What is ransomware-as-a-service?

Ransomware-as-a-service is a business model where cybercriminals develop ransomware and sell or lease it to affiliates, who then use the software to carry out attacks on targets of their choice. This model has significantly lowered the entry barrier for cybercriminals, enabling even those with minimal technical skills to launch sophisticated ransomware campaigns.

Although RaaS has been around for a while, it started gaining traction in the mid-2010s as cybercriminals realized the profitability and scalability of offering ransomware tools as a service. Cybercriminals began offering ransomware toolkits on dark web marketplaces, making it easier for less skilled individuals to launch ransomware attacks. The practice transformed ransomware from isolated attacks by individual hackers into a large-scale criminal business model.

This business model is structured similarly to legitimate software-as-a-service (SaaS) offerings, complete with subscription-based services, user-friendly interfaces and even customer support. RaaS allowed cybercriminals to create recurring revenue streams, and by 2020, ransomware attacks had generated an estimated $20 billion in global losses.

Uncover 10 powerful cybersecurity spells to banish ransomware threats and keep your network safe from digital scares.

How does RaaS differ from traditional ransomware?

Traditionally, ransomware attacks are typically carried out by the developers themselves. They handle everything from creating malware to executing the attack and collecting the ransom. In contrast, RaaS separates these roles. Developers create the ransomware and provide it to affiliates, who then carry out the attacks. This division allows for more attacks to occur simultaneously, increasing the overall impact.

How does ransomware-as-a-service work?

The RaaS model has quickly become one of the most dangerous trends in the cybersecurity world. By lowering the technical barrier to entry, it has allowed even amateur cybercriminals to launch sophisticated ransomware attacks with minimal effort. The service operates through a structured process involving four key steps:

1. Ransomware development: Skilled cybercriminals or ransomware developers create sophisticated ransomware software designed to evade security systems and cause maximum damage. These developers continuously improve their malware to bypass evolving security measures. Prominent RaaS examples include REvil, DarkSide and LockBit, which have caused global ransomware incidents.
2. Affiliate recruiting: Once the ransomware is developed, the creators recruit affiliates via dark web forums, encrypted messaging apps or private forums. These platforms operate like a criminal marketplace. Affiliates, often referred to as “partners” or “networkers,” may pay a one-time fee or a subscription fee or agree to share a percentage of the ransom profits with the developers. RaaS affiliates pay a recurring fee — sometimes as little as $40 per month — for access to ransomware tools. For instance, RaaS operations like Avaddon offer affiliates up to 80% of the profits, depending on the service model.
3. Ransomware execution: Affiliates then handle the distribution of the ransomware. They employ various techniques, such as phishing emails, malicious downloads or exploiting security vulnerabilities, to infect a victim’s system. Once the malware infiltrates a network, it encrypts critical data, rendering it inaccessible to the victim until a ransom is paid. Notably, attacks by RaaS operators, such as DarkSide, led to high-profile incidents, like the Colonial Pipeline attack, which resulted in the company paying nearly $5 million in ransom.
4. Payment and/or profit-sharing: After encryption, victims are directed to pay a ransom, typically in cryptocurrency like Bitcoin, in exchange for decryption keys. This anonymity makes tracking and prosecuting cybercriminals much harder. The profits are then split between the affiliate and the developer according to their agreement, with affiliates often taking a larger share. Some RaaS platforms even offer 24/7 support to their affiliates, making the process more streamlined and profitable​.

Who are the typical targets of RaaS attacks?

While RaaS attacks can affect any organization, some types of targets are more frequently hit due to their specific vulnerabilities:

• Small to medium-sized businesses (SMBs): Attackers know that smaller businesses are less likely to have comprehensive defenses, such as endpoint protection or intrusion detection systems, making them vulnerable.
• Critical infrastructure: Sectors like energy, utilities, transportation and water management are targeted because disrupting these systems can cause widespread chaos, and organizations in these sectors may be willing to pay ransom quickly.
• Healthcare organizations: Hospitals and healthcare providers are prime targets due to the sensitive nature of the data they hold. The healthcare sector has seen a surge in ransomware attacks, especially during the COVID-19 pandemic, where interruptions could put lives at risk.
• Organizations with outdated security protocols: Companies that fail to update software regularly, install patches or improve their security systems are easy targets. Vulnerabilities in old systems are well-known to cybercriminals, making these organizations low-hanging fruit for RaaS affiliates.
• Educational institutions: Schools and universities often operate on tight budgets, making security improvements difficult. In addition, they rely heavily on online platforms, increasing their attack surface.
• Financial services: Banks, investment firms and insurance companies are appealing to cybercriminals because the stolen information can be sold on the dark web or used to commit financial fraud.

Concerned that your network might be at risk? Watch our on-demand webinar to discover how to leverage your RMM solution to defend against ransomware threats effectively.

What are real-life examples of ransomware-as-a-service?

Several RaaS groups have made headlines for their devastating and widespread attacks:

DarkSide

DarkSide emerged in 2020 and quickly gained notoriety for targeting large corporations. The group is most infamous for orchestrating the Colonial Pipeline attack, which caused fuel shortages across the United States. DarkSide employs a tactic known as double extortion, where they not only encrypt data but also threaten to leak it unless the ransom is paid, adding another layer of pressure on their victims.

LockBit

LockBit has been active since 2019 and is distinguished by its emphasis on speed and automation in ransomware deployment. The group made headlines when it targeted Accenture, a major consulting and professional services firm. LockBit’s self-spreading capabilities enable it to infect systems rapidly, making it particularly effective and dangerous.

REvil

REvil, also known as Ransomware Evil, has become infamous for its involvement in several high-profile attacks. One of the most notable incidents was its attack on JBS Foods, the world’s largest meat processor, which disrupted global food supply chains. REvil is known for demanding exorbitant ransoms, sometimes exceeding $40 million, and it often targets major enterprises.

Conti

Since 2020, Conti has been linked to over 400 attacks globally, demonstrating its operational scope. A key incident involving Conti was its attack on Ireland’s Health Service Executive (HSE), which severely impacted healthcare services. Conti is recognized for its fast encryption process and its use of highly targeted phishing emails to infiltrate networks, making it a persistent threat.

What has contributed to ransomware-as-a-service growth?

Several key factors have contributed to the rise of RaaS, making it one of the most profitable and pervasive cybercrime models today:

• Lowered barriers to entry: The RaaS model allows individuals with minimal technical expertise to participate in ransomware attacks by simply purchasing or subscribing to ransomware kits developed by skilled cybercriminals. These tools come with user-friendly interfaces, support systems and updates, making it easier than ever for non-experts to execute sophisticated cyberattacks.
• High profitability: Ransomware attacks often result in substantial ransom demands, typically ranging from tens of thousands to millions of dollars. The potential for large payouts with minimal overhead costs has made RaaS highly attractive to cybercriminals.  
• Anonymity: The use of cryptocurrencies, like Bitcoin, for ransom payments, combined with encrypted communication channels on the darknet, makes it incredibly difficult for law enforcement to track cybercriminals and affiliates. This level of anonymity enables attackers to operate with relative impunity, lowering the risk of prosecution. Even when individual affiliates are caught, the decentralized nature of RaaS makes it difficult to dismantle the entire operation.
• Global reach: RaaS platforms can be marketed and distributed worldwide, meaning that cybercriminals are not restricted to geographic boundaries. This global reach exponentially increases the number of potential targets, from small businesses to large multinational corporations.
• Lack of adequate security measures: Many organizations still fail to update their security protocols regularly, leaving their systems vulnerable to attack. Outdated software, weak passwords and a lack of comprehensive cybersecurity policies create gaps that RaaS affiliates can easily exploit.
• High profitability with minimal risk: RaaS offers high profitability with relatively low risk. The decentralized nature of RaaS operations allows developers to stay insulated from direct involvement in attacks, while affiliates bear the brunt of the risk by distributing the ransomware. Even if one affiliate is caught, the larger operation continues, making it a resilient and sustainable business model for cybercriminals.

How to stop ransomware-as-a-service

Protecting your organization from RaaS involves a multilayered security approach:

• Patch Management and Software Updates: Regularly updating software fixes vulnerabilities and reduces the risk of breaches. Automated patch management tools ensure timely updates and minimize exposure to threats.
• Endpoint Protection and Security: Installing strong antivirus and antimalware solutions helps block malicious software. Firewalls and intrusion detection systems add extra security by monitoring and controlling network traffic.
• Threat Detection and Response: Continuous network monitoring identifies suspicious activities early. Having an incident response plan ensures swift action to minimize damage from breaches.
• Security Awareness Training: Educating employees on phishing and safe online practices reduces human error. Regular training and simulations reinforce this knowledge, helping to prevent attacks.
• Data Backup and Recovery: Regular backups protect critical data from loss. Storing backups offline or in secure cloud services ensures they remain safe from infection or attacks.

When it comes to fighting ransomware, investing in individual, siloed solutions can lead to gaps in security, inefficiency and extra costs. IT teams need integrated systems that seamlessly manage security, endpoints and operations from a single platform. Kaseya 365 offers exactly that — a unified solution that covers all the essential needs of an IT team. In the event of a cybersecurity attack, Kaseya 365’s automation and powerful integrations enable technicians to quickly isolate, quarantine and resolve the issue, effectively neutralizing ransomware threats in real-time.

Automatically detect and prevent RaaS attacks with Kaseya 365

Kaseya 365 simplifies IT management by combining endpoint management, backup, security and automation into one powerful, affordable platform. With features like automated patch management, ransomware detection and antivirus, it ensures your systems stay secure and up to date. Additionally, Kaseya 365 proactively safeguards your Microsoft 365 data with automated backup and recovery, minimizing downtime and mitigating the impact of ransomware attacks.

For those needing advanced protection, the Pro version includes endpoint detection and response (EDR) for an extra layer of defense against sophisticated threats.

At the heart of Kaseya 365 is Kaseya VSA, a robust and versatile remote monitoring and management (RMM) tool that automates critical tasks like patch management and ransomware detection. This allows you to manage your IT environment effortlessly, ensuring security and efficiency. Check out this on-demand webinar to learn how VSA can help fortify your defenses.

Strengthen your defenses and give your IT team peace of mind. Take a demo today and see how Kaseya 365 can transform your security strategy.

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In 2021, CNA Financial Corp, one of the largest insurance companies in the U.S., paid $40 million as ransom. It is likely to be the biggest ransom ever paid. That’s not all though. In 2022, 71% of companies worldwide were affected by ransomware and 62.9% of victims of ransomware attacks paid the ransom. These numbers show that ransomware is getting increasingly difficult to escape.

However, strong passwords, timely patching and configuration hardening are all safeguards that will keep your users, data and devices safe. In this blog, you’ll find useful tips and tricks for using a best-in-class RMM like VSA to avoid a ransomware-induced IT heartbreak.

1. Let’s patch things up

Although the cornerstone of any security exercise is patching, many companies fail to implement a robust patch strategy. Sadly, many companies still practice manual patching, a process as old as time and slow as molasses. Their tools and systems do not allow them to patch hundreds of endpoints simultaneously without inconveniencing the end users.

Kaseya VSA is a cutting-edge RMM solution that leverages automation capabilities to provide futuristic patching technologies to the modern IT professional. It supports fire-and-forget and risk-based patching for windows and macOS devices so you can sit back and secure all your endpoints on time. VSA also boasts a library of over 230 patchable third-party applications and vets them to limit day-one disruptions. You get more granular control over the process and decrease the chances of unintended consequences.

VSA also has the perfect feature to patch the endpoints of those users who delay patching for days on end. About 57% of ransomware attacks result from unpatched software due to end users blocking patches and compromising organizational security, often leading to devastating consequences. VSA’s integration with the Intel vPro platform allows it to turn on endpoints in the middle of the night, patch them and then turn them off again. No more worrying about careless end users.

2. Swipe right on configuration hardening

Configuration hardening reduces a company’s attack surface against threats and security risks. An attack surface is the sum of all the endpoints and vulnerabilities a cybercriminal can exploit to gain unauthorized access to your organization. Reducing the attack surface, implementing strict security practices and ensuring that all users adhere to them can strongly deter cybercriminals from carrying out their plans.

Security practices, such as configuration hardening, are holistic in nature. It includes keeping all ports closed, limiting user permissions and preventing anyone from executing scripts unless absolutely necessary. Properly configuring your firewalls and enforcing two-factor authentication are also a must. Keeping track of all your endpoints, enforcing 100% antivirus (AV) and antimalware (AM) compliance, and conducting deep, rich and continuous discovery will ensure that no endpoints go unprotected.

While doing all of the above might seem impossible with your current RMM, VSA allows you to do all this and more right out of the box. With VSA, you can automate user onboarding, deploy AV/AM remotely and even auto-remediate alerts for security risks, like unauthorized port usage, in a wink. Not only will you deliver high-quality work, but you can demonstrate your cybersecurity and IT resilience to clients, auditors and insurers by leveraging VSA’s advanced IT reporting and logging features. Shrink your attack surface, strengthen your defenses and get ahead of the curve.

3. Catch those red flags before it’s too late

If an alert crosses your desk that has you scratching your head, investigate it immediately. The most likely cause of any unusual activity on your systems and endpoints is an intruder trying to sneak around unnoticed. Keeping an eye out for the unknowns is the smart way to uncover a cyberattack before it can raise hell.

Organizations can identify new threats and take proactive measures to mitigate them by monitoring unusual behavior patterns, such as file encryption, backup deletion, boot file alteration and ransomware notes. Attackers also try to escalate privileges to gain access to more critical systems and data as they move laterally through a network.

Additionally, you should monitor for foreign RMM agents since some conventional RMM free trials are being used to spread ransomware. Our new native Ransomware Detection module on VSA ensures that our free trials are vetted in advance, avoiding incidents. This module detects ransomware-style behavior with almost no false positives and quarantines infected endpoints immediately.

The dwell time, which is the time between the moment of compromise and the organization discovering the attack, has doubled from 13 to 31 days in the last two years. In other words, detecting ransomware early and quarantining the infected endpoint can be a veritable silver bullet for your organization’s security.

It’s time to change the game with Kaseya VSA

This year, don’t let a ransomware attack leave you brokenhearted, beaten down and stuck rebuilding your entire IT ecosystem. Watertight cybersecurity can be yours right out of the box with a best-in-class RMM like VSA. Name your security task and VSA will fulfill it for you. Thanks to its automation capabilities, VSA will increase technician efficiency by 25% and reduce ticket volume by 30%. Want to see what VSA can monitor, manage, secure and automate for you? Book your free demo now!

The post Avoid IT Heartbreak This Valentine’s Day With Ransomware Detection appeared first on Kaseya.

What is ransomware?

Ransomware is a type of malicious software(malware) that employs the use of encryption to withhold sensitive information (files, applications, databases) of the victim at ransom. Once encrypted by ransomware, the critical data is rendered inaccessible to the user or organization until a certain ransom is paid to the attacker. More often than not, these ransomware attacks impose a deadline by which the victim needs to make the ransom payment. In the event of nonpayment by the deadline, either the affected data is lost forever, or the ransom amount increases.

Typically designed to quickly spread across the target network or database, ransomware can effectively paralyze an entire organization within minutes. The menace of ransomware is real, leading to billions of dollars being lost to ransom payments and significant damages/expenses for both private and government-owned organizations.

What is dwell time?

Dwell time is essentially the time period between the attacker’s initial entry into the target organization’s network/database and the time when the organization becomes aware of the existence of the attacker within its environment and takes action to eradicate them. In most ransomware incidents, hackers go past firewalls for 14 days, 30 days or more. Dwell time is steadily increasing year over year with most attackers spending longer and longer in the victim’s systems before they’re ready to detonate the bomb. The moment of compromise is not actually the moment you often learn about it. It actually happened weeks before.

What is ransomware protection?

Ransomware protection can be described as a series of measures/safeguards that organizations put in place with the aim to avoid, prevent, defend against and mitigate damage from a ransomware attack. In other words, it is a multilayered approach to combatting the multilayered problem of ransomware attacks using infrastructure monitoring and management, cybersecurity and backup and disaster recovery measures. Here’s a list of measures that you can take in order to protect your data and systems against the far-reaching impact of ransomware attacks:

• Always keep data backups.
• Deploy a robust ransomware protection solution.
• Keep your OS, applications, security software and programs patched and updated.
• Train your employees in the security best practices to avoid ransomware attacks, such as never clicking on links or email attachments from unreliable sources.
• Practice caution online and beware of malicious pop-up ads and websites.
• Never use public Wi-Fi networks to surf the internet. Use VPN (virtual private network) instead to prevent your critical data from exposure.
• Avoid using USB drives from unknown sources.

Why do we need ransomware protection?

According to Kaseya’s 2022 IT Operations Survey report, more than a third of IT professionals cite ransomware protection among the top three technology considerations for 2023. So, why is ransomware protection such a big deal? Given the rapid advancements in cyber technology, ransomware is fast becoming one of the most preferred ways for attackers to launch attacks on individuals and organizations. Your systems and networks are growing ever more susceptible to ransomware attacks by the day. A report by Sophos reveals that nearly 66% of organizations were hit by a ransomware attack in 2021!

The average cost of a ransomware attack in 2022 (not including the ransom itself) is a whopping $4.54 million. It goes without saying that a single ransomware attack can quickly drain you of your resources. Protecting your organization against ransomware attacks has become a crucial part of any robust cybersecurity posture.

What are the best practices for protecting against ransomware?

Now that we know how important it is to protect your organization against the menace of ransomware attacks, let’s look at some of the best practices that you must follow in order to strengthen your security posture.

Network monitoring from your RMM

Regular monitoring of your networks is one of the best strategies that can help you identify any possible intrusions within your IT environment and stop an attack before it occurs. A robust RMM/endpoint management solution can help you stay on top of your network monitoring needs.

Backup and recovery

Deploying a comprehensive backup and recovery solution is imperative to ensuring that you never lose your critical data, even when your organization is exposed to a ransomware attack. Get a backup solution that provides daily, automated backup of your SaaS data on Google Workspace, Salesforce, and Office to their own secure cloud infrastructure, so that if you ever lose data, you can restore it directly back into your environment.

Patch management

Fixing software vulnerabilities through patching reduces the “attack surface” and keeps hackers at bay. Patch management is critical when it comes to securing your systems. The primary purpose of patches is to fix functional bugs and security flaws in the software. For efficient patching, you must put in place an automated process that reduces the burden on your IT team as much as possible.

Antivirus and anti-malware

Configuring and deploying a strong antivirus and anti-malware tool across your network can significantly reduce the chances of attackers invading your IT environment and gaining control over it.

Anti-phishing and email security software

Email is the most successful delivery method for the costliest cyberattacks out there including ransomware. Building a strong defense against phishing is one of the most important strategies for deflecting malicious attacks and keeping the integrity of your systems, networks and data intact. Make sure to install automated anti-phishing and email security software that protects you from cybercriminals posing as trusted contacts.

Security awareness training

In addition to deploying cybersecurity solutions, businesses must also focus on educating their employees about security best practices that will help them act as yet another line of defense against attackers. Regular security awareness training can help transform your employees into your biggest defensive asset.

Whitelist software and applications

Whitelisting software and applications involves indexing of approved executable files or software applications that are allowed to be available and active on an organization’s IT infrastructure. This helps businesses protect their systems and networks against harmful applications that can act as a gateway for attackers to gain unauthorized access to them.

Privileged access management

As the name suggests, privileged access management refers to the process of designating special (above standard) access or permissions to specific users within the network. This enables organizations to preserve the confidentiality of their critical data and keep their IT environment secure against potential cyberattacks.

Intrusion detection system

An Intrusion Detection System (IDS) monitors network traffic for suspicious activities and known threats, and issues alerts when such activities are discovered. It allows you to guard your business against attempts to gain unauthorized access and identify and eliminate the source of any potential intrusion. Deploying an intrusion detection system is a smart strategy to keep out potential intruders from your IT environment.

Network segmentation

Network segmentation is the process of dividing your computer network into multiple, smaller subnets or segments in order to enhance the network’s security. It helps achieve that by protecting vulnerable devices against harmful traffic and also restricting the extent to which a cyberattack can spread within the network by keeping the outbreak contained within the affected segment.

Immutable storage

Deploy a backup solution that provides long-term immutable cloud storage wherein your data cannot be deleted or modified by the source. This will reinforce the integrity of your backed-up data and prevent complete data loss in the event of a ransomware attack.

Endpoint protection

Endpoint protection, also known as endpoint security, involves the use of advanced security tools and processes to secure various endpoints like servers, workstations and mobile devices that connect to a corporate network. Focus on comprehensive endpoint protection for your business to prevent cybercriminals from stealing or altering valuable company data and applications, or from hijacking the business network, all of which can grind operations to a halt.

Protect your organization against ransomware with Kaseya

A best-in-class RMM/endpoint management solution such as Kaseya VSA can help bolster your cybersecurity posture and prevent and combat any potential ransomware attacks on your systems and networks. Kaseya VSA helps you achieve that by:

• Monitoring everything (files being encrypted, escalating privileges, attackers moving laterally through the network, foreign RMM agents being installed etc.)
• Enabling no-click user onboarding with configuration hardening (no admin privs, no scripting privs, closed ports, enforced 2FA, etc.)
• Offering automated patch management
• Automatically quarantining infected endpoints
• Monitors the status of endpoints and generates alerts for any detected ransomware events including possible file encryption/deletion or the presence of ransomware notes
• Triggers automated workflows to isolate any infected machines and then disconnect the endpoint from the network
• Users can then leverage a BCDR solution to restore the infected machine and make the network whole

Want to know more about building a strong defense against the ransomware menace with Kaseya VSA? Book your free demo now!

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