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Understanding Ransomware: Basics and Protection

Key Points

  • Ransomware has surged in the news, affecting everything from pipelines to schools, and it poses a threat to both corporate networks and personal computers.
  • Attackers exploit unpatched security vulnerabilities by delivering dormant malicious code that later activates to encrypt a victim’s files while leaving core operating‑system files untouched.
  • The primary motive behind ransomware is financial gain; cyber‑criminals scan for exploitable flaws, infiltrate systems, and then demand payment to restore encrypted data.
  • Because no system is immune, every IT professional—and even home users—must stay vigilant, keep software patched, and implement protective measures to mitigate ransomware risk.

Full Transcript

# Understanding Ransomware: Basics and Protection **Source:** [https://www.youtube.com/watch?v=imNfrtvYYbw](https://www.youtube.com/watch?v=imNfrtvYYbw) **Duration:** 00:12:48 ## Summary - Ransomware has surged in the news, affecting everything from pipelines to schools, and it poses a threat to both corporate networks and personal computers. - Attackers exploit unpatched security vulnerabilities by delivering dormant malicious code that later activates to encrypt a victim’s files while leaving core operating‑system files untouched. - The primary motive behind ransomware is financial gain; cyber‑criminals scan for exploitable flaws, infiltrate systems, and then demand payment to restore encrypted data. - Because no system is immune, every IT professional—and even home users—must stay vigilant, keep software patched, and implement protective measures to mitigate ransomware risk. ## Sections - [00:00:00](https://www.youtube.com/watch?v=imNfrtvYYbw&t=0s) **Understanding Ransomware Basics and Protection** - Bradley Knapp of IBM Cloud outlines what ransomware is, why it’s dominating headlines, and how both corporate and home users can safeguard their systems against it. ## Full Transcript
0:00hello there and thanks so much for 0:01clicking on the video today my name is 0:03bradley knapp with ibm cloud and the 0:05question that we are here to answer 0:07today is a pretty basic one but it's one 0:09that's very timely it's been in the news 0:11a lot lately and that question is 0:14what is ransomware 0:20been in the news right between various 0:22attacks against things like the colonial 0:24pipeline attacks against local 0:26governments school systems police 0:28departments 0:29city halls public schools 0:31ransomware is everywhere in the news and 0:34the question of course is what is this 0:36ransomware thing what is it how does it 0:38matter how can i protect myself against 0:41it this is a question that needs to be 0:43on the mind of every corporate it 0:46employee in the world additionally you 0:49need to worry about it for home machines 0:51too ransomware knows no boundaries you 0:54are equally vulnerable to it on a home 0:56pc 0:57as a corporate internet is on their 0:59internet 1:00so let's talk about first what is it at 1:04its most basic the idea behind 1:06ransomware is you have a computer of 1:08some kind right and so we've got a 1:10computer we got a little monitor on it 1:13we got a little keyboard right 1:15got our keys on the keyboard 1:18and our computer is humming along right 1:20we're doing our computer things 1:24doing everything that we need to 1:26and 1:28in the operating system there are always 1:30going to be security vulnerabilities of 1:32various kinds it's just inherent to 1:34computing we are never going to find 1:36every bug the best we can do is as we 1:38find bugs we fix them 1:41but 1:42these security vulnerabilities can be 1:44exploited right there are large groups 1:46of malicious actors out there that are 1:48constantly scanning looking at code 1:50looking for these vulnerabilities 1:52looking for the ability to access 1:54systems so 1:56when one of these vulnerabilities is 1:58discovered 1:59what a malicious actor will do is 2:01they'll figure out all right first of 2:02all 2:03is this protected against if it's not 2:05protected against how can i exploit this 2:08how can i use it to make money because 2:10at the end of the day these malicious 2:12actors most of them aren't doing it for 2:13fun they're doing it to get paid so what 2:17do they do 2:18they take that vulnerability in your 2:20machine 2:21and they're going to transmit some 2:23software 2:24over the internet into the machine and 2:27that software is then going to sit 2:29dormant and idle 2:30until it gets executed and so it may 2:33have a time delay of a day a week a 2:36month whatever but there will be some 2:37sort of a time delay between when the 2:39malicious actor accesses the machine and 2:42when that code executes now 2:44what happens when the code executes the 2:47answer is that code is going to encrypt 2:51a very large proportion of the files on 2:54the machine now what is it not going to 2:57encrypt it doesn't encrypt the core 2:59operating system files because if it 3:01does the second part won't work 3:03so it's going to encrypt all of the data 3:05that's not necessary to boot the machine 3:07up and get it running so if it's a 3:09windows machine it's going to in boot 3:12it's going to encrypt everything that's 3:14not in the windows directory it's going 3:15to encrypt all of the games all the 3:17spreadsheets all of the files all of the 3:19pictures all of the everything on that 3:21machine 3:22and then 3:23it's going to pop something up on the 3:25screen that's going to say you've been 3:27hacked you've been owned your machine is 3:30compromised 3:31and the only way to get your data back 3:35is to pay a ransom that's the ransom 3:37part of ransomware 3:39to the malicious actor that has 3:40encrypted your machine that ransom is 3:43almost always paid via a cryptocurrency 3:45of some kind that has to be transferred 3:48to the attacker's wallet 3:50and so what i've just described is how 3:53it works on 3:54a consumer grade machine but frankly 3:56everyone it's exactly the same thing 3:59on a server or on a fleet of servers so 4:02again malicious actors scanning for code 4:05vulnerabilities they're looking for 4:06problems the difference being since it's 4:08not a consumer level machine they're in 4:10servers themselves so they're first 4:12looking for holes in your network 4:14security and then once they can get 4:16around your network or if they find 4:18machines that are exposed directly to 4:19the public internet then they're 4:21scanning for vulnerabilities on the 4:23machines themselves again they're 4:25looking for that exploit that nobody 4:27knows about but let's be very honest 4:29here 4:31the incidence of attacks using a zero 4:33day or a previously unknown exploit are 4:36actually really really really small the 4:39vast majority of these malicious actors 4:42are not using zero-day exploits they're 4:44using exploits that have been known 4:46sometimes they're exploits that have 4:48been known for months or years and so 4:50we're going to talk about remediation 4:52over here keep this point in mind 4:53because it's a very important one but 4:55back to our compromise system so we're 4:57over here we've got you know one or two 5:00or 10 or 15 different servers the 5:03servers have been compromised the 5:05malicious actor has spread through the 5:07network he's gotten access to a number 5:10of servers in it he's installed the 5:11ransomware and the only way to get any 5:13of that data back again is to is to pay 5:15the ransom you have to pay the guy in 5:18hopes that he will send you the 5:20decryption tool that you need in order 5:21to get your data back now as to whether 5:24or not you pay the ransom no one can 5:26answer that question for you hopefully 5:28you have sufficiently prepared yourself 5:30that you never experienced this to begin 5:33with but if you do experience it only 5:35you can answer the question do i pay 5:37this ransom or not 5:39now 5:40there are ways to avoid it and that's 5:42what we're going to talk about next so 5:45you have been owned worst case scenario 5:49now let's get into how do we keep 5:51ourselves safe all right so in order to 5:54avoid 5:55letting those malicious actors letting 5:57those hackers get access to your system 5:59the first and most important thing you 6:02can do 6:03is have good network policies 6:07it all comes down to the network 6:11this includes both your home network and 6:14any kind of an enterprise or commercial 6:16network if your network is properly set 6:19up it is configured if you are regularly 6:21installing all of the patches and all of 6:24the firmware upgrades in order to keep 6:26your network equipment up and running 6:28safely that is your first line of 6:30defense against any kind of a malicious 6:32actor getting into your machine 6:35second line of defense 6:37once you get to the physical machine 6:38itself 6:40so let's get to our you know server here 6:45you must follow proper security 6:47protocols and practices to secure your 6:50servers 6:51this is so so so important and this goes 6:54beyond just user access control although 6:56obviously user access control is 6:58incredibly important please don't ever 7:00use default passwords for anything 7:02please always use secure passwords if 7:04you must use a password use keys if at 7:07all possible a key management system is 7:09superior to a user password in every 7:12possible manner in addition to using 7:15keys you must keep your machines updated 7:19software patches hardware firmware 7:22patches are constantly being released 7:24they are protecting you against these 7:27malicious vulnerabilities and like we 7:29talked to a minute ago the majority of 7:31these bad actors are using exploits that 7:34have been known for a while if you are 7:36on the enterprise side if you are not 7:38regularly checking the cve for 7:40vulnerabilities in the systems you run 7:42on a regular basis 7:44you have got to add that to your best 7:46practice you've got to do it on a 7:48regular basis if you don't have the time 7:50or the money or the staff to do it on 7:51your own please engage with a vendor 7:54that is going to constantly be checking 7:56your systems all of the operating 7:58systems and as much of the software as 8:00you run against that cve list you have 8:03to be checking it and you have to be 8:05getting things updated just because it's 8:07annoying to take some down time to 8:09update firmware and update software on 8:13those servers doesn't mean you can annoy 8:15you can ignore it don't put it off you 8:17have to keep these things modern and 8:19current don't run old versions of 8:21operating systems and if you absolutely 8:24have to run an old version of an 8:25operating system air gap the system make 8:28it impossible to access that system from 8:30the public internet it is not safe to 8:33leave old windows machines connected to 8:35the public internet they will be 8:37compromised there's just no other way 8:38around it so please use modern hardware 8:42use modern software keep all of your 8:44security patches and your firmware 8:46patches up to date 8:48next piece 8:49let's assume that you have a malicious 8:51actor that's a little better than most 8:53and they have found a zero-day 8:54vulnerability a previously undisclosed 8:56vulnerability one that's not yet on the 8:58cve list 9:00and this is one of the more interesting 9:03topics 9:04you must back up your machines 9:06now 9:09backup restore is not the most fun thing 9:11to do on the planet as a matter of fact 9:13there's nothing fun about it 9:15but if you are not regularly testing 9:17your backups for your ability to restore 9:20from them you don't have a backup 9:22strategy 9:23you must test those backups all the time 9:27once a year is not often enough these 9:30backups are your only way to get back up 9:33and running if you've been compromised 9:35it's the only way you're going to get 9:36back up without having to pay a ransom 9:38if you're a home user the backups are 9:40how you're going to get your photos back 9:41that's i mean just frankly you're going 9:43to lose whatever has been compromised 9:47whether or not you pay that ransom in 9:49many cases because the decryption tool 9:51may not work or this particular 9:54malicious actor may not care they may 9:55just take the money and run 9:57they have no obligation to provide you 10:00with what you've paid for again they're 10:01criminals this is how they get started 10:03in the first place so 10:05have a backup strategy have a restore 10:07strategy have a good network map of all 10:10of your systems and their 10:11interconnections 10:12because if somebody can compromise one 10:15server they can probably compromise 10:16multiples and so let's imagine here our 10:19enterprise network right so we've got 10:21server here one and we've got you know 10:24an active directory server over here 10:27and we've got servers you know three 10:29four five six seven whatever so on and 10:33so forth everything is all 10:34interconnected right active directory is 10:36going to get all of the controls let's 10:39say that the server that gets 10:41compromised is your active directory 10:42server 10:44this is kind of like worst case scenario 10:45stuff here once they're into your active 10:47directory server if they can get some 10:49credentials they can start getting into 10:50everything else that you have running in 10:53your environment 10:54they're going to compromise everything 10:57and so 10:58once they have compromised it once they 11:00have encrypted everything they've sent 11:02you their ransom message you then have 11:04to make the decision all right are we 11:05going to try to restore from a backup 11:07well 11:08remember at the beginning when i said 11:10that the malicious actor they were going 11:11to install code but they weren't going 11:13to trigger it yet 11:16do you know when you were compromised 11:18because you have to restore to a backup 11:20that exists before you were compromised 11:23because if you restore a backup your 11:25backup strategy is great you've got good 11:26systems images you can bring everything 11:28back from a backup from last week but oh 11:31wait you were compromised six weeks ago 11:34all you're going to do is you're going 11:35to restore good backup copies that still 11:38have the malicious code in them and if 11:39that's the case do you have the ability 11:41to find that malicious code and 11:42eliminate it before it activates itself 11:44again otherwise you're going to find 11:46yourself in exactly the same spot no 11:48access to systems no ability to process 11:50workloads no ability to run applications 11:53you are down 11:55so that is what ransomware is these are 11:58some ways to protect against it please 12:00please please i implore you learn about 12:02ransomware learn how to protect yourself 12:04against it 12:05engage companies that have expertise you 12:08know folks that know a lot about the cve 12:10folks that know a lot about network 12:12security that know about secure server 12:14security engage with your operating 12:16system vendors to be sure that you're on 12:18a regular patch and maintenance cycle to 12:20be sure that you are protecting yourself 12:22against these kinds of attacks 12:24hopefully you found the information 12:25today valuable if you have any questions 12:27please feel free to leave them in the 12:28comments and we'll talk to you later 12:31thank you so much for stopping by the 12:33channel today if you have any questions 12:35or comments please feel free to share 12:36them with us below if you enjoyed this 12:38video and you would like to see more 12:40like it in the future please do like the 12:42video and subscribe to us so that will 12:44know to keep creating for you