storm-2460

Storm-2460's Exploitation of Windows Zero-Day: Threat Actor similarity in focus.

Wes

10 Apr 2025 — 8 min read

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Ever get compound questions like this:

what do you know about ‘CVE 2025-29824’ ?
what do you know about ‘Storm-2460’ ?
deep dive on this, trying to build some context around storm-2460 (in relation to other actors)

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TL;DR

Key Points

- Storm-2460 is exploiting a zero-day vulnerability (CVE-2025-29824) in Windows, targeting the finance sector.
- Immediate patching and enhanced security measures are crucial to mitigate this threat.
- The group uses sophisticated malware, PipeMagic, to maintain persistence and execute attacks.
- Implementing advanced endpoint detection and response (EDR) solutions is recommended.
- Financial institutions face risks of data breaches, operational disruptions, and regulatory penalties.
- Regular software updates and comprehensive incident response plans are essential.

Research

Executive Summary

Storm-2460, a cyber threat group, is actively exploiting a zero-day vulnerability (CVE-2025-29824) in the Windows Common Log File System (CLFS), primarily targeting the finance sector and other high-value industries. This vulnerability allows attackers to escalate privileges, gaining SYSTEM-level access to compromised systems. The group's use of the PipeMagic malware, which acts as a backdoor, facilitates their attacks and maintains persistence.

Recent activities have shown Storm-2460 targeting sectors such as finance, IT, and real estate across the U.S., Venezuela, Spain, and Saudi Arabia. The exploitation of this vulnerability has led to widespread ransomware deployment, posing significant risks of data breaches, operational disruptions, and potential regulatory consequences for financial institutions.

Comparatively, Storm-2460's tactics differ from groups like RansomEXX and Conti, focusing more on direct exploitation of vulnerabilities rather than relying on affiliate structures or social engineering. The exploitation of CVE-2025-29824 highlights the need for immediate patch management, enhanced EDR solutions, and comprehensive user training programs to mitigate these threats.

Looking forward, ransomware groups are expected to evolve their tactics, potentially incorporating artificial intelligence for more sophisticated attacks. Financial institutions must remain vigilant, investing in cybersecurity measures and participating in threat intelligence sharing to stay ahead of emerging threats.

Technical Details

Recent Activities of Storm-2460

Storm-2460 has been linked to a series of ransomware attacks targeting various sectors, including finance, IT, and real estate. The group has exploited the Windows Common Log File System (CLFS) vulnerability (CVE-2025-29824) to gain unauthorized access and deploy ransomware. Key points include:

Exploitation of CVE-2025-29824: This zero-day vulnerability allows attackers to escalate privileges from a standard user to SYSTEM-level access, facilitating deeper infiltration into targeted systems. Microsoft has confirmed that Storm-2460 has used this vulnerability in attacks against organizations in the U.S., Venezuela, Spain, and Saudi Arabia.
Use of PipeMagic Malware: The group has utilized PipeMagic, a malware that functions as both a backdoor and a gateway, to facilitate their attacks. This malware has been observed in previous incidents and is known for its ability to maintain persistence and execute further malicious actions.
Targeted Sectors: The attacks have primarily focused on the finance sector in Venezuela, IT and real estate sectors in the U.S., a Spanish software company, and retail organizations in Saudi Arabia. The exploitation of the CLFS vulnerability has allowed for widespread deployment of ransomware within these environments.

Comparison of Tactics, Techniques, and Procedures (TTPs)

When comparing the TTPs of Storm-2460 with those of RansomEXX and Conti, several similarities and differences emerge:

RansomEXX: This group has also been known to exploit zero-day vulnerabilities, but they often rely on social engineering tactics to gain initial access. Their ransom notes have been found to resemble those of Storm-2460, indicating potential overlaps in operational methods.
Conti: Conti has a well-documented history of using ransomware-as-a-service (RaaS) models, allowing affiliates to deploy their ransomware in exchange for a share of the profits. Storm-2460, while sophisticated, appears to operate with a more direct approach, focusing on exploiting specific vulnerabilities to execute their attacks without the same level of affiliate structure.

Zero-Day Vulnerabilities Exploited

The primary zero-day vulnerability exploited by Storm-2460 is CVE-2025-29824, which is a privilege escalation vulnerability in the Windows CLFS. This vulnerability allows attackers to gain elevated privileges, making it easier to deploy ransomware and conduct further malicious activities within compromised networks. The implications for financial institutions are severe, as this could lead to data breaches, financial theft, and significant operational disruptions.

Implications for Financial Institutions

The exploitation of CVE-2025-29824 by Storm-2460 poses a significant risk to financial institutions. The ability to escalate privileges means that attackers can gain access to sensitive data and systems, potentially leading to:

Data Breaches: Unauthorized access to customer data and financial records.
Operational Disruption: Ransomware can halt operations, leading to financial losses and reputational damage.
Regulatory Consequences: Financial institutions may face penalties for failing to protect sensitive data adequately.

Recommendations, Actions and Next Steps

Recommendations

Immediate Patch Management: Financial institutions must prioritize the immediate application of security patches for CVE-2025-29824 across all affected systems. Conduct a thorough inventory of all Windows systems and ensure they are updated to the latest versions to mitigate the risk of exploitation by Storm-2460. Reference: NVD - CVE-2025-29824.
Enhanced Endpoint Detection and Response (EDR): Implement advanced EDR solutions such as CrowdStrike Falcon or SentinelOne that specifically monitor for anomalies related to the Windows Common Log File System (CLFS) and other critical components. Set up alerts for unusual privilege escalation attempts and suspicious process behaviors associated with PipeMagic malware. Reference: Microsoft Exploitation of CLFS Zero-Day.
Comprehensive User Training Programs: Develop and implement ongoing training programs for employees focused on recognizing phishing attempts and other social engineering tactics. Conduct training quarterly and include simulated phishing exercises to enhance awareness and preparedness against initial access methods used by threat actors.
Incident Response Plan Review and Testing: Review and update incident response plans to ensure they are robust and include specific protocols for responding to ransomware attacks. Conduct tabletop exercises bi-annually to test the effectiveness of these plans and ensure all team members are familiar with their roles during an incident.
Threat Intelligence Sharing: Engage in threat intelligence sharing with industry peers and cybersecurity organizations to stay informed about emerging threats and vulnerabilities. This collaboration can enhance situational awareness and provide insights into the tactics used by groups like Storm-2460.

Followup Research

Suggested Pivots

What additional vulnerabilities, specifically in Windows and related software, are currently being exploited by Storm-2460 or similar threat groups, and how can organizations prioritize these vulnerabilities based on their potential impact on critical systems?
How do the tactics, techniques, and procedures (TTPs) of Storm-2460 compare to those of specific ransomware groups such as LockBit and BlackMatter, particularly in recent incidents, and what insights can be drawn to enhance threat detection and response strategies?
What specific technologies or frameworks, such as zero trust architecture or advanced threat detection systems, can financial institutions implement to mitigate the risks associated with privilege escalation vulnerabilities in the context of the current threat landscape?
How has the exploitation of the CLFS vulnerability impacted the operational capabilities of organizations in the targeted sectors, and what metrics or methods can be used to assess operational disruptions, such as downtime duration or financial losses?
What specific platforms or networks facilitate threat intelligence sharing among organizations, and how have these collaborations proven effective in mitigating threats from ransomware groups like Storm-2460 in past scenarios?

Forecasts

Short-Term Forecast (3-6 months)

Increased Exploitation of CVE-2025-29824
- A surge in exploitation attempts of the CVE-2025-29824 vulnerability is expected, particularly in the finance sector and other high-value industries such as healthcare and government. As organizations rush to patch this vulnerability, threat actors like Storm-2460 will likely intensify efforts to exploit unpatched systems. This trend mirrors past incidents where zero-day vulnerabilities were actively targeted until widespread patching occurred, such as the exploitation of the EternalBlue vulnerability by WannaCry.
- Examples:
  - The rapid exploitation of the Log4j vulnerability in late 2021 led to a spike in attacks across various sectors, highlighting how quickly threat actors can capitalize on unpatched vulnerabilities.
  - Similar to the exploitation of CVE-2017-0144 (EternalBlue), which was used in the WannaCry ransomware attack, a similar pattern of exploitation is expected before organizations can effectively mitigate the risk.
Rise in Ransomware Attacks Targeting Financial Institutions and Beyond
- Financial institutions will experience a notable increase in ransomware attacks as Storm-2460 and similar groups leverage the CVE-2025-29824 vulnerability. The group's focus on high-value sectors indicates they will prioritize attacks that yield significant financial returns. Additionally, sectors such as healthcare and government may also become targets due to the sensitive nature of their data and the potential for operational disruption. This trend is consistent with the historical targeting of financial institutions by ransomware groups, often leading to substantial operational disruptions and financial losses.
- Examples:
  - The 2020 attack on the financial services firm, Finastra, which resulted in significant operational downtime and financial losses, serves as a precedent for the potential impact of ransomware on financial institutions.
  - The increase in ransomware attacks on hospitals during the COVID-19 pandemic illustrates how healthcare organizations can be particularly vulnerable during crises, indicating a potential future direction for Storm-2460's targeting strategy.

Long-Term Forecast (12-24 months)

Evolution of Ransomware Tactics and Techniques
- Over the next 12-24 months, ransomware groups like Storm-2460 are expected to evolve their tactics, incorporating more sophisticated methods such as artificial intelligence for evasion and exploitation. This evolution will likely include the development of new malware variants that can bypass traditional security measures, similar to how ransomware groups have adapted their strategies in response to increased cybersecurity defenses. Speculative elements regarding AI should be supported by current trends in cybersecurity, where AI is increasingly being used for both defense and attack.
- Examples:
  - The shift from traditional ransomware to double extortion tactics, where attackers not only encrypt data but also threaten to leak sensitive information, has become a common trend among ransomware groups, indicating a potential future direction for Storm-2460.
  - The emergence of ransomware-as-a-service (RaaS) models, as seen with groups like Conti, suggests that Storm-2460 may adopt similar operational structures to expand their reach and effectiveness.
Increased Regulatory Scrutiny and Cybersecurity Investments
- As ransomware attacks on critical sectors escalate, regulatory bodies will likely impose stricter cybersecurity regulations, particularly for financial institutions, healthcare, and government sectors. This will drive organizations to invest heavily in cybersecurity measures, including advanced endpoint detection and response (EDR) solutions and comprehensive incident response plans. The trend of increased regulatory scrutiny is consistent with past responses to significant data breaches and ransomware incidents.
- Examples:
  - Following the Colonial Pipeline ransomware attack in 2021, the U.S. government introduced new cybersecurity regulations for critical infrastructure sectors, indicating a trend that may continue as ransomware threats evolve.
  - The European Union's General Data Protection Regulation (GDPR) has already set a precedent for increased regulatory scrutiny in data protection, which may expand to include specific mandates for ransomware preparedness and response.

Appendix

References

(2025-04-08) - Exploitation of CLFS zero-day leads to ransomware activity
(2025-04-09) - CVE-2025-29824 Detail - NVD
(2025-04-08) - Microsoft fixes actively exploited Windows CLFS zero-day (CVE-2025-29824)
(2025-04-09) - PipeMagic Trojan Exploits Windows Zero-Day Vulnerability to Deploy Ransomware
(2025-04-09) Microsoft's April 2025 Patch Tuesday Update: What's New
(2025-04-08) Microsoft's April 2025 Patch Tuesday Addresses 121 CVEs (CVE-2025-29824)
(2025-04-08) Microsoft: Windows CLFS zero-day exploited by ransomware gang

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(Have feedback? Did something resonate with you? Did something annoy you? Just hit reply! :))

Get compound questions like this:

what do you know about ‘CVE 2025-29824’ ?
what do you know about ‘Storm-2460’ ?
deep dive on this, trying to build some context around storm-2460 (in relation to other actors)

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