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August 18, 2020

Evil Corp's WastedLocker Ransomware Attacks Observation

Darktrace detects Evil Corp intrusions with WastedLocker ransomware. Learn how AI spotted malicious activity, from initial intrusion to data exfiltration.
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
Max Heinemeyer
Global Field CISO
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18
Aug 2020

Darktrace has recently observed several targeted intrusions associated with Evil Corp, an advanced cyber-criminal group recently in the headlines after a surge in WastedLocker ransomware cases. The group is believed to have targeted hundreds of organizations in over 40 countries, demanding ransoms of $500,000 to $1m to unlock computer files it seizes. US authorities are now offering a $5m reward for information leading to the arrest of the group’s leaders — understood to be the largest sum of money ever offered for a cyber-criminal.

Thanks to its self-learning nature, Darktrace's AI detected these intrusions without the use of any threat intelligence or static Indicators of Compromise (IoCs). This blog describes the techniques, tools and procedures used in multiple intrusions by Evil Corp – also known as TA505 or SectorJ04.

Key takeaways

  • The threat actor was reusing TTPs as well as infrastructure across multiple intrusions
  • Some infrastructure was only observed in individual intrusions
  • While most WastedLocker reports focus on the ransomware, Darktrace has observed Evil Corp conducting data exfiltration
  • The attacker used various ‘Living off the Land’ techniques for lateral movement
  • Data exfiltration and ransomware activity took place on weekends, likely to reduce response capabilities of IT teams
  • Although clearly an advanced actor, Evil Corp can be detected and stopped before encryption ensues

Evil Corp ransomware attack

Figure 1: The standard attack lifecycle observed in Evil Corp campaigns

Initial intrusion

While Evil Corp is technically sophisticated enough to choose from an array of initial intrusion methods, fake browser updates were the weapon of choice in the observed campaign. These were delivered from legitimate websites and used social engineering to convince users to download these malicious ‘updates’. Evil Corp has actually built a framework around this capability, referred to as SocGholish.

Establishing foothold / Command & Control Traffic

Darktrace detected different C2 domains being contacted after the initial infection. These domains overlap across various victims, showing that the attacker is reusing infrastructure within the same campaign. The C2 communication – comprised of thousands of connections over several days – took place over encrypted channels with valid SSL certificates. No single infected device ever beaconed to more than one C2 domain at a time.

Two example C2 domains are listed below with more details:

techgreeninc[.]com

SSL beacon details:

  • Median beacon period: 3 seconds
  • Range of periods: 1 seconds - 2.58 minutes
  • Data volume sent per connection on average: 921 Bytes

investimentosefinancas[.]com

SSL beacon details:

  • Median beacon period: 1.7 minutes
  • Range of periods: 1 seconds - 6.68 minutes
  • Data volume sent per connection on average: 935 Bytes

Certificate information:

  • Subject: CN=investimentosefinancas.com
  • Issuer: CN=Thawte RSA CA 2018,OU=www.digicert.com,O=DigiCert Inc,C=US
  • Validation status: OK

Note in particular the median beacon period, which indicates that some C2 channels were much more hands-on, whilst others possibly acted as backup channels in case the main C2 was burned or detected. It’s also interesting to see the low amount of data being transferred to the hands-on C2 domains. The actual data exfiltration took place to yet another C2 destination, intentionally separated from the hands-on intrusion C2s. All observed C2 websites were recently registered with Russian providers and are not responsive (see below).

Figure 2: The unresponsive C2 domain

Registrar: reg.ru

Created: 2020-06-29 (6 weeks ago) | Updated: 2020-07-07 (5 weeks ago)

Figure 3: Some key information relating to the C2 domain

Darktrace’s Cyber AI Platform detected this Command & Control activity via various behavioral indicators, including unusual beaconing and unusual usage of TLS (JA3).

Internal reconnaissance

In some cases, Darktrace witnessed several days of inactivity between establishing C2 and internal reconnaissance. The attackers used Advanced Port Scanner, a common IT tool, in a clear attempt to blend in with regular network activity. Several hundred IPs and dozens of popular ports were scanned at once, with tens of thousands of connections made in a short period of time.

Some key ports scanned were: 21, 22, 23, 80, 135, 139, 389, 443, 445, 1433, 3128, 3306, 3389, 4444, 4899, 5985, 5986, 8080. Darktrace detected this anomalous behavior easily as the infected devices don’t usually scan the network.

Lateral movement

Different methods of lateral movement were observed across intrusions, but also within the same intrusion, with WMI used to move between devices. Darktrace detected this by identifying when WMI usage was unusual or new for a device. An example of the lateral movement is shown below, with Darktrace detecting this as ‘New Activity’.

Figure 4: The model breach event log

PsExec was used where it already existed in the environment and Darktrace also witnessed SMB drive writes to hidden shares to copy malware, e.g.

C$ file=Programdata\[REDACTED]4rgsfdbf[REDACTED]

A malicious Powershell file was downloaded – partly shown in the screenshot below.

Figure 5: The malicious Powershell file

Accomplish mission – Data exfiltration or ransomware deployment

Evil Corp is currently best known for its WastedLocker ransomware. Whilst some of its recent intrusions have seen ransomware deployments, others have been classic cases of data exfiltration. Darktrace has not yet observed a double-threat – a case of exfiltration followed by ransomware.

The data exfiltration took place over HTTP to generic .php endpoints under the attacker’s control.

How Cyber AI Analyst reported on WastedLocker

When the first signs of anomalous activity were picked up by Darktrace’s Enterprise Immune System, Cyber AI Analyst automatically launched a full investigation and quickly provided a full overview of the overall incident. The AI Analyst continued to add more details to the ongoing incident as it evolved. There were a total of six AI Analyst incidents for the week spanning an example Evil Corp intrusion – and two of them directly covered the Evil Corp attack. In stitching together disparate security events and presenting a single narrative, Cyber AI Analyst did all the heavy lifting for human security staff, who could look at just a handful of fully-investigated incidents, instead of having to triage countless individual model breaches.

Figure 6: Cyber AI Analyst’s overview of the incident

Note how AI Analyst covers five phases of the attack lifecycle in a single incident report:

  1. Unusual Repeated Connections – Initial C2
  2. Possible HTTP Command & Control Traffic – Further C2
  3. Possible SSL Command & Control Traffic – Further C2
  4. Scanning of Multiple Devices – Internal reconnaissance with Advanced IP Scanner
  5. SMB Writes of Suspicious Files – Lateral Movement

Evil Corp rising

Every indicator suggests that this was not a case of indiscriminate ransomware, but rather highly sophisticated and targeted attacks by an advanced threat actor. With the ultimate goal of ransoming operations, the attacker moved towards the crown jewels of the organization: file servers and databases.

The organizations involved in the above analysis did not have Darktrace Antigena – Darktrace’s Autonomous Response technology – in active mode, and the threat was therefore allowed to escalate beyond its initial stages. With Antigena in full operation, the activity would have been contained at its early stages with a precise and surgical response which would have stopped the malicious behavior whilst allowing the business to operate as normal.

Despite the targeted and advanced nature of the threat, security teams are perfectly capable of detecting, investigating, and stopping the threat with Cyber AI. Darktrace was able to not only detect WastedLocker ransomware based on a series of anomalies in network traffic, but also stitch together those anomalies and investigate the incident in real time, presenting an actionable summary of the different attack stages without flooding the security team with meaningless alerts.

Learn more about Autonomous Response

Network IoCs:

IoCCommenttechgreeninc[.]comC2 domaininvestimentosefinancas[.]comC2 domain

Selected associated Darktrace model breaches:

  • Compromise / Beaconing Activity To External Rare
  • Compromise / Agent Beacon (Medium Period)
  • Compromise / Slow Beaconing Activity To External Rare
  • Compromise / Suspicious Beaconing Behaviour
  • Device / New or Unusual Remote Command Execution
  • Compromise / Beaconing Activity To External Rare
  • Compromise / Agent Beacon (Medium Period)
  • Compromise / Slow Beaconing Activity To External Rare
  • Device / New User Agent
  • Unusual Activity / Unusual Internal Connections
  • Device / Suspicious Network Scan Activity
  • Device / Network Scan
  • Device / Network Scan - Low Anomaly Score
  • Device / ICMP Address Scan
  • Anomalous Server Activity / Anomalous External Activity from Critical Network Device
  • Compromise / SSL Beaconing to Rare Destination
  • Anomalous Connection / SMB Enumeration
  • Compliance / SMB Drive Write
  • Anomalous File / Internal / Unusual SMB Script Write

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
Max Heinemeyer
Global Field CISO

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July 6, 2026

NIST Just Proved It: AI Security Can’t Be Solved With Rules

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Static AI guardrails are inherently limited

As organizations adopt generative AI, many still assume that the right set of guardrails will be enough. The problem is you can’t anticipate every way these systems might be misused, abused or attacked. What NIST has done is put a mathematical foundation under that intuition.

In recent research building on Gödel’s incompleteness theorems, which showed that any system built on a fixed set of rules will always have gaps, NIST demonstrates that there is no finite set of guardrails that can be universally robust against adversarial prompts. In plain terms, if your defense is based on a fixed set of rules, there will always be inputs that bypass them. Not because the rules are badly written, but because the problem space is bigger than static rules can ever cover.

This is not new in cybersecurity - detection rules have always had to live with this trade-off. What is different with GenAI is the scale and shape of that problem. These systems are built on human language, and human language is not bounded. It is fluid, contextual and deliberately ambiguous. The number of ways intent can be hidden is effectively limitless. You are not defending against a defined protocol or a fixed exploit chain. You are defending against the entire expressive capacity of people.

So attempting to create a complete set of rules is the wrong starting point. It assumes the problem can be deterministically described. NIST’s work shows that it cannot. Organizations still need a way to manage AI risk, but the traditional approach of defining allowed and disallowed patterns is always going to lag behind what is actually happening. The same input can be benign in one context and risky in another, and static rules struggle to capture that distinction.

The question then is what fills that gap?

AI security must shift from rules to behavior

What's required is a shift in what you are trying to understand. Rules try to describe what should and shouldn't happen. Behavior shows you what is happening. Or to put it another way, if inputs are unbounded and adversaries adapt, the only stable signal is behavior.

In a GenAI context, that means analyzing how an AI model is being used, how prompts evolve over time, how outputs are shaped, and where AI agent interactions start to drift from what is expected. It means moving from static definitions of bad to a more dynamic understanding of intent.

Instead of trying to predict every bad prompt, you focus on identifying when behavior starts to move outside expected norms. Instead of asking whether a single input matches a rule, you ask whether the overall pattern of activity makes sense for the system and how it’s being used.

Guardrails remain important but they are only one layer

This does not eliminate the need for guardrails. They still play a role. But they will never address the entire problem space and are simply one part of your defense in depth approach.

NIST’s proof is useful because it makes this explicit. It removes the assumption that with enough effort, a complete rule set is achievable. It isn’t.

Once you accept that, the shift becomes unavoidable. This is no longer a problem of writing better rules, but of understanding behavior in a space where the possible inputs are effectively unbounded.

For security leaders, that changes the nature of the problem. It is less about defining what should be allowed, and more about recognizing when something is no longer consistent with expected behavior.

That does not remove the need for guardrails, but it does change their role. They set boundaries, but they do not define understanding. The gap between the two is where risk now sits.

In the end, this is what “can’t be solved with rules” really means. Rules will always leave gaps, and those gaps are not theoretical. They show up in how systems actually behave Not what we expect them to do, or what we intended them to do, but what they are doing in practice. That is where the signal is, and increasingly, that is where the security problem sits.

References:

https://www.nist.gov/news-events/news/2026/06/nist-mathematical-proof-supports-transition-continuous-monitor-and-update

https://ieeexplore.ieee.org/document/11475847

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About the author
Andrew Hollister
Principal Solutions Engineer, Cyber Technician

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July 1, 2026

5 Ways AI is changing traditional security models according to modern CISOs

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The Reality of Securing AI in Motion

Traditional security tools were built for environments defined by fixed rules and predictable workflows. But AI behavior is non-deterministic. The same prompt can produce different outcomes, and risk often emerges gradually as AI behavior adapts, and permissions drift over time. This creates a constantly shifting environment where security teams are working to define control in a system that resists stability. “In AI security, yesterday's priorities can become tomorrow's blind spots. The landscape shifts that fast,” warned the SVP and Head of Technology and Cybersecurity of a real estate investment trust. Conventional approaches, which rely on establishing and maintaining a steady baseline, struggle to keep up with that level of change.

At the same time, AI adoption is accelerating across organizations, often faster than security teams can implement the controls needed to manage it. “The car is being built while it’s already on the road,” explained the CISO of a global private fund administrator. “The threats we're securing against today won't be the threats we're facing tomorrow. What kept us up three months ago looks nothing like what we're dealing with today.”

As businesses move quickly to unlock value from AI, security teams are left closing gaps in real time, while also facing adversaries who are using AI to make their attacks more scalable, adaptive, and difficult to detect. In this recent roundtable discussion of CISOs and security leaders, five themes emerged around AI cyber risk.  

1. AI agents with human access but no human judgment

In Darktrace’s 2026 State of AI Cybersecurity report, 96% of the surveyed security professionals agree that AI significantly improves the speed and efficiency with which they work. Yet, 92% admitted that they’re concerned with the security implications of the use of AI agents across their workforce.

AI agents now operate with human-level permissions across systems, acting at machine speed, orchestrating actions across platforms, and making decisions without the judgment or caution a person would apply. Unlike human users, they cannot be expected to pause and question whether a given action is appropriate.

Their identities are also difficult to inventory, govern, and audit. As agents become easier to deploy than legacy IT systems ever were, organizations are quickly losing track of what is running, what it has access to, and what it is doing. This creates a growing class of highly privileged, autonomous actors operating without the visibility or oversight that traditional identity and access controls were designed to provide.“While AI adoption is critical to running a modern business, AI alone can’t solve all our cybersecurity challenges,” said a global financial sector CISO. “We still need think critically and use human judgement. Those are two things AI can’t do.”

This lack of human judgment becomes especially risky as new architectures, such as Model Context Protocol (MCP), can expand how agents connect to data, tools, and external systems. By design, MCP enables agents to dynamically discover and interact with new resources, increasing flexibility but also introducing new pathways for unintended access, data exposure, or abuse if not properly governed.

The CISO of a fund administrator highlighted one emerging vector as an example: rogue MCP servers. “Our developers want to move quickly and bring value to the business, but technologies like these can unintentionally expose sensitive data in ways that would never have happened before.”

2. Increased digital complexity and expanded attack surface

AI activity rarely stays contained. A single prompt can trigger a chain of actions across networks, email, cloud infrastructure, SaaS platforms, endpoints, identity systems, and development environments, spanning systems that were never designed to be secured as a single, connected flow. This expands both the scale and complexity of what security teams need to monitor and defend.

Yet no single control has visibility across that entire chain. “You can’t defend effectively what you can’t see,” cautioned the private fund administrator CISO. As AI-driven activity moves fluidly across environments, gaps in coverage become inevitable, creating blind spots that attackers can exploit.

Threat actors are already capitalizing on this lack of visibility. “Threat actors have advanced their use of generative AI to launch more convincing phishing campaigns, automate social engineering, and scale attacks with greater precision down to the individual level,” said the SVP of Technology and Cybersecurity for the real estate investment trust. What was once manual and targeted can now be automated and personalized at scale, making attacks harder to detect and easier to execute.

At the same time, the pace of exploitation is accelerating. As a global CISO operating across 40+ countries described it: “Zero-day vulnerabilities are no longer zero day; it’s minus one day. By the time you get to it and address it, it’s already a problem.” By the time risk is identified, it has often already been realized.

The result is a rapidly expanding and increasingly interconnected attack surface that challenges security teams to maintain visibility, context, and control across AI-driven activity.

3. Shadow AI is already everywhere

76% of organizations now cite shadow AI as a problem, one that is spreading through organizations in ways that are hard to track and even harder to control.

Employees are experimenting with publicly available Gen AI tools. Teams are spinning up low-code automations on their own. SaaS providers are quietly embedding AI into existing products. Developers are plugging AI services directly into workflows, often without pausing to consider what that exposure means.

The result is a lack of visibility into:

  • What AI tools are being used
  • What data those tools can access
  • Where prompts and outputs are going
  • Which AI agents are interacting with enterprise systems

The SVP of Cybersecurity at a real estate investment trust described the shift: “Before, I was worried about someone sending data erroneously to their personal email. Now we have all these agents online that people are utilizing, and we’re looking at those vectors as well.” For security teams, this means operating without a complete view of how AI is being used, what it can access, and where risk may already be emerging.

4. Built-in guardrails are not enough

Organizations often assume that native AI guardrails or provider-level controls are sufficient to manage AI risk. But securing AI requires ongoing visibility, oversight, and governance, not just controls configured at deployment. "It’s a misconception that adopting AI is going to solve all your problems,” warns a global financial services CISO.

Security leaders are increasingly recognizing the limitations of these controls as:

  • Fragmented and difficult to enforce consistently across multiple AI systems, workflows, and environments
  • Ambiguous in terms of accountability due to shared responsibility for AI governance between IT, security, developers, business teams, and third-party providers
  • Limited in end-to-end oversight, leaving gaps that stretch from the initial prompt all the way through to the downstream impact of an agent's actions

Securing AI demands more than simple prompt filtering or static policy enforcement. It requires understanding intent, behavior, and context across both human and AI activity.

The next phase of cybersecurity: securing AI

To safely and responsibly adopt AI at scale, organizations need a new operational model for cybersecurity that’s capable of:

• Understanding AI behavior

• Identifying risk in real time

• Maintaining governance without slowing innovation

The CSO of a $10 billion municipal utility organization described the challenge with precision: “We have to move at the speed of innovation and risk, because both are accelerating faster than ever.”

Embrace AI with confidence with Darktrace / SECURE AI

Darktrace has introduced Darktrace / SECURE AI™, a new product within the Darktrace ActiveAI Security Platform™  ,designed to provide enterprise-wide security for AI by applying industry leading behavioral analysis to how prompts, agents, and AI systems are used.

Darktrace / SECURE AITM delivers real-time visibility and control across Enterprise and SaaS GenAI prompts, AI agent identities, development and production environments, and Shadow AI - detecting even subtle misuse, misconfiguration, and drift that traditional, rule-based controls simply do not understand. By interpreting context and intent across humans and machines, Darktrace enables organizations to adopt AI at scale without introducing unmanaged risk

What makes this possible is Darktrace’s decade-long maturity and expertise in behavioral understanding and AI-native cybersecurity. Achieved with Self-Learning AI that has been proven across more than 10,000 organizations, Darktrace understands what “normal” looks like for a business, across its users, systems, and now AI, so that meaningful deviations can be detected and acted on before they become incidents.

With one CISO describing Darktrace’s Self-Learning AI as “a leap forward compared to other tools” and another as a “force multiplier,” the technology can interpret ambiguous interactions, understand how access accumulates over time, and recognize when behavior, human or machine, begins to drift.

“Strategically, we’re looking to gain more visibility into how AI is operating across the environment and achieve greater control over what AI should be allowed to access and do,” shared the CISO at a private fund administrator.  

“What I’ve seen from Darktrace / SECURE AI is extremely promising. I have tremendous confidence in Darktrace’s vision for where this is headed and its ability to execute on this new solution.”

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