The Growing Threat of Ransomware – Major Lessons learned in 2024

What is Ransomware?

The term ransomware describes malicious software that encrypts files on a computer system or prevents access until a ransom is paid. A ransom is demanded by the attacker to restore access. The victim loses the data if they don’t pay the ransom within the allotted period. The two types of ransomware are Locker Ransomware, which prevents users from accessing files or applications and locks them out of the operating system, and Crypto Ransomware, which encrypts files on a network or computer so that users cannot access them without a description key.

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Examples of Ransomware

1. WannaCry: One of the most significant known attacks happened in 2017, impacting over 200,000 machines across more than 150 nations. The victims were warned that if the ransom demands were not fulfilled, their data would be permanently encrypted.
2. Hive: It is known as an affiliate-based Ransomware-as-a-Service (RaaS) platform, where victims received plain-text ransom letters threatening to publish their data on the “HiveLeaks” TOR website unless the ransom was paid. Initially, this platform used pass-the-hash to take over systems and backdoor web scripts to maintain constant access when it first appeared in 2021.
3. MedusaLocker: This attack was first discovered in 2019 and propagated due to a remote desktop protocol (RDP) vulnerability. In this scenario, the developers and affiliates split the ransom money.
4. NetWalker: Operating since 2019, NetWalker is a highly advanced ransomware version that uses a twofold extortion technique. Before threatening to release the compromised data if the ransom is not paid, it encrypts the victim’s files. With the switch to a Ransomware-as-a-Service (RaaS) model in March 2020, NetWalker greatly increased its reach by enabling affiliates to use the ransomware in return for a portion of the payment.

Industry-Specific Ransomware Statistics

1. Healthcare Sector: The impact of ransomware attacks on the healthcare industry is usually higher than that of attacks in other sectors. Highly sensitive data and millions of people’s personal information are kept in the healthcare industry. Because of antiquated systems and the ethical need to protect patients’ lives, cybercriminals find it simpler to target patients. Ransomware attacks are more common among healthcare institutions than other types of businesses. The healthcare industry has the second-highest attack rate globally (59%), after government organizations (68%). On August 28, 2024, a ransomware attack targeted the Montana branch of Planned Parenthood (USA), one of the most recent strikes in the healthcare industry. If the ransom was not paid, the attackers threatened to divulge private patient data, engaging in double extortion.
2. Financial Institutions: 65% of the financial institution’s companies were reportedly the target of ransomware in 2024. The organization’s backups were attempted to be compromised in nine out of ten of these attempts. These attacks had one of the lowest encryption rates of any industry sector, with just under half of them successfully encrypting data.
3. Educational Institution: As per the Data Breach Investigations Report, the number of incidents in the educational services industry was more than three times higher than the previous year. In 2024, attacks on public schools and institutions have significantly increased. Approximately six times as much data was exfiltrated in the same period, resulting in a substantially greater amount of material being exposed in attacks against educational institutions. The September 18, 2024, ransomware attack affected the Fylde Coast Academy Trust, among other organizations.For the school to recover its data, hackers had to encrypt files and then demand a ransom. The majority of the IT systems in many schools were shut down as a result of this attack.
4. Public Sector Agencies: The least number of attacks (34%) were reported by state and local government bodies. Nonetheless, 98% of the attacks had this result, indicating a fairly high degree of data encryption. Public safety and even national security may be negatively impacted by disruptions in this industry. This would highlight how unprepared public sector organizations are for contemporary ransomware attacks, and cybercriminals would target these unprepared businesses going forward. A ransomware attack on August 9, 2024, locked down the city’s systems and data at North Miami City Hall (USA). The city administration continued to operate normally even after the hackers had encrypted the data.
5. Energy Sector: A vital industry that contributes significantly to the nation’s overall infrastructure is the energy sector. This makes it a high-value target for extortion attackers hoping to take down these vital services in exchange for a sizable payment. Air-e (Brazil), a Brazilian energy supplier, was among the victims of a ransomware attack that compromised its electrical distribution systems on September 2, 2024. The company was forced to pay a ransom to the ransomware gang to decrypt their computers. Consequently, thousands of consumers’ energy distribution was impacted by this attack, resulting in delays and power outages
6. Manufacturing: Technology and digital systems are becoming more and more important to the manufacturing sector’s business-critical processes. Manufacturing sensors, IoT devices, and industrial control systems all depend on data-driven procedures. Many of these devices are frequently vulnerable, and some may even have hardware and software that is outdated and readily exploited. These extremely important environments may be compromised by attackers due to a lack of network segmentation and other considerations. A ransomware attack was launched against Microchip Technology business, a significant semiconductor business located in Arizona, on August 27, 2024. The production and design systems of the company were encrypted by the ransomware group. Development work and supply chain operations were delayed as a result of the attack. It was a hefty ransom demand. Despite efforts to restore its data, the disruptions caused large financial losses.

Best Practices To Prevent Ransomware Attacks

Over time, ransomware has changed from relatively simple attacks that target individual users to more complex threats that might knock down entire enterprises. Such attacks have the potential to cause catastrophic consequences, including monetary losses, disruptions to operations, and harm to one’s reputation. Because of the ongoing threat landscape, ransomware continues to be one of the biggest cybersecurity problems. To improve their security posture, numerous firms learned important lessons from this.

1. Implement Strong Access Controls: One of the most crucial things to remember when learning the principles of lease privilege (PoLP) is to make sure that employees have the access they need to carry out their duties. This “least privilege” concept restricts access to vital information. By doing this, you can stop ransomware from propagating among a company’s systems. As stated in a role-based access control (RBAC) policy, users may experience restricted functions or resources even with access. Access to vital and sensitive data and systems should be restricted. Multi-factor authentication (MFA) or at least two-factor (2FA) is typically required for verification to block access to target data in the case of a breach. By implementing multi-factor authentication (MFA), an additional layer of protection can be added.
2. Regularly Backup Data: One of the simplest methods to reduce hazards is to back up your information. Organizations should ideally be backing up their data. Ensuring that backups are created often and stored securely offshore. Regular testing of the backup and recovery process will ensure that the data can be quickly restored in the event of an attack. Maintaining regular data backups can help mitigate the effects of ransomware attacks. Backup usage has been steadily declining, but since it is a crucial recovery technique, every company should follow this lesson.
3. Enhance Email Security: According to the ransomware report, phishing remains the primary method by which malware infiltrates networks. To keep ahead of the competition, use state-of-the-art email security systems that can recognize and thwart phishing efforts. Employee awareness of social engineering and phishing attempts should be raised through regular training sessions. There are further ways to prevent ransomware by adhering to procedures, such as using the email authentication mechanism to identify particular email servers from which outbound messages can be sent. Avoid using outdated technology since it would make it easier for fraudsters to exploit security flaws.
4. Security Audits and Penetration Testing: One lesson learned with the increase in cyber threats was the importance of conducting penetration tests and security audits to assist the organization adjust and react appropriately. Organizations can handle the new risks and put the required safeguards in place by routinely evaluating their defenses. Penetration testing and security audits are crucial components of the continuous process. The company learns about its security flaws, complies, makes data-driven choices, and safeguards confidential data. By taking these steps, companies can improve their overall resilience and stay ahead of emerging threats.
5. Endpoint Security: Endpoint security is the process of protecting devices like laptops, desktop computers, tablets, and smartphones from attacks. Whether the organization is large or small, looking for endpoint protection platforms or endpoint detection and response for all network users will be one of the lessons for ransomware attacks. These technologies allow system administrators to monitor and manage security for each remote device.
6. Security Awareness Training: The most frequent entry point for cyberattacks is end users and employees, so security awareness training is among the most crucial programs a business can offer. Users who are unprepared and unaware can be readily exploited by phishing and social engineering techniques. Basic knowledge of cybersecurity can significantly impact and even stop attacks before they start. Here are some fundamental security training techniques to implement-
   Safe web browsing, Making secure and robust passwords, Safe VPN use (no public Wi-Fi), Identification of dubious emails or attachments

How does Lepide help?

The rise in ransomware attacks should serve as a warning to all companies worldwide. By understanding how cyberattacks are structured and implementing robust security measures, organizations may improve their defenses against cyber threats. By combining data security and identification into one user-friendly solution,

As ransomware offers an increasing danger to organizational data security, the Lepide Data Security Platform provides a solution geared to minimize these risks efficiently. Our all-inclusive Ransomware Protection Solution enables companies to quickly identify and stop ransomware attacks through real-time monitoring, enhanced threat detection, and rapid response capabilities. Lepide strengthens resistance against ransomware attacks by combining identity and data protection into a single solution, protecting vital resources and reducing downtime. Lepide enables enterprises to proactively defend against ransomware, preserve business continuity, and preserve stakeholder trust, enabling them to confidently traverse the always-changing threat landscape.

Schedule a demo with one of our engineers today to see how you can make efficient, effective, unstructured data protection a reality.