According to Chainalysis, ransomware cryptocurrency payouts totaled at least $602 million last year. In 2021, the blockchain research firm Chainalysis released new evidence about a cryptocurrency-related ransomware attack. Nonetheless, it recognized that the total value is likely to exceed the $692 million seized in 2020.
Ransomware: What it is and How it works?
Ransomware is a sort of crypto virology malware that threatens to publish or permanently limit access to the victim’s personal data unless a ransom is paid. While some ransomware locks the system in a way that is easy to undo for a trained user, more powerful virus employs a tactic known as cryptoviral extortion.
It encrypts the victim’s files, rendering them unavailable, and demands a ransom to unlock them. Recovery of files without the decryption key in a properly implemented cryptoviral extortion attack is an intractable problem – and it’s difficult to trace digital currencies like Paysafecard or Bitcoin and other cryptocurrencies that are used for ransoms, making tracing and prosecuting the perpetrators difficult.
The most Active Ransomware Strains were Conti and Dark Side
In addition, according to data, last year featured the highest number of active ransomware strains of any previous year. At least 140 strains gained cryptocurrency funding, a 21 percent increase over 2020 and a 61 percent increase over 2019.
Darkside emerged in second place to Conti, with about $100 million in cryptocurrency. Darkside is the outfit that kidnapped the Colonial Pipeline last year and demanded Bitcoin as a ransom (BTC). Conti was most likely the most active ransomware threat of 2021.
Despite the fact that the majority of ransomware strains come and go in waves, becoming active for a short amount of time before becoming dormant, Conti remained active for the entire year of 2021. Typically, ransomware groups will shut down activities and then relaunch under a new name.
Because of the rebranding trend, the average pressure in 2021 will last less than 60 days, a 2.8-fold decrease from the average of 168 days in 2020.
Ransomware Chainalysis report
While most ransomware attacks are financially driven, others tend to have geopolitical purposes such as “deception, espionage, reputational hurt, and disruption of hostile authorities’ operations,” according to Chainalysis.
In 2021, the average ransomware price was $118,000, according to the research. This represents a 26% increase above the average of $88,000 in 2020. The higher average fee measurement, according to Chainalysis, is due to a “massive recreation searching” technique increasingly adopted by ransomware strains, in which large enterprises are targeted for ransomware.
“In reality, notwithstanding these figures, anecdotal evidence, along with the fact that ransomware income in the first half of 2021 topped that in the first half of 2020, leads us to believe that 2021 will be shown to have been an even stronger year for ransomware.”
Although there are advantages to utilising bitcoin to carry out ransomware attacks, the transparency of crypto transactions makes it easier for authorities to track the movement of funds, according to the report. For years, North Korea has exploited cryptocurrency to get around economic sanctions.
