Cyber extortion, a form of cybercrime, has become a prevalent issue in today’s digital age. It involves an attack or threat of an attack by cybercriminals who demand money or some other form of response in return for stopping or remediating the attack. These attacks typically aim to gain access to sensitive information or disrupt an organization’s systems. The most common types of cyber extortion include ransomware attacks and distributed denial of service (DDoS) attacks.
During a ransomware attack, cybercriminals employ malicious activity to encrypt a victim’s files or lock them out of their systems. They then demand payment, usually in the form of cryptocurrencies like Bitcoin, in exchange for releasing the decryption key or regaining access to the infected systems. In some cases, cybercriminals may also use a DDoS attack to steal sensitive corporate information and threaten to make it public if their demands are not met.
Cyber extortion attacks can occur through various means, such as ad scams, phishing emails, infected websites, and other techniques. The attackers may not execute the attack themselves; instead, they can hire skilled cyber attackers to perform the task on their behalf. This is known as ransomware as a service or cybercrime as a service.
While cyber extortion and ransomware are related concepts, they are not the same. Cyber extortion is a broader term that encompasses different techniques used by cybercriminals to force victims to comply with their demands. Ransomware, on the other hand, is a specific type of cyber extortion that employs malicious software to encrypt files or lock users out of their systems.
Today, businesses face various types of cyber extortion and cyber threats. Cyber blackmail involves breaching a private network, stealing valuable data, and holding it hostage. Database ransom attacks target vulnerable databases and demand ransom to release the hijacked data. DDoS attacks disrupt access to servers and data, with cybercriminals demanding payment to stop or prevent these attacks. Ransomware infects devices and prevents users from accessing their data until a ransom is paid. Doxing involves disclosing personal or private information to cause harm or distress. Phone and website extortion also exist, with attackers making threats over phone calls or threatening to deface or take down websites unless payment is made.
Cyber extortion attacks can have severe consequences for victims. Companies may suffer from data breaches, reputation damage, loss of customers, and lost revenue. Hackers may threaten to make trade secrets or intellectual property public or sell them to rival companies, compelling victims to pay the ransom. Recent cyber extortion events include the Colonial Pipeline ransomware attack, which caused fuel shortages and disrupted air traffic in the US; a ransomware attack on the University of Manchester compromising millions of patient records; and an increase in ransomware payments to $1.5 million in 2023.
To prevent cyber extortion, organizations must prioritize strong cyber defenses. This includes backing up and encrypting data, implementing multifactor authentication, regularly updating systems and security measures, and providing employees with adequate training to identify and prevent phishing attempts.
As cybercrime continues to evolve, it is crucial for companies to stay vigilant and proactive in safeguarding their systems and sensitive information. By taking preventative measures and staying informed about the latest cyber threats, organizations can reduce the risk of falling victim to cyber extortion and protect themselves from potential financial and reputational damage.