Phishing scams continue to evolve into new forms. The latest trend is watering hole attacks, where hackers target specific websites to deliver malware or steal sensitive information. These targeted attacks often rely on social engineering techniques, such as sending emails impersonating trusted brands or organizations. Phishing has become a persistent threat because it’s easy for attackers to use and can be successful even if users are vigilant.

The good news is that there are ways you can protect yourself from these threats.

phishing smartphone

What Is A Watering Hole Phishing Attack?

A watering hole phishing attack takes advantage of common security weaknesses across multiple web properties owned by a single organization. Hackers create malicious links within legitimate websites and trick visitors into downloading malware files. If successful, attackers can gain access to victims’ computers.

A watering hole attack is a type of cyberattack in which the attacker attempts to compromise a specific group or set of computers by targeting websites that members of the targeted group are known to visit, such as social media sites, news outlets, online forums, etc. This technique exploits human nature, specifically because individuals tend to trust information found on websites they use frequently and know well.

A watering hole attack aims to infect a targeted computer system and gain control of it. Once infected, the attacker gains remote access to the victim’s computer, allowing him to steal data and perform other malicious activities.

Group friends using laptop on autumn camping trip to countryside, chatting online, having fun together. Diverse young people spending time outdoors on vacation

Who Is At Risk?

A watering hole attack is one of the most common forms of cyber-attacks because it targets the weakest link in the system. In this case, the weak link is the human element — people are much easier to manipulate than computers. As such, attackers use social engineering techniques, phishing emails, spear phishing emails, and even plain old trickery to convince someone to open a file attachment or click on a URL. Once inside, the attacker installs malware onto the device. Malware includes viruses, worms, Trojans, keyloggers, ransomware, adware, spyware, and many others.

A watering hole attack is similar because it compromises the third party to spread malware to other computers. In this case, the malicious software spreads via a legitimate web browser extension.

Supply chain attacks are similar to watering hole attacks because they compromise the third party to spread malicious code. However, unlike watering hole attacks, supply chain attacks often directly compromise a vendor’s product. For example, an attacker might exploit a vulnerability in Adobe Acrobat Reader to install spyware on unsuspecting victims.

Man-in-the-Middle attacks are similar to watering holes; however, they differ in that MitMs do not modify anything; they act as a middleman, allowing the attacker to see what happens without being detected.

Spear phishing attacks are similar to watering-hole attacks but use text messages instead of email. These attacks aim to get users to open attachments or click on URLs. These attacks are more effective against mobile devices since users have less time to read and process messages.

If you use email, receive text messages, or use electronic devices, you risk becoming a victim of a watering hole phishing attack. 

Hook phishang man

How Is A Watering Hole Phishing Attack Carried Out?

A watering hole attack is a type of cyberattack where hackers use social engineering techniques to trick employees into giving away information about the network and systems. They do this by targeting trusted individuals within the organization, such as IT admins, system administrators, engineers, etc., and gaining their trust. Once they gain access to the employee’s computer, they can steal login credentials and gain access to sensitive data.

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The goal of this technique is to compromise the IT infrastructure of the targeted organization. Once the attackers enter the network, they start looking for ways to steal data and money. They do this by compromising accounts belonging to key personnel within the organization. These compromised accounts allow attackers to perform phishing attacks, malware distribution, and social engineering campaigns.

1. Intelligence gathering

The threat actor collects information about their target by monitoring their online activity, where they gather information such as IP addresses, browser type, operating system version, screen resolution, and installed extensions. This allows them to build up a profile on the victim.

Search engines, social media sites, website demographics, social engineering, spyware, key loggers, and malware are commonly used to collect information.

Sometimes, it helps to know what you’re looking for. If you want to find out what your competitor is doing, check out their analytics tool. You might learn something valuable.

2. Analysis

Cybercriminals analyze the target list for vulnerabilities they can exploit. They might use automated tools or manually go through each site, looking for weak points. Once they find something, they try to identify what type of vulnerability exists.

In some cases, the criminals will take over an actual website and redirect visitors to a fake version. If you are logged into the original site, you will end up on the fake one. You won’t even know that there was anything wrong until you realize your account information isn’t working correctly.

In other instances, the hackers will create a malicious clone of a legitimate website. For example, they may steal a WordPress theme and install it onto a server. Visitors will land on the clone, which looks exactly like the original. But once they log in, they see that everything is different. Their data is gone, their files are missing, and their accounts have been compromised.

3. Preparation

The WannaCry ransomware attack used a combination of zero-day vulnerabilities and custom malware to spread throughout corporate networks. They leveraged publicly disclosed flaws in Microsoft Windows operating systems to target computers running older versions of the software. In addition to exploiting known weaknesses, the attackers customized their payload to avoid detection by security products and bypass firewalls. This allowed them to gain access to victims’ machines without raising alarms. Once inside, they installed malicious modules that enabled them to take control of infected devices.

This method of attack allows the criminals to remain undetected while spreading across organizations. They can quickly move laterally within a network because no alerts are raised when a machine becomes compromised.

4. Execution

Now the attacker has to wait for the malware to do its job. Once the browser downloads the malicious file, it runs automatically without the end user knowing anything about it. 

The malware does its dirty work by infecting files and registry keys on the computer. Depending on what type of infection occurs, there are different types of attacks possible. For example, if the malware uses a worm-like virus, it spreads itself across the system. Other infections use a Trojan horse, which hides inside legitimate applications like games or video players.

Once installed, the malware opens a backdoor into the victim’s PC. This allows hackers to access the machine remotely. They can steal information, take over accounts, install additional spyware, and even delete data. Hackers can also use the backdoor to upload stolen credit card numbers, bank account credentials, and personal identification numbers (PINs).

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Group of hackers trying to break and steal information

 

How Does A Watering Hole Phishing Attack Work

A watering hole attack takes advantage of a web application’s existing vulnerability. The attacker creates a website that mimics a trusted brand or service. When users visit this site, they unknowingly download malware from the hacker.

For example, a company has a website where employees can submit expense reports. An attacker could set up a fake website with the same domain name as the real one. Users who go to the fake site would be tricked into downloading a malicious program instead of submitting their report.

When you visit a website, your browser checks whether the URL belongs to a trusted source. If not, it requests a list of certificates from the website’s certificate authority. These certificates verify that the website is authentic. The browser will warn you that the connection may be unsafe if the site doesn’t provide these certificates.

If the site provides valid certificates, then the browser trusts the site and lets it load normally. However, if the site isn’t trustworthy, the browser won’t allow it to run.

When people visit a fake site, they don’t realize they’re visiting a malicious page. Instead, they think they’re going to the original site. Because the site looks exactly like the original, they click through the warning messages and open the malicious link.

The malicious code is downloaded onto their computer as soon as the user clicks the link. At this point, the malware begins its mission: stealing sensitive data and installing other programs.

Burned Business

Damage Caused By Watering Hole Phishing Attacks

It will not be as bad as the picture above, but once someone visits the fake site, they unwittingly download malware. The malware steals passwords, financial information, and other private data. It can also install keyloggers and trackers so that hackers can see what the victim is doing online.

The damage caused by watering hole attacks depends on how many people fall for them. Some companies have seen millions of dollars lost because of them.

This attack is particularly dangerous because it allows hackers to control your network without breaking into it.

If the attackers successfully drop a RAT onto the compromised server, they can perform commands, including monitoring and spying on the targeted organization’s activities. They can also use the infected server to steal sensitive information, like credit card numbers, passwords, and emails, or even launch destructive attacks against the organization, causing massive damage.

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Preventing A Watering Hole Phishing Attack

 

There are several ways to prevent waterhole attacks:

  1. Make sure that all software updates are applied promptly. Software vendors often release patches to fix security vulnerabilities. Make sure that you apply security patches immediately.
  2. Check the security settings of all your web applications. Please ensure you have robust authentication mechanisms, such as two-factor authentication, so that users cannot log into their accounts without entering a password and a verification code sent via text message or phone call.
  3. You’ll also want to take a close look at your internal policies. Do you allow employees to access personal devices while working? If not, consider changing this policy. Employees who bring their laptops or smartphones to work could compromise their systems’ integrity.
  4. Identify where the vulnerable assets are located. If you don’t know where these assets are located, then you’ll need to ask your IT specialist for help.
  5. Determine which assets are most important to protect. These are typically the ones that would receive the most traffic. For example, if you have a website that employees use to log their work hours, you probably want to ensure that those workers aren’t accessing the site after hours.
  6. Create a plan that takes into consideration the assets that are most likely to be attacked. For example, if most of your users are on mobile devices, then you will want to focus most of your resources on securing those endpoints. Have employees ensure that all their software programs are up to date, including the browser. The operating system has the necessary software patches and security updates while running competent antivirus software.
  7. An additional defense is for companies to monitor their sites and networks and block traffic if malicious content is found.
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If you follow these simple steps, you’ll almost certainly stop most threats.

Wrapping Up

Watering hole phishing attacks and other cybersecurity threats are becoming more common. Businesses must understand how they can prevent these types of attacks from occurring. By taking the proper security measures, companies can reduce the risk of being hacked.

Please send us a message or leave a comment below for additional information on preventing online threats and unauthorized access to your network.