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US Accuses Russia of Disinformation Plot to Justify Invasion of Ukraine

US Accuses Russia of Disinformation Plot to Justify Invasion of Ukraine

The United States has accused Russia of a disinformation plot to serve as a pretext to an invasion of Ukraine.

This would be a video purporting to show a Ukrainian attack on Russian territory or against Russian-speaking people in Eastern Ukraine. According to the US government, the fabricated video would be highly graphic, including images of dead bodies.

On Thursday, Pentagon spokesman John Kirby told reporters: “We do have information that the Russians are likely to want to fabricate a pretext for an invasion.

“As part of this fake attack, we believe that Russia would produce a very graphic propaganda video, which would include corpses and actors that would be depicting mourners and images of destroyed locations.”

The US government added that it revealed the plans to help prevent conflict from breaking out in the region. However, no evidence was provided to support its claim, which Russia has denied.

The BBC reported that senior US officials believe the video is just one of a number of ideas Russia has to provide a pretext to invade Ukraine.

The claim has come amid mounting tension in the region, which has led to a massive build-up of Russian troops on its border with Ukraine.

Jake Moore, global cybersecurity advisor at ESET, noted that advancements in deepfake technologies are facilitating the use of fabricated videos, potentially to provoke war. “This reported use of deep fakery would highlight the extreme and dramatic turn in the nature of warfare that we are witnessing. Being able to drum up fear is often as powerful as the attack itself. In this new age of deepfake weaponry, it could worryingly not be too long before we have no idea what is real, making nation-state attacks even more difficult to protect from or predict,” he commented.

Russia has been accused of targeting Ukraine with numerous cyber-attacks in recent weeks, including forcing more than a dozen government websites offline.

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NFT Wash Trading Made Scammers at Least $9m in 2021

NFT Wash Trading Made Scammers at Least $9m in 2021

Cyber-criminals are making and laundering millions through non-fungible tokens (NFTs), according to new data from Chainalysis.

NFTs are technically unique records on a blockchain that are each linked to a piece of digital content. They can be minted and sold by the content creator to investors, fans and collectors.

Their popularity soared last year, according to Chainalysis.

The Singapore-based blockchain investigations and analytics firm tracked $44.2bn worth of cryptocurrency sent to ERC-721 and ERC-1155 contracts – the two types of Ethereum smart contracts associated with NFT marketplaces and collections. That’s up from just $106m in 2020.

However, this surging market for NFTs also attracted fraudsters and cyber-criminals.

Chainalysis claimed that so-called “wash trading” made scammers $8.9m last year.

Wash trading refers to a situation in which a seller is on both sides of a trade in order to mislead potential buyers about an asset’s value and liquidity.

“In the case of NFT wash trading, the goal would be to make one’s NFT appear more valuable than it really is by ‘selling it’ to a new wallet the original owner also controls,” Chainalysis explained.

“In theory, this would be relatively easy with NFTs, as many NFT trading platforms allow users to trade by simply connecting their wallet to the platform, with no need to identify themselves.”

The firm’s analysis revealed 110 profitable NFT wash trades last year. However, the actual figure for this volume and the profits made from the scams may be much higher, as Chainalysis only looked at activity using Ethereum and wrapped Ethereum (wETH) currencies.

The firm urged NFT marketplaces to clamp down on such activity.

“NFT wash trading exists in a murky legal area. While wash trading is prohibited in conventional securities and futures, wash trading involving NFTs has yet to be the subject of an enforcement action,” it said.

“However, that could change as regulators shift focus and apply existing anti-fraud authorities to new NFT markets. More generally, wash trading in NFTs can create an unfair marketplace for those who purchase artificially inflated tokens, and its existence can undermine trust in the NFT ecosystem, inhibiting future growth.”

The report also revealed a growing trend of NFTs being purchased to launder illicit funds. In Q3 and Q4 2021, Chainalysis tracked $2.4m in funds sent to NFT marketplaces from “scam-associated addresses” and addresses linked to sanctions activity, such as Chatex.

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Cyber-Attacks Hobble Some of Europe’s Largest Ports

Cyber-Attacks Hobble Some of Europe’s Largest Ports

Oil terminals in some of Europe’s biggest ports appear to have been disrupted by ransomware, according to reports.

A broker in the region told AFP that the attacks are disrupting the oil supply chain.

“There was a cyber-attack at various terminals, quite some terminals are disrupted,” Jelle Vreeman, senior broker at Riverlake in Rotterdam, told the newswire.

“Their software is being hijacked, and they can’t process barges. Basically, the operational system is down.”

The Amsterdam-Rotterdam-Antwerp oil hub, which spans ports across the Netherlands and Belgium, is believed to have borne the brunt of the attacks. AFP cited local Belgian reports that logistics and storage firm SEA-Tank Terminal is one of those impacted in Antwerp.

According to a separate report from The Associated Press, at least two energy companies in the Belgian ports of Antwerp and Ghent were hit by cyber-attacks, with the government’s Federal Computer Crime Unit opening an investigation.

This follows reports earlier this week that two German oil logistics firms were struck by ransomware: Oiltanking GmbH Group and Mabanaft Group.

Both companies were forced to declare force majeure, a legal clause used in emergencies when companies cannot fulfill their contractual obligations.

However, the head of Germany’s federal office for information security, Arne Schönbohm, is quoted as saying the incident is serious but “not grave.”

Anglo-Dutch oil giant Shell has already admitted it has been forced to reroute supplies due to the incident.

The news has uncomfortable echoes of the Colonial Pipeline attack in May 2021, which crippled oil supplies up and down the US east coast for days, leading to queues at gas stations.

This time the culprit, at least in the attacks in Germany, appears to be BlackCat (aka “alphv”), a relatively new ransomware-as-a-service variant.

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Trustpilot Set to Sue Firms That Solicit Fake Reviews

Trustpilot Set to Sue Firms That Solicit Fake Reviews

Trustpilot said today that it is planning legal action against businesses involved in soliciting fraudulent reviews on its site.

The Danish consumer reviews platform said it was forced to remove over two million fake reviews in 2020 alone, accounting for nearly 6% of those submitted to its site that year.

Although the firm is investing in automated fraud, enforcement and anomaly detection technologies, it said this will now be matched by a step-up in litigation efforts.

Repeat offenders will be hit with enforcement action. Trustpilot said it would seek to prevent them from soliciting fake reviews and try to recover any damages owed. If successful, these will be donated to organizations that protect consumers from online misinformation.

Other tools at Trustpilot’s disposal are cease and desist notices, termination of business, and public banners on offending firms’ profile pages indicating fraud.

“Consumers rely heavily on reviews to make more informed and confident purchasing decisions each and every day. Protecting and promoting trust is fundamental to Trustpilot’s mission,” said the digital firm’s chief trust officer, Carolyn Jameson.

“Whilst the vast majority of businesses use reviews constructively to help get them closer to their customers, we’re prepared to do everything within our power to clamp down on the small minority who do not behave as they should, and instead  use fake and misleading reviews to take advantage of consumers – often those consumers who are particularly vulnerable.”

Fake reviews are an increasing problem for platform providers, consumers and innocent vendors. A report out last year estimated that they could be responsible for as much as $152bn in purchases.

Also, last year, a misconfigured cloud database exposed a significant scheme by vendors using the Amazon marketplace to buy fake reviews from consumers. Vendors send reviewers a list of products to choose from, and if they leave a five-star review, the individual will get to keep the item.

At least 200,000 fake reviewers were implicated in this one scheme alone.

The situation has deteriorated to the point that regulators are stepping in. Last June, the UK’s Competition and Markets Authority (CMA) announced the opening of a formal probe into Amazon and Google over concerns that they’re not doing enough to protect consumers from fake reviews. 

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Friday Squid Blogging: Are Squid from Another Planet?

An actually serious scientific journal has published a paper speculating that octopus and squid could be of extraterrestrial origin.

News article.

As usual, you can also use this squid post to talk about the security stories in the news that I haven’t covered.

Read my blog posting guidelines here.

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The EARN IT Act Is Back

Senators have reintroduced the EARN IT Act, requiring social media companies (among others) to administer a massive surveillance operation on their users:

A group of lawmakers led by Sen. Richard Blumenthal (D-CT) and Sen. Lindsey Graham (R-SC) have re-introduced the EARN IT Act, an incredibly unpopular bill from 2020 that was dropped in the face of overwhelming opposition. Let’s be clear: the new EARN IT Act would pave the way for a massive new surveillance system, run by private companies, that would roll back some of the most important privacy and security features in technology used by people around the globe. It’s a framework for private actors to scan every message sent online and report violations to law enforcement. And it might not stop there. The EARN IT Act could ensure that anything hosted online — backups, websites, cloud photos, and more — is scanned.

Slashdot thread.

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