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Legitimate Services, Malicious Intentions: Getting the Drop on Phishing Attacks Abusing Dropbox 

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08
Mar 2024
08
Mar 2024
This blog discusses an example of a malicious actor utilizing the cloud storage service Dropbox in order to carry out a phishing attack against a Darktrace customer. Thanks to Darktrace/Email and Apps, this compromise was promptly brought to the attention of the customer and shut down.

Evolving Phishing Attacks

While email has long been the vector of choice for carrying out phishing attacks, threat actors, and their tactics, techniques, and procedures (TTPs), are continually adapting and evolving to keep pace with the emergence of new technologies that represent new avenues to exploit. As previously discussed by the Darktrace analyst team, several novel threats relating to the abuse of commonly used services and platforms were observed throughout 2023, including the rise of QR Code Phishing and the use of Microsoft SharePoint and Teams in phishing campaigns.

Dropbox Phishing Attacks

It should, therefore, come as no surprise that the malicious use of other popular services has gained traction in recent years, including the cloud storage platform Dropbox.

With over 700 million registered users [1], Dropbox has established itself as a leading cloud storage service celebrated for its simplicity in file storage and sharing, but in doing so it has also inadvertently opened a new avenue for threat actors to exploit. By leveraging the legitimate infrastructure of Dropbox, threat actors are able to carry out a range of malicious activities, from convincing their targets to unknowingly download malware to revealing sensitive information like login credentials.

Darktrace Detection of Dropbox Phishing Attack

Darktrace detected a malicious attempt to use Dropbox in a phishing attack in January 2024, when employees of a Darktrace customer received a seemingly innocuous email from a legitimate Dropbox address. Unbeknownst to the employees, however, a malicious link had been embedded in the contents of the email that could have led to a widespread compromise of the customer’s Software-as-a-Service (SaaS) environment. Fortunately for this customer, Darktrace/Email™ quickly identified the suspicious emails and took immediate actions to stop them from being opened. If an email was accessed by an employee, Darktrace/Apps™ was able to recognize any suspicious activity on the customer’s SaaS platform and bring it to the immediate detection of their security team.

Attack overview

Initial infection  

On January 25, 2024, Darktrace/Email observed an internal user on a customer’s SaaS environment receiving an inbound email from ‘no-reply@dropbox[.]com’, a legitimate email address used by the Dropbox file storage service.  Around the same time 15 other employees also received the same email.

The email itself contained a link that would lead a user to a PDF file hosted on Dropbox, that was seemingly named after a partner of the organization. Although the email and the Dropbox endpoint were both legitimate, Darktrace identified that the PDF file contained a suspicious link to a domain that had never previously been seen on the customer’s environment, ‘mmv-security[.]top’.  

Darktrace understood that despite being sent from a legitimate service, the email’s initiator had never previously corresponded with anyone at the organization and therefore treated it with suspicion. This tactic, whereby a legitimate service sends an automated email using a fixed address, such as ‘no-reply@dropbox[.]com’, is often employed by threat actors attempting to convince SaaS users to follow a malicious link.

As there is very little to distinguish between malicious or benign emails from these types of services, they can often evade the detection of traditional email security tools and lead to disruptive account takeovers.

As a result of this detection, Darktrace/Email immediately held the email, stopping it from landing in the employee’s inbox and ensuring the suspicious domain could not be visited. Open-source intelligence (OSINT) sources revealed that this suspicious domain was, in fact, a newly created endpoint that had been reported for links to phishing by multiple security vendors [2].

A few days later on January 29, the user received another legitimate email from ‘no-reply@dropbox[.]com’ that served as a reminder to open the previously shared PDF file. This time, however, Darktrace/Email moved the email to the user’s junk file and applied a lock link action to prevent the user from directly following a potentially malicious link.

Figure 1: Anomaly indicators associated with the suspicious emails sent by ’no.reply@dropbox[.]com’, and the corresponding actions performed by Darktrace/Email.

Unfortunately for the customer in this case, their employee went on to open the suspicious email and follow the link to the PDF file, despite Darktrace having previously locked it.

Figure 2: Confirmation that the SaaS user read the suspicious email and followed the link to the PDF file hosted on Dropbox, despite it being junked and link locked.

Darktrace/Network subsequently identified that the internal device associated with this user connected to the malicious endpoint, ‘mmv-security[.]top’, a couple of days later.

Further investigation into this suspicious domain revealed that it led to a fake Microsoft 365 login page, designed to harvest the credentials of legitimate SaaS account holders. By masquerading as a trusted organization, like Microsoft, these credential harvesters are more likely to appear trustworthy to their targets, and therefore increase the likelihood of stealing privileged SaaS account credentials.  

Figure 3: The fake Microsoft login page that the user was directed to after clicking the link in the PDF file.

Suspicious SaaS activity

In the days following the initial infection, Darktrace/Apps began to observe a string of suspicious SaaS activity being performed by the now compromised Microsoft 365 account.

Beginning on January 31, Darktrace observed a number of suspicious SaaS logins from multiple unusual locations that had never previously accessed the account, including 73.95.165[.]113. Then on February 1, Darktrace detected unusual logins from the endpoints 194.32.120[.]40 and 185.192.70[.]239, both of which were associated with ExpressVPN indicating that threat actors may have been using a virtual private network (VPN) to mask their true location.

FIgure 4: Graph Showing several unusual logins from different locations observed by Darktrace/Apps on the affected SaaS account.

Interestingly, the threat actors observed during these logins appeared to use a valid multi-factor authentication (MFA) token, indicating that they had successfully bypassed the customer’s MFA policy. In this case, it appears likely that the employee had unknowingly provided the attackers with an MFA token or unintentionally approved a login verification request. By using valid tokens and meeting the necessary MFA requirements, threat actors are often able to remain undetected by traditional security tools that view MFA as the silver bullet. However, Darktrace’s anomaly-based approach to threat detection allows it to quickly identify unexpected activity on a device or SaaS account, even if it occurs with legitimate credentials and successfully passed authentication requirements, and bring it to the attention of the customer’s security team.

Shortly after, Darktrace observed an additional login to the SaaS account from another unusual location, 87.117.225[.]155, this time seemingly using the HideMyAss (HMA) VPN service. Following this unusual login, the actor was seen creating a new email rule on the compromised Outlook account. The new rule, named ‘….’, was intended to immediately move any emails from the organization’s accounts team directly to the ‘Conversation History’ mailbox folder. This is a tactic often employed by threat actors during phishing campaigns to ensure that their malicious emails (and potential responses to them) are automatically moved to less commonly visited mailbox folders in order to remain undetected on target networks. Furthermore, by giving this new email rule a generic name, like ‘….’ it is less likely to draw the attention of the legitimate account holder or the organizations security team.

Following this, Darktrace/Email observed the actor sending updated versions of emails that had previously been sent by the legitimate account holder, with subject lines containing language like “Incorrect contract” and “Requires Urgent Review”, likely in an attempt to illicit some kind of follow-up action from the intended recipient.  This likely represented threat actors using the compromised account to send further malicious emails to the organization’s accounts team in order to infect additional accounts across the customer’s SaaS environment.

Unfortunately, Darktrace RESPOND™ was not deployed in the customer’s SaaS environment in this instance, meaning that the aforementioned malicious activity did not lead to any mitigative actions to contain the compromise. Had RESPOND been enabled in autonomous response mode at the time of the attack, it would have quickly moved to log out and disable the suspicious actor as soon as they had logged into the SaaS environment from an unusual location, effectively shutting down this account takeover attempt at the earliest opportunity.

Nevertheless, Darktrace/Email’s swift identification and response to the suspicious phishing emails, coupled with Darktrace/App’s detection of the unusual SaaS activity, allowed the customer’s security team to quickly identify the offending SaaS actor and take the account offline before the attack could escalate further

Conclusion

As organizations across the world continue to adopt third-party solutions like Dropbox into their day-to-day business operations, threat actors will, in turn, continue to seek ways to exploit these and add them to their arsenal. As illustrated in this example, it is relatively simple for attackers to abuse these legitimate services for malicious purposes, all while evading detection by endpoint users and security teams alike.

By leveraging these commonly used platforms, malicious actors are able to carry out disruptive cyber-attacks, like phishing campaigns, by taking advantage of legitimate, and seemingly trustworthy, infrastructure to host malicious files or links, rather than relying on their own infrastructure. While this tactic may bypass traditional security measures, Darktrace’s Self-Learning AI enables it to recognize unusual senders within an organization’s email environment, even if the email itself seems to have come from a legitimate source, and prevent them from landing in the target inbox. In the event that a SaaS account does become compromised, Darktrace is able to identify unusual login locations and suspicious SaaS activities and bring them to the attention of the customer for remediation.

In addition to the prompt identification of emerging threats, Darktrace RESPOND is uniquely placed to take swift autonomous action against any suspicious activity detected within a customer’s SaaS environment, effectively containing any account takeover attempts in the first instance.

Credit to Ryan Traill, Threat Content Lead, Emily Megan Lim, Cyber Security Analyst

Appendices

Darktrace Model Detections  

- Model Breach: SaaS / Access::Unusual External Source for SaaS Credential Use

- Model Breach: SaaS / Unusual Activity::Multiple Unusual External Sources For SaaS Credential

- Model Breach: SaaS / Access::Unusual External Source for SaaS Credential Use

- Model Breach: SaaS / Access::Unusual External Source for SaaS Credential Use

- Model Breach: SaaS / Unusual Activity::Multiple Unusual SaaS Activities

- Model Breach: SaaS / Unusual Activity::Unusual MFA Auth and SaaS Activity

- Model Breach: SaaS / Compromise::Unusual Login and New Email Rule

- Model Breach: SaaS / Compliance::Anomalous New Email Rule

- Model Breach: SaaS / Compliance::New Email Rule

- Model Breach: SaaS / Compromise::SaaS Anomaly Following Anomalous Login

- Model Breach: Device / Suspicious Domain

List of Indicators of Compromise (IoCs)

Domain IoC

mmv-security[.]top’ - Credential Harvesting Endpoint

IP Address

73.95.165[.]113 - Unusual Login Endpoint

194.32.120[.]40 - Unusual Login Endpoint

87.117.225[.]155 - Unusual Login Endpoint

MITRE ATT&CK Mapping

DEFENSE EVASION, PERSISTENCE, PRIVILEGE ESCALATION, INITIAL ACCESS

T1078.004 - Cloud Accounts

DISCOVERY

T1538 - Cloud Service Dashboard

RESOURCE DEVELOPMENT

T1586 - Compromise Accounts

CREDENTIAL ACCESS

T1539 - Steal Web Session Cookie

PERSISTENCE

T1137 - Outlook Rules

INITIAL ACCESS

T156.002 Spearphishing Link

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.
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Hashing out TA577: Darktrace’s Detection of NTLM Hash Theft

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09
Jul 2024

What is credential theft and how does it work?

What began as a method to achieve unauthorized access to an account, often driven by the curiosity of individual attackers, credentials theft become a key tactic for malicious actors and groups, as stolen login credentials can be abused to gain unauthorized access to accounts and systems. This access can be leveraged to carry out malicious activities such as data exfiltration, fraud, espionage and malware deployment.

It is therefore no surprise that the number of dark web marketplaces selling privileged credentials has increased in recent years, making it easier for malicious actors to monetize stolen credentials [1]. This, in turn, has created new opportunities for threat actors to use increasingly sophisticated tactics such as phishing, social engineering and credential stuffing in their attacks, targeting individuals, organizations and government entities alike [1].

Credential theft example

TA577 Threat Actor

TA577 is a threat actor known to leverage stolen credentials, also known as Hive0118 [2], an initial access broker (IAB) group that was previously known for delivering malicious payloads [2]. On March 4, 2024, Proofpoint reported evidence of TA577 using a new attack chain with a different aim in mind: stealing NT LAN Manager (NTLM) hashes that can be used to authenticate to systems without needing to know plaintext passwords [3].

How does TA577 steal credentials?

Proofpoint reported that this new attack chain, which was first observed on February 26 and 27, was made up of two distinct campaigns. The first campaign consisted of a phishing attack featuring tens of thousands of emails targeting hundreds of organizations globally [3]. These phishing emails often appeared as replies to previous messages (thread hijacking) and contained zipped HTML attachments that each contained a unique file hash, customized for each recipient [3]. These attached files also contained a HTTP Meta refresh function, which triggered an automatic connection to a text file hosted on external IP addresses running as SMB servers [3].

When attempting to access the text file, the server requires an SMB session authentication via NTLM. This session is initiated when a client sends an ‘SMB_COM_NEGOTIATE’ request to the server, which answers with a ‘SMB_COM_NEGOTIATE’ response.

The client then proceeds to send a ‘SMB_COM_SESSION_SETUP_ANDX’ request to start the SMB session setup process, which includes initiating the NTLM authentication process. The server responds with an ‘SMB_COM_SESSION_SETUP_ANDX’ response, which includes an NTLM challenge message [6].

The client can then use the challenge message and its own credentials to generate a response by hashing its password using an NTLM hash algorithm. The response is sent to the server in an ‘SMB_COM_SESSION_SETUP_ANDX’ request. The server validates the response and, if the authentication is successful, the server answers with a final ‘SMB_COM_SESSION_SETUP_ANDX’ response, which completes the session setup process and allows the client to access the file listed on the server [6].

What is the goal of threat actor TA577?

As no malware delivery was detected during these sessions, researchers have suggested that the aim of TA577 was not to deliver malware, but rather to take advantage of the NTLMV2 challenge/response to steal NTLM authentication hashes [3] [4]. Hashes stolen by attackers can be exploited in pass-the-hash attacks to authenticate to a remote server or service [4]. They can also be used for offline password cracking which, if successful, could be utilized to escalate privileges or perform lateral movement through a target network [4]. Under certain circumstances, these hashes could also permit malicious actors to hijack accounts, access sensitive information and evade security products [4].

The open-source toolkit Impacket, which includes modules for password cracking [5] and which can be identified by the default NTLM server challenge “aaaaaaaaaaaaaaaa”[3], was observed during the SMB sessions. This indicates that TA577 actor aim to use stolen credentials for password cracking and pass-the-hash attacks.

TA577 has previously been associated with Black Basta ransomware infections and Qbot, and has been observed delivering various payloads including IcedID, SystemBC, SmokeLoader, Ursnif, and Cobalt Strike [2].This change in tactic to follow the current trend of credential theft may indicate that not only are TA577 actors aware of which methods are most effective in the current threat landscape, but they also have monetary and time resources needed to create new methods to bypass existing detection tools [3].  

Darktrace’s Coverage of TA577 Activity

On February 26 and 26, coinciding with the campaign activity reported by Proofpoint, Darktrace/Email™ observed a surge of inbound emails from numerous suspicious domains targeting multiple customer environments. These emails consistently included zip files with seemingly randomly generated names, containing HTLM content and links to an unusual external IP address [3].

A summary of anomaly indicators seen for a campaign email sent by TA577, as detected by Darktrace/Email.
Figure 1: A summary of anomaly indicators seen for a campaign email sent by TA577, as detected by Darktrace/Email.
Details of the name and size of the .zip file attached to a campaign email, along with the Darktrace/Email model alerts triggered by the email.
Figure 2: Details of the name and size of the .zip file attached to a campaign email, along with the Darktrace/Email model alerts triggered by the email.

The URL of these links contained an unusually named .txt file, which corresponds with Proofpoint reports of the automatic connection to a text file hosted on an external SMB server made when the attachment is opened [3].

A link to a rare external IP address seen within a campaign email, containing an unusually named .txt file.
Figure 3: A link to a rare external IP address seen within a campaign email, containing an unusually named .txt file.

Darktrace identified devices on multiple customer networks connecting to external SMB servers via the SMB protocol. It understood this activity was suspicious as the SMB protocol is typically reserved for internal connections and the endpoint in question had never previously been observed on the network.

The Event Log of a ‘Compliance / External Windows Communication’ model alert showing a connection to an external SMB server on destination port 445.
Figure 4: The Event Log of a ‘Compliance / External Windows Communication’ model alert showing a connection to an external SMB server on destination port 445.
External Sites Summary highlighting the rarity of the external SMB server.
Figure 5: External Sites Summary highlighting the rarity of the external SMB server.
External Sites Summary highlightin that the SMB server is geolocated in Moldova.
Figure 6: External Sites Summary highlightin that the SMB server is geolocated in Moldova.

During these connections, Darktrace observed multiple devices establishing an SMB session to this server via a NTLM challenge/response, representing the potential theft of the credentials used in this session. During this session, some devices also attempted to access an unusually named .txt file, further indicating that the affected devices were trying to access the .txt file hosted on external SMB servers [3].

Packet captures (PCAPs) of these sessions show the default NTLM server challenge, indicating the use of Impacket, suggesting that the captured NTLM hashes were to be used for password cracking or pass-the-hash-attacks [3]

PCAP analysis showing usage of the default NTLM server challenge associated with Impacket.
Figure 7: PCAP analysis showing usage of the default NTLM server challenge associated with Impacket.

Conclusions

Ultimately, Darktrace’s suite of products effectively detected and alerted for multiple aspects of the TA577 attack chain and NTLM hash data theft activity across its customer base. Darktrace/Email was able to uncover the inbound phishing emails that served as the initial access vector for TA577 actors, while Darktrace DETECT identified the subsequent external connections to unusual external locations and suspicious SMB sessions.

Furthermore, Darktrace’s anomaly-based approach enabled it to detect suspicious TA577 activity across the customer base on February 26 and 27, prior to Proofpoint’s report on their new attack chain. This showcases Darktrace’s ability to identify emerging threats based on the subtle deviations in a compromised device’s behavior, rather than relying on a static list of indicators of compromise (IoCs) or ‘known bads’.

This approach allows Darktrace to remain one step ahead of increasingly adaptive threat actors, providing organizations and their security teams with a robust AI-driven solution able to safeguard their networks in an ever-evolving threat landscape.

Credit to Charlotte Thompson, Cyber Analyst, Anna Gilbertson, Cyber Analyst.

References

1)    https://www.sentinelone.com/cybersecurity-101/what-is-credential-theft/

2)    https://malpedia.caad.fkie.fraunhofer.de/actor/ta577

3)    https://www.proofpoint.com/us/blog/threat-insight/ta577s-unusual-attack-chain-leads-ntlm-data-theft

4)    https://www.bleepingcomputer.com/news/security/hackers-steal-windows-ntlm-authentication-hashes-in-phishing-attacks/

5)    https://pawanjswal.medium.com/the-power-of-impacket-a-comprehensive-guide-with-examples-1288f3a4c674

6)    https://learn.microsoft.com/en-us/openspecs/windows_protocols/ms-nlmp/c083583f-1a8f-4afe-a742-6ee08ffeb8cf

7)    https://www.hivepro.com/threat-advisory/ta577-targeting-windows-ntlm-hashes-in-global-campaigns/

Darktrace Model Detections

Darktrace/Email

·       Attachment / Unsolicited Archive File

·       Attachment / Unsolicited Attachment

·       Link / New Correspondent Classified Link

·       Link / New Correspondent Rare Link

·       Spoof / Internal User Similarities

Darktrace DETECT

·       Compliance / External Windows Communications

Darktrace RESPOND

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

IoCs

IoC - Type - Description

176.123.2[.]146 - IP address -Likely malicious SMB Server

89.117.2[.]33 - IP address - Likely malicious SMB Server

89.117.1[.]161 - IP address - Likely malicious SMB Server

104.129.20[.]167 - IP address - Likely malicious SMB Server

89.117.1[.]160 - IP address - Likely malicious SMB Server

85.239.33[.]149 - IP address - Likely malicious SMB Server

89.117.2[.]34 - IP address - Likely malicious SMB Server

146.19.213[.]36 - IP address - Likely malicious SMB Server

66.63.188[.]19 - IP address - Likely malicious SMB Server

103.124.104[.]76 - IP address - Likely malicious SMB Server

103.124.106[.]224 - IP address - Likely malicious SMB Server

\5aohv\9mn.txt - SMB Path and File - SMB Path and File

\hvwsuw\udrh.txt - SMB Path and File - SMB Path and File

\zkf2rj4\VmD.txt = SMB Path and File - SMB Path and File

\naams\p3aV.txt - SMB Path and File - SMB Path and File

\epxq\A.txt - SMB Path and File - SMB Path and File

\dbna\H.txt - SMB Path and File - SMB Path and File

MAGNAMSB.zip – Filename - Phishing Attachment

e751f9dddd24f7656459e1e3a13307bd03ae4e67 - SHA1 Hash - Phishing Attachment

OMNIS2C.zip  - Filename - Phishing Attachment

db982783b97555232e28d5a333525118f10942e1 - SHA1 Hash - Phishing Attachment

aaaaaaaaaaaaaaaa - NTLM Server Challenge -Impacket Default NTLM Challenge

MITRE ATT&CK Tactics, Techniques and Procedures (TTPs)

Tactic - Technique

TA0001            Initial Access

TA0002            Execution

TA0008            Lateral Movement

TA0003            Persistence

TA0005            Defense Evasion

TA0006            Credential Access

T1021.002       SMB/Windows Admin Shares

T1021  Remote Services

T1566.001       Spearfishing Attachment

T1566  Phishing

T1204.002       Malicious File

T1204  User Execution

T1021.002       SMB/Windows Admin Shares

T1574  Hijack Execution Flow

T1021  Remote Services

T1555.004       Windows Credential Manager

T1555  Credentials from Password Stores

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About the author
Charlotte Thompson
Cyber Analyst

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Credential Phishing: Common attack methods and defense strategies 

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08
Jul 2024

Credential theft remains a top cybersecurity threat

Adversaries have many options in their arsenal to gain access into an organization.  

Exploitable vulnerabilities: This can provide access into a system’s processes and allow activity within the context of the service account.  

Weak or misconfigured systems: These can provide direct avenues of access into exposed systems.  

However, the more desirable option is to obtain user or API credentials permitting the adversary to authenticate and operate as one of the organization’s authorized entities.

While 2023 noted a marked increase in vulnerability exploits as the chosen vector of attack, the use of credentials by adversaries still ranked #1 at 24% in the latest Verizon Data Breach Investigations Report. Mandiant’s M-Trends report noted 14% of their investigations involved stolen credentials as the attack vector, and Darktrace’s 2023 End of Year Threat Report revealed that Credential Access was one of the most observed MITRE ATT&CK tactics.

Credential phishing methods

There are many ways an adversary can obtain a user’s credentials. Some require gaining access to the target system or exploiting an application while others target the end-user directly. 

Joshua (WarGames) | Villains Wiki | Fandom

Social Engineering: Many users have a habit of incorporating things in their life into their passwords. Family members, important dates, hobbies, movies, and music favorites have all been used. Adversaries know this and will scour social media to gain knowledge about their intended target. This method was beautifully demonstrated in the 1983 movie, Wargames, where Matthew Broderick’s character scours articles, papers, and video about Dr. Stephen Falken, finally guessing that the password into the WOPR (War Operations Plan Response) computer is that of his deceased child, Joshua.  

Credential Cracking / Dumping: If the adversary has gained access to a targeted system, they may employ a password cracking, or credential dumping, program. For Unix-based solutions, obtaining the /etc/passwd and /etc/shadow files provides the users, groups, and encrypted passwords. Adversaries can exfiltrate these files and then utilize password crackers such as John the Ripper, Crack, or codebreaker003. Mimikatz(see more below) can also pass cache information for Mac / Unix and Linux systems.

Windows-based solutions: Adversaries have successfully utilized programs such as Mimikatz to dump credentials and hashes. Mimikatz can pass the hash string to the Local Security Authority Subsystem Service (LSASS) to authorize user actions, as well as perform “kerberoasting”. Kerberos is how Windows systems authorize users utilizing a 3-entity authentication method and symmetric key cryptography to create “tickets” that authorize requested actions. Mimikatz can use Kerberos tickets to gain non-expiring domain administration credentials (Golden Tickets) or tickets to login as a service on the network (Silver Tickets).

Steve Carell Banana - Imgflip

Post-It Notes: As organizations and applications started requiring stronger passwords that met complexity requirements, users did what you would expect to ensure they didn’t forget them. They wrote them down (this was also demonstrated in Wargames). The modern-day equivalent is to create a text file with all your passwords (or API credentials) in it – something adversaries are delighted to find.

One of the funniest, yet totally on-point, comic routines I’ve seen on this topic is Michael McIntyre’s You Should Probably Change Your Password skit at the London Palladium.

Phishing Alert: Pay attention to NC State login pages and Duo prompts –  Office of Information Technology

Phishing / Smishing: Forged messages requesting users to reset their passwords or directing them to enter their credentials used to be easier to spot. However, the emergence of Artificial Intelligence (AI) is allowing adversaries to create very realistic messages and web pages that mimic an organization’s authentication pages. These attempts are not just limited to email, adversaries are utilizing SMS messages and other collaborative communication solutions like Microsoft Teams to transmit fake messages to unsuspecting users. Also, security teams are seeing increased use of Quick Response (QR) codes in scam messages. QR codes are appearing in all aspects of everyday life (I’m finding it hard to go into a restaurant without having to scan a QR code to read the menu) and there is a false sense of security people have in thinking that QR codes are safe to scan.

Vulnerability Exploits: Gaining access to the credential cache or password file is not the only way adversaries can obtain user credentials. Some applications will store the user credentials in process memory (decrypted). If the application is vulnerable to a remote exploit, it can be possible for the adversary to dump the memory of the application process and locate these stored credentials. This was clearly illustrated in the Heartbleed exploit disclosed to the public in 2014.

Air Cracking: Air Cracking is specific to Wi-Fi networks and involves cracking programs that analyze wireless encrypted packets and extracting WEP or WPA/WPA2 PSK passwords (giving the adversary access to the Wi-Fi network).

Dark Web Purchase: Threat groups know how to monetize compromised credentials. Selling compromised credentials on the Dark Web occurs on a regular basis. Sites such as HaveIBeenPwned.com can assist users in determining if a particular password has been found to be compromised. Note: Users should ensure that the sites they are checking to see if their password has been compromised are actual legitimate sites and not a credential harvesting site!

You need a strong, unique password for EVERY account : r/memes

What is credential stuffing and why is it so effective?

Credential Stuffing is so successful because users tend to utilize the same, or very similar, passwords across all the systems and applications they access. This includes both personal and business accounts. Once an adversary harvests credentials from one site, they will try that password on other sites, and if that fails, they can utilize generative AI to predict potential variations of the password.

How to reduce the risk of credential stuffing?

Users can help reduce exposure of their credentials by creating passwords that meet complexity requirements but are also easy to remember. A good approach is to take a phrase and apply a substitution rule. For example, let’s take the start of Charles Dicken’s book A Tale of Two Cities and create a substitution rule for it:

It was the best of times, it was the worst of times  

Let’s shorten that to: Best of times Worst of times

Apply the following substitution rule: o = 0, i = 1, e = 3, spaces = @

Now my phrase becomes: B3st@0f@t1m3s@W0rst@0f@t1m3s

New Password - Imgflip

You now have a 28-character password that contains letters, a capital letter, number, and special character. Nobody is cracking that, and the phrase and substitution rule makes it much easier to remember (PS: 12-character passwords are also fine, taking ~34,000 years to crack using current technology).

Organizations can reduce exposure through implementation of two-factor authentication (2FA), so even if the passwords are compromised through the methods described above, another authentication layer stands in the way of the adversary.

Additionally, preventing phishing messages from landing in user’s inboxes (Email or collaborative solutions such as Microsoft Teams) is critical not only for reducing the potential exposure of user credentials, but also user’s opening malicious attachments or links. Generative AI tools such as ChatGPT have resulted in over an 135% increase in novel social engineering attacks.

How Darktrace protects against sophisticated credential phishing attempts

Malicious actors can exploit these leaked credentials to drastically lower the barrier to entry associated with brute-forcing access to their target networks. While implementing well-configured MFA and enforcing regular password changes can help protect organizations, these measures alone may not be enough to fully negate the advantage attackers gain with stolen credentials. 

In early 2024, one Darktrace customer was compromised by a malicious actor after their internal credentials had been leaked on the dark web. Subsequent attack phases were detected by Darktrace/Network and the customer was alerted to the suspicious activity via the Proactive Threat Notification (PTN) service, following an investigation by Darktrace’s Security Operation Center (SOC). 

Darktrace detected a device on the network of a customer in the US carrying out a string of anomalous activity indicative of network compromise. The device was observed using a new service account to authenticate to a Virtual Private Network (VPN) server, before proceeding to perform a range of suspicious activity including internal reconnaissance and lateral movement. 

Unfortunately for the customer in this case, Darktrace’s autonomous response was not enabled on the network at the time of the attack. Had it been active, it would have been able to autonomously act against the malicious activity by disabling users, strategically blocking suspicious connections and limiting devices to their expected patterns of activity. 

For the full in depth story with a step-by-step walk through of the attack visit our Inside the SOC blog post.

Conclusion

Head of security, and your password is "password"? | Scattered Quotes |  Funny marvel memes, Marvel funny, Marvel jokes

Adversaries have various methods available to compromise user and API credentials. There is no single silver bullet that will protect users and organizations, but rather, a layered approach that incorporates education, security controls such as 2FA, unsupervised AI to detect novel and sophisticated spear-phishing messages, as well as protection against exploits that give adversaries access to systems.  

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About the author
John Bradshaw
Sr. Director, Technical Marketing
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