Cryptojacking or Ransomware: What Should You Be More Concerned About?

As you may notice these days, cybersecurity threats such as cryptojacking and ransomware have become increasingly prevalent, causing significant financial losses and compromising data security. While both types of attacks are concerning, they differ in their impact and consequences. In this article, we will explore the differences between cryptojacking and ransomware, and provide actionable tips to protect yourself against these types of cyber threats.

Table of Contents

Cryptojacking

Cryptojacking, also known as malicious cryptomining, is a type of cyber attack that involves the unauthorized use of a computer’s processing power to mine cryptocurrencies. In simple terms, it is a form of theft where an attacker hijacks a victim’s computer or device and uses its resources to mine cryptocurrency without the victim’s knowledge or consent.

How cryptojacking works

Cryptojacking typically involves the use of malware or scripts that are designed to run in the background of a victim’s computer or device. These scripts or malware can be injected into a victim’s computer in various ways, such as through phishing emails, malicious downloads, or compromised websites.

Once the malware or script is installed on a victim’s computer, it starts running in the background and uses the computer’s processing power to mine cryptocurrencies. This process can cause the victim’s computer to slow down or even crash, and it can also lead to higher energy bills.

In some cases, cryptojacking attacks can be very sophisticated, with attackers using advanced techniques to avoid detection and maintain control over the victim’s computer for extended periods of time. For example, some cryptojacking malware can detect when a victim is using their computer and stop mining to avoid being detected.

Examples of cryptojacking attacks

Cryptojacking attacks have become increasingly common in recent years, with attackers targeting a wide range of victims, from individuals to large organizations.

One high-profile example of a cryptojacking attack was the attack on Tesla’s cloud infrastructure in 2018. Hackers were able to gain access to Tesla’s Kubernetes console and deploy cryptojacking malware on the company’s servers. The attack resulted in a significant increase in Tesla’s cloud computing bill and led to a temporary shutdown of the company’s Kubernetes cluster.

Another example of a cryptojacking attack was the attack on the popular video streaming website, Showtime, in 2017. Showtime’s website was found to be running cryptojacking scripts that were using visitors’ computers to mine cryptocurrency without their knowledge or consent.

Risks and Consequences

The risks and potential consequences of cryptojacking can vary depending on the nature and severity of the attack. Some of the potential risks and consequences of cryptojacking include:

Slower computer performance: Cryptojacking attacks can cause a victim’s computer to slow down or even crash, making it difficult or impossible to use.
Increased energy bills: Mining cryptocurrency requires a significant amount of computing power, which can lead to higher energy bills for victims.
Security risks: Cryptojacking malware can be used to steal sensitive information from victims, such as login credentials, credit card numbers, and personal data.
Damage to reputation: If a victim is a company or organization, a cryptojacking attack can damage their reputation and lead to loss of customer trust.
Financial losses: In some cases, cryptojacking attacks can result in significant financial losses, such as in the case of the Tesla attack mentioned earlier.

Ransomware

After a brief explanation about cryptojacking, let’s move forward to the second type. Ransomware is a type of malicious software that encrypts a victim’s files or locks their computer, making them inaccessible to the victim. The attacker then demands payment, usually in the form of cryptocurrency, in exchange for a decryption key or to unlock the victim’s computer.

How ransomware works

Ransomware typically enters a victim’s computer through phishing emails, malicious downloads, or by exploiting vulnerabilities in the victim’s computer software. Once the ransomware is installed on the victim’s computer, it starts encrypting the victim’s files or locking the victim out of their computer.

The attacker then demands payment from the victim, usually in the form of cryptocurrency, in exchange for a decryption key or to unlock the victim’s computer. The attacker may threaten to delete the victim’s files or publish sensitive information if the ransom is not paid within a certain time frame.

Examples of ransomware attacks

Ransomware attacks have become increasingly common in recent years, with attackers targeting a wide range of victims, from individuals to large organizations.

One high-profile example of a ransomware attack was the WannaCry attack in 2017. The attack targeted computers running Microsoft Windows operating system and encrypted the victim’s files, demanding payment in bitcoin for the decryption key. The attack affected more than 200,000 computers in 150 countries and caused billions of dollars in damages.

Another example of a ransomware attack was the attack on the city of Baltimore in 2019. The attack locked the city’s computer systems, including email and payment systems, and demanded payment in bitcoin for the decryption key. The attack cost the city an estimated $18 million in damages and recovery efforts.

Risks and consequences of ransomware

The risks and potential consequences of ransomware can vary depending on the nature and severity of the attack. Some of the potential risks and consequences of ransomware include:

Loss of data: Ransomware attacks can result in the loss of important data and files that are encrypted and cannot be accessed without the decryption key.
Financial losses: Ransomware attacks can result in significant financial losses, such as in the case of the Baltimore attack mentioned earlier.
Damage to reputation: If a victim is a company or organization, a ransomware attack can damage their reputation and lead to loss of customer trust.
Security risks: Paying the ransom may not guarantee the safe return of the victim’s data or unlock their computer, and may also encourage attackers to continue targeting victims.
Legal and regulatory consequences: Some industries, such as healthcare and finance, are subject to strict data protection laws and may face legal and regulatory consequences if data is lost or compromised in a ransomware attack.

Which Should You Be More Concerned About?

So, to which should we give more attention? Whatever the answer would be, assessing the risks of cryptojacking and ransomware can be a complex process that requires careful consideration of several factors. Here are some of the factors you should consider when evaluating the risks of each type of attack:

Factors to Consider

Financial Impact: Cryptojacking attacks can cause financial losses in the form of increased electricity bills and reduced computer performance, but these losses are typically minor compared to the costs of a ransomware attack. Ransomware attacks can result in significant financial losses due to ransom payments and lost productivity.
Data Security: Both cryptojacking and ransomware attacks can pose risks to data security, but ransomware attacks are typically more concerning. Ransomware attacks can result in the loss of critical files, which can have severe consequences for individuals and organizations. In contrast, cryptojacking attacks typically do not result in data loss.
Difficulty of Detection: Cryptojacking attacks can be difficult to detect, as they often involve the use of legitimate software programs that have been modified to include cryptojacking functionality. Ransomware attacks can also be challenging to detect, but there are several steps that individuals and organizations can take to identify and mitigate the risks of these attacks.
Motivations of Attackers: Understanding the motivations of attackers can also help you assess the risks of cryptojacking and ransomware attacks. In most cases, attackers are motivated by financial gain. However, ransomware attacks can also be used for espionage or sabotage purposes, which can have significant consequences for individuals and organizations.

Evaluating Potential Impact

When evaluating the potential impact of a cryptojacking or ransomware attack, there are several factors to consider. These include:

Criticality of Data: The criticality of data is an essential factor to consider when assessing the potential impact of a cyber attack. If you or your organization rely heavily on specific files or data, a ransomware attack can be particularly devastating.
Recovery Time: Recovery time is also a crucial factor to consider when evaluating the potential impact of a cyber attack. The time it takes to recover from a cryptojacking or ransomware attack can vary significantly, depending on the scope and severity of the attack.
Legal and Regulatory Consequences: Cyber attacks can also have legal and regulatory consequences, particularly if personal or sensitive data is compromised. These consequences can be significant and can include financial penalties, loss of business licenses, and reputational damage.

Protection’s Tips

Protecting yourself against cryptojacking and ransomware attacks requires a proactive approach. Here are some tips to help you reduce your risk of falling victim to these types of attacks:

Use Antivirus Software: Antivirus software can help detect and prevent the installation of malware on your computer. Be sure to keep your antivirus software up-to-date to ensure it can detect the latest threats.
Keep Software Up-to-Date: Keeping your software up-to-date can help prevent attackers from exploiting vulnerabilities in your system. Be sure to update your operating system, applications, and other software regularly.
Use Strong Passwords: Using strong passwords and changing them regularly can help prevent attackers from gaining access to your computer or network.
Backup Critical Data: Backing up critical data is essential for protecting against ransomware attacks. Be sure to back up your data regularly and store backups in a secure location.
Educate Yourself and Your Employees: Education is key to preventing cyber attacks. Be sure to educate yourself and your employees about the risks of phishing emails and other social engineering tactics.

Conclusion

It is clear enough from explanation above that both cryptojacking and ransomware attacks present serious risks to individuals and organizations. While the financial impact of cryptojacking may be less severe than that of ransomware, it is important to note that both types of attacks can compromise data security and have legal and regulatory consequences. It is important for individuals and organizations to remain vigilant and proactive in their efforts to protect against these types of cyber threats. By doing so, they can safeguard their data, finances, and reputations, and ensure that they are well-equipped to respond in the event of an attack.