Ransomware-as-a-Service (RaaS)

Ransomware has rapidly evolved from a mere cybersecurity threat into a full-fledged industry, with the emergence of Ransomware-as-a-Service software at its core. This service model marks a significant shift in how cyber-attacks are orchestrated, turning what was once an isolated hazard into an accessible tool for cybercriminals worldwide. The proliferation of this service-oriented approach has profound implications for the cybersecurity landscape, as it lowers barriers to entry and enables even those without sophisticated technical know-how to launch ransom attacks.

Ransomware-as-a-Service, often abbreviated to RaaS or referred to as RaaS software, is a subscription-based business model that enables hackers to use pre-developed ransomware tools. Much like legitimate Software-as-a-Service offerings, this service provides everything needed to launch and manage ransomware attacks without requiring extensive technical expertise. In essence, it allows cybercriminals to rent the malware infrastructure created by experienced developers, who typically receive a cut of any successful ransoms collected.

At its core, the concept turns sophisticated cyber-attack capabilities into commoditised services that novice cyber criminals can easily deploy against unsuspecting targets. The individuals or groups behind these services handle the complex task of maintaining and updating the malware while also providing customer support—albeit for illegal activities—to their subscribers. This outsourcing simplifies many aspects of conducting digital extortion and broadens the potential pool of attackers beyond seasoned hackers.

The ramifications are far-reaching. Lower barriers to entry mean increased threats across sectors—from small businesses unprepared for such sophisticated assaults to large corporations with valuable data at stake. The rise in availability and ease of use provided by RaaS platforms not only intensifies the frequency but also escalates the severity of these cybersecurity incidents on a global scale.

The operation of Ransomware-as-a-Service software is alarmingly similar to legitimate e-commerce transactions. These services are often marketed and distributed through dark web marketplaces that provide anonymity for buyers and sellers. Potential affiliates can typically access these platforms via specialised browsers, with some even operating their own websites complete with user reviews and tiered pricing structures, like any online retail store.

Once on these sites, would-be attackers can browse various RaaS software offerings, comparing features such as encryption strength or anonymisation techniques used in the ransom payment process. After selecting a product, they purchase it much like any other digital service—often using cryptocurrencies for their non-traceable nature—and gain immediate access to the malware tools required for launching attacks.

Continuous evolution is part of what makes Ransomware-as-a-Service so dangerous. Operators regularly update their malware to bypass security measures or introduce new “features” that make them harder to combat. This iterative development ensures that defences must constantly adapt while maintaining robustness against older versions still circulating online.

RaaS Software Operators vs. Affiliates

There’s an essential distinction between two roles within this ecosystem: operators and affiliates. Operators develop, maintain, and update the ransomware itself—they’re essentially the providers at the top of this illicit supply chain. They design sophisticated campaigns but avoid legal risk by not directly attacking targets themselves.

Affiliates are independent actors who subscribe or buy into an operator’s service—they’re akin to customers turned distributors in a twisted multi-level marketing scheme. Affiliates use the provided tools under guidance from operators but take on most risks associated with actual deployment against victims. However, they stand to earn substantial shares from ransoms paid out by infected entities.

This symbiotic relationship allows each party—the developers behind RaaS software (operators) and cybercriminals deploying these attacks (affiliates)—to specialise in different aspects of a criminal enterprise while mutually benefiting from shared success.

The financial structure of Ransomware-as-a-Service is designed to attract a wide array of cyber criminals, offering multiple revenue models that cater to different levels of involvement and investment. Here are four common ways in which these illicit services monetise their offerings:

1. Subscription-Based Model: This model functions much like a standard software subscription service, where affiliates pay a recurring fee to access the ransomware tools. They may have the option of monthly or annual payments, which grants them continuous use of the latest versions of malware and customer support from operators.
2. Commission-Based Model: Under this revenue-sharing scheme, affiliates don’t pay upfront costs but must give a percentage of their earnings—usually obtained from victims’ ransoms—to the RaaS software operators. The cut for operators can vary significantly, typically depending on factors such as target size and ransom amount.
3. One-Time Fee Model: Some services allow for a one-time purchase where an affiliate pays a fixed sum for lifetime access to ransomware tools without further financial obligation to the operator. It’s akin to buying perpetual software licenses in legitimate markets; however, updates and support might be limited under this arrangement.
4. Tiered Service Levels: Reflecting models seen across many SaaS platforms outside illicit circles, some RaaS operations offer different tiers or packages with varying service levels and capabilities—for instance, basic encryption versus more advanced features that evade detection better or provide additional anonymisation methods for transactions.

Each revenue model offers its own appeal based on risk tolerance and investment capacity among cyber criminals considering entry into these dark web marketplaces.

Traditional ransomware and Ransomware-as-a-Service (RaaS) differ primarily in their operational structures and distribution methods. Traditional ransomware attacks are usually carried out by individuals or groups who create, deploy, and manage their own malware—this requires significant technical expertise to execute successfully.

On the other hand, Ransomware-as-a-Service operates on a provider-affiliate model and allows cybercriminals with varying levels of skill to launch attacks using pre-made tools acquired from seasoned developers. While traditional ransomware can is like an artisanal craft where each piece is unique, RaaS software resembles an assembly line producing accessible yet harmful products for mass deployment by affiliates who share profits with the service operators.

Several notorious examples of Ransomware-as-a-Service software made headlines for their widespread impact and sophisticated operations. Here are some notable instances:

• REvil (Sodinokibi): Known for its high-profile attacks, REvil offers advanced features like customisable ransom notes and payment portals. This group has targeted large corporations, with demands sometimes reaching the millions.
• GandCrab: Before it was reportedly shut down in 2019, GandCrab claimed a significant share of the RaaS software market. It stood out for its user-friendly affiliate program and frequent updates that stayed ahead of security measures.
• DarkSide: Gaining notoriety from targeting critical infrastructure, DarkSide’s operators offered tailored services to affiliates based on victim size and ability to pay, resulting in substantial ransoms.
• Locky: Once one of the most dominant strains around 2016-2017, Locky spread primarily through phishing emails; its encryption was notably difficult to crack at that time.

Each example represents how easily these damaging tools can reach those intent on exploiting cybersecurity vulnerabilities across industries worldwide and highlights why understanding this landscape is crucial for defence strategies against such evolving threats.

In the face of rising threats from Ransomware-as-a-Service software, individuals and organisations must employ robust security strategies. Here are several critical measures to consider:

• Regular Backups: Creating regular backups of critical data is one of the most effective defences against ransomware attacks. You should store these backups on separate devices or secure cloud storage that attackers cannot easily access.
• Security Awareness Training: Educating employees about the dangers of phishing emails, suspicious attachments, and social engineering tactics helps significantly reduce the risk of an employee inadvertently downloading malware onto your network.
• Up-to-date Security Solutions: Using comprehensive antivirus and anti-malware solutions with real-time monitoring helps detect and prevent malicious activity before it compromises systems.
• Network Segmentation: By segmenting networks into subnetworks, organisations limit lateral movement by potential intruders—this means if one segment is compromised, others remain protected.
• Access Controls: Implement strict access control policies; users should only have the necessary permissions for their role. The principle of least privilege reduces exposure when credentials are stolen or misused.
• Patch Management: Regularly updating operating systems and applications eliminates vulnerabilities cyber criminals could exploit by deploying ransomware tools.

Each strategy plays a crucial part in creating a multi-layered defence approach to detect and deter would-be attackers using RaaS software platforms.

Proofpoint offers a multi-layered approach to protect against Ransomware-as-a-Service (RaaS) and related cyber threats. Some of the most relevant solutions that Proofpoint offers include:

• Advanced Threat Protection and Cloud Security: These integrated platforms reduce the risk of ransomware attacks by layering controls that prevent the initial infection.
• Targeted Attack Protection (TAP): This solution detects, analyses, and blocks advanced threats, including ransomware, before they reach the inbox. It helps organisations stay ahead of attackers by providing threat intelligence that spans email, cloud, network, mobile, and social media.
• Email Protection: Proofpoint’s Email Protection solution secures the gateway and protects email by providing multiple layers of security to detect and block ransomware and malware. It also offers advanced email filtering and security awareness training to help users identify ransomware threats.

These solutions apply holistic, people-centric strategies to prevent loss from ransomware, ultimately reducing the risk of RaaS attacks. For more information about how to combat Ransomware-as-a-Service, contact Proofpoint.