US-CERT is aware of a malware campaign that surfaced in 2013 and is associated with an increasing number of ransomware infections. CryptoLocker is a new variant of ransomware that restricts access to infected computers and demands the victim provide a payment to the attackers in order to decrypt and recover their files. As of this time, the primary means of infection appears to be phishing emails containing malicious attachments.

CryptoLocker appears to have been spreading through fake emails designed to mimic the look of legitimate businesses and through phony FedEx and UPS tracking notices. In addition, there have been reports that some victims saw the malware appear following after a previous infection from one of several botnets frequently leveraged in the cyber-criminal underground.

The malware has the ability to find and encrypt files located within shared network drives, USB drives, external hard drives, network file shares and even some cloud storage drives. If one computer on a network becomes infected, mapped network drives could also become infected. CryptoLocker then connects to the attackers’ command and control (C2) server to deposit the asymmetric private encryption key out of the victim’s reach.

Victim files are encrypted using asymmetric encryption. Asymmetric encryption uses two different keys for encrypting and decrypting messages. Asymmetric encryption is a more secure form of encryption as only one party is aware of the private key, while both sides know the public key.

While victims are told they have three days to pay the attacker through a third-party payment method (MoneyPak, Bitcoin), some victims have claimed online that they paid the attackers and did not receive the promised decryption key. US-CERT and DHS encourage users and administrators experiencing a ransomware infection to report the incident to the FBI at the Internet Crime Complaint Center (IC3).