SpyAgent is a new Android malware that uses optical character recognition (OCR) to steal cryptocurrency wallet recovery phrases from screenshots stored on mobile devices, allowing attackers to hijack wallets and steal funds. The malware primarily targets South Korea but poses a growing threat as it expands to other regions and possibly iOS. BleepingComputer reports: A malware operation discovered by McAfee was traced back to at least 280 APKs distributed outside of Google Play using SMS or malicious social media posts. This malware can use OCR to recover cryptocurrency recovery phrases from images stored on an Android device, making it a significant threat. [...] Once it infects a new device, SpyAgent begins sending the following sensitive information to its command and control (C2) server:

- Victim's contact list, likely for distributing the malware via SMS originating from trusted contacts.
- Incoming SMS messages, including those containing one-time passwords (OTPs).
- Images stored on the device to use for OCR scanning.
- Generic device information, likely for optimizing the attacks.

SpyAgent can also receive commands from the C2 to change the sound settings or send SMS messages, likely used to send phishing texts to distribute the malware. McAfee found that the operators of the SpyAgent campaign did not follow proper security practices in configuring their servers, allowing the researchers to gain access to them. Admin panel pages, as well as files and data stolen from victims, were easily accessible, allowing McAfee to confirm that the malware had claimed multiple victims. The stolen images are processed and OCR-scanned on the server side and then organized on the admin panel accordingly to allow easy management and immediate utilization in wallet hijack attacks.

Kaspersky has reached an agreement to transfer its U.S. customers to UltraAV, a Boston-based antivirus provider. The move comes in the wake of a White House ban on Kaspersky products. Under the deal, U.S. users will maintain their existing subscriptions and receive "reliable anti-virus protection" through UltraAV, which will offer additional features such as VPN and identity theft protection. Kaspersky will contact customers in the coming days with instructions for activating their new accounts.

Typing skills among Generation Z have declined sharply, despite their digital nativity, according to recent data. The U.S. Department of Education reports that only 2.5% of high school graduates in 2019 took a keyboarding course, down from 44% in 2000.

Many educators assume Gen Z already possesses typing skills due to their familiarity with technology. However, access to devices doesn't automatically translate into proficiency, WSJ reports. Some schools are addressing this gap by introducing typing competitions and formal instruction when students receive Chromebooks.

The shift towards mobile devices is contributing to the decline in traditional typing skills. Canvas, an online learning platform, reports that 39% of student assignments between March and May were uploaded from mobile devices, contrasting sharply with teachers who completed over 90% of their work on computers.

An anonymous reader shares a report: Passport numbers for a group of Disney cruise line workers. Disney+ streaming revenue. Sales of Genie+ theme park passes. The trove of data from Disney that was leaked online by hackers earlier this summer includes a range of financial and strategy information that sheds light on the entertainment giant's operations, according to files viewed by The Wall Street Journal. It also includes personally identifiable information of some staff and customers.

The leaked files include granular details about revenue generated by such products as Disney+ and ESPN+; park pricing offers the company has modeled; and what appear to be login credentials for some of Disney's cloud infrastructure. (The Journal didn't attempt to access any Disney systems.) "We decline to comment on unverified information The Wall Street Journal has purportedly obtained as a result of a bad actor's illegal activity," a Disney spokesman said. Disney told investors in an August regulatory filing that it is investigating the unauthorized release of "over a terabyte of data" from one of its communications systems. It said the incident hadn't had a material impact on its operations or financial performance and doesn't expect that it will.

Data that a hacking entity calling itself Nullbulge released online spans more than 44 million messages from Disney's Slack workplace communications tool, upward of 18,800 spreadsheets and at least 13,000 PDFs, the Journal found. The scope of the material taken appears to be limited to public and private channels within Disney's Slack that one employee had access to. No private messages between executives appear to be included. Slack is only one online forum in which Disney employees communicate at work.

The YubiKey 5, the most widely used hardware token for two-factor authentication based on the FIDO standard, contains a cryptographic flaw that makes the finger-size device vulnerable to cloning when an attacker gains brief physical access to it, researchers said Tuesday. ArsTechnica: The cryptographic flaw, known as a side channel, resides in a small microcontroller that's used in a vast number of other authentication devices, including smartcards used in banking, electronic passports, and the accessing of secure areas. While the researchers have confirmed all YubiKey 5 series models can be cloned, they haven't tested other devices using the microcontroller, which is SLE78 made by Infineon and successor microcontrollers known as the Infineon Optiga Trust M and the Infineon Optiga TPM. The researchers suspect that any device using any of these three microcontrollers and the Infineon cryptographic library contain the same vulnerability.

YubiKey-maker Yubico issued an advisory in coordination with a detailed disclosure report from NinjaLab, the security firm that reverse-engineered the YubiKey 5 series and devised the cloning attack. All YubiKeys running firmware prior to version 5.7 -- which was released in May and replaces the Infineon cryptolibrary with a custom one -- are vulnerable. Updating key firmware on the YubiKey isn't possible. That leaves all affected YubiKeys permanently vulnerable.

U.S. oilfield services firm Halliburton said on Tuesday an unauthorized third party had accessed and removed data from its systems, providing details regarding the cyberattack in August. From a report: The company said it is evaluating the nature and scope of information that was removed, but added that the incident is not reasonably likely to have a material impact. Halliburton declined to comment in response to Reuters' requests for additional information on the nature of data removed and expenses incurred due to the cyber incident. It also did not immediately confirm whether it had been contacted by the hackers. U.S energy firms have suffered multiple cyberattacks, including ransomware attacks, in recent years. In 2021, Colonial Pipeline was forced to pay $4.4 million in ransom as its executives were not sure about the severity of the breach.

An anonymous reader shares a report: While the latest update to Windows 11 makes it look like the upcoming Recall feature can be easily removed by users, Microsoft tells us it's just a bug and a fix is coming. Deskmodder spotted the change last week in the latest 24H2 version of Windows 11, with KB5041865 seemingly delivering the ability to uninstall Recall from the Windows Features section. "We are aware of an issue where Recall is incorrectly listed as an option under the 'Turn Windows features on or off' dialog in Control Panel," says Windows senior product manager Brandon LeBlanc in a statement to The Verge. "This will be fixed in an upcoming update."

Politico reports U.S. states have no uniform way of policing the use of overseas subcontractors in election technology, "let alone to understand which individual software components make up a piece of code."

For example, to replace New Hampshire's old voter registration database, state election officials "turned to one of the best — and only — choices on the market," Politico: "a small, Connecticut-based IT firm that was just getting into election software." But last fall, as the new company, WSD Digital, raced to complete the project, New Hampshire officials made an unsettling discovery: The firm had offshored part of the work. That meant unknown coders outside the U.S. had access to the software that would determine which New Hampshirites would be welcome at the polls this November.

The revelation prompted the state to take a precaution that is rare among election officials: It hired a forensic firm to scour the technology for signs that hackers had hidden malware deep inside the coding supply chain. The probe unearthed some unwelcome surprises: software misconfigured to connect to servers in Russia ["probably by accident," they write later] and the use of open-source code — which is freely available online — overseen by a Russian computer engineer convicted of manslaughter, according to a person familiar with the examination and granted anonymity because they were not authorized to speak about it... New Hampshire officials say the scan revealed another issue: A programmer had hard-coded the Ukrainian national anthem into the database, in an apparent gesture of solidarity with Kyiv.

None of the findings amounted to evidence of wrongdoing, the officials said, and the company resolved the issues before the new database came into use ahead of the presidential vote this spring. This was "a disaster averted," said the person familiar with the probe, citing the risk that hackers could have exploited the first two issues to surreptitiously edit the state's voter rolls, or use them and the presence of the Ukrainian national anthem to stoke election conspiracies. [Though WSD only maintains one other state's voter registration database — Vermont] the supply-chain scare in New Hampshire — which has not been reported before — underscores a broader vulnerability in the U.S. election system, POLITICO found during a six-month-long investigation: There is little oversight of the supply chain that produces crucial election software, leaving financially strapped state and county offices to do the best they can with scant resources and expertise.

The technology vendors who build software used on Election Day face razor-thin profit margins in a market that is unforgiving commercially and toxic politically. That provides little room for needed investments in security, POLITICO found. It also leaves states with minimal leverage over underperforming vendors, who provide them with everything from software to check in Americans at their polling stations to voting machines and election night reporting systems. Many states lack a uniform or rigorous system to verify what goes into software used on Election Day and whether it is secure.
The article also points out that many state and federal election officials "insist there has been significant progress" since 2016, with more regular state-federal communication. "The Cybersecurity and Infrastructure Security Agency, now the lead federal agency on election security, didn't even exist back then.

"Perhaps most importantly, more than 95% of U.S. voters now vote by hand or on machines that leave some type of paper trail, which officials can audit after Election Day."

Long-time Slashdot reader theodp writes: The Contingency Contingent, is Leigh Claire La Berge's amazing tale of what she calls her "fake job in Y2K preparedness." La Berge offers an insider's view of the madness that ensued when Y2K panic gave rise to seemingly-limitless spending at mega-corporations for massive enterprise-wide Y2K remediation projects led by management consulting firms that left clients with little to show for their money. (La Berge was an analyst for consulting firm Arthur Andersen, where "the Andersen position was that 'Y2K is a documentation problem, not a technology problem'.... At a certain point all that had happened yesterday was our documenting, so then we documented that. Then, exponentially, we had to document ourselves documenting our own documentation."). In what reads like the story treatment for an Office Space sequel, La Berge writes that it was a fake job "because Andersen was faking it."
From the article: The firm spent the late 1990s certifying fraudulent financial statements from Enron, the Texas-based energy company that made financial derivatives a household phrase, until that company went bankrupt in a cloud of scandal and suicide and Andersen was convicted of obstruction of justice, surrendered its accounting licenses, and shuttered. But that was later.

Finally, it was a fake job because the problem that the Conglomerate had hired Andersen to solve was not real, at least not in the sense that it needed to be solved or that Andersen could solve it. The problem was known variously as Y2K, or the Year 2000, or the Y2K Bug, and it prophesied that on January 1, 2000, computers the world over would be unable to process the thousandth-digit change from 19 to 20 as 1999 rolled into 2000 and would crash, taking with them whatever technology they were operating, from email to television to air-traffic control to, really, the entire technological infrastructure of global modernity. Hospitals might have emergency power generators to stave off the worst effects (unless the generators, too, succumbed to the Y2K Bug), but not advertising firms.

With a world-ending scenario on the horizon, employment standards were being relaxed. The end of the millennium had produced a tight labor market in knowledge workers, and new kinds of companies, called dot-coms, were angling to dominate the emergent world of e-commerce. Flush with cash, these companies were hoovering up any possessors of knowledge they could find. Friends from my gradeless college whose only experience in business had been parking-lot drug deals were talking stock options.
Looking back, the author remembers being "surprised by how quickly Y2K disappeared from office discourse as though censored..."

Their upcoming book is called Fake Work: How I Began to Suspect Capitalism is a Joke.

CSO Online reports that North Korea "is actively infiltrating Western companies using skilled IT workers who use fake identities to pose as remote workers with foreign companies, typically but not exclusively in the U.S."

Slashdot reader snydeq shares their report, which urges information security officers "to carry out tighter vetting of new hires to ward off potential 'moles' — who are increasingly finding their way onto company payrolls and into their IT systems." The schemes are part of illicit revenue generation efforts by the North Korean regime, which faces financial sanctions over its nuclear weapons program, as well as a component of the country's cyberespionage activities.

The U.S. Treasury department first warned about the tactic in 2022. Thosands of highly skilled IT workers are taking advantage of the demand for software developers to obtain freelance contracts from clients around the world, including in North America, Europe, and East Asia. "Although DPRK [North Korean] IT workers normally engage in IT work distinct from malicious cyber activity, they have used the privileged access gained as contractors to enable the DPRK's malicious cyber intrusions," the Treasury department warned... North Korean IT workers present themselves as South Korean, Chinese, Japanese, or Eastern European, and as U.S.-based teleworkers. In some cases, DPRK IT workers further obfuscate their identities by creating arrangements with third-party subcontractors.

Christina Chapman, a resident of Arizona, faces fraud charges over an elaborate scheme that allegedly allowed North Korean IT workers to pose as U.S. citizens and residents using stolen identities to obtain jobs at more than 300 U.S. companies. U.S. payment platforms and online job site accounts were abused to secure jobs at more than 300 companies, including a major TV network, a car manufacturer, a Silicon Valley technology firm, and an aerospace company... According to a U.S. Department of Justice indictment, unsealed in May 2024, Chapman ran a "laptop farm," hosting the overseas IT workers' computers inside her home so it appeared that the computers were located in the U.S. The 49-year-old received and forged payroll checks, and she laundered direct debit payments for salaries through bank accounts under her control. Many of the overseas workers in her cell were from North Korea, according to prosecutors. An estimated $6.8 million were paid for the work, much of which was falsely reported to tax authorities under the name of 60 real U.S. citizens whose identities were either stolen or borrowed...

Ukrainian national Oleksandr Didenko, 27, of Kyiv, was separately charged over a years-long scheme to create fake accounts at U.S. IT job search platforms and with U.S.-based money service transmitters. "Didenko sold the accounts to overseas IT workers, some of whom he believed were North Korean, and the overseas IT workers used the false identities to apply for jobs with unsuspecting companies," according to the U.S. Department of Justice. Didenko, who was arrested in Poland in May, faces U.S. extradition proceedings...

How this type of malfeasance plays out from the perspective of a targeted firm was revealed by security awareness vendor KnowBe4's candid admission in July that it unknowingly hired a North Korean IT spy... A growing and substantial body of evidence suggests KnowBe4 is but one of many organizations targeted by illicit North Korean IT workers. Last November security vendor Palo Alto reported that North Korean threat actors are actively seeking employment with organizations based in the U.S. and other parts of the world...

Mandiant, the Google-owned threat intel firm, reported last year that "thousands of highly skilled IT workers from North Korea" are hunting work. More recently, CrowdStrike reported that a North Korean group it dubbed "Famous Chollima" infiltrated more than 100 companies with imposter IT pros.
The article notes the infiltrators use chatbots to tailor the perfect resume "and further leverage AI-created deepfakes to pose as real people." And the article includes this quote from a former intelligence analyst for the U.S. Air Force turned cybersecurity strategist at Sysdig. "In some cases, they may try to get jobs at tech companies in order to steal their intellectual property before using it to create their own knock-off technologies."

The article closes with its suggested "countermeasures," including live video-chats with prospective remote-work applicants — and confirming an applicant's home address.

The Pidgin messaging app removed the ScreenShareOTR plugin from its third-party plugin list after it was found to be used to install keyloggers, information stealers, and malware targeting corporate networks. BleepingComputer reports: The plugin was promoted as a screen-sharing tool for secure Off-The-Record (OTR) protocol and was available for both Windows and Linux versions of Pidgin. According to ESET, the malicious plugin was configured to infect unsuspecting users with DarkGate malware, a powerful malware threat actors use to breach networks since QBot's dismantling by the authorities. [...] Those who installed it are recommended to remove it immediately and perform a full system scan with an antivirus tool, as DarkGate may be lurking on their system.

After publishing our story, Pidgin's maintainer and lead developer, Gary Kramlich, notified us on Mastodon to say that they do not keep track of how many times a plugin is installed. To prevent similar incidents from happening in the future, Pidgin announced that, from now on, it will only accept third-party plugins that have an OSI Approved Open Source License, allowing scrutiny into their code and internal functionality.

New submitter meisdug writes: A new feature has been submitted for inclusion in Linux 6.12, allowing the display of a QR code when a kernel panic occurs using the DRM Panic handler. This QR code can capture detailed error information that is often missed in traditional text-based panic messages, making it more user-friendly. The feature, written in Rust, is optional and can be enabled via a specific build switch. This implementation follows similar ideas from other operating systems and earlier discussions in the Linux community.

An anonymous reader shares a report: When French prosecutors charged Pavel Durov, the chief executive of the messaging app Telegram, with a litany of criminal offenses on Wednesday, one accusation stood out to Silicon Valley companies. Telegram, French authorities said in a statement, had provided cryptology services aimed at ensuring confidentiality without a license. In other words, the topic of encryption was being thrust into the spotlight.

The cryptology charge raised eyebrows at U.S. tech companies including Signal, Apple and Meta's WhatsApp, according to three people with knowledge of the companies. These companies provide end-to-end encrypted messaging services and often stand together when governments challenge their use of the technology, which keeps online conversations between users private and secure from outsiders.

But while Telegram is also often described as an encrypted messaging app, it tackles encryption differently than WhatsApp, Signal and others. So if Mr. Durov's indictment turned Telegram into a public exemplar of the technology, some Silicon Valley companies believe that could damage the credibility of encrypted messaging apps writ large, according to the people, putting them in a tricky position of whether to rally around their rival.

Encryption has been a long-running point of friction between governments and tech companies around the world. For years, tech companies have argued that encrypted messaging is crucial to maintain people's digital privacy, while law enforcement and governments have said that the technology enables illicit behaviors by hiding illegal activity. The debate has grown more heated as encrypted messaging apps have become mainstream. Signal has grown by tens of millions of users since its founding in 2018. Apple's iMessage is installed on the hundreds of millions of iPhones that the company sells each year. WhatsApp is used by more than two billion people globally.

A recent indictment (PDF) of an Alaska man stands out due to the sophisticated use of multiple encrypted communication tools, privacy-focused apps, and dark web technology. "I've never seen anyone who, when arrested, had three Samsung Galaxy phones filled with 'tens of thousands of videos and images' depicting CSAM, all of it hidden behind a secrecy-focused, password-protected app called 'Calculator Photo Vault,'" writes Ars Technica's Nate Anderson. "Nor have I seen anyone arrested for CSAM having used all of the following: [Potato Chat, Enigma, nandbox, Telegram, TOR, Mega NZ, and web-based generative AI tools/chatbots]." An anonymous reader shares the report: According to the government, Seth Herrera not only used all of these tools to store and download CSAM, but he also created his own -- and in two disturbing varieties. First, he allegedly recorded nude minor children himself and later "zoomed in on and enhanced those images using AI-powered technology." Secondly, he took this imagery he had created and then "turned to AI chatbots to ensure these minor victims would be depicted as if they had engaged in the type of sexual contact he wanted to see." In other words, he created fake AI CSAM -- but using imagery of real kids.

The material was allegedly stored behind password protection on his phone(s) but also on Mega and on Telegram, where Herrera is said to have "created his own public Telegram group to store his CSAM." He also joined "multiple CSAM-related Enigma groups" and frequented dark websites with taglines like "The Only Child Porn Site you need!" Despite all the precautions, Herrera's home was searched and his phones were seized by Homeland Security Investigations; he was eventually arrested on August 23. In a court filing that day, a government attorney noted that Herrera "was arrested this morning with another smartphone -- the same make and model as one of his previously seized devices."

The government is cagey about how, exactly, this criminal activity was unearthed, noting only that Herrera "tried to access a link containing apparent CSAM." Presumably, this "apparent" CSAM was a government honeypot file or web-based redirect that logged the IP address and any other relevant information of anyone who clicked on it. In the end, given that fatal click, none of the "I'll hide it behind an encrypted app that looks like a calculator!" technical sophistication accomplished much. Forensic reviews of Herrera's three phones now form the primary basis for the charges against him, and Herrera himself allegedly "admitted to seeing CSAM online for the past year and a half" in an interview with the feds.

An anonymous reader shares a report: Every day for the last four years, dozens of people have shown up in the comments of one particular YouTube, declaring their love and appreciation for the content. The content: two minutes and six seconds of deep, low buzzing, the kind that makes your phone vibrate on the table, underscoring a vaguely trippy animation of swirled stained glass. It's not a good video. But it's not meant to be. The video is called "Sound To Remove Water From Phone Speaker ( GUARANTEED )." [...] If you believe the comments, about half the video's 45 million views come from people who bring their phone into the shower or bathtub and trust that they can play this video and everything will be fine.

The theory goes like this: all a speaker is really doing is pushing air around, and if you can get it to push enough air, with enough force, you might be able to push droplets of liquid out from where they came. "The lowest tone that that speaker can reproduce, at the loudest level that it can play," says Eric Freeman, a senior director of research at Bose. "That will create the most air motion, which will push on the water that's trapped inside the phone." Generally, the bigger the speaker, the louder and lower it can go. Phone speakers tend to be tiny. "So those YouTube videos," Freeman says, "it's not, like, really deep bass. But it's in the low range of where a phone is able to make sound."

The best real-world example of how this can work is probably the Apple Watch, which has a dedicated feature for ejecting water after you've gotten it wet. When I first reached out to iFixit to ask about my water-expulsion mystery, Carsten Frauenheim, a repairability engineer at the company, said the Watch works on the same theory as the videos. "It's just a specific oscillating tone that pushes the water out of the speaker grilles," he said. "Not sure how effective the third-party versions are for phones since they're probably not ideally tuned? We could test."

Google says it has evidence that Russian government hackers are using exploits that are "identical or strikingly similar" to those previously made by spyware makers Intellexa and NSO Group. From a report: In a blog post on Thursday, Google said it is not sure how the Russian government acquired the exploits, but said this is an example of how exploits developed by spyware makers can end up in the hands of "dangerous threat actors." In this case, Google says the threat actors are APT29, a group of hackers widely attributed to Russia's Foreign Intelligence Service, or the SVR. APT29 is a highly capable group of hackers, known for its long-running and persistent campaigns aimed at conducting espionage and data theft against a range of targets, including tech giants Microsoft and SolarWinds, as well as foreign governments.

Google said it found the hidden exploit code embedded on Mongolian government websites between November 2023 and July 2024. During this time, anyone who visited these sites using an iPhone or Android device could have had their phone hacked and data stolen, including passwords, in what is known as a "watering hole" attack. The exploits took advantage of vulnerabilities in the iPhone's Safari browser and Google Chrome on Android that had already been fixed at the time of the suspected Russian campaign. Still, those exploits nevertheless could be effective in compromising unpatched devices.

According to a new survey from Bitkom, cybercrime and other acts of sabotage have cost German companies around $298 billion in the past year, up 29% on the year before. Reuters reports: Bitkom surveyed around 1,000 companies from all sectors and found that 90% expect more cyberattacks in the next 12 months, with the remaining 10% expecting the same level of attacks. Some 70% of companies that were targeted attributed the attacks to organised crime, the survey found, adding 81% of companies reported data theft, including customer data, access data and passwords, as well as intellectual property such as patents. Around 45% of companies said they could attribute at least one attack to China, up from 42% in the previous year. Attacks blamed on Russia came in second place at 39%.

The increase in attacks has prompted companies to allocate 17% of their IT budget to digital security, up from 14% last year, but only 37% said they had an emergency plan to react to security incidents in their supply chain, the survey showed.

Tumblr is making the move to WordPress. After its 2019 acquisition by WordPress.com parent company Automattic in a $3 million fire sale, the new owner has focused on improving Tumblr's platform and growing its revenue. Now Automattic will shift Tumblr's back end over to WordPress, Automattic said in a blog post published on Wednesday. From a report: The company clarified that it will not change Tumblr into WordPress; it will just run on WordPress. "We acquired Tumblr to benefit from its differences and strengths, not to water it down. We love Tumblr's streamlined posting experience and its current product direction," the post explained. "We're not changing that. We're talking about running Tumblr's backend on WordPress. You won't even notice a difference from the outside," it noted.

Automattic says the move to WordPress will have its advantages, as it will make it easier to share the company's work across the two platforms. That is, Automattic's team will be able to build tools and features that work on both services, while Tumblr will be able to take advantage of the open source developments that take place on WordPress.org. In addition, WordPress will be able to benefit from the "tools and creativity" that are invested into Tumblr.

Microsoft is to discontinue the Microsoft Action Pack and Microsoft Learning Pack on January 21, 2025, sending partners off to potentially pricier and cloudier options. From a report: The Action Pack and Learning Pack, alongside Silver or Gold Membership, gave Microsoft partners access to many on-premises licenses for the company's software. The company's recommended replacements, Partner Success Core Benefits and Partner Success Expanded, abandon those benefits in favor of cloud services. According to Microsoft, it is "evolving the partner benefits offerings to provide partners with the tools and support they need to continue to lead the way in the shifting tech landscape."

Or cutting back on some things in favor of others. After all, it would never do to have all that software running on-premises when Microsoft has a perfectly good cloud ready to take on partner workloads. A Register reader affected by the change told us: "The first impact for us will be cost. We'll need to go from Action Pack ($515 + VAT) to Partner Success Core ($970 + VAT). Secondly, the benefits appear to have moved all online. "That's not a problem for day-to-day operations but it will make it harder when trying to recreate a customer environment with legacy software."

snydeq writes: CSO Online's Sarah Wiedemar reports on a rising trend in the Russia cybersecurity community: bug bounty programs, which the researcher says could have far-reaching implications as the bounty ecosystem matures. From the report: "Given the current uncertainty that Russian bug bounty hunters and vulnerability researchers are facing when dealing with Western bug bounty programs, Russian IT companies have begun to fill that vacuum. [...] Russian bug bounty platforms have a high probability for substantial growth in the next few years. They provide a credible Western alternative not only to Russian hackers, but also for all other vulnerability researchers located in countries that could potentially face international financial sanctions in the future.

From a Western perspective, a potential problematic development could be that Russian hackers decide to sell vulnerabilities found in Western products to Russian zero-day acquisition companies such as Operation Zero. Thus, instead of reporting them to Western bug bounty platforms for free, they sell to the highest bidder. Those zero-day acquisition companies in turn sell them on to Russian law enforcement and security agencies, which could lead to increased espionage campaigns in Western countries. Western policy makers would do well to keep an eye on the evolution of Russia's bug bounty ecosystem." Although bug bounty programs have existed in Russia since 2012, they weren't widely adopted due to distrust from the government and dominance of Western platforms. Recently, new platforms like Bug Bounty RU, Standoff 365, and BI.ZONE have emerged, attracting thousands of bug hunters and major Russian companies. "In 2023, the total number of bug hunters on these platforms amounted to 20,000 people," notes Wiedemar. The Russian government has also begun participating, launching programs for 10 of its e-government systems.

However, legal ambiguities remain, as ethical hacking is still considered illegal in Russia, with potential prison sentences. Despite this, there are ongoing legislative efforts to legalize ethical hacking, alongside broader government initiatives to enhance cybersecurity, including increased fines for data breaches and the potential creation of a cybersecurity agency akin to the US CISA.