North Korean hackers from the Lazarus Group have launched a major cyberattack by cloning open-source software and infecting it with malware.

A recent cyberattack has found the North Korean hacking group Lazarus targeting software developers by modifying open-source tools to include malware. Open-source software, freely available for anyone to use or modify, has become a crucial part of software development. However, Lazarus exploited this understanding by injecting malicious code into genuine software. This led to numerous systems becoming compromised, particularly those used by developers in the Web3 and cryptocurrency industries.

Lazarus Attacks Open-Source Software

SecurityScorecard, a cybersecurity organization, discovered that Lazarus had carried out a supply-chain attack known as “Phantom Circuit.” Lazarus selected popular open-source projects to target and embedded malicious code into them. These compromised tools were then uploaded to code-sharing platforms such as GitLab, where developers soon downloaded and started using them.

Once executed, the compromised software set about installing data-stealing malware on the victims’ PCs. The malware’s main objective was harvesting sensitive data such as login credentials, authentication tokens, and other security information. This gave the threat actors full and unauthorized access to their targets’ accounts, allowing them to modify and steal digital assets.

Over 1,500 victims were affected, with the majority being located in Europe, India and Brazil. SecurityScorecard were keen to point out that many of the victims were software engineers, mostly working in cryptocurrency and blockchain technology. In particular, Lazarus targeted modified repositories which hosted Web3 development tools, authentication systems, and cryptocurrency software. These are all attractive targets for threat actors who are looking to make a quick buck through nefarious means and cause digital chaos to IT infrastructures.

How to Protect Yourself

Lazarus has committed numerous cyberattacks in the recent past, with Ophtek previously reporting on their attack on healthcare organizations in 2023. A powerful hacking group, Lazarus has the potential to create powerful and devastating malware. Accordingly, you need to make sure your IT defenses are secure against them and similar hacking groups.

Cybersecurity awareness, as ever, is key to protecting your digital assets, so make sure you follow these best security practices:

  • Verify Your Software Sources: always double-check where your software is coming from before you hit that download button. Stick to official developer websites and trusted repositories e.g. regularly updated GitHub projects. If a new tool appears out of nowhere or is uploaded by an unknown user, think twice before installing it. If in doubt, remember the golden advice: double check it with an IT professional.
  • Keep Your Security Software Updated: first of all, make sure you have antivirus and anti-malware software protecting your systems – these can be downloaded from companies such as AVG and Kaspersky. Secondly, as new cyber threats emerge every day, you need to keep your security software up to date to protect you from new malware. Regular updates will ensure you stay one step ahead of the threat actors.
  • Train Your Employees: Well-trained employees are your first line of defense against cyber threats. Regular cybersecurity training can help your staff recognize phishing attempts, avoid suspicious links, and practice safe browsing and downloading habits. By keeping your team trained and up to date, you can ensure employees stay aware of evolving threats, reducing the risk of security breaches.

For more ways to secure and optimize your business technology, contact your local IT professionals.

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Updates are crucial for protecting your PC, so Windows Update is a useful ally in this objective. But what happens when it starts downloading malware?

News has emerged that hackers have exploited the Windows Update system to execute malicious code on users’ PCs. It’s an attack which is typical of hackers as it’s innovative, deceptive and dangerous. Currently, the perpetrators of the attack appear to be Lazarus, a hacking group who are backed by North Korea. Dozens of cyberattacks have been attributed to Lazarus – such as the ThreatNeedle hack – over the last decade, so it should come as no surprise that this latest attack is a serious threat.

At Ophtek, we’ve always advised you that updates are the best way to protect your PC. And this remains the case. However, this exploit of the Windows Update service provides a cautionary tale, so we’re going to take a closer look at it.

Why is Windows Update Downloading Malware?

Lazarus have chosen the Windows Update client as a facilitator in its attack as it’s a highly trusted piece of software. After all, the main consensus of updates is that they protect your PC, so why suspect Windows Update of anything else? However, it’s this type of assumption which leads to threats developing.

This latest attack employs a spear-phishing technique which uses infected Microsoft Word documents, these false email attachments claim to be offering job opportunities at the aerospace firm Lockheed Johnson. However, far from containing opportunities for the recipients, these infected documents only contain opportunities for Lazarus. Once the Word documents are opened, users are prompted to activate macros. And this allows Lazarus to automatically install a fake Windows Update link in the PCs startup folder as well as downloading a malicious .dll file.

This Windows Update link is then used to load the malicious .dll through the Windows Update client. The hackers use this approach as it’s innovative and won’t get picked up by anti-malware tools. Lazarus are then free to download as much malware as they like onto the infected PC.

How to Protect Your PCs Against this Threat

You may think that the simplest way to protect yourself is by turning off Windows Update, but we do not recommend this. The best approach involves ensuring that Windows Update can’t be exploited by Lazarus’ attack methods. And this requires you to understand the techniques involved in spear-phishing, so make sure you practice the following:

  • Awareness: the most important step you can take in tackling spear-phishing is by introducing awareness to your employees. Make sure that regular training is provided to educate your staff on what spear-phishing is and the ways in which it can manifest itself on a PC.

For more ways to secure and optimize your business technology, contact your local IT professionals.

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