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Inside the SOC

AI Uncovered Outlaw's Crypto Mining Operation| Darktrace

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10
Oct 2021
10
Oct 2021
Discover how Darktrace AI technology exposed a hidden cryptocurrency mining scheme. Learn about the power of Darktrace AI in cybersecurity.

Infamy is a paradoxical calling for cyber-criminals. While for some, bragging rights are a motivation for cyber-crime in and of themselves, notoriety is usually not a sensible goal for those hoping to avoid detection. This is what threat actors behind the prolific Emotet botnet learned earlier in 2021, for instance, when a coordinated effort was launched by eight national law enforcement agencies to take down their operation. There are, however, certain names which appear again and again in cyber security media and consistently avoid detection – names like Outlaw.

How Outlaw plans an ambush

Despite being active since 2018, very little is known about the hacking group Outlaw, which has staged numerous botnet and crypto-jacking attacks in China and internationally. The group is recognized by a variety of calling cards, be they repeated filenames or a tendency to illicitly mine Monero cryptocurrency, but its success ultimately lies in its tendency to adapt and evolve during months of dormancy between attacks.

Outlaw’s attacks are marked by constant changes and updates, which they work on in relative silence, before targeting security systems which are too-often defeated by the unfamiliarity of the threat.

In 2020, Outlaw gained attention when they updated their botnet toolset to find and eradicate other criminals’ crypto-jacking software, maximizing their own payout from infected devices. While it might come as no surprise that there’s no honor among cyber-thieves, this update also implemented more troubling changes which allowed Outlaw’s malware to evade traditional security defenses.

By switching disguises between each big robbery, and laying low with the loot, Outlaw ensures that traditional security systems which rely on historical attack data will never be ready for them, no matter how much notoriety is attached to their name. When organizations move beyond these systems’ rules-based approaches, however, adopting Self-Learning AI to protect their digital estates, they can begin to turn the tables on groups like Outlaw.

This blog explores how two pre-infected zombie devices in two very different parts of the world were activated by Outlaw’s botnet in the summer of 2021, and how Darktrace was able to detect the activity despite the devices being pre-infected.

Bounty hunting: First signs of attack

Figure 1: Timeline of the attack.

When a new device was added to the network of a Central American telecomms company in July, Darktrace detected a series of regular connections to two suspicious endpoints which it identified as beaconing behavior. The same behavior was noticed independently, but almost simultaneously, at a financial company in the APAC region, which was implementing Darktrace for the first time. Darktrace’s Self-Learning AI was able to identify the pre-infected devices by clustering similarly-behaving devices into peer groups within the local digital estates and therefore recognize that both were acting unusually based on a range of behaviors.

The first sign that the zombie devices had been activated by Outlaw was the initiation of cryptocurrency mining. Both devices, despite their geographical distance, were discovered to be connected to a single crypto-account, exemplifying the indiscriminate and exponential nature by which a botnet grows.

Outlaw has in the past restricted its activities to devices within China in what was assumed to be a show of caution, but recent activities like this one speak to a growing confidence.

The botnet recruitment process

The subsequent initiation of Internet Relay Chat (IRC) connections across port 443, a port more often associated with HTTPS activity, was perfectly characteristic of the Outlaw botnet’s earlier activity in 2020. IRC is a tool regularly used for communication between botmasters and zombie devices, but by using port 443 the attacker was attempting to blend into normal Internet traffic.

Soon after this exchange, the devices downloaded a shell script. Darktrace’s Cyber AI Analyst was able to intercept and recreate this shell script as it passed through the network, revealing its full function. Intriguingly, the script identified and excluded devices utilizing ARM architecture from the botnet. Due to its notably low battery consumption, ARM architecture is used primarily by portable mobile devices.

This selectivity is evidence that malicious crypto-mining remains Outlaw’s primary objective. By circumventing smaller devices which offer limited crypto-mining capabilities, this shell script focuses the botnet on the most high-powered, and therefore profitable, devices, such as desktop computers and servers. In this way, it reduces the Indicators of Compromise (IOCs) left behind by the wider botnet without greatly affecting the scale of its crypto-mining operation.

The two devices in question did not employ ARM architecture, and minutes later received a secondary payload containing a file named dota3[.]tar[.]gz, a sequel of sorts to the previous incarnation of the Outlaw botnet, ‘dota2’, which itself referenced a popular video game of the same name. With the arrival of this file, the devices appear to have been updated with the latest version of Outlaw’s world-spanning botnet.

This download was made possible in part by the attacker’s use of ‘Living off the Land’ tactics. By using only common Linux programs already present on the devices (‘curl’ and ‘Wget’ respectively), Outlaw had avoided having its activity flagged by traditional security systems. Wget, for instance, is ostensibly a reputable program used for retrieving content from web servers, and was never previously recorded as part of Outlaw’s TTPs (Tactics, Techniques, and Procedures).

By evolving and adapting its approach, Outlaw is continually able to outsmart and outrun rules-based security. Darktrace’s Self-Learning AI, however, kept pace, immediately identifying this Wget connection as suspicious and advising further investigation.

Figure 2: Cyber AI Analyst identifies Wget use on the morning of July 15 as suspicious and begins investigating potentially related HTTP connections made on the morning of July 14. In this way, it builds a complete picture of the attack.

The botnet unchained

In the following 36 hours, Darktrace detected over 6 million TCP and SSH connections directed to rare external IP addresses using ports often associated with SSH, such as 22, 2222, and 2022.

Exactly what the botnet was undertaking with these connections can only be speculated on. The devices may have been made part of a DDoS (Distributed Denial of Service) attack, bruteforce attempts on targeted SSH accounts, or simply have taken up the task of seeking and infecting new targets, further expanding the botnet. Darktrace recognized that neither device had made SSH connections prior to this event and, had Antigena been in active mode, would have enacted measures to stop them.

Figure 3: The behavior on the device before and after the bot was activated on July 14, 2021. The large spike in model breaches shows clear deviation from the established ‘pattern of life’.

Thankfully, the owners of both devices responded to Darktrace’s detection alerts soon enough to prevent any serious damage to their own digital estates. Had these devices remained under the influence of the botnet, the ramifications may have been far graver.

The use of SSH protocol would have allowed Outlaw to pivot into any number of activities, potentially compromising each device’s network further and causing data or monetary loss to their respective organizations.

Call the sheriff: Self-Learning AI

Rules-based security solutions operate much like the ‘wanted’ posters of the old west, looking out for the criminals who came through town last week without preparing for those riding over the hill today. When black hats and outlaws are adopting new looks and employing new techniques with every attack, a new way of responding to threats is needed.

Darktrace doesn’t need to know the name ‘Outlaw’, or the group’s history of evolving attacks, in order to stop them. With its fundamental self-learning approach, Darktrace learns its surroundings from the ground up, and identifies subtle deviations indicative of a cyber-threat. And with Autonomous Response, it will even take targeted action to neutralize the threat at machine speed, without the need for human intervention.

Thanks to Darktrace analyst Jun Qi Wong for his insights on the above threat find.

Learn more about how Cyber AI Analyst sheds light on complex attacks

Technical details

Darktrace model detections

  • Compliance / Crypto Currency Mining Activity
  • Compromise / High Priority Crypto Currency Mining [Enhanced Monitoring]
  • Anomalous Connection / New User Agent to IP Without Hostname
  • Anomalous File / Zip or Gzip from Rare External Location
  • Anomalous Connection / Application Protocol on Uncommon Port
  • Device / Increased External Connectivity
  • Unusual Activity / Unusual External Activity
  • Compromise / SSH Beacon
  • Compromise / High Frequency SSH Beacon
  • Anomalous Connection / Multiple Connections to New External TCP Port

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
ABOUT ThE AUTHOR
Oakley Cox
Director of Product

Oakley is a Product Manager within the Darktrace R&D team. He collaborates with global customers, including all critical infrastructure sectors and Government agencies, to ensure Darktrace/OT remains the first in class solution for OT Cyber Security. He draws on 7 years’ experience as a Cyber Security Consultant to organizations across EMEA, APAC and ANZ. His research into cyber-physical security has been published by Cyber Security journals and by CISA. Oakley has a Doctorate (PhD) from the University of Oxford.

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Thought Leadership

The State of AI in Cybersecurity: Understanding AI Technologies

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24
Jul 2024

About the State of AI Cybersecurity Report

Darktrace surveyed 1,800 CISOs, security leaders, administrators, and practitioners from industries around the globe. Our research was conducted to understand how the adoption of new AI-powered offensive and defensive cybersecurity technologies are being managed by organizations.

This blog continues the conversation from “The State of AI in Cybersecurity: Unveiling Global Insights from 1,800 Security Practitioners”. This blog will focus on security professionals’ understanding of AI technologies in cybersecurity tools.

To access download the full report, click here.

How familiar are security professionals with supervised machine learning

Just 31% of security professionals report that they are “very familiar” with supervised machine learning.

Many participants admitted unfamiliarity with various AI types. Less than one-third felt "very familiar" with the technologies surveyed: only 31% with supervised machine learning and 28% with natural language processing (NLP).

Most participants were "somewhat" familiar, ranging from 46% for supervised machine learning to 36% for generative adversarial networks (GANs). Executives and those in larger organizations reported the highest familiarity.

Combining "very" and "somewhat" familiar responses, 77% had familiarity with supervised machine learning, 74% generative AI, and 73% NLP. With generative AI getting so much media attention, and NLP being the broader area of AI that encompasses generative AI, these results may indicate that stakeholders are understanding the topic on the basis of buzz, not hands-on work with the technologies.  

If defenders hope to get ahead of attackers, they will need to go beyond supervised learning algorithms trained on known attack patterns and generative AI. Instead, they’ll need to adopt a comprehensive toolkit comprised of multiple, varied AI approaches—including unsupervised algorithms that continuously learn from an organization’s specific data rather than relying on big data generalizations.  

Different types of AI

Different types of AI have different strengths and use cases in cyber security. It’s important to choose the right technique for what you’re trying to achieve.  

Supervised machine learning: Applied more often than any other type of AI in cyber security. Trained on human attack patterns and historical threat intelligence.  

Large language models (LLMs): Applies deep learning models trained on extremely large data sets to understand, summarize, and generate new content. Used in generative AI tools.  

Natural language processing (NLP): Applies computational techniques to process and understand human language.  

Unsupervised machine learning: Continuously learns from raw, unstructured data to identify deviations that represent true anomalies.  

What impact will generative AI have on the cybersecurity field?

More than half of security professionals (57%) believe that generative AI will have a bigger impact on their field over the next few years than other types of AI.

Chart showing the types of AI expected to impact security the most
Figure 1: Chart from Darktrace's State of AI in Cybersecurity Report

Security stakeholders are highly aware of generative AI and LLMs, viewing them as pivotal to the field's future. Generative AI excels at abstracting information, automating tasks, and facilitating human-computer interaction. However, LLMs can "hallucinate" due to training data errors and are vulnerable to prompt injection attacks. Despite improvements in securing LLMs, the best cyber defenses use a mix of AI types for enhanced accuracy and capability.

AI education is crucial as industry expectations for generative AI grow. Leaders and practitioners need to understand where and how to use AI while managing risks. As they learn more, there will be a shift from generative AI to broader AI applications.

Do security professionals fully understand the different types of AI in security products?

Only 26% of security professionals report a full understanding of the different types of AI in use within security products.

Confusion is prevalent in today’s marketplace. Our survey found that only 26% of respondents fully understand the AI types in their security stack, while 31% are unsure or confused by vendor claims. Nearly 65% believe generative AI is mainly used in cybersecurity, though it’s only useful for identifying phishing emails. This highlights a gap between user expectations and vendor delivery, with too much focus on generative AI.

Key findings include:

  • Executives and managers report higher understanding than practitioners.
  • Larger organizations have better understanding due to greater specialization.

As AI evolves, vendors are rapidly introducing new solutions faster than practitioners can learn to use them. There's a strong need for greater vendor transparency and more education for users to maximize the technology's value.

To help ease confusion around AI technologies in cybersecurity, Darktrace has released the CISO’s Guide to Cyber AI. A comprehensive white paper that categorizes the different applications of AI in cybersecurity. Download the White Paper here.  

Do security professionals believe generative AI alone is enough to stop zero-day threats?

No! 86% of survey participants believe generative AI alone is NOT enough to stop zero-day threats

This consensus spans all geographies, organization sizes, and roles, though executives are slightly less likely to agree. Asia-Pacific participants agree more, while U.S. participants agree less.

Despite expecting generative AI to have the most impact, respondents recognize its limited security use cases and its need to work alongside other AI types. This highlights the necessity for vendor transparency and varied AI approaches for effective security across threat prevention, detection, and response.

Stakeholders must understand how AI solutions work to ensure they offer advanced, rather than outdated, threat detection methods. The survey shows awareness that old methods are insufficient.

To access the full report, click here.

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Inside the SOC

Jupyter Ascending: Darktrace’s Investigation of the Adaptive Jupyter Information Stealer

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18
Jul 2024

What is Malware as a Service (MaaS)?

Malware as a Service (MaaS) is a model where cybercriminals develop and sell or lease malware to other attackers.

This approach allows individuals or groups with limited technical skills to launch sophisticated cyberattacks by purchasing or renting malware tools and services. MaaS is often provided through online marketplaces on the dark web, where sellers offer various types of malware, including ransomware, spyware, and trojans, along with support services such as updates and customer support.

The Growing MaaS Marketplace

The Malware-as-a-Service (MaaS) marketplace is rapidly expanding, with new strains of malware being regularly introduced and attracting waves of new and previous attackers. The low barrier for entry, combined with the subscription-like accessibility and lucrative business model, has made MaaS a prevalent tool for cybercriminals. As a result, MaaS has become a significant concern for organizations and their security teams, necessitating heightened vigilance and advanced defense strategies.

Examples of Malware as a Service

  • Ransomware as a Service (RaaS): Providers offer ransomware kits that allow users to launch ransomware attacks and share the ransom payments with the service provider.
  • Phishing as a Service: Services that provide phishing kits, including templates and email lists, to facilitate phishing campaigns.
  • Botnet as a Service: Renting out botnets to perform distributed denial-of-service (DDoS) attacks or other malicious activities.
  • Information Stealer: Information stealers are a type of malware specifically designed to collect sensitive data from infected systems, such as login credentials, credit card numbers, personal identification information, and other valuable data.

How does information stealer malware work?

Information stealers are an often-discussed type MaaS tool used to harvest personal and proprietary information such as administrative credentials, banking information, and cryptocurrency wallet details. This information is then exfiltrated from target networks via command-and-control (C2) communication, allowing threat actors to monetize the data. Information stealers have also increasingly been used as an initial access vector for high impact breaches including ransomware attacks, employing both double and triple extortion tactics.

After investigating several prominent information stealers in recent years, the Darktrace Threat Research team launched an investigation into indicators of compromise (IoCs) associated with another variant in late 2023, namely the Jupyter information stealer.

What is Jupyter information stealer and how does it work?

The Jupyter information stealer (also known as Yellow Cockatoo, SolarMarker, and Polazert) was first observed in the wild in late 2020. Multiple variants have since become part of the wider threat landscape, however, towards the end of 2023 a new variant was observed. This latest variant achieved greater stealth and updated its delivery method, targeting browser extensions such as Edge, Firefox, and Chrome via search engine optimization (SEO) poisoning and malvertising. This then redirects users to download malicious files that typically impersonate legitimate software, and finally initiates the infection and the attack chain for Jupyter [3][4]. In recently noted cases, users download malicious executables for Jupyter via installer packages created using InnoSetup – an open-source compiler used to create installation packages in the Windows OS.

The latest release of Jupyter reportedly takes advantage of signed digital certificates to add credibility to downloaded executables, further supplementing its already existing tactics, techniques and procedures (TTPs) for detection evasion and sophistication [4]. Jupyter does this while still maintaining features observed in other iterations, such as dropping files into the %TEMP% folder of a system and using PowerShell to decrypt and load content into memory [4]. Another reported feature includes backdoor functionality such as:

  • C2 infrastructure
  • Ability to download and execute malware
  • Execution of PowerShell scripts and commands
  • Injecting shellcode into legitimate windows applications

Darktrace Coverage of Jupyter information stealer

In September 2023, Darktrace’s Threat Research team first investigated Jupyter and discovered multiple IoCs and TTPs associated with the info-stealer across the customer base. Across most investigated networks during this time, Darktrace observed the following activity:

  • HTTP POST requests over destination port 80 to rare external IP addresses (some of these connections were also made via port 8089 and 8090 with no prior hostname lookup).
  • HTTP POST requests specifically to the root directory of a rare external endpoint.
  • Data streams being sent to unusual external endpoints
  • Anomalous PowerShell execution was observed on numerous affected networks.

Taking a further look at the activity patterns detected, Darktrace identified a series of HTTP POST requests within one customer’s environment on December 7, 2023. The HTTP POST requests were made to the root directory of an external IP address, namely 146.70.71[.]135, which had never previously been observed on the network. This IP address was later reported to be malicious and associated with Jupyter (SolarMarker) by open-source intelligence (OSINT) [5].

Device Event Log indicating several connections from the source device to the rare external IP address 146.70.71[.]135 over port 80.
Figure 1: Device Event Log indicating several connections from the source device to the rare external IP address 146.70.71[.]135 over port 80.

This activity triggered the Darktrace / NETWORK model, ‘Anomalous Connection / Posting HTTP to IP Without Hostname’. This model alerts for devices that have been seen posting data out of the network to rare external endpoints without a hostname. Further investigation into the offending device revealed a significant increase in external data transfers around the time Darktrace alerted the activity.

This External Data Transfer graph demonstrates a spike in external data transfer from the internal device indicated at the top of the graph on December 7, 2023, with a time lapse shown of one week prior.
Figure 2: This External Data Transfer graph demonstrates a spike in external data transfer from the internal device indicated at the top of the graph on December 7, 2023, with a time lapse shown of one week prior.

Packet capture (PCAP) analysis of this activity also demonstrates possible external data transfer, with the device observed making a POST request to the root directory of the malicious endpoint, 146.70.71[.]135.

PCAP of a HTTP POST request showing streams of data being sent to the endpoint, 146.70.71[.]135.
Figure 3: PCAP of a HTTP POST request showing streams of data being sent to the endpoint, 146.70.71[.]135.

In other cases investigated by the Darktrace Threat Research team, connections to the rare external endpoint 67.43.235[.]218 were detected on port 8089 and 8090. This endpoint was also linked to Jupyter information stealer by OSINT sources [6].

Darktrace recognized that such suspicious connections represented unusual activity and raised several model alerts on multiple customer environments, including ‘Compromise / Large Number of Suspicious Successful Connections’ and ‘Anomalous Connection / Multiple Connections to New External TCP Port’.

In one instance, a device that was observed performing many suspicious connections to 67.43.235[.]218 was later observed making suspicious HTTP POST connections to other malicious IP addresses. This included 2.58.14[.]246, 91.206.178[.]109, and 78.135.73[.]176, all of which had been linked to Jupyter information stealer by OSINT sources [7] [8] [9].

Darktrace further observed activity likely indicative of data streams being exfiltrated to Jupyter information stealer C2 endpoints.

Graph displaying the significant increase in the number of HTTP POST requests with No Get made by an affected device, likely indicative of Jupyter information stealer C2 activity.
Figure 4: Graph displaying the significant increase in the number of HTTP POST requests with No Get made by an affected device, likely indicative of Jupyter information stealer C2 activity.

In several cases, Darktrace was able to leverage customer integrations with other security vendors to add additional context to its own model alerts. For example, numerous customers who had integrated Darktrace with Microsoft Defender received security integration alerts that enriched Darktrace’s model alerts with additional intelligence, linking suspicious activity to Jupyter information stealer actors.

The security integration model alerts ‘Security Integration / Low Severity Integration Detection’ and (right image) ‘Security Integration / High Severity Integration Detection’, linking suspicious activity observed by Darktrace with Jupyter information stealer (SolarMarker).
Figure 5: The security integration model alerts ‘Security Integration / Low Severity Integration Detection’ and (right image) ‘Security Integration / High Severity Integration Detection’, linking suspicious activity observed by Darktrace with Jupyter information stealer (SolarMarker).

Conclusion

The MaaS ecosystems continue to dominate the current threat landscape and the increasing sophistication of MaaS variants, featuring advanced defense evasion techniques, poses significant risks once deployed on target networks.

Leveraging anomaly-based detections is crucial for staying ahead of evolving MaaS threats like Jupyter information stealer. By adopting AI-driven security tools like Darktrace / NETWORK, organizations can more quickly identify and effectively detect and respond to potential threats as soon as they emerge. This is especially crucial given the rise of stealthy information stealing malware strains like Jupyter which cannot only harvest and steal sensitive data, but also serve as a gateway to potentially disruptive ransomware attacks.

Credit to Nahisha Nobregas (Senior Cyber Analyst), Vivek Rajan (Cyber Analyst)

References

1.     https://www.paloaltonetworks.com/cyberpedia/what-is-multi-extortion-ransomware

2.     https://flashpoint.io/blog/evolution-stealer-malware/

3.     https://blogs.vmware.com/security/2023/11/jupyter-rising-an-update-on-jupyter-infostealer.html

4.     https://www.morphisec.com/hubfs/eBooks_and_Whitepapers/Jupyter%20Infostealer%20WEB.pdf

5.     https://www.virustotal.com/gui/ip-address/146.70.71.135

6.     https://www.virustotal.com/gui/ip-address/67.43.235.218/community

7.     https://www.virustotal.com/gui/ip-address/2.58.14.246/community

8.     https://www.virustotal.com/gui/ip-address/91.206.178.109/community

9.     https://www.virustotal.com/gui/ip-address/78.135.73.176/community

Appendices

Darktrace Model Detections

  • Anomalous Connection / Posting HTTP to IP Without Hostname
  • Compromise / HTTP Beaconing to Rare Destination
  • Unusual Activity / Unusual External Data to New Endpoints
  • Compromise / Slow Beaconing Activity To External Rare
  • Compromise / Large Number of Suspicious Successful Connections
  • Anomalous Connection / Multiple Failed Connections to Rare Endpoint
  • Compromise / Excessive Posts to Root
  • Compromise / Sustained SSL or HTTP Increase
  • Security Integration / High Severity Integration Detection
  • Security Integration / Low Severity Integration Detection
  • Anomalous Connection / Multiple Connections to New External TCP Port
  • Unusual Activity / Unusual External Data Transfer

AI Analyst Incidents:

  • Unusual Repeated Connections
  • Possible HTTP Command and Control to Multiple Endpoints
  • Possible HTTP Command and Control

List of IoCs

Indicators – Type – Description

146.70.71[.]135

IP Address

Jupyter info-stealer C2 Endpoint

91.206.178[.]109

IP Address

Jupyter info-stealer C2 Endpoint

146.70.92[.]153

IP Address

Jupyter info-stealer C2 Endpoint

2.58.14[.]246

IP Address

Jupyter info-stealer C2 Endpoint

78.135.73[.]176

IP Address

Jupyter info-stealer C2 Endpoint

217.138.215[.]105

IP Address

Jupyter info-stealer C2 Endpoint

185.243.115[.]88

IP Address

Jupyter info-stealer C2 Endpoint

146.70.80[.]66

IP Address

Jupyter info-stealer C2 Endpoint

23.29.115[.]186

IP Address

Jupyter info-stealer C2 Endpoint

67.43.235[.]218

IP Address

Jupyter info-stealer C2 Endpoint

217.138.215[.]85

IP Address

Jupyter info-stealer C2 Endpoint

193.29.104[.]25

IP Address

Jupyter info-stealer C2 Endpoint

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About the author
Nahisha Nobregas
SOC Analyst
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