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May 31, 2021

Exploiting Compliance: Ransomware Gang Tactics

Understand the methods ransomware gangs use to exploit security compliance and how Darktrace's AI can mitigate these threats.
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
Mariana Pereira
VP, Field CISO
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31
May 2021

Compliance regulations like CCPA and GDPR are created with good intentions. They aim to secure user data, ensure privacy, and build trust between the companies and consumers. However, these regulations have become a double-edged sword for many organizations.

One reason for this is the rise of double extortion ransomware, where data is exfiltrated before files are encrypted. In this scenario, threat actors threaten to release sensitive company information online if the ransom is not paid. Companies can face hefty fines if they fail to comply with regulation, and thus they are pressured into paying the ransom just to keep the breach quiet.

Consequences of non-compliance

Today’s businesses face a range of demanding privacy regulations that are frequently being updated. This includes General Data Protection Regulation, or GDPR, the California Consumer Privacy Act, or CCPA, and regulations from the New York State Department Of Financial Services, or NYDFS.

With the shift to remote and dynamic working, and the ever-increasing complexity of business operations, there has been great pressure for companies to upgrade infrastructure and ensure that they are meeting all regulations.

Non-compliance can lead to significant financial penalties and drawn-out legal actions. If organizations fail to protect their data, the fees can be disastrous. GDPR can fine companies up to €20 million, or 4% of a company’s annual global turnover. For example, since 2017, Google has been fined a combined total of $9.5 billion by EU regulators.

Weaponization of compliance

Ultimately, compliance serves the important purpose of giving citizens more control and rights over their data. However, cyber-criminals have realized that they can use the threat of non-compliance as a pressure point against organizations. Stolen data, if released to the public, can lead to huge regulatory fines.

We have seen this phenomenon in double extortion ransomware attacks, where threat actors steal sensitive data before they encrypt the files. Moreover, several ransomware actors, such as the Babuk gang, now have begun to forsake encryption in favor of extortion. This is because threat actors realize that exfiltration is more effective when many organizations continually back up files as a precaution against the threat of ransomware locking down files.

Ransomware actors often auction intellectual property, customer data, and company secrets on the Dark Web. The Maze ransomware group established this trend back when it created a website in late 2019 to publicly ‘name and shame’ organizations that had been compromised. These attacks included theft of information such as stolen PDF files, in addition to IP addresses and device names which were then uploaded and made publicly available on its website.

Over 70% of ransomware attacks now involve exfiltration.

The tactic was made infamous by the cyber-criminal group REvil, who publicly announced their intentions on a Russian hacker forum in December 2019:

“Each attack is accompanied by a copy of commercial information. In case of refusal of payment, the data will either be sold to competitors or laid out in open sources. GDPR. Do not want to pay us – pay x10 more to the government. No problems.”

In these cases, threat actors are essentially saying, ‘if you pay us this small ransom, we will keep your data safe. If you don’t pay us, we have the power to release your data, and then you can take your chances with a huge compliance fine.’

Organizations may prefer to negotiate with cyber-criminals and keep the breach – or threat of breach – quiet. This is what the ransomware attackers are banking on.

How AI can help: Stopping ransomware and strengthening compliance

Compliance fines are not cheap. It took over three years of legal proceedings for Equifax to settle their 2017 data breach. They finally settled with paying $700 million to regulators, including the Federal Trade Commission and the Consumer Financial Protection Bureau (CFPB). Home Depot and Uber have also famously faced financial penalties of hundreds of millions of dollars.

These regulatory fines are compounding the potential consequences of ransomware. The continued ability of attackers to adapt and find new weaknesses means that it is crucial for companies to identify and contain ransomware in its earliest stages, with machine speed and precision.

Darktrace’s AI has achieved this repeatedly, such as when a WastedLocker intrusion was stopped before the ransomware was deployed. By constantly evolving its understanding of the organization, Cyber AI detects and automatically investigates all unusual activity across the enterprise and can respond autonomously in real time to stop threats in their tracks.

Figure 1: Darktrace’s customizable CCPA tags allow for specialized alerting on activity related to personal data as defined by CCPA

Furthermore, Darktrace’s technology can be used to action specific types of alerts based on different compliance threat models. For instance, businesses seeking to ensure compliance with CCPA requirements can use a specific ‘CCPA Tag’ for certain devices which have, or are likely to have, consumer data subject to the CCPA. When relevant data from the tagged devices leaves the environment or is involved in any abnormal activity, Darktrace’s AI detects this immediately and automatically launches an investigation into the incident.

With a proven ability to protect against machine-speed threats, and the ability to strengthen compliance with customizable alerts, the Darktrace Immune System platform provides a powerful defense against double extortion ransomware.

Under pressure

Compliance is just one of the many strategic concerns facing ransomware victims. In addition to customer trust, valuable IP, and long-term reputation, attackers and defenders are in a constant ‘cat and mouse’ game, such that threat actors will continue to seek out new pressure points to extort their targets.

Figure 2: Current varieties of double extortion ransomware

Organizations accordingly will benefit from using sophisticated technologies that neutralize ransomware before it has encrypted or exfiltrated files, stopping advanced threats in their earliest stages.

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
Mariana Pereira
VP, Field CISO

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April 21, 2026

How a Compromised eScan Update Enabled Multi‑Stage Malware and Blockchain C2

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The Rise of supply chain attacks

In recent years, the abuse of trusted software has become increasingly common, with supply chain compromises emerging as one of the fastest growing vectors for cyber intrusions. As highlighted in Darktrace’s Annual Threat Report 2026, attackers and state-actors continue to find significant value in gaining access to networks through compromised trusted links, third-party tools, or legitimate software. In January 2026, a supply chain compromise affecting MicroWorld Technologies’ eScan antivirus product was reported, with malicious updates distributed to customers through the legitimate update infrastructure. This, in turn, resulted in a multi‑stage loader malware being deployed on compromised devices [1][2].

An overview of eScan exploitation

According to eScan’s official threat advisory, unauthorized access to a regional update server resulted in an “incorrect file placed in the update distribution path” [3]. Customers associated with the affected update servers who downloaded the update during a two-hour window on January 20 were impacted, with affected Windows devices subsequently have experiencing various errors related to update functions and notifications [3].

While eScan did not specify which regional update servers were affected by the malicious update, all impacted Darktrace customer environments were located in the Europe, Middle East, and Africa (EMEA) region.

External research reported that a malicious 32-bit executable file , “Reload.exe”, was first installed on affected devices, which then dropped the 64-bit downloader, “CONSCTLX.exe”. This downloader establishes persistence by creating scheduled tasks such as “CorelDefrag”, which are responsible for executing PowerShell scripts. Subsequently, it evades detection by tampering with the Windows HOSTS file and eScan registry to prevent future remote updates intended for remediation. Additional payloads are then downloaded from its command-and-control (C2) server [1].

Darktrace’s Coverage of eScan Exploitation

Initial Access and Blockchain as multi-distributed C2 Infrastructure

On January 20, the same day as the aforementioned two‑hour exploit window, Darktrace observed multiple devices across affected networks downloading .dlz package files from eScan update servers, followed by connections to an anomalous endpoint, vhs.delrosal[.]net, which belongs to the attackers’ C2 infrastructure.

The endpoint contained a self‑signed SSL certificate with the string “O=Internet Widgits Pty Ltd, ST=SomeState, C=AU”, a default placeholder commonly used in SSL/TLS certificates for testing and development environments, as well as in malicious C2 infrastructure [4].

Utilizing a multi‑distributed C2 infrastructure, the attackers also leveraged domains linked with the Solana open‑source blockchain for C2 purposes, namely “.sol”. These domains were human‑readable names that act as aliases for cryptocurrency wallet addresses. As browsers do not natively resolve .sol domains, the Solana Naming System (formerly known as Bonfida, an independent contributor within the Solana ecosystem) provides a proxy service, through endpoints such as sol-domain[.]org, to enable browser access.

Darktrace observed devices connecting to blackice.sol-domain[.]org, indicating that attackers were likely using this proxy to reach a .sol domain for C2 activity. Given this behavior, it is likely that the attackers leveraged .sol domains as a dead drop resolver, a C2 technique in which threat actors host information on a public and legitimate service, such as a blockchain. Additional proxy resolver endpoints, such as sns-resolver.bonfida.workers[.]dev, were also observed.

Solana transactions are transparent, allowing all activity to be viewed publicly. When Darktrace analysts examined the transactions associated with blackice[.]sol, they observed that the earliest records dated November 7, 2025, which coincides with the creation date of the known C2 endpoint vhs[.]delrosal[.]net as shown in WHOIS Lookup information [4][5].

WHOIS Look records of the C2 endpoint vhs[.]delrosal[.]net.
Figure 1: WHOIS Look records of the C2 endpoint vhs[.]delrosal[.]net.
 Earliest observed transaction record for blackice[.]sol on public ledgers.
Figure 2: Earliest observed transaction record for blackice[.]sol on public ledgers.

Subsequent instructions found within the transactions contained strings such as “CNAME= vhs[.]delrosal[.]net”, indicating attempts to direct the device toward the malicious endpoint. A more recent transaction recorded on January 28 included strings such as “hxxps://96.9.125[.]243/i;code=302”, suggesting an effort to change C2 endpoints. Darktrace observed multiple alerts triggered for these endpoints across affected devices.

Similar blockchain‑related endpoints, such as “tumama.hns[.]to”, were also observed in C2 activities. The hns[.]to service allows web browsers to access websites registered on Handshake, a decentralized blockchain‑based framework designed to replace centralized authorities and domain registries for top‑level domains. This shift toward decentralized, blockchain‑based infrastructure likely reflects increased efforts by attackers to evade detection.

In outgoing connections to these malicious endpoints across affected networks, Darktrace / NETWORK recognized that the activity was 100% rare and anomalous for both the devices and the wider networks, likely indicative of malicious beaconing, regardless of the underlying trusted infrastructure. In addition to generating multiple model alerts to capture this malicious activity across affected networks, Darktrace’s Cyber AI Analyst was able to compile these separate events into broader incidents that summarized the entire attack chain, allowing customers’ security teams to investigate and remediate more efficiently. Moreover, in customer environments where Darktrace’s Autonomous Response capability was enabled, Darktrace took swift action to contain the attack by blocking beaconing connections to the malicious endpoints, even when those endpoints were associated with seemingly trustworthy services.

Conclusion

Attacks targeting trusted relationships continue to be a popular strategy among threat actors. Activities linked to trusted or widely deployed software are often unintentionally whitelisted by existing security solutions and gateways. Darktrace observed multiple devices becoming impacted within a very short period, likely because tools such as antivirus software are typically mass‑deployed across numerous endpoints. As a result, a single compromised delivery mechanism can greatly expand the attack surface.

Attackers are also becoming increasingly creative in developing resilient C2 infrastructure and exploiting legitimate services to evade detection. Defenders are therefore encouraged to closely monitor anomalous connections and file downloads. Darktrace’s ability to detect unusual activity amidst ever‑changing tactics and indicators of compromise (IoCs) helps organizations maintain a proactive and resilient defense posture against emerging threats.

Credit to Joanna Ng (Associate Principal Cybersecurity Analyst) and Min Kim (Associate Principal Cybersecurity Analyst) and Tara Gould (Malware Researcher Lead)

Edited by Ryan Traill (Content Manager)

Appendices

Darktrace Model Detections

  • Anomalous File::Zip or Gzip from Rare External Location
  • Anomalous Connection / Suspicious Self-Signed SSL
  • Anomalous Connection / Rare External SSL Self-Signed
  • Anomalous Connection / Suspicious Expired SSL
  • Anomalous Server Activity / Anomalous External Activity from Critical Network Device

List of Indicators of Compromise (IoCs)

  • vhs[.]delrosal[.]net – C2 server
  • tumama[.]hns[.]to – C2 server
  • blackice.sol-domain[.]org – C2 server
  • 96.9.125[.]243 – C2 Server

MITRE ATT&CK Mapping

  • T1071.001 - Command and Control: Web Protocols
  • T1588.001 - Resource Development
  • T1102.001 - Web Service: Dead Drop Resolver
  • T1195 – Supple Chain Compromise

References

[1] https://www.morphisec.com/blog/critical-escan-threat-bulletin/

[2] https://www.bleepingcomputer.com/news/security/escan-confirms-update-server-breached-to-push-malicious-update/

[3] hxxps://download1.mwti.net/documents/Advisory/eScan_Security_Advisory_2026[.]pdf

[4] https://www.virustotal.com/gui/domain/delrosal.net

[5] hxxps://explorer.solana[.]com/address/2wFAbYHNw4ewBHBJzmDgDhCXYoFjJnpbdmeWjZvevaVv

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About the author
Joanna Ng
Senior Cyber Analyst

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April 17, 2026

Why Behavioral AI Is the Answer to Mythos

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How AI is breaking the patch-and-prevent security model

The business world was upended last week by the news that Anthropic has developed a powerful new AI model, Claude Mythos, which poses unprecedented risk because of its ability to expose flaws in IT systems.  

Whether it’s Mythos or OpenAI’s GPT-5.4-Cyber, which was just announced on Tuesday, supercharged AI models in the hands of hackers will allow them to carry out attacks at machine speed, much faster than most businesses can stop them.  

This news underscores a stark reality for all leaders: Patching holes alone is not a sufficient control against modern cyberattacks. You must assume that your software is already vulnerable right now. And while LLMs are very good at spotting vulnerabilities, they’re pretty bad at reliably patching them.

Project Glasswing members say it could take months or years for patches to be applied. While that work is done, enterprises must be protected against Zero-Day attacks, or security holes that are still undiscovered.  

Most cybersecurity strategies today are built like a daily multivitamin: broad, preventative, and designed to keep the system generally healthy over time. Patch regularly. Update software. Reduce known vulnerabilities. It’s necessary, disciplined, and foundational. But it’s also built for a world where the risks are well known and defined, cycles are predictable, and exposure unfolds at a manageable pace.

What happens when that model no longer holds?

The AI cyber advantage: Behavioral AI

The vulnerabilities exposed by AI systems like Mythos aren’t the well-understood risks your “multivitamin” was designed to address. They are transient, fast-emerging entry points that exist just long enough to be exploited.

In that environment, prevention alone isn’t enough. You don’t need more vitamins—you need a painkiller. The future of cybersecurity won’t be defined by how well you maintain baseline health. It will be defined by how quickly you respond when something breaks and every second counts.

That’s why behavioral AI gives businesses a durable cyber advantage. Rather than trying to figure out what the attacker looks like, it learns what “normal” looks like across the digital ecosystem of each individual business.  

That’s exactly how behavioral AI works. It understands the self, or what's normal for the organization, and then it can spot deviations in from normal that are actually early-stage attacks.

The Darktrace approach to cybersecurity

At Darktrace, we’ve been defending our 10,000 customers using behavioral AI cybersecurity developed in our AI Research Centre in Cambridge, U.K.

Darktrace was built on the understanding that attacks do not arrive neatly labeled, and that the most damaging threats often emerge before signatures, indicators, or public disclosures can catch up.  

Our AI algorithms learn in real time from your personalized business data to learn what’s normal for every person and every asset, and the flows of data within your organization. By continuously understanding “normal” across your entire digital ecosystem, Darktrace identifies and contains threats emerging from unknown vulnerabilities and compromised supply chain dependencies, autonomously curtailing attacks at machine speed.  

Security for novel threats

Darktrace is built for a world where AI is not just accelerating attacks, but fundamentally reshaping how they originate. What makes our AI so unique is that it's proven time and again to identify cyber threats before public vulnerability disclosures, such as critical Ivanti vulnerabilities in 2025 and SAP NetWeaver exploitations tied to nation-state threat actors.  

As AI reshapes how vulnerabilities are found and exploited, cybersecurity must be anchored in something more durable than a list of known flaws. It requires a real-time understanding of the business itself: what belongs, what does not, and what must be stopped immediately.

What leaders should do right now

The leadership priority must shift accordingly.

First, stop treating unknown vulnerabilities as an edge case. AI‑driven discovery makes them the norm. Security programs built primarily around known flaws, signatures, and threat intelligence will always lag behind an attacker that is operating in real time.

Second, insist on an understanding of what is actually normal across the business. When threats are novel, labels are useless. The earliest and most reliable signal of danger is abnormal behavior—systems, users, or data flows that suddenly depart from what is expected. If you cannot see that deviation as it happens, you are effectively blind during the most critical window.

Finally, assume that the next serious incident will occur before remediation guidance is available. Ask what happens in those first minutes and hours. The organizations that maintain resilience are not the ones waiting for disclosure cycles to catch up—they are the ones that can autonomously identify and contain emerging threats as they unfold.

This is the reality of cybersecurity in an AI‑shaped world. Patching and prevention remain important foundations, but the advantage now belongs to those who can respond instantly when the unpredictable occurs.

Behavioral AI is security designed not just for known threats, but for the ones that AI will discover next.

[related-resource]

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About the author
Ed Jennings
President and CEO
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