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February 27, 2025

New Threat on the Prowl: Investigating Lynx Ransomware

Lynx ransomware, emerging in 2024, targets finance, architecture, and manufacturing sectors with phishing and double extortion. Read on for Darktrace's findings.
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
Justin Torres
Cyber Analyst
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27
Feb 2025

What is Lynx ransomware?

In mid-2024, a new ransomware actor named Lynx emerged in the threat landscape. This Ransomware-as-a-Service (RaaS) strain is known to target organizations in the finance, architecture, and manufacturing sectors [1] [2]. However, Darktrace’s Threat Research teams also identified Lynx incidents affecting energy and retail organizations in the Middle East and Asia-Pacific (APAC) regions. Despite being a relatively new actor, Lynx’s malware shares large portions of its source code with the INC ransomware variant, suggesting that the group may have acquired and repurposed the readily available INC code to develop its own strain [2].

What techniques does Lynx ransomware group use?

Lynx employs several common attack vectors, including phishing emails which result in the download and installation of ransomware onto systems upon user interaction. The group poses a sophisticated double extortion threat to organizations, exfiltrating sensitive data prior to encryption [1]. This tactic allows threat actors to pressure their targets by threatening to release sensitive information publicly or sell it if the ransom is not paid. The group has also been known to gradually release small batches of sensitive information (i.e., “drip” data) to increase pressure.

Once executed, the malware encrypts files and appends the extension ‘.LYNX’ to all encrypted files. It eventually drops a Base64 encoded text file as a ransom note (i.e., README.txt) [1]. Should initial file encryption attempts fail, the operators have been known to employ privilege escalation techniques to ensure full impact [2].

In the Annual Threat Report 2024, Darktrace’s Threat Research team identified Lynx ransomware as one of the top five most significant threats, impacting both its customers and the broader threat landscape.

Darktrace Coverage of Lynx Ransomware

In cases of Lynx ransomware observed across the Darktrace customer base, Darktrace / NETWORK identified and suggested Autonomous Response actions to contain network compromises from the onset of activity.  

Detection of lateral movement

One such Lynx compromise occurred in December 2024 when Darktrace observed multiple indicators of lateral movement on a customer network. The lateral movement activity started with a high volume of attempted binds to the service control endpoint of various destination devices, suggesting SMB file share enumeration. This activity also included repeated attempts to establish internal connections over destination port 445, as well as other privileged ports. Spikes in failed internal connectivity, such as those exhibited by the device in question, can indicate network scanning. Elements of the internal connectivity also suggested the use of the attack and reconnaissance tool, Nmap.

Indicators of compromised administrative credentials

Although an initial access point could not be confirmed, the widespread use of administrative credentials throughout the lateral movement process demonstrated the likely compromise of such privileged usernames and passwords. The operators of the malware frequently used both 'admin' and 'administrator' credentials throughout the incident, suggesting that attackers may have leveraged compromised default administrative credentials to gain access and escalate privileges. These credentials were observed on numerous devices across the network, triggering Darktrace models that detect unusual use of administrative usernames via methods like NTLM and Kerberos.

Data exfiltration

The lateral movement and reconnaissance behavior was then followed by unusual internal and external data transfers. One such device exhibited an unusual spike in internal data download activity, downloading around 150 GiB over port 3260 from internal network devices. The device then proceeded to upload large volumes of data to the external AWS S3 storage bucket: wt-prod-euwest1-storm.s3.eu-west-1.amazonaws[.]com. Usage of external cloud storage providers is a common tactic to avoid detection of exfiltration, given the added level of legitimacy afforded by cloud service provider domains.

Furthermore, Darktrace observed the device exhibiting behavior suggesting the use of the remote management tool AnyDesk when it made outbound TCP connections to hostnames such as:

relay-48ce591e[.]net[.]anydesk[.]com

relay-c9990d24[.]net[.]anydesk[.]com

relay-da1ad7b4[.]net[.]anydesk[.]com

Tools like AnyDesk can be used for legitimate administrative purposes. However, such tools are also commonly leveraged by threat actors to enable remote access and further compromise activity. The activity observed from the noted device during this time suggests the tool was used by the ransomware operators to advance their compromise goals.

The observed activity culminated in the encryption of thousands of files with the '.Lynx' extension. Darktrace detected devices performing uncommon SMB write and move operations on the drives of destination network devices, featuring the appending of the Lynx extension to local host files. Darktrace also identified similar levels of SMB read and write sizes originating from certain devices. Parallel volumes of SMB read and write activity strongly suggest encryption, as the malware opens, reads, and then encrypts local files on the hosted SMB disk share. This encryption activity frequently highlighted the use of the seemingly-default credential: "Administrator".

In this instance, Darktrace’s Autonomous Response capability was configured to only take action upon human confirmation, meaning the customer’s security team had to manually apply any suggested actions. Had the deployment been fully autonomous, Darktrace would have blocked connectivity to and from the affected devices, giving the customer additional time to contain the attack and enforce existing network behavior patterns while the IT team responded accordingly.

Conclusion

As reported by Darktrace’s Threat Research team in the Annual Threat Report 2024, both new and old ransomware strains were prominent across the threat landscape last year. Due to the continually improving security postures of organizations, ransomware actors are forced to constantly evolve and adopt new tactics to successfully carry out their attacks.

The Lynx group’s use of INC source code, for example, suggests a growing accessibility for threat actors to launch new ransomware strains based on existing code – reducing the cost, resources, and expertise required to build new malware and carry out an attack. This decreased barrier to entry will surely lead to an increased number of ransomware incidents, with attacks not being limited to experienced threat actors.

While Darktrace expects ransomware strains like Lynx to remain prominent in the threat landscape in 2025 and beyond, Darktrace’s ability to identify and respond to emerging ransomware incidents – as demonstrated here – ensures that customers can safeguard their networks and resume normal business operations as quickly as possible, even in an increasingly complex threat landscape.

Credit to Justin Torres (Senior Cyber Analyst) and Adam Potter (Senior Cyber Analyst).

[related-resource]

Appendices

References

1.     https://unit42.paloaltonetworks.com/inc-ransomware-rebrand-to-lynx/

2.     https://cybersecsentinel.com/lynx-ransomware-strikes-new-targets-unveiling-advanced-encryption-techniques/

Autonomous Response Model Alerts

·      Antigena::Network::Significant Anomaly::Antigena Alerts Over Time Block

·      Antigena::Network::Insider Threat::Antigena Active Threat SMB Write Block

·      Antigena::Network::Significant Anomaly::Antigena Enhanced Monitoring from Client Block

·      Antigena::Network::Significant Anomaly::Antigena Significant Anomaly from Client Block

·      Antigena::Network::Insider Threat::Antigena Network Scan Block

·      Antigena::Network::Insider Threat::Antigena Internal Anomalous File Activity

·      Antigena::Network::Insider Threat::Antigena Unusual Privileged User Activities Block

·      Antigena::Network::Insider Threat::Antigena Unusual Privileged User Activities Pattern of Life Block

·      Antigena::Network::Insider Threat::Antigena Large Data Volume Outbound Block

Darktrace / NETWORK Model Alerts

·      Device::Multiple Lateral Movement Model Alerts

·      Device::Suspicious Network Scan Activity

·      Anomalous File::Internal::Additional Extension Appended to SMB File

·      Device::SMB Lateral Movement

·      Compliance::SMB Drive Write

·      Compromise::Ransomware::Suspicious SMB Activity

·      Anomalous File::Internal::Unusual SMB Script Write

·      Device::Network Scan

·      Device::Suspicious SMB Scanning Activity

·      Device::RDP Scan

·      Unusual Activity::Anomalous SMB Move & Write

·      Anomalous Connection::Sustained MIME Type Conversion

·      Compromise::Ransomware::SMB Reads then Writes with Additional Extensions

·      Unusual Activity::Sustained Anomalous SMB Activity

·      Device::ICMP Address Scan

·      Compromise::Ransomware::Ransom or Offensive Words Written to SMB

·      Anomalous Connection::Suspicious Read Write Ratio

·      Anomalous File::Internal::Masqueraded Executable SMB Write

·      Compliance::Possible Unencrypted Password File On Server

·      User::New Admin Credentials on Client

·      Compliance::Remote Management Tool On Server

·      User::New Admin Credentials on Server

·      Anomalous Connection::Unusual Admin RDP Session

·      Anomalous Connection::Download and Upload

·      Anomalous Connection::Uncommon 1 GiB Outbound

·      Unusual Activity::Unusual File Storage Data Transfer

List of IoCs

IoC - Type - Description + Confidence

- ‘. LYNX’ -  File Extension -  Lynx Ransomware file extension appended to encrypted files

MITRE ATT&CK Mapping  

(Technique Name - Tactic - ID - Sub-Technique of)

Taint Shared Content - LATERAL MOVEMENT - T1080

Data Encrypted for - Impact - IMPACT T1486

Rename System Utilities - DEFENSE EVASION - T1036.003 - T1036

Get the latest insights on emerging cyber threats

This report explores the latest trends shaping the cybersecurity landscape and what defenders need to know in 2025.

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
Justin Torres
Cyber Analyst

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January 30, 2026

ClearFake: From Fake CAPTCHAs to Blockchain-Driven Payload Retrieval

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What is ClearFake?

As threat actors evolve their techniques to exploit victims and breach target networks, the ClearFake campaign has emerged as a significant illustration of this continued adaptation. ClearFake is a campaign observed using a malicious JavaScript framework deployed on compromised websites, impacting sectors such as e‑commerce, travel, and automotive. First identified in mid‑2023, ClearFake is frequently leveraged to socially engineer victims into installing fake web browser updates.

In ClearFake compromises, victims are steered toward compromised WordPress sites, often positioned by attackers through search engine optimization (SEO) poisoning. Once on the site, users are presented with a fake CAPTCHA. This counterfeit challenge is designed to appear legitimate while enabling the execution of malicious code. When a victim interacts with the CAPTCHA, a PowerShell command containing a download string is retrieved and executed.

Attackers commonly abuse the legitimate Microsoft HTML Application Host (MSHTA) in these operations. Recent campaigns have also incorporated Smart Chain endpoints, such as “bsc-dataseed.binance[.]org,” to obtain configuration code. The primary payload delivered through ClearFake is typically an information stealer, such as Lumma Stealer, enabling credential theft, data exfiltration, and persistent access [1].

Darktrace’s Coverage of ClearFake

Darktrace / ENDPOINT first detected activity likely associated with ClearFake on a single device on over the course of one day on November 18, 2025. The system observed the execution of “mshta.exe,” the legitimate Microsoft HTML Application Host utility. It also noted a repeated process command referencing “weiss.neighb0rrol1[.]ru”, indicating suspicious external activity. Subsequent analysis of this endpoint using open‑source intelligence (OSINT) indicated that it was a malicious, domain generation algorithm (DGA) endpoint [2].

The process line referencing weiss.neighb0rrol1[.]ru, as observed by Darktrace / ENDPOINT.
Figure 1: The process line referencing weiss.neighb0rrol1[.]ru, as observed by Darktrace / ENDPOINT.

This activity indicates that mshta.exe was used to contact a remote server, “weiss.neighb0rrol1[.]ru/rpxacc64mshta,” and execute the associated HTA file to initiate the next stage of the attack. OSINT sources have since heavily flagged this server as potentially malicious [3].

The first argument in this process uses the MSHTA utility to execute the HTA file hosted on the remote server. If successful, MSHTA would then run JavaScript or VBScript to launch PowerShell commands used to retrieve malicious payloads, a technique observed in previous ClearFake campaigns. Darktrace also detected unusual activity involving additional Microsoft executables, including “winlogon.exe,” “userinit.exe,” and “explorer.exe.” Although these binaries are legitimate components of the Windows operating system, threat actors can abuse their normal behavior within the Windows login sequence to gain control over user sessions, similar to the misuse of mshta.exe.

EtherHiding cover

Darktrace also identified additional ClearFake‑related activity, specifically a connection to bsc-testnet.drpc[.]org, a legitimate BNB Smart Chain endpoint. This activity was triggered by injected JavaScript on the compromised site www.allstarsuae[.]com, where the script initiated an eth_call POST request to the Smart Chain endpoint.

Example of a fake CAPTCHA on the compromised site www.allstarsuae[.]com.
Figure 2: Example of a fake CAPTCHA on the compromised site www.allstarsuae[.]com.

EtherHiding is a technique in which threat actors leverage blockchain technology, specifically smart contracts, as part of their malicious infrastructure. Because blockchain is anonymous, decentralized, and highly persistent, it provides threat actors with advantages in evading defensive measures and traditional tracking [4].

In this case, when a user visits a compromised WordPress site, injected base64‑encoded JavaScript retrieved an ABI string, which was then used to load and execute a contract hosted on the BNB Smart Chain.

JavaScript hosted on the compromised site www.allstaruae[.]com.
Figure 3: JavaScript hosted on the compromised site www.allstaruae[.]com.

Conducting malware analysis on this instance, the Base64 decoded into a JavaScript loader. A POST request to bsc-testnet.drpc[.]org was then used to retrieve a hex‑encoded ABI string that loads and executes the contract. The JavaScript also contained hex and Base64‑encoded functions that decoded into additional JavaScript, which attempted to retrieve a payload hosted on GitHub at “github[.]com/PrivateC0de/obf/main/payload.txt.” However, this payload was unavailable at the time of analysis.

Darktrace’s detection of the POST request to bsc-testnet.drpc[.]org.
Figure 4: Darktrace’s detection of the POST request to bsc-testnet.drpc[.]org.
Figure 5: Darktrace’s detection of the executable file and the malicious hostname.

Autonomous Response

As Darktrace’s Autonomous Response capability was enabled on this customer’s network, Darktrace was able to take swift mitigative action to contain the ClearFake‑related activity early, before it could lead to potential payload delivery. The affected device was blocked from making external connections to a number of suspicious endpoints, including 188.114.96[.]6, *.neighb0rrol1[.]ru, and neighb0rrol1[.]ru, ensuring that no further malicious connections could be made and no payloads could be retrieved.

Autonomous Response also acted to prevent the executable mshta.exe from initiating HTA file execution over HTTPS from this endpoint by blocking the attempted connections. Had these files executed successfully, the attack would likely have resulted in the retrieval of an information stealer, such as Lumma Stealer.

Autonomous Response’s intervention against the suspicious connectivity observed.
Figure 6: Autonomous Response’s intervention against the suspicious connectivity observed.

Conclusion

ClearFake continues to be observed across multiple sectors, but Darktrace remains well‑positioned to counter such threats. Because ClearFake’s end goal is often to deliver malware such as information stealers and malware loaders, early disruption is critical to preventing compromise. Users should remain aware of this activity and vigilant regarding fake CAPTCHA pop‑ups. They should also monitor unusual usage of MSHTA and outbound connections to domains that mimic formats such as “bsc-dataseed.binance[.]org” [1].

In this case, Darktrace was able to contain the attack before it could successfully escalate and execute. The attempted execution of HTA files was detected early, allowing Autonomous Response to intervene, stopping the activity from progressing. As soon as the device began communicating with weiss.neighb0rrol1[.]ru, an Autonomous Response inhibitor triggered and interrupted the connections.

As ClearFake continues to rise, users should stay alert to social engineering techniques, including ClickFix, that rely on deceptive security prompts.

Credit to Vivek Rajan (Senior Cyber Analyst) and Tara Gould (Malware Research Lead)

Edited by Ryan Traill (Analyst Content Lead)

Appendices

Darktrace Model Detections

Process / New Executable Launched

Endpoint / Anomalous Use of Scripting Process

Endpoint / New Suspicious Executable Launched

Endpoint / Process Connection::Unusual Connection from New Process

Autonomous Response Models

Antigena / Network::Significant Anomaly::Antigena Significant Anomaly from Client Block

List of Indicators of Compromise (IoCs)

  • weiss.neighb0rrol1[.]ru – URL - Malicious Domain
  • 188.114.96[.]6 – IP – Suspicious Domain
  • *.neighb0rrol1[.]ru – URL – Malicious Domain

MITRE Tactics

Initial Access, Drive-by Compromise, T1189

User Execution, Execution, T1204

Software Deployment Tools, Execution and Lateral Movement, T1072

Command and Scripting Interpreter, T1059

System Binary Proxy Execution: MSHTA, T1218.005

References

1.        https://www.kroll.com/en/publications/cyber/rapid-evolution-of-clearfake-delivery

2.        https://www.virustotal.com/gui/domain/weiss.neighb0rrol1.ru

3.        https://www.virustotal.com/gui/file/1f1aabe87e5e93a8fff769bf3614dd559c51c80fc045e11868f3843d9a004d1e/community

4.        https://www.packetlabs.net/posts/etherhiding-a-new-tactic-for-hiding-malware-on-the-blockchain/

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Vivek Rajan
Cyber Analyst

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January 30, 2026

The State of Cybersecurity in the Finance Sector: Six Trends to Watch

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The evolving cybersecurity threat landscape in finance

The financial sector, encompassing commercial banks, credit unions, financial services providers, and cryptocurrency platforms, faces an increasingly complex and aggressive cyber threat landscape. The financial sector’s reliance on digital infrastructure and its role in managing high-value transactions make it a prime target for both financially motivated and state-sponsored threat actors.

Darktrace’s latest threat research, The State of Cybersecurity in the Finance Sector, draws on a combination of Darktrace telemetry data from real-world customer environments, open-source intelligence, and direct interviews with financial-sector CISOs to provide perspective on how attacks are unfolding and how defenders in the sector need to adapt.  

Six cybersecurity trends in the finance sector for 2026

1. Credential-driven attacks are surging

Phishing continues to be a leading initial access vector for attacks targeting confidentiality. Financial institutions are frequently targeted with phishing emails designed to harvest login credentials. Techniques including Adversary-in-The-Middle (AiTM) to bypass Multi-factor Authentication (MFA) and QR code phishing (“quishing”) are surging and are capable of fooling even trained users. In the first half of 2025, Darktrace observed 2.4 million phishing emails within financial sector customer deployments, with almost 30% targeted towards VIP users.  

2. Data Loss Prevention is an increasing challenge

Compliance issues – particularly data loss prevention -- remain a persistent risk. In October 2025 alone, Darktrace observed over 214,000 emails across financial sector customers that contained unfamiliar attachments and were sent to suspected personal email addresses highlighting clear concerns around data loss prevention. Across the same set of customers within the same time frame, more than 351,000 emails containing unfamiliar attachments were sent to freemail addresses (e.g. gmail, yahoo, icloud), highlighting clear concerns around DLP.  

Confidentiality remains a primary concern for financial institutions as attackers increasingly target sensitive customer data, financial records, and internal communications.  

3. Ransomware is evolving toward data theft and extortion

Ransomware is no longer just about locking systems, it’s about stealing data first and encrypting second. Groups such as Cl0p and RansomHub now prioritize exploiting trusted file-transfer platforms to exfiltrate sensitive data before encryption, maximizing regulatory and reputational fallout for victims.  

Darktrace’s threat research identified routine scanning and malicious activity targeting internet-facing file-transfer systems used heavily by financial institutions. In one notable case involving Fortra GoAnywhere MFT, Darktrace detected malicious exploitation behavior six days before the CVE was publicly disclosed, demonstrating how attackers often operate ahead of patch cycles

This evolution underscores a critical reality: by the time a vulnerability is disclosed publicly, it may already be actively exploited.

4. Attackers are exploiting edge devices, often pre-disclosure.  

VPNs, firewalls, and remote access gateways have become high-value targets, and attackers are increasingly exploiting them before vulnerabilities are publicly disclosed. Darktrace observed pre-CVE exploitation activity affecting edge technologies including Citrix, Palo Alto, and Ivanti, enabling session hijacking, credential harvesting, and privileged lateral movement into core banking systems.  

Once compromised, these edge devices allow adversaries to blend into trusted network traffic, bypassing traditional perimeter defenses. CISOs interviewed for the report repeatedly described VPN infrastructure as a “concentrated focal point” for attackers, especially when patching and segmentation lag behind operational demands.

5. DPRK-linked activity is growing across crypto and fintech.  

State-sponsored activity, particularly from DPRK-linked groups affiliated with Lazarus, continues to intensify across cryptocurrency and fintech organizations. Darktrace identified coordinated campaigns leveraging malicious npm packages, previously undocumented BeaverTail and InvisibleFerret malware, and exploitation of React2Shell (CVE-2025-55182) for credential theft and persistent backdoor access.  

Targeting was observed across the United Kingdom, Spain, Portugal, Sweden, Chile, Nigeria, Kenya, and Qatar, highlighting the global scope of these operations.  

6. Cloud complexity and AI governance gaps are now systemic risks.  

Finally, CISOs consistently pointed to cloud complexity, insider risk from new hires, and ungoverned AI usage exposing sensitive data as systemic challenges. Leaders emphasized difficulty maintaining visibility across multi-cloud environments while managing sensitive data exposure through emerging AI tools.  

Rapid AI adoption without clear guardrails has introduced new confidentiality and compliance risks, turning governance into a board-level concern rather than a purely technical one.

Building cyber resilience in a shifting threat landscape

The financial sector remains a prime target for both financially motivated and state-sponsored adversaries. What this research makes clear is that yesterday’s security assumptions no longer hold. Identity attacks, pre-disclosure exploitation, and data-first ransomware require adaptive, behavior-based defenses that can detect threats as they emerge, often ahead of public disclosure.

As financial institutions continue to digitize, resilience will depend on visibility across identity, edge, cloud, and data, combined with AI-driven defense that learns at machine speed.  

Learn more about the threats facing the finance sector, and what your organization can do to keep up in The State of Cybersecurity in the Finance Sector report here.  

Acknowledgements:

The State of Cybersecurity in the Finance sector report was authored by Calum Hall, Hugh Turnbull, Parvatha Ananthakannan, Tiana Kelly, and Vivek Rajan, with contributions from Emma Foulger, Nicole Wong, Ryan Traill, Tara Gould, and the Darktrace Threat Research and Incident Management teams.

[related-resource]  

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Nathaniel Jones
VP, Security & AI Strategy, Field CISO
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