Ransomware is not the only cyber-criminal activity you should be wary of. Hackers have introduced a new approach of keeping your data hostage; Data Extortion.
Without the need for encryption, data extortion is easier and faster, making it more profitable and more popular.
The 2024 Cyberint ransomware report recorded a 40% increase in ransomware groups from the previous year and an alarming 5414 extortion-based attacks.
How does Data Extortion work?
- Data Theft: Hackers break into your network and steal sensitive information, such as client data and financial documents.
- Extortion Threats: Instead of encrypting your files, cyber criminals threaten to leak the stolen data, demanding payment for retrieval.
- No Decryption Needed: Unlike ransomware, hackers do not need to deliver decryption keys to the victims, avoiding traditional defenses.
Encryption vs Extortion
Hackers are choosing extortion over encryption because of:
- Quicker attacks: Modern tools allow hackers to steal business information without the effort of encryption.
- Harder to Detect: Encyption may set off alarms in antivirus or end-point response solutions, but extortion does not.
- Higher Probability of Payment: Threatening to leak data on the dark web is more concerning, increasing the likelihood of payment.
N.B. Traditional ransomware defenses aren’t effective against data extortion.
Firewalls and antivirus software are designed to prevent data encryption, not data theft. Hackers are now:
- Using infostealers to get login credentials and break into your systems.
- Exploiting cloud storage vulnerabilities to access and extract sensitive files.
- Disguising data exfiltration as normal network traffic, bypassing traditional detection methods.
Why is Data Extortion (More) Dangerous?
Besides the disruption in operations, businesses might have to face:
- Loss of customer trust, which could take months or even years to regain.
- Compliance violations and regulatory fines from failing to protect company sensitive data.
- Lawsuits from those whose information was compromised.
- Endless extortion from hackers who keep copies of your data.
Protecting Your Business From Data Extortion
As a small business owner, it’s crucial to take these steps to stay ahead of cyber criminals.
1. Zero Trust Model: Never Trust, Always Verify
- Implement IAM – Identity and Access Management
- Enforce MFA on all user accounts
2. Advanced Threat Detection And Data Leak Prevention (DLP)
- Detect unusual data transfers and unauthorized access attempts.
- Identify and block data exfiltration in real time.
- Monitor cloud environments for suspicious activity.
3. Data Encryption: Encrypted files mean nothing to hackers
- Encrypt all sensitive files at rest and in transit
- Implement secure communication protocols
4. Regular Backups: Fast recovery
- Offline backups protect against ransomware and data destruction
- Test your backups to ensure you can restore your systems quickly in the event of an attack.
5. Employee Security Training – Education on how to
- Recognize phishing attempts and social engineering tactics.
- Report suspicious emails and unauthorized requests.
- Follow strict access and data-sharing protocols.
Start with a FREE Network Assessment
Cyber attacks are evolving, and traditional defenses are not enough.
Our team will evaluate your current security to identify any vulnerabilities and implement proactive measures to safeguard your data from extortion. Click here to schedule a call.
Having hackers in your system is bad enough; having your data leaked would be catastrophic!
