SpyCloud Unveils Massive Scale of Identity Exposure Due to Infostealers, Highlighting Need for Advanced Cybersecurity Measures

Austin, TX, September 18th, 2024, CyberNewsWire

Research indicates that an infostealer malware infection is often a precursor to a ransomware attack

SpyCloud, the leader in Cybercrime Analytics, today announced new cybersecurity research highlighting the growing and alarming threat of infostealers – a type of malware designed to exfiltrate digital identity data, login credentials, and session cookies from infected devices. SpyCloud’s latest findings reveal the staggering scale of identity exposure caused by infostealers, the influence this type of malware has had on the surge in ransomware incidents, and the profound implications for businesses worldwide.

Massive scale of identity exposure creates new risks

According to SpyCloud, 61% of all data breaches in the past year were malware-related, with infostealers responsible for the theft of 343.78 million credentials. These stolen credentials are then sold in criminal communities for use in further attacks.

The research also found that one in five individuals has been a victim of an infostealer infection. Each infection, on average, exposes 10-25 third-party business application credentials, creating fertile ground for further access and exploitation, particularly by ransomware operators.

“Our latest findings reveal a critical shift in the cybersecurity landscape,” said Damon Fleury, chief product officer at SpyCloud. “Infostealers have become the go-to tool for cybercriminals, with their ability to exfiltrate valuable data in a matter of seconds, creating a runway for cyberattacks like ransomware off the vast amounts of stolen access to SSO, VPN, admin panels, and other critical applications.” 

Infostealers: The precursor to ransomware attacks

The link between infostealers and ransomware is becoming increasingly evident. Through deep analysis of recaptured infostealer logs, SpyCloud discovered a worrying trend: companies with employees and contractors who are infected with infostealer malware are significantly more likely to experience a ransomware attack. In fact, nearly one-third of companies that suffered a ransomware attack last year had previously experienced an infostealer infection. According to the report, this is based on publicly known incidents and confirmed ransomware events. The true exposure is potentially even higher as not all ransomware incidents are made publicly available. 

“The correlation between infostealer infections and subsequent ransomware attacks is a wake-up call for businesses,” said Trevor Hilligoss, vice president of SpyCloud Labs, SpyCloud. “However, this field is incredibly complex and fast-moving. This year, we’re seeing new infostealers families that make use of expanded capabilities such as advanced encryption to stay stealthy or the ability to restore expired authentication cookies for more persistent access.” 

The rise of Malware-as-a-Service and account takeover attacks

The infostealer threat is further exacerbated by the rise of Malware-as-a-Service (MaaS). This off-the-shelf model allows even low-skilled cybercriminals to purchase and deploy sophisticated malware, including infostealers, with ease. Through MaaS, these criminals can acquire fresh and accurate identity data in bulk, fueling the cycle of cybercrime.

SpyCloud’s findings also shed light on the evolution of account takeover (ATO) attacks, powered by infostealers. Unlike traditional ATO, which relies on stolen credentials (username and password combinations), next-generation ATO leverages stolen session cookies to sidestep traditional authentication methods in what is known as session hijacking. By taking over these already-authenticated sessions, cybercriminals can mimic legitimate users and infiltrate networks undetected. This method significantly increases the success rate of attacks and poses a severe threat to organizational security.

“The sheer volume of credentials and session cookies being siphoned by infostealers is staggering,” said Hilligoss. “In the last 90 days alone, SpyCloud has recaptured over 5.4 billion stolen cookie records – with an average of nearly 2,000 exposed records per infected device. This vast trove of data is increasingly used by ransomware operators and initial access brokers to facilitate their attacks, highlighting the need for advanced defense strategies.”

Antivirus, MFA and traditional defenses are no longer enough

At least 54% of devices infected with infostealers in the first half of 2024 had antivirus or endpoint detection and response (EDR) solutions installed, underscoring the limitations of traditional cybersecurity measures in combating the techniques used by modern cybercriminals. 

Furthermore, infostealers and session hijacking attacks render multi-factor authentication (MFA) and passwordless authentication methods like passkeys ineffective. By hijacking already-authenticated sessions, cybercriminals can impersonate legitimate users and side-step even the most robust authentication methods.

The call for next-generation cybersecurity

The findings from SpyCloud make it clear: traditional malware mitigation is no longer sufficient and ignoring the problem only exacerbates the impact on businesses. Organizations must move beyond merely removing infections and focus on remediating the long-term risks posed by exposed data. This includes resetting compromised application credentials and invalidating session cookies siphoned by infostealers.

By understanding the risks posed by infostealers and working to mitigate the data that has been exfiltrated, organizations are able to limit the likelihood of devastating cyberattacks such as ransomware that stem from this stolen data. SpyCloud remains committed to helping organizations navigate these challenges and safeguard their digital assets.

Readers can download the full 2024 Malware and Ransomware Defense Report.

To learn more about how SpyCloud helps organizations defend against ransomware, readers can visit https://spycloud.com/use-case/ransomware-prevention/. 

About the SpyCloud 2024 Malware and Ransomware Defense Report

For this fourth annual report, SpyCloud surveyed 510 individuals in active cybersecurity roles within organizations in the US and the UK with at least 500 employees. The report examines the top concerns and real-life impacts of ransomware, including popular entry points, ransom payments, and the cumulative costs of these attacks to the business. It also highlights key cyber threat prevention strategies and future security priorities identified by these experts.

About SpyCloud

SpyCloud transforms recaptured darknet data to disrupt cybercrime. Its automated identity threat protection solutions leverage advanced analytics to proactively prevent ransomware and account takeover, safeguard employee and consumer accounts, and accelerate cybercrime investigations. SpyCloud’s data from breaches, malware-infected devices, and successful phishes also powers many popular dark web monitoring and identity theft protection offerings. Customers include more than half of the Fortune 10, along with hundreds of global enterprises, mid-sized companies, and government agencies worldwide. Headquartered in Austin, TX, SpyCloud is home to more than 200 cybersecurity experts whose mission is to protect businesses and consumers from the stolen identity data criminals are using to target them now.

To learn more and see insights on their company’s exposed data, readers can visit spycloud.com

Contact

EVP, Public Relations
Katie Hanusik
REQ on behalf of SpyCloud
spycloud@req.co