Tag Archives: ddos news

$1M lost in attack against Bitcoin Internet Payment Services

Copenhagen-based Bitcoin Internet Payment Services (BIPS) has been hit with a DDoS attack and has had 1,295 BTC stolen (a little over $1M) mostly from the company’s own holdings, but some from their c…

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$1M lost in attack against Bitcoin Internet Payment Services

Bitcoin Payment Processor BIPS under DDoS Attack, Over $1m Stolen

Europe’s primary bitcoin payment processor for merchants and free online wallet service, BIPS, was the target of a major DDoS attack and subsequent theft in the past few days that saw 1,295 BTC (just over $1m on CoinDesk’s BPI) stolen. Kris Henriksen, BIPS’ CEO, said most of the missing funds were “from the company’s own holdings”. BIPS uses an algorithm, based on supply and demand, to work out the amount of bitcoins it needs to keep it in a ‘hot wallet’. The heist, however, was apparently not due to any vulnerability in the code itself. He also said merchants who had chosen to instantly convert their bitcoin to fiat currency bank accounts were not affected. Theft The Copenhagen, Denmark-based company was targeted on 15th November by a massive DDoS attack. Then on 17th November, it was followed up by a subsequent attack that disabled the site and “overloaded our managed switches and disconnected the iSCSI connection to the SAN on BIPS servers”. “Regrettably, despite several layers of protection, the attack caused vulnerability to the system, which has then enabled the attacker/s to gain access and compromise several wallets,” the company said in a written statement. BIPS believes the two attacks were connected, and at least the initial DDoS attack was “found to originate from Russia and neighboring countries”. The company moved fast to restore full merchant payment and transfer services by 19th November, but disabled all wallet functions in order to complete a full forensic analysis. Its help desk also went down for a few days, but was restored on 22nd November. Investigation Under BIPS’ privacy policy, it is not allowed to disclose users’ information to anyone, even the authorities. They will now set up a system for affected wallet users to voluntarily sign the required permission documents, to engage in a more thorough investigation with law enforcement to track down the culprits. Henriksen stressed that merchant processing “was restored very quickly, and if you had auto-convert on, there is nothing to worry about”. BIPS’ official statement on its site read: To protect the successful merchant processing business, BIPS has decided to temporarily close down its consumer wallet initiative. BIPS has been a target of a coordinated attack and subsequent security breached. Several consumer wallets have been compromised and BIPS will be contacting the affected users. As a consequence BIPS will temporarily close down the wallet initiative to focus on real-time merchant processing business which does not include storing of bitcoins. Subsequently BIPS will consider to reintroduce the wallet initiative with a re-architected security model. The consumer wallet initiative has not been BIPS’ core business and, as such, regrettably affecting several users has not affected BIPS merchant acquiring. All existing users will be asked to transfer bitcoins to other wallet solutions, and users affected by the security breach will be contacted. Restoration of merchant services did little to comfort individual wallet owners, though. On the Bitcoin Talk forum, several users voiced anger at the prospect of losing their funds, and what they saw as unclear statements from BIPS about exactly what had been stolen, from whom, and how much. One member even created a ‘bips.me potential lawsuit signup form’ for users to input their contact details and number of bitcoins missing, in an effort to prompt a negotiated solution. Though the attack and theft highlights problems that some online wallet services have faced with security, it is significant given BIPS’ comparatively large user base and prominence in the market. As well as online accounts, BIPS had also offered a paper wallet function for those wishing for a safer long-term storage solution. Source: http://www.coindesk.com/bitcoin-payment-processor-bips-attacked-1m-stolen/

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Bitcoin Payment Processor BIPS under DDoS Attack, Over $1m Stolen

Just one NSA operation created a 50,000-strong botnet last year

Government tools penetrated many a Brazilian, apparently The U.S. National Security Agency (NSA) had established 50,000-drone botnet by the middle of 2012, according to the latest Snowden leaks.…

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Just one NSA operation created a 50,000-strong botnet last year

What e-commerce companies think about DDoS protection

Prolexic announced the results of a survey of global e-commerce companies who were asked about DDoS protection and the effectiveness of different types of DDoS mitigation services. A cross-sectio…

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What e-commerce companies think about DDoS protection

Bitstamp Suffers Banking Software Issue and DDoS Attack

Bitstamp’s website has been experiencing a number of difficulties over the past couple of days. Yesterday, the Slovenia-based company experienced problems with the banking software it uses. A statement on the company’s blog and Facebook page reads: Dear Bitstamp clients, We are currently experiencing some problems with our banking software. As a result, deposits and withdrawals may be delayed. We expect this issue to be solved be resolved tomorrow or the next day. We kindly ask our customers with pending transfers to remain patient and refrain from submitting additional support tickets on the matter. We will announce as soon as this issue gets resolved. Thank you for your understanding. Best regards, The Bitstamp team With a tweet 19 hours ago stating: Bitstamp CEO Nejc Kodri? said the issue related to the company’s transaction log: “We were missing bank transaction log from Friday. Also sending transfers out was disrupted, but it now works.” This afternoon, the site suffered a DDoS attack. The last time CoinDesk was successfully able to access price data from Bitstamp was 14:05 (GMT). The site is still experiencing problems. Kodri? said his team is “still working on this” issue. Kodri? said the site hasn’t experienced any difficulties because of increased user traffic over the past couple of days, during which the bitcoin price has increased sharply. In fact, the entrepreneur said the site experienced a record number of visits yesterday with no problems. Source: http://www.coindesk.com/bitstamp-suffers-banking-software-issue-ddos-attack/

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Bitstamp Suffers Banking Software Issue and DDoS Attack

Radio Free Europe/Radio Liberty (RFE/RL) Targeted for DDoS attack

Radio Free Europe/Radio Liberty has been targeted in an Internet attack known as a distributed denial of service (DDoS). The attack has disrupted RFE/RL’s global multimedia news and information services intermittently since November 14. Nonetheless, its computer network was working on November 18 and broadcasts have continued normally. The attack has not prevented the public from accessing RFE/RL’s web pages. But it has slowed the ability of RFE/RL’s broadcasting services to upload fresh news stories, photographs, and video to the Internet. RFE/RL President Kevin Klose said information is still being gathered about the attack, but he confirmed that it is believed to be “targeted.” Klose said a decision was taken on November 18 to report on the attack in response to the needs of the broadcasters’ audiences, “who rely on RFE/RL reporting, and who themselves contend with countless obstacles to connect with us every day.” RFE/RL’s content-management system also supports Voice of America, Middle East Broadcasting, and the Office of Cuba Broadcasting. Those U.S. international media networks also have been adversely affected by the attacks but continue to operate. Klose described the attack as “stark evidence of the challenges that confront the free dissemination and exchange of information in this age.” A DDoS attack floods the target with fake requests that come from thousands or even millions of computers that have been compromised or infected with viruses or malware. RFE/RL experienced a more limited DDoS attack against its Belarusian language service in 2008. RFE/RL Director of Technology Luke Springer said the latest attack was discovered on November 14 when hardware for the international media organization’s computer network began receiving many times more requests than normal. At the peak of the attack, the RFE/RL network was receiving requests for data from hundreds of thousands of computers every second. Springer said that means there are probably more than 1 million malware-infected computers being directed by the attackers — most likely without the knowledge of the computer owners. Technical investigations show that nearly 80 percent of the computers sending out requests for data as part of the DDoS attack are in China and nearly 20 percent are in Russia. But Springer said those findings do not indicate who is responsible for the attack. Attempts to make technical changes that counter the attack have temporarily alleviated the problem. But Springer said the attackers also have been changing their methods, allowing them to continue disrupting services intermittently. Springer said the DDoS attack has not damaged RFE/RL’s network equipment. But he says that “filling up the Internet pipeline with so many bogus requests has caused a traffic jam.” RFE/RL is a private, nonprofit organization funded by a grant from the U.S. Congress.

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Radio Free Europe/Radio Liberty (RFE/RL) Targeted for DDoS attack

New Zealand Couriers struck down by DDoS attack

The New Zealand Couriers website was the victim of a ‘denial of service’ botnet attack late last week, believed to be from overseas. The ‘denial of service’ attack, which took place on Thursday November 7, was specifically aimed at preventing access to www.nzcouriers.co.nz and the online tools hosted on this page, and required intensive and malicious effort by an unknown group. Revealed through a customer email sent out by the company, NZ Couriers wrote: “We have sorted out the issues caused by this attack for the most part. “But there are some important pieces of information we wanted to make you aware of: • You may experience a longer wait time than usual when contacting our call centre, due to more people doing things over the phone that they would usually do through our website. We would encourage you in the first instance to try using our online tools as usual before calling through to book a courier, buy product, or track an item. • The issue was caused by a malicious attack, but no one who visits our website is at any sort of risk – this is not related to viruses or anything along those lines. • Traffic to www.nzcouriers.co.nz has been restricted to New Zealand and Australian based companies – so if you have a customer outside of this region, or if your company runs an offshore system then they may not be able to access this website. If this occurs, we do have a way to resolve this – simply contact us on 0800 800 841 and we’ll get the details from you required to sort this out. Admitting that there may be “some lingering issues over the next few days,” NZ Couriers claims these are likely to be sorted out within the next week. “New Zealand Couriers apologises for this interruption of service and we will continue to do everything in our power to deliver the same great service you have come to expect from us,” the company email concluded. Source: http://techday.com/netguide/news/nz-couriers-struck-down-by-dos-attack/173381/

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New Zealand Couriers struck down by DDoS attack

Tracking botnets using automatically generated domains

Stefano Zanero is an Assistant Professor at Politechnico di Milano, where he focuses on systems security. Modern botnets rely on domain-generation algorithms (DGAs) to build resilient command-and-c…

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Tracking botnets using automatically generated domains

Pro Afrikaans Action Group (Praag) under DDoS attack

Afrikaans language activist group Praag intends to lay criminal charges against people responsible for attacking its website, the group said on Thursday. Pro Afrikaans Action Group (Praag) founder Dan Roodt said the website and servers had been under a “distributed denial of service” (DDOS) attack, causing disruptions since Tuesday. He believed the attack was aimed at bankrupting Praag and its service provider through the consumption of bandwidth and damage to network infrastructure. “We are going to lay charges with the SA Police Service under the Electronic Communications and Transactions (ECT) Act 25 of 2002 for the DDOS attack against us, but also against those anonymous individuals slandering us on Facebook, social media, and in relation to potential advertisers on our site,” said Roodt. On Sunday, Rapport reported that Google had decided to stop channelling advertising to Praag, and this threatened the future of the website. Roodt told the paper that Praag made thousands of rands from advertising on its website, and would not be able to function without advertisers. He said Google told him that Afrikaans was not a recognised advertising language and it could channel advertisements only to the English version of the Praag website. Roodt, however, alleged that a woman who opposed Praag was behind the problem. He claimed the woman had started a “malicious and fanatical” Facebook group called “Speak Out Against the Website Praag”. In a letter she reportedly posted on the social media network, she accused Praag of being racist and of spreading hate speech, and shared the letter with companies she claimed were helping it spread this message by advertising on the website. On Thursday, Roodt said he had the backing of supporters to take on the attackers. “We will not be using the distasteful and underhanded techniques of our opponents but will be defending ourselves in an open, transparent and legal manner,” he said. Source: http://www.iol.co.za/news/crime-courts/charges-pending-after-praag-web-attack-1.1607313#.UoTwduLrKb4

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Pro Afrikaans Action Group (Praag) under DDoS attack

Decoding the cyber attacks – DDoS against Singapore Government

Hacktivism arrived in Singapore 10 days ago in the form of “the Messiah”, who claimed to be a member of global cyber activism group Anonymous. He threatened to unleash a legion of hackers on the country and its infrastructure if the Government did not revoke its licensing regime for news websites. Should Singaporeans be afraid? ON OCT 29, as ordinary Singaporeans went about their Tuesday, political protest took an unexpected turn. This day marked the arrival of the hacktivist in Singapore – a new breed of protester who hacks into online sites to make a point. And that day, the Singapore Government was his declared target. In a blurry YouTube video, a masked man threatened chaos on the country and its infrastructure if the licensing regime for news websites, instituted in June, was not lifted. Identifying himself as a part of cyber activism group Anonymous, he declared: “For every single time you deprive a citizen his right to information, we will cost you financial loss by aggressive cyber-intrusion.” What preceded and followed the video message were defacements of several websites, from that of the Ang Mo Kio Town Council to The Straits Times ’ blog section, by a hacker calling himself “the Messiah”. Last Saturday, when several government websites went down for several hours, some Singaporeans wondered if it was the start of the threatened chaos. Communications consultant Priscilla Wong, 36, says: “My first thought was, could this be ‘the Messiah’ carrying out his threats?” But the Infocomm Development Authority (IDA) of Singapore, the local sector regulator, told the media that it was not a case of hacking, but of scheduled maintenance that took longer than expected due to technical glitches. Then, on Wednesday, Prime Minister Lee Hsien Loong said that the authorities would spare no effort in finding the hackers, and that they would be dealt with severely. Two days later, a page on both the Prime Minister’s Office (PMO) and the Istana websites were hacked in retaliation. This move took the hostilities to a new level, say observers. “If you presume it’s the same guy or the same group, then this shows escalating tensions,” says PAP MP Zaqy Mohamad, who chairs the Government Parliamentary Committee on Information and Communications. “I suppose they took PM’s words as a challenge, and to some extent, it showed their confidence and brazenness.” How significant is this emergence of local hacktivism, and what are the ramifications? What happened? While the website defacement left many wondering if the leaking of classified personal information was just a string of codes away, cyber experts say there is a gulf between the technical skills required for the two acts, and that the two activities tend to be carried out by different groups for different purposes. Website defacements are generally considered “low-level” hacking jobs, says Paul Ducklin, a consultant at security software firm Sophos. The next level up is DDoS attacks, short for Distributed Denial of Service. In DDoS attacks, the attacker creates a network using thousands of infected computers worldwide, which are then made to overwhelm a targeted site with a huge spike in traffic. The IDA revealed on Friday that there was an unusually high level of traffic to many government websites on Nov 5, the day of the Messiah’s threatened attack, and that these indicated either attempts to scan for vulnerabilities or potential DDoS attempts. While such attacks may cause inconveniences by slowing down website access for users, they do not usually result in a loss of data or information. In the case of the PMO and Istana Web pages, the hackers exploited a vulnerability known as “cross-site scripting”, which resides in an unpatched Google search bar embedded in a Web page on each of the two government websites. Users had to type a specially crafted string of alpha-numeric search terms – understood to have been circulated on online forums – in the Google search bar before an image resembling a defaced page came on screen. IDA assistant chief executive James Kang stressed that the integrity and operations of both sites were not affected. “Data was not compromised, the site was not down and users were not affected,” he said. The most severe attacks, those resulting in personal information theft, are usually carried out in stealth by organised crime groups for financial gain, say experts. They use computer programs such as keylogging software to harvest passwords and banking account details. Foreign academics studying the Anonymous group note that the hacktivists do not have the financial wherewithal, nor desire, to perpetrate this level of cyber crime. An expert on the Anonymous collective, Gabriella Coleman of Canada’s McGill University, wrote in a recent academic paper: “It has neither the steady income nor the fiscal sponsorship to support a dedicated team tasked with recruiting individuals, coordinating activities and developing sophisticated software.” The Messiah’s actions so far seem consistent with Anonymous’ modus operandi of symbolic protest instead of real damage. “The attacks so far were mainly targeted at government-linked organisations with the purpose of creating attention, rather than causing direct damage,” says Alvin Tan, director for anti-virus software company McAfee Singapore and the Philippines. The Internet Society’s Singapore chapter president Harish Pillay emphasises that the websites that have been defaced by “the Messiah” are not high-security ones. There is no reason to link the hacking of such websites to intrusion into classified government databases, he says. “That’s like saying that since a shophouse next to Parliament House got burgled, then Parliament House is in danger of being burgled. The two are not the same.” Still, the threats have made an impact. Last Saturday, the IDA took down some of the gov.sg websites for maintenance in an attempt to patch vulnerabilities. A combination of Internet routing issues and hardware failures caused a glitch, which took the websites offline longer than expected that day, IDA said. Plugging weaknesses On Wednesday, PM Lee confirmed that the Government was beefing up its systems but cautioned that it was not possible to be “100% waterproof”, as IT systems are complicated and “somewhere or other, there will be some weakness which could be exploited”. In the wake of the hacking of the PMO and Istana pages, the IDA said that it is continuing to strengthen all government websites. This includes the checking and fixing of vulnerabilities and software patching. But bringing cyber security here up to a level that could deter elite “crackers” – the term for ill-intentioned hackers – will be challenging, say experts. A major obstacle is the lack of security experts not just in Singapore but also worldwide. Singaporean Freddy Tan, chairman of the International Information Systems Security Certification Consortium – or (ISC)2, estimates the shortfall of infocomm security staff in Singapore to be at least 400. (ISC)2 is the world’s largest not-for-profit body that educates and certifies IT security professionals. Specifically, there is a severe shortage of security analysts and digital forensics workers who monitor Internet traffic patterns, says Tan. Value of cyber protest “The Messiah” and his colleagues have heralded a new age of digital protest here. But observers are split on whether it is a valuable form of social and political activism. “It gets people to sit up and ask, what’s going on here?” notes Pillay. When it comes to the issues, the Messiah and his colleagues seem to be interested in a gamut of them. Experts say the overall agenda seems to concern equality, looking out for the underdog and a call for transparency. The lynchpin demand, made in the YouTube video on Oct 29, was directed at the Government’s licensing regime for news websites. The regulations require selected news sites with at least 50,000 unique visitors from Singapore each month over a period of two months to post a S$50,000 (RM130,000) bond and take down content against public interest or national harmony within 24 hours. It is opposed by some for what they perceive as its intent to suppress online free speech, and a group of bloggers has mounted a “Free My Internet” campaign against it. But the group has distanced itself from “the Messiah”, and among prominent online commentators a rift has emerged over whether to denounce the hacking or accept it as another form of social and political activism that could effect change in its own way. The hackers’ threats spurred some Netizens to reject this method of seeking to change policies, arguing that it amounted to one group seeking to impose its views on others rather than arguing its case. The Online Citizen, for example, said it did not condone Anonymous’ tactics, saying it did not condone “intentional violations of the law which are calculated to sabotage and disrupt Internet services which innocent third parties rely on for data”. Some have likened hacking to the civil disobedience practised by Singapore Democratic Party chief Chee Soon Juan in the 1990s, when he argued that it was just to disobey an unjust law. But if “the Messiah” wanted to add his heft to the campaign against the website licensing regime, observers were confused by his timing. After all, it was announced in June, and the outcry and public protests against it took place later that month. “Hacking Singapore sites for a law that was passed half a year ago is like laughing at a joke after everyone has left the party,” notes Professor Ang Peng Hwa, director at the Singapore Internet Research Centre. If and when the hackers are identified, the Singapore authorities are likely to bring a gamut of laws down to bear on them, say local lawyers. “At least three of Singapore’s broad laws might be invoked,” says lawyer Gilbert Leong, partner at Rodyk & Davidson. The first is the new Computer Misuse and Cybersecurity Act, passed in Parliament in January. It was called the Computer Misuse Act before but was amended to allow the Minister for Home Affairs to order a person or organisation to act against any cyber attack even before it has begun. For instance, telcos might have already been roped in to track the hacker. The second is the Criminal Law (Temporary Provisions) Act, which may be used against those who publish subversive materials that compromise public order. The third law is the Sedition Act, for exciting disaffection against the Government. Facing charges Whoever was behind the YouTube video could also face charges under the Internal Security Act for threatening the security of the Internet, says lawyer Bryan Tan, a partner in Pinsent Masons MPillay. If caught and proven guilty, “the Messiah” could face hefty fines and years in prison for his hacktivism. Law enforcers’ jobs would be made harder if “the Messiah” and his colleagues do not reside in Singapore. However, another law – the United Nations (Anti-Terrorism) Measures Regulations – might be used to extradite the offender to Singapore. This law might be used as “the Messiah” had threatened to attack Singapore’s infrastructure, which could be deemed by the authorities as a terrorist act. Whatever comes of “the Messiah” and Anonymous’ arrival in Singapore, hacktivism looks to be a new fact of life in an inter-connected, politicised society. It is however a tactic that many activists online have been quick to reject and Singaporeans on the whole have shown little interest in supporting. — The Straits Times/ANN Source: http://www.thestar.com.my/News/Regional/2013/11/10/Decoding-the-cyber-attacks.aspx

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Decoding the cyber attacks – DDoS against Singapore Government