A Brief History of Ransomware Attacks

Ransomware is a form of malicious software that encrypts files on a victim’s computer and demands payment in order to decrypt them. Ransomware attacks have been around for decades, but have rapidly evolved and increased in frequency in recent years.

The Genesis – AIDS Trojan (1989)

Origins in the Late 1980s: One of the first ransomware attacks was known as the “AIDS Trojan” or “PC Cyborg Trojan”, which was created in 1989 by Joseph Popp. It used asymmetric cryptography to encrypt file names.

Joseph Popp, a biologist, created the AIDS Trojan, which was distributed via infected floppy disks at the World Health Organization’s AIDS conference. Victims who fell prey to this early ransomware were asked to send $189 to a PO box in Panama to recover their files. Popp was later apprehended, but this marked the beginning of a dangerous trend in the world of cybercrime.

The Evolution of Encryption in the 2000s

In the early to mid 2000s, more ransomware started to emerge, including PGPCoder, Archiveus, Krotten and Gpcode. These early variants encrypted files but the encryption schemes were weak and sometimes easily reversible. Payment was demanded via snail mail or email. Damage from these early ransomwares was limited.

In 2004, we witnessed a significant step forward in the evolution of ransomware with the emergence of GpCode. This malware used strong encryption algorithms, making it nearly impossible for victims to recover their files without paying a ransom. The encryption capabilities introduced in GpCode became the cornerstone for many future ransomware variants, making decryption increasingly difficult.

Reveton in 2012

In 2012, a police ransomware called Reveton started targeting users in Europe and the United States. It accused victims of illegally using software or viewing child pornography and demanded payment of a fine. It was one of the first ransomwares to use geolocation and cybercriminal affiliates to maximize infections.

Cryptolocker – The Game Changer (2013)

Considered the first modern ransomware, CryptoLocker emerged in 2013 and encrypted files securely using public-key cryptography. It used the difficult-to-trace Bitcoin for ransom payment and infected over 250,000 computers globally. It popularized the ransomware-as-a-service business model.

The year 2013 marked a significant turning point in the history of ransomware with the emergence of Cryptolocker. Unlike previous ransomware, Cryptolocker utilized Bitcoin as the ransom payment method, making it much harder for authorities to track the transactions. It employed strong encryption and demanded a hefty ransom in exchange for the decryption key. Cryptolocker’s success prompted the development of copycat ransomware strains and led to a significant increase in attacks on both individuals and organizations.

Rise of Ransomware Families

In subsequent years, many ransomware variants or families emerged, including Locky, Cerber, SamSam and Ryuk. Damage costs from ransomware escalated, with attacks targeted at corporations, hospitals, schools and other critical infrastructure.

The Healthcare Nightmare – WannaCry (2017)

One of the most infamous ransomware attacks of recent years was the WannaCry outbreak in 2017. It exploited a Windows vulnerability, targeting healthcare institutions and critical infrastructure worldwide. The rapid spread of WannaCry and its ability to encrypt data on a massive scale led to extensive data loss and financial losses. The attack emphasized the importance of timely software patching and proper cybersecurity measures.

DarkTequila – A Sophisticated Threat (2018)

In 2018, DarkTequila emerged as a particularly sophisticated and devastating ransomware strain. Targeting users in Latin America, this malware used advanced anti-analysis techniques, making it challenging for security experts to reverse engineer and develop decryption tools. DarkTequila operated covertly, compromising personal and financial information.

Shift to Data Leak Extortion

By 2019, many threat actors shifted from just encrypting files to also threatening to leak or sell exfiltrated data. This exposed companies to reputational damage on top of disrupted operations. Major families using this tactic include Maze, REvil, Conti and BlackCat.

Ransomware-as-a-Service (RaaS)

The Ransomware-as-a-Service model expanded access to ransomware tools for cybercriminals. Negotiation-as-a-Service opened up extortion to non-technical criminals. This led to an explosion in ransomware attacks in the early 2020s.

Cybercriminals could now rent or purchase ransomware variants, making it easier for low-skilled individuals to conduct attacks. Some notorious RaaS platforms like GandCrab, DarkTequila, and Sodinokibi have played a major role in propagating ransomware attacks.

Triple Extortion Becomes Common

In the early 2020s, many ransomware groups adopted “triple extortion” – encrypting data, stealing sensitive data, and threatening DDoS attacks unless ransom is paid. This put tremendous pressure on victims to pay. Major users of this tactic include Black Basta, BlackCat and Quantum.

Shift to Critical Infrastructure

By 2021-2022, ransomware groups brazenly attacked hospitals, transportation systems, fuel pipelines and other critical infrastructure. This represented an escalation compared to earlier targets like businesses and resulted in more disruption.

RaaS Services Proliferate

Due to the high profits, Ransomware-as-a-Service continued to proliferate in 2022-2023, with Conti, Black Basta, LockBit 3.0, Quantum and dozens of other groups active globally. Attack numbers reached record highs, showing no signs of slowing down.

Conclusion: The Ongoing Battle Against Ransomware

The battle against ransomware continues as cybersecurity experts, law enforcement agencies, and organizations worldwide strive to develop better prevention, detection, and recovery strategies. Timely software updates, robust backup and recovery procedures, and improved employee education are some of the key elements in protecting against ransomware.

Government agencies like the FBI and CISA repeatedly warned organizations about the ransomware threat. Initiatives were launched to seize ransom payments, dismantle ransomware servers and indict group members. But ransomware remains endemic due to the challenge of tracing cryptocurrency payments.

Attackers have constantly innovated new techniques, business models and targets over decades. With the high profits involved, the ransomware epidemic is likely to continue unless fundamentally disrupted by law enforcement and cyber defenders. Going forward, organizations must remain vigilant and adopt best practices to detect and mitigate these attacks.

While ransomware may have come a long way since its inception, it remains a pervasive and dangerous threat that demands our collective attention and vigilance. As technology advances, so too must our efforts to combat these malicious attacks, as the consequences of inaction are increasingly severe.