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Social Engineering Attack

Crypto firms beware: Lazarus’ new malware can now bypass detection

The malware payload “LightlessCan" — used in fake job scams — is far more challenging to detect than its predecessor, warns cybersecurity researchers at ESET.

North Korean hacking collective Lazarus Group has been using a new type of “sophisticated” malware as part of its fake employment scams — which researchers warn is far more challenging to detect than its predecessor.

According to a Sept. 29 post from ESET’s senior malware researcher Peter Kálnai, while analyzing a recent fake job attack against a Spain-based aerospace firm, ESET researchers discovered a publicly undocumented backdoor named LightlessCan.

The Lazarus Group’s fake job scam typically involves tricking victims with a potential offer of employment at a well-known firm. The attackers would entice victims to download a malicious payload masqueraded as documents to do all sorts of damage.

However, Kálnai says the new LightlessCan payload is a “significant advancement” compared to its predecessor BlindingCan.

“LightlessCan mimics the functionalities of a wide range of native Windows commands, enabling discreet execution within the RAT itself instead of noisy console executions.”

“This approach offers a significant advantage in terms of stealthiness, both in evading real-time monitoring solutions like EDRs, and postmortem digital forensic tools,” he said.

The new payload also uses what the researcher calls “execution guardrails” — ensuring that the payload can only be decrypted on the intended victim’s machine, thereby avoiding unintended decryption by security researchers.

Kálnai said that one case that involved the new malware came from an attack on a Spanish aerospace firm when an employee received a message from a fake Meta recruiter named Steve Dawson in 2022.

Soon after, the hackers sent over the two simple coding challenges embedded with the malware. 

The initial contact by the attacker impersonating a recruiter from Meta. Source: WeLiveSecurity.

Cyberespionage was the main motivation behind Lazarus Group’s attack on the Spain-based aerospace firm, he added.

Related: 3 steps crypto investors can take to avoid hacks by the Lazarus Group

Since 2016, North Korean hackers have stolen an estimated $3.5 billion from cryptocurrency projects, according to a Sept. 14 report by blockchain forensics firm Chainalysis.

In September 2022, cybersecurity firm SentinelOne warned of a fake job scam on LinkedIn, offering potential victims a job at Crypto.com as part of a campaign dubbed “Operation Dream Job." 

Meanwhile, the United Nations has beetrying to curtail North Korea’s cybercrime tactics at the international level — as it is understood North Korea is using the stolen funds to support its nuclear missile program.

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Balancer blames ‘social engineering attack’ on DNS provider for website hijack

Blockchain security firms SlowMist and CertiK also believe the crypto wallet drainer Angel Drainer was involved in the estimated $238,000 exploit.

The team behind Balancer, an Ethereum-based automated market maker, believes a social engineering attack on its DNS service provider was what led to its website’s frontend being compromised on Sept. 19, leading to an estimated $238,000 in crypto stolen.

“After investigation, it is clear that this was a social engineering attack on EuroDNS, the domain registrar used for .fi TLDs,” the firm explained in a Sept. 20 X post.

Approximately 8 hours after the first warning of the attack, Balancer said its decentralized autonomous organization (DAO) was actively addressing the DNS attack and was working to recover the Balancer UI.

At 5:45 pm UTC on Sept. 20, Balancer said it was successful in securing the domain and bringing it back under the control of Balancer DAO. It also confirmed its subdomains “app.balancer.fi” and other “balancer.fi” are safe to use again.

However, it suggested any other projects using the same top-level domain should consider moving to a more secure registrar. 

EuroDNS is a Luxembourg-based domain name registrar and DNS service provider. Cointelegraph has reached out to EuroDNS for comment.

Angel Drainer involved

Blockchain security firms SlowMist and CertiK reported that the attacker employed Angel Drainer phishing contracts.

SlowMist said the exploiters attacked the Balancer’s website via Border Gateway Protocol hijacking — a process where hackers take control of IP addresses by corrupting internet routing tables.

The hackers then induced users to “approve” and transfer funds via the “transferFrom” function to the Balancer exploiter, it explained.

Related: Breaking: ‘All funds are at risk' — Steadefi exploited in ongoing attack

The hacker, whom SlowMist believes may be related to Russia, has already bridged some of the stolen Ether (ETH) to Bitcoin (BTC) addresses via THORChain before eventually being bridging the ETH back to Ethereum, blockchain security firm SlowMist explained on Sept. 20.

SlowMist stated in an earlier post that the hacker transferred about 15 wrapped-Ether (wETH.e) on the Avalanche blockchain.

Meanwhile, despite Balancer confirming its subdomains, balancer.fi to now be safe, visits to the website still shows “Deceptive site ahead” warning when attempting to access the Balancer’s website.

Balancer’s website as of Sept. 20 at 10:22 pm UTC. Source: Balancer.

Cointelegraph reached out to Balancer to confirm the amount of funds lost but did not receive an immediate response.

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