOND work?

Response solutions must be accurate enough to fire only when there is a genuine threat, configurable enough to let the user stay in the driver’s seat, and intelligent enough to know the right action to take to contain only the malicious activity- without disrupting normal business operations. 

This is only possible if you can establish what ‘normal’ is for any one organization. And this is how Darktrace’s RESPOND product family ensures its actions are targeted and proportionate. By feeding off DETECT alerting which highlights subtle or large deviations across the network, cloud and SaaS, RESPOND can provide a measured response to the potential threat. This includes actions such as:

  • Enforcing the device’s ‘pattern of life’ for a given length of time 
  • Enforcing the ‘group pattern of life’ (stopping a device from doing anything its peers haven’t done in the past)
  • Blocking connections of a certain type to a certain destination
  • Logging out of a cloud account 
  • ‘Smart quarantining’ an endpoint device- maintaining access to VPNs and company’s AV solution

Conclusion 

In its report on BlackMatter [10], CISA recommended that organizations invest in network monitoring tools with the capacity to investigate anomalous activity. Picking up on unusual behavior rather than predetermined rules and signatures is an important step in fighting back against new threats. As this particular story shows, however, detection alone is not always enough. Turning on RESPOND, which takes immediate and precise action to contain threats, regardless of when and where they come in, is the best way to counter smash-and-grab attacks and protect organizations’ digital assets. There is little doubt that the threat actors behind BlackMatter will or have already returned with new names and strategies- but organizations with RESPOND will be ready for them.

Appendices

Darktrace Model Detections (in order of breach)

Those with the ‘PTN’ prefix were alerted directly to Darktrace’s 24/7 SOC team.

  • Device / ICMP Address Scan
  • Device / Suspicious SMB Scanning Activity
  • (PTN) Device / Suspicious Network Scan Activity
  • Anomalous Connection / SMB Enumeration
  • Device / Possible RPC Lateral Movement
  • Device / Active Directory Reconnaissance
  • Unusual Activity / Possible RPC Recon Activity
  • Device / Possible SMB/NTLM Reconnaissance
  • Compliance / Default Credential Usage
  • Device / New or Unusual Remote Command Execution
  • Anomalous Connection / New or Uncommon Service Control
  • Device / New or Uncommon SMB Named Pipe
  • Device / SMB Session Bruteforce
  • Device / New or Uncommon WMI Activity
  • (PTN) Device / Multiple Lateral Movement Model Breaches
  • Compromise / Sustained SSL or HTTP Increase
  • Compromise / SSL or HTTP Beacon
  • Compromise / Sustained TCP Beaconing Activity To Rare Endpoint
  • Device / Anomalous SMB Followed By Multiple Model Breaches
  • Device / Anomalous RDP Followed By Multiple Model Breaches
  • Anomalous Server Activity / Rare External from Server
  • Anomalous Connection / Anomalous SSL without SNI to New External
  • Anomalous Connection / Rare External SSL Self-Signed
  • Device / Long Agent Connection to New Endpoint
  • Compliance / SMB Drive Write
  • Anomalous Connection / Unusual Admin SMB Session
  • Anomalous Connection / High Volume of New or Uncommon Service Control
  • Anomalous Connection / Unusual Admin RDP Session
  • Device / Suspicious File Writes to Multiple Hidden SMB Shares
  • Anomalous Connection / Multiple Connections to New External TCP Port
  • Compliance / SSH to Rare External Destination
  • Anomalous Connection / Uncommon 1 GiB Outbound
  • Anomalous Connection / Data Sent to Rare Domain
  • Anomalous Connection / Download and Upload
  • (PTN) Unusual Activity / Enhanced Unusual External Data Transfer
  • Anomalous File / Internal / Additional Extension Appended to SMB File
  • (PTN) Compromise / Ransomware / Suspicious SMB Activity

List of IOCs 

Reference List 

[1] https://www.designnews.com/industrial-machinery/new-age-hackers-are-ditching-smash-and-grab-techniques 

[2] https://cybernews.com/cyber-war/how-do-smash-and-grab-cyberattacks-help-ukraine-in-waging-war/

[3] https://blog.google/threat-analysis-group/phishing-campaign-targets-youtube-creators-cookie-theft-malware/

[4] https://www.ukcybersecuritycouncil.org.uk/news-insights/articles/the-benefits-of-automation-to-cyber-security/

[5] https://techcrunch.com/2021/11/03/blackmatter-ransomware-shut-down/ 

[6] https://www.trellix.com/en-us/about/newsroom/stories/research/blackmatter-ransomware-analysis-the-dark-side-returns.html

[7] https://www.nytimes.com/2021/05/14/business/darkside-pipeline-hack.html

[8] https://techcrunch.com/2022/01/14/fsb-revil-ransomware/ 

[9] https://www.virustotal.com/gui/domain/georgiaonsale.com/community

[10] https://www.cisa.gov/uscert/ncas/alerts/aa21-291a

Credit to: Andras Balogh, SOC Analyst and Gabriel Few-Wiegratz, Threat Intelligence Content Production Lead

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.
Written by
The Darktrace Analyst Team

More in this series

No items found.

Blog

/

Email

/

December 4, 2025

How Darktrace is ending email security silos with new capabilities in cross-domain detection, DLP, and native Microsoft integrations

Default blog imageDefault blog image

A new era of reputation-aware, unified email security

Darktrace / EMAIL is redefining email defense with new innovations that close email security silos and empower SOC teams to stop multi-stage attacks – without disrupting business operations.  

By extending visibility across interconnected domains, Darktrace catches the 17% of threats that leading SEGs miss, including multi-stage attacks like email bombing and cloud platform abuse. Its label-free behavioral DLP protects sensitive data without reliance on manual rules or classification, while DMARC strengthens brand trust and authenticity. With native integrations for Microsoft Defender and Security Copilot, SOC teams can now investigate and respond faster, reducing risk and maintaining operational continuity across the enterprise.

Summary of what’s new:

  • Cross-domain AI-native detection unifying email, identity, and SaaS
  • Label-free behavioral DLP for effortless data protection
  • Microsoft Defender and Security Copilot integrations for streamlined investigation and response

Why email security must evolve

Today’s attacks don’t stop at the inbox. They move across domains – email to identity, SaaS, and network – exploiting the blind spots between disconnected tools. Yet most email security solutions still operate in isolation, unable to see or respond beyond the message itself.

In 2024, Darktrace detected over 30 million phishing attempts: 38% targeting high-value individuals and almost a third using novel social engineering, including AI-generated text. Generative AI is amplifying the realism and scale of social engineering, while customers face a wave of new techniques like email bombing, where attackers flood inboxes to distract or manipulate users, and polymorphic malware, which continuously evolves to evade static defenses.

Meanwhile, defenders are exposed to traditional DLP tools that create operational drag with high false positives and rigid policies. Accidental insider breachers remain a major risk to organizations: 6% of all data breaches are caused by misdelivery, and 95% of those incidents involve personal data.

Tool sprawl compounds the issue. The average enterprise manages around 75 security products, and 69% report operational strain as a result. This complexity is counterproductive – and with legacy SEGs failing to adapt to detect threats that exploit human behavior, analysts are left juggling an unwieldy patchwork of fragmented defenses.

The bottom line? Siloed email defenses can’t keep pace with today’s AI-driven, cross domain attacks.

Beyond detection: AI built for modern threats

Darktrace / EMAIL is uniquely designed to catch the threats SEGs miss, powered by Self-Learning AI. It learns the communication patterns of every user – correlating behavioral signals from email, identity, and SaaS – to identify the subtle, context-driven deviations that define advanced social engineering and supply chain attacks.

Unlike tools that rely on static rules or historical attack data, Darktrace’s AI assumes a zero trust posture, treating every interaction as a potential risk. It detects novel threats in real time, including those that exploit trusted relationships or mimic legitimate business processes. And because Darktrace’s technology is natively unified, it delivers precise, coordinated responses that neutralize threats in real time.

Powerful innovations to Darktrace / EMAIL

Improved, multi-domain threat detection and response

With this update, Darktrace reveals multi-domain detection linking behavioral signals across email, identity, and SaaS to uncover advanced attacks. Darktrace leverages its existing agentic platform to understand behavioral deviations in any communication channel and take precise actions regardless of the domain.  

This innovation enables customers to:

  • Correlate behavioral signals across domains to expose cross-channel threats and enable coordinated response
  • Link email and identity intelligence to neutralize multi-stage attacks, including advanced email bombing campaigns

Detection accuracy is further strengthened through layering with traditional threat intelligence:

  • Integrated antivirus verdicts improve detection efficacy by adding traditional file scanning
  • Structured threat intelligence (STIX/TAXII) enriches alerts with global context for faster triage and prioritization

Expanded ecosystem visibility also includes:

  • Salesforce integration, enabling automatic action on potentially malicious tickets auto-created from emails – accelerating threat response and reducing manual burden

Advancements in label-free DLP

Darktrace is delivering the industry’s first label-free data loss prevention (DLP) solution powered by a proprietary domain specific language model (DSLM).  

This update expands DLP to protect against both secrets and personally identifiable information (PII), safeguarding sensitive data without relying on status rules or manual classification. The DSLM is tuned for email/DLP semantics so it understands entities, PII patterns, and message context quickly enough to enforce at send time.

Key enhancements include:

  • Behaviorally enhanced PII detection that automatically defines over 35+ new categories, including personal, financial, and health data  
  • Added detail to DLP alerts in the UI, showing exactly how and when DLP policies were applied
  • Enhanced Cyber AI Analyst narratives to explain detection logic, making it easier to investigate and escalate incidents

And for further confidence in outbound mail, discover new updates to DMARC, with support for BIMI logo verification, automatic detection of both MTA-STS and TLS records, and data exports for deeper analysis and reporting. Accessible for all organizations, available now on the Azure marketplace.

Streamlined SOC workflows, with Microsoft-native integrations

This update introduces new integrations that simplify SOC operations, unify visibility, and accelerate response. By embedding directly into the Microsoft ecosystem – with Defender and Security Copilot – analysts gain instant access to correlated insights without switching consoles.

New innovations include:

  • Unified quarantine management with Microsoft Defender, centralizing containment within the native Microsoft interface and eliminating console hopping
  • Ability to surface threat insights directly in Copilot via the Darktrace Email Analysis Agent, eliminating data hunting and simplifying investigations
  • Automatic ticket creation in JIRA when users report suspicious messages
  • Sandbox analysis integration, enabling payload inspection in isolated environments directly from the Darktrace UI

Committed to innovation

These updates are part of the broader Darktrace release, which also included:

  1. Major innovations in cloud security with the launch of the industry’s first fully automated cloud forensics solution, reinforcing Darktrace’s leadership in AI-native security.
  2. Redefining NDR with industry-first autonomous threat investigation from network to endpoint  
  3. Innovations to our suite of Exposure Management & Attack Surface Management tools

As attackers exploit gaps between tools, the Darktrace ActiveAI Security Platform delivers unified detection, automated investigation, and autonomous response across cloud, endpoint, email, network, and OT. With full-stack visibility and AI-native workflows, Darktrace empowers security teams to detect, understand, and stop novel threats before they escalate.

Join our Live Launch Event

When? December 9, 2025

What will be covered? Join our live broadcast to experience how Darktrace is eliminating blind spots for detection and response across your complete enterprise with new innovations in Agentic AI across our ActiveAI Security platform. Industry leaders from IDC will join Darktrace customers to discuss challenges in cross-domain security, with a live walkthrough reshaping the future of Network Detection & Response, Endpoint Detection & Response, Email Security, and SecOps in novel threat detection and autonomous investigations.

Continue reading
About the author
Carlos Gray
Senior Product Marketing Manager, Email

Blog

/

Email

/

December 4, 2025

The 17% of email threats SEGs miss – and how Darktrace catches them

Photo of analysts at a computerDefault blog imageDefault blog image

17%: The figure that changes your risk math

Most organizations deploy a Secure Email Gateway (SEG) assuming it will catch whatever their native email security provider would not be able to. But the data tells a different story. Nearly one in six of the riskiest inbound emails still evade the native + SEG layers on the first pass – 17% is the average SEG miss rate after Microsoft filtering.  

How did we calculate the miss rate? The figure comes from a volume-weighted analysis of real-world enterprise deployments where Darktrace operated alongside a SEG, compared to deployments without a SEG. It’s based on how each security layer treated malicious emails on the first instance – if the SEG missed the email at the initial filtering but caught it minutes or hours later we considered it a miss, because the threat had already been exposed to the user. We computed the mean per category miss count across the top three widely deployed SEGs and divided that by the total number of threats that had already bypassed native filters. The resulting rate is 17.8%, conservatively communicated as “about 17%.”

This result is a powerful directional signal – not a guarantee for every environment – but significant enough to merit a closer look.

What SEGs miss most (and why it matters)

Our analysis shows that SEGs most frequently miss context-driven, low-signal attacks.

Darktrace catches more threats than SEGs across a range of attack vectors

These are the kinds of emails that look convincing to recipients and rely on business context, without overtly malicious indicators, including:

Solicitation and fraudulent requests (~21% miss rate)

Deceptive invoices, vendor “updates,” payment term changes, or urgent favors. These messages often lack obvious payloads and exploit business process mimicry, making them nearly indistinguishable from genuine correspondence in the eyes of static, rule-based filters dependent on payload analysis. 22% of breaches stemming from external actors were a result of social engineering in 2025 (Verizon 2025 Data Breach Investigations Report).

Phishing links (~20% miss rate)

Links to credential harvesters or later-weaponized sites using new or compromised domains, redirects, or shorteners. URL rotation and staging evade list-based controls; the linguistic and workflow context looks routine. This also includes threats that leverage legitimate cloud platforms to disguise their intent and avoid reputation analysis.  Phishing remains one of the most expensive cause of breaches, an average cost of $4.8 million (IBM Cost of a Data Breach Report 2025).

User impersonation (~19% miss rate)

Convincing messages that mimic executives, colleagues, or partners, often with subtle display-name or address manipulation. These attacks rely on social engineering and context, bypassing static detection and reputation checks.

Other notable misses: Credential harvesting lures and forged/abused sender addresses, both typically light on static indicators but heavy on contextual clues. 

Why SEGs miss these emails

Let’s look at some of the reasons SEGs fail to catch more advanced, context-driven attacks.

  1. Attack-centric bias. SEGs excel at recognizing known-bad indicators (spam, commodity malware). But today’s high-impact threats are supercharged by AI and can be hyper-customized with polymorphic malware or personalized social engineering. They mirror normal business communications and weaponize trust, not binary patterns.  
  2. Limited behavioral understanding. Without modeling each user’s “normal” pattern of life, subtle anomalies (timing, tone, counterpart, transaction patterns) can look benign, even if they should be flagged. Some modern solutions have begun to incorporate behavioral analysis into their products, but these are still supplements for additional information rather than integrated into the core threat detection engine.
  3. Assumed trust. Account compromise and attacks that abuse legitimate services exploit trust. SEGs weren’t designed to handle these kinds of threats, in fact, they assume trust in order to minimize false positives, leaving them wide open to attackers.  
  4. Siloed detection. Email rarely tells the whole story. Attacks pivot across email, identity, and SaaS; single-channel tools can’t connect those dots in real time. This issue is exacerbated when email security vendors are only focused on email activity, ignoring activity beyond the inbox like network or cloud account activity.
  5. Adaptive evasion. Fast domain churn, benign-looking links, and clean hosting on trusted platforms routinely outpace static rules and blocklists. No matter how great your threat intelligence or threat research teams may be, there is a reliance on a first victim – which leads to defenders remaining one step behind attackers. 

How Darktrace / EMAIL catches the threats SEGs miss

Everywhere a SEG falters, Darktrace excels. Let’s take a look why.

  • Self-Learning AI: Darktrace learns the unique communication patterns of every user, department, and supplier, flagging the subtle deviations that typify social engineering and impersonation. 
  • A zero trust approach: According to Gartner, many organizations fail to extend their zero-trust strategy to email, leaving a critical gap. Darktrace assumes no trust, applying the zero trust principle across all aspects of email communication.
  • Cross-domain context: Correlates behavior across email, identity, and SaaS, exposing multi-stage campaigns that a siloed SEG can’t piece together. 
  • Better together with native providers: Operates alongside your native email security – not against it – so protection is additive. Darktrace ingests native signals and orchestrate unified quarantine without duplicating policy stacks or forcing you to disable built-in protections. 

For example: one of our customers, a global enterprise saw a surge of “document-share” notifications from a trusted collaboration platform. The domain and authentication looked fine; their SEG allowed it. Darktrace / EMAIL flagged it because the supplier’s sharing behavior and permission scope deviated from normal (volume, recipients, and access level). Follow-up confirmed the supplier account was compromised. Behavioral context – not rules or signatures – made the difference. 

Three steps to building a modern email security stack

Let’s end with three strategic takeaways for ensuring your email security is fit-for-purpose.

  1. Defense-in-depth = diversity, not duplication

Why it matters: Two security layers with the same detection philosophy (e.g. SEG + native email security) create overlapping blind spots. Both native email security providers and SEGs are attack-centric solutions that rely on past threats and threat intelligence. True defense-in-depth ensures you are asking different questions of every email that comes through.

How to apply: Pair your native email security with behavioral AI that learns how your business communicates. Eliminate redundant layers that only add cost and latency. 

  1. Coordinate the layers you keep

Why it matters:  Layers that don’t talk create delays and hand-offs; SEGs often become sole decision-makers by forcing native protections off. 

How to apply:  Favor an ICES approach that ingests native signals and can orchestrate unified quarantine, so detections become actions in one motion. 

  1. Quantify your security gap with a POV

Why it matters:  Every environment is different. You need evidence before making changes to your stack.

How to apply:  Run Darktrace / EMAIL in observe mode next to your current stack to surface exactly what’s still getting through. Use those results to plan your transition and measure improvement. 

Ready to claim 17% more protection? Request a demo with Darktrace / EMAIL to quantify what your SEG is missing, then decide how much of that residual risk you’re willing to accept. We’ll help you plan a clean, staged transition that preserves native protections and streamlines operations.  In the meantime, calculate your potential ROI using Darktrace / EMAIL with our handy calculator.

[related-resource]

Continue reading
About the author
Carlos Gray
Senior Product Marketing Manager, Email
Your data. Our AI.
Elevate your network security with Darktrace AI