April 2024 RTF Progress Report - Doubling Down

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April 2024

securityandtechnology.org

DOUBLING DOWN

APRIL 2024 PROGRESS REPORT

THE RANSOMWARE TASK FORCE: DOUBLING DOWN

THE RANSOMWARE TASK FORCE: DOUBLING DOWN

April 2024

The Institute for Security and Technology and the authors of this report invite free use of the information

within for educational purposes, requiring only that the reproduced material clearly cite the full source.

Copyright 2024, The Institute for Security and Technology

April 2024

securityandtechnology.org

Contents

Timeline: 2023-2024 Milestones ������������������������������������������������������������������������������������������������������������������������� 4

Executive Summary ��������������������������������������������������������������������������������������������������������������������������������������������������� 6

Introduction: The Evolving Threat Landscape ���������������������������������������������������������������������������������������������������� 9

Actions Requiring Sustained Effort ���������������������������������������������������������������������������������������������������������������������� 12

Harmonizing Incident Reporting Mechanisms �������������������������������������������������������������������������������������������� 12

Expanding International Collaboration ��������������������������������������������������������������������������������������������������������� 14

Reining in Ransom Payments �������������������������������������������������������������������������������������������������������������������������� 16

Actions Needing Intensified Effort ������������������������������������������������������������������������������������������������������������������������ 19

Disrupting Ransomware Operations At Scale ��������������������������������������������������������������������������������������������� 19

Fostering Public-Private Partnerships ����������������������������������������������������������������������������������������������������������� 21

Bolstering Resilience and Building Awareness ����������������������������������������������������������������������������������������� 23

Committing Financial Resources to Preparation & Response �������������������������������������������������������������� 28

Conclusion ���������������������������������������������������������������������������������������������������������������������������������������������������������������� 30

Appendix: Status of RTF Recommendations by Objective �������������������������������������������������������������������������� 33

THE RANSOMWARE TASK FORCE: DOUBLING DOWN

August 29, 2023 An

international cyber

takedown effort disrupts

Qakbot malware

infrastructure.

2023-2024 Milestones

September 19, 2023 DHS

publishes harmonization

of ransomware reporting

recommendations.

October 2023 CISA

expands the Ransomware

Vulnerability Warning Pilot

program (RVWP).

March 13, 2023 CISA

launches the Ransomware

Vulnerability Pilot program

(RVWP).

March 23, 2023 CISA

launches the Pre-

Ransomware Notification

Initiative.

September 2023 CISA

releases ransomware

tabletop exercise materials.

October 2023 International

police coordination

disrupts the Ragnar Locker

ransomware gang.

March 1, 2023 With the

launch of the National

Cybersecurity Strategy,

ransomware is underscored

as a national security threat.

July 13, 2023 The White

House publishes the

National Cybersecurity

Strategy Implementation

Plan.

October 26, 2023

Additional countries sign

on to an update to the April

2023 secure-by-design

guidance, bringing the total

to 17 countries.

July 26, 2023 The U.S.

Securities and Exchange

Commission (SEC)

announces new ransom

disclosure rules.

April 13, 2023 The United

States, Australia, Canada,

the UK, Germany, and the

Netherlands publish secure-

by-design guidance.

Key:

Policy

Resource

Disruption/Sanction

Awareness

April 2024

securityandtechnology.org

Tracking Progress Against Ransomware

November 21, 2023

EUROPOL works with

seven other countries to

dismantle a ransomware

group operating in Ukraine,

leading to several arrests

and detentions.

February 20, 2024 The

United States and the UK,

along with international

law enforcement partners,

announce the takedown of

LockBit ransomware variant.

November 2023 The

U.S. Treasury Department

sanctions a Russian actor

accused of laundering

virtual currency on behalf

of an affiliate of the Ryuk

ransomware group.

January 2024 Australia,

the United Kingdom, and

the United States issue

the first trilateral sanctions

designating a Russian

cyber actor involved in a

2022 ransomware attack in

Australia.

February 20, 2024 The

U.S. Treasury Department

sanctions affiliates of the

LockBit ransomware group.

April 4, 2024

CISA publishes

Notice of Proposed

Rulemaking for

CIRCIA.

March 27, 2024 The U.S.

Department of State’s

Rewards for Justice Program

announces a reward for

ALPHV/Blackcat-linked cyber

actors.

November 3, 2023 CISA

launches “Shields Ready”

campaign for critical

infrastructure.

December 2023

The U.S. Justice

Department, with

European law

enforcement support,

disrupts ALPHV/

Blackcat ransomware

variant.

November 1, 2023

CRI members

endorse the first-

ever joint CRI policy

statement declaring

that member

governments should

not pay ransoms.

December 2023 New York

Department of Financial

Services announces new

ransom disclosure rules.

February 5, 2024 ODNI

releases annual threat

assessment, naming

ransomware as a

transnational threat to the

United States.

February 26, 2024 NIST

publishes Cybersecurity

Framework 2.0.

March 20, 2024 DHS and

DG CONNECT announce

initiative to compare cyber

incident reporting and

better align transatlantic

approaches.

January 19, 2024

OFAC Senior

Compliance Officer

reiterates commitment

to clarifying ransom

payment guidance.

January 2024 GAO releases

report urging agencies

to enhance oversight of

ransomware practices and

better assess federal support.

A non-exhaustive list of policy actions, newly-published resources, moves to disrupt or sanction ransomware actors,

and efforts to bring awareness to the threat.

THE RANSOMWARE TASK FORCE: DOUBLING DOWN

RTF

APRIL

2024

Executive Summary

In April 2021, the Ransomware Task Force (RTF) published Combating Ransomware: A Comprehensive

Framework for Action (“the Report”), which outlined 48 recommendations for industry, government,

and civil society to undertake in order to deter and disrupt the ransomware ecosystem, and to help

entities prepare for and respond to attacks at scale�1 In the three years since its publication, we have

continued to see governments and the private sector step up commitments to addressing this threat�

However, ransomware remains a major national security threat based on its cost to the economy and

impact on critical services availability� The rate and scale of attacks is not diminishing and may be

growing� For the first time ever, Chainalysis reported that ransomware payments had surpassed $1

billion in 2023�2

Since our May 2023 progress report, the U�S� government and its partners have intensified disruption

efforts, increased information sharing, and developed more comprehensive ransomware mitigation and

recovery strategies� However, of the 48 recommendations made in the Report, our assessment remains

unchanged: only 24 have seen significant progress since the Report’s release in 2021�

IST’s view is that the 48 original recommendations remain relevant and important to implement to

reduce the threat that ransomware poses to the United States and the global digital ecosystem� Given

this assessment, this progress report focuses on the 24 recommendations that have seen little to

no action since 2021, identifying how governments and industry can achieve substantial results by

doubling down on these key Report recommendations�

As noted in previous progress reports, these 24 recommendations are more difficult to implement; in

the United States, many would require legislative action�3 While governments deserve praise for the

mechanisms they have put in place, our assessment is that the United States is not using them to their

full extent� First, the United States and other governments have not yet allocated sufficient resources

to these existing mechanisms� Second, governments have not taken all necessary further actions to

combat ransomware� The Ransomware Task Force remains committed to engaging with the United

States and like-minded governments, industry partners, and civil society to raise awareness and

advocate for effective solutions to mitigate the dangers of ransomware�

This progress report identifies areas in need of sustained action, as well as areas in need of

new or heightened progress, ultimately aiming to double down on the Ransomware Task Force

recommendations�

1

“Combating Ransomware: A Comprehensive Framework for Action,” Institute for Security and Technology, April 30, 2021, https://

securityandtechnology.org/ransomwaretaskforce/report/.

2

“Ransomware Payments Exceed $1 Billion in 2023, Hitting Record High After 2022 Decline,” Chainalysis, February 29, 2024, https://www.

chainalysis.com/blog/ransomware-2024/.

3

“The Ransomware Task Force: One Year On,” Institute for Security and Technology, May 2022, https://securityandtechnology.org/wp-content/

uploads/2022/05/rtf-progress-report-may22-1.pdf; “The Ransomware Task Force: Gaining Ground,” Institute for Security and Technology, May

2023, https://securityandtechnology.org/wp-content/uploads/2023/05/Ransomware-Task-Force-Gaining-Ground-May-2023-Progress-Report.

pdf.

April 2024

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» A number of areas have seen sustained action by governments, but they must capitalize on the

opportunities they already have in place in order to make substantive progress, including through

leveraging existing legislation and allocating additional resources to combat the ransomware threat�

»

Harmonizing Incident Reporting Mechanisms: Much headway has been made to improve

incident reporting structures� The United States and other partner countries still need to

capitalize on current opportunities for streamlining incident reporting in order to lessen the

burden on victims and increase the efficacy of response activity�

»

Expanding International Collaboration: Global collaboration continues to grow, despite

significant outlier governments that are unwilling to take action against ransomware actors

operating from their territory� Governments should continue to work together to share

information and step up deterrence and disruption efforts�

»

Reining in Ransom Payments: As debates around payment bans continue, governments

need to take concrete steps to make ransomware less profitable for bad actors and less

devastating for victims�

» Meanwhile, in other areas that have seen little to no action, governments, civil society, and industry

need to initiate new or redoubled efforts�

»

Disrupting Ransomware At Scale: Coordinated law enforcement and private sector

interventions are successfully disrupting ransomware operations, but need to be performed

at scale for effective, long-term impact�

»

Fostering Public-Private Partnerships: Governments cannot go it alone, and need to lean on

industry and other partners to foster a more resilient ecosystem�

»

Bolstering Resilience and Building Awareness: Organizations that follow best practice

cybersecurity guidance provided by NIST, CISA, and related organizations (both in the United

States and in other jurisdictions) have been able to dramatically increase their business

resilience� Governments need to increase whole-of-nation awareness of these best practices

and continue to make these resources easily accessible�

»

Committing Financial Resources for Preparation and Response: The United States and like-

minded countries need to further invest in supportive measures for critical infrastructure and

SMEs to prepare for attacks and respond effectively�

Before detailing our findings below, we want to note that as far as possible, the RTF tracks government

responses to ransomware around the world� To date, the U�S� government has typically been

among the most transparent and communicative about steps being considered or taken to combat

ransomware� This is partly cultural, but may also reflect that, according to reporting data, the United

States is still the most attacked nation,4 and its economy experiences the greatest losses�5 As such,

while we have attempted to incorporate geographically varied and relevant data and examples in our

reporting, our primary focus is on the actions and impacts of the U�S� government and in the United

States�

4

Silas Cutler, “2022 RTF Global Ransomware Incident Map: Attacks continue worldwide, groups splinter, education sector hit hard,” Institute

for Security and Technology, October 31, 2023, https://securityandtechnology.org/blog/2022-global-ransomware-incident-map/.

5

“The 471 Cyber Threat Report 2023,” Intel471, August 7, 2023, https://intel471.com/resources/whitepapers/the-471-cyber-threat-report-2023;

Zeba Siddiqui, “Alliance of 40 Countries to Vow Not to Pay Ransom to Cybercriminals, US Says,” Reuters, October 31, 2023, https://www.

reuters.com/technology/alliance-40-countries-vow-not-pay-ransom-cybercriminals-us-says-2023-10-31/; Shmuel Gihon, “Ransomware Trends

2023 Report,” Cyberint, April 8, 2024, https://cyberint.com/blog/research/ransomware-trends-and-statistics-2023-report/.

THE RANSOMWARE TASK FORCE: DOUBLING DOWN

Ransomware Task Force

Recommendations:

April 2024 Status

Significant Action

24

Preliminary Action

20

No Known Action

April 2024

securityandtechnology.org

Introduction: The Evolving

Threat Landscape

Ransomware incidents continue to impact organizations in every sector of the economy, especially

critical sectors like healthcare, transportation, and education, including smaller, under-resourced

entities� The FBI’s IC3 reported an 18% increase in ransomware incidents from 2022, with adjusted

losses of almost $60 million� The IC3 also noted that they received 1,193 reports of a ransomware

incident from critical infrastructure organizations, a 37% increase from the 870 reports it received in

2022�6

Even as the number of reported incidents is on the rise, the FBI IC3 report also noted that many

ransomware events continue to go unreported, greatly limiting cybersecurity and law enforcement

communities’ understanding of the frequency and disruption of ransomware incidents, not just in the

United States, but also worldwide� Organizations throughout the cyber response ecosystem—including

law enforcement, insurers, incident responders, cryptocurrency analysis firms, and others—track and

analyze as much data as they are able to access, with the goal of reporting new patterns of criminal

activity, including evolving tactics, techniques, and procedures (TTPs), and providing a sense of costs

of recovery and ransom payment trends� The RTF reviews as many of these sources as possible to

help inform our evaluation of the effectiveness of activities undertaken to address the ransomware

threat and the impact of these actions�

In 2023, ransomware groups increasingly used multiple variants against a single organization and

employed new data-destruction tactics to further pressure organizations into paying�7 Many actors are

also shifting away from encryption and into data exfiltration and exposure in order to gain more traction

against organizations who have sufficient backups�8 For example, a July 2023 Sophos report found

that 25% of attacks against the financial sector included both data encryption and data exfiltration�9

As some potential victims have bolstered organizational preparedness for a potential attack,

2023 saw threat actors becoming more creative and aggressive in their pursuits� Threat actors

intensified behavior, focusing their efforts against high-profile organizations and critical infrastructure�

Ransomware actors have also turned toward zero-day exploits to target widely-used IT services

6

“Federal Bureau of Investigation Internet Crime Report 2022,” FBI Internet Crime Complaint Center, March 10, 2023, 14, https://www.ic3.gov/Media/PDF/

AnnualReport/2022_IC3Report.pdf; “Federal Bureau of Investigation Internet Crime Report 2022,” 13.

7

“Federal Bureau of Investigation Internet Crime Report 2023,” 3.

8

“Ransomware on the Move: Evolving Exploitation Techniques and the Active Pursuit of Zero-Days,” Akamai Technologies, August 7, 2023, https://www.

akamai.com/resources/state-of-the-internet/ransomware-on-the-move.

9

Sophos, “The State of Ransomware in Financial Services 2023,” July 2023, https://assets.sophos.com/X24WTUEQ/at/skqcw8qv736cwr5hmtkxfwg/sophos-

state-of-ransomware-financial-services-2023-wp.pdf.

THE RANSOMWARE TASK FORCE: DOUBLING DOWN

10

like MOVEit and GoAnywhere file-transfer services, Citrix networking products, and PaperCut print

management software�10 Google reported that four threat actors used six different zero days in

ransomware attacks�11 CL0P, a group active since at least 2019, appears to be one of the major

pioneers leveraging zero days in its ransomware attacks�12 Akamai Technologies, a cloud company,

cited the use of zero- and n-day vulnerabilities as a key factor in the rise of ransomware attacks�13

Ransomware groups face economic trade-offs in deciding whether to exploit zero-day vulnerabilities,

which can be costly to obtain and lose much of their value the first time they are used� The fact that

any groups have used zero-days to both intimidate victims and wreak extreme harm signals that

ransomware will remain a threat even though resilience is increasing� This tactic is one to watch and

forthcoming reporting requirements should help assess whether it was a temporary shift or a new,

troubling, trend�

Some threat actors have also begun to focus on more sophisticated social engineering attacks, such

as targeting internal IT help desks� A consortium of actors often known as Scattered Spider has been

known to employ such techniques, leveraging native English speaking capabilities to trick users into

10

Jai Vijayan, “Ransomware Victims Surge as Threat Actors Pivot to Zero-Day Exploits,” DarkReading, December 8, 2023, https://www.darkreading.com/threat-

intelligence/ransomware-victims-surge-as-threat-actors-pivot-to-zero-day-exploits; Matt Kapko, “Ransomware Actors Hit Zero-Day Exploits Hard in 2023,”

Cybersecurity Dive, February 8, 2024, https://www.cybersecuritydive.com/news/ransomware-surge-zero-day-exploits/706983/.

11

James Sadowski and Maddie Stone, “A Review of Zero-Day In-The-Wild Exploits in 2023,” Google (blog), April 5, 2024, https://blog.google/technology/

safety-security/a-review-of-zero-day-in-the-wild-exploits-in-2023/.

12

Shunichi Imano and James Slaughter, “Ransomware Roundup - Cl0p | FortiGuard Labs,” Fortinet (blog), July 21, 2023, accessed April 16, 2024, https://www.

fortinet.com/blog/threat-research/ransomware-roundup-cl0p#:~:text=The%20Cl0p%20ransomware%20has%20been%20around%20since%20early%20

2019%2C%20and,active%20ransomware%20threat%20actors%20today.

13

“A Year in Review: A Look at 2023’s Cyber Trends and What’s to Come,” Akamai Technologies, November 14, 2023, https://www.akamai.com/lp/

soti/2023-year-review.

KEY RANSOMWARE STATISTICS: 2023

$1 billion

in cryptocurrency extorted from victims of

ransomware attacks, per Chainalysis

in ransomware attacks

reported to the

FBI’s Internet Crime

Complaint Center (IC3)

from 2022 to 2023

According to

Sophos, 25% of

attacks against the

financial sector

included both data

encryption and

data exfiltration

37% increase in ransomware

attacks on critical infrastructure

reported to the FBI’s IC3

18%

increase

2022

870

1,193

2023

In 2023, according to Google, four

ransomware actors exploited

6 zero-day vulnerabilities

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