
A game about Squid Game pulls the rug from under cryptocurrency investors in what appears to be a scam, PayPal hackers use a devious trick to break into 2FA-protected accounts, and have you received a job offer that’s too good to be true?
All this and much more is discussed in this celebratory edition of the award-winning “Smashing Security” podcast by cybersecurity veterans Graham Cluley and Carole Theriault, joined this week by Dr Jessica Barker.
Plus don’t miss our featured interview with the CEO and president of Qualys, Sumedh Thakar.
Oh, and huge thanks to Darknet Diaries’ Jack Rhysider, F-Secure’s Mikko Hyppönen, The Cyberwire’s Dave Bittner, and Host Unknown’s Andrew Agnês, Thom Langford, and Javvad Malik for their special contributions to this episode.
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This transcript was generated automatically, probably contains mistakes, and has not been manually verified.
My name is Graham Cluley.
And they recorded a few words. Let's check it out right now.
We talk about his career and the upcoming annual security conference, their 21st, if you can believe it. So all this and much more coming up on this episode of Smashing Security.
Jess, you are missing a treat because while the rest of the world is watching Squid Game on Netflix, Carole and I, we've been watching horrendous people doing horrendous things, marrying complete strangers, predictable outcomes.
But we can't get enough of it.
My understanding is Squid Game is like a South Korean remake of The Sound of Music, but with more machine guns. It's something like that. It's a bit Hunger Games.
It's a bit gore and violence. It's a bit—
No, but it's so stupid in a way because there's this big conversation where I could have a point of view on it, and that's kind of cool.
But in fact, I kind of was like, "Oh, too many people are talking about it. I don't want to do it." And now look at me now.
And yet it puts me off.
And they've been watching hundreds of cash-strapped contestants accept an invitation to compete in children's games for a tempting prize.
At least that's what I've read, but with deadly stakes.
And of course, that means that some people think, oh, hello, Squid Game, that's popular. How can we take advantage of that?
So some opportunistic fellows thought, let's do an online version of Squid Game. And so they posted up online 6 different games and 456 people take part in each game.
And at the end of the game, if you are the ultimate winner of these online games, collects all the tokens, right? Squid tokens.
And squid tokens, you aren't gonna be surprised to find out, is a hot new cryptocurrency. And it's called a play-to-earn cryptocurrency inspired by the TV show.
There's a white paper explaining all about Squid tokens. And they were launched on Tuesday of last week.
72 hours later, each Squid token, which started off at 1 cent, was worth $4.42.
So a huge amount of money, obviously quite unbelievable. Now, some people thought, that it might be a scam, because there had been a few clues.
For instance, nobody knew who was behind the Squid tokens.
Who's typing those comments?
So the biggest concern though, the thing which made people most suspicious was, well, what happens if you want to get hold of your money? 'Cause you've made suddenly $44,000. Right.
Maybe you'd like to get hold of it.
And meanwhile, other people were still buying Squid tokens, pushing up the price. And they were tempted as the price was racing up. So it was going up, further up and further up.
By Monday of this week, the week that we're recording this, the price of Squid tokens became truly enormous. It reached a height.
Each Squid token, remember it was 1 cent, became $2,861.80.
And on a Telegram group seemingly run by the token's administrators, they said, oh, someone's tried to hack our project and our Twitter account.
If anyone's having problems selling their Squid tokens because of anti-dumping measures we put in place to stop people artificially lowering the price.
Well, the Squid Game developers, the developers of this online game, eventually they said, well, we don't want to carry on running this project because we're getting a bit depressed because people are scamming us and we're overwhelmed with stress.
And so the website, the website with the game shut down, the Twitter account was removed, leaving 57,000 followers in the lurch. And the Squid token price—
I don't understand. But anyway, again, I've probably been sleeping. Yeah.
Who would've thought cryptocurrency would've ended in this way?
This is an article by Joseph Cox for Vice Motherboard, and it starts by describing a call seemingly from PayPal's fraud prevention team.
And it is an automated call, an automated voice.
You pick up the phone and it explains someone has tried to take a payment, a $50 payment, say, and if that wasn't you, you need to verify your identity to block the payment.
So it wasn't you, so of course you want to block the payment.
Don't worry, the transaction has been blocked. Here is your reference number," reeling off a string, a long string of numbers. And don't worry—
So the article is a great analysis of this seemingly new type of scam, and you can actually listen to the audio which Joseph Cox got hold of, received from a scammer who sells these bots.
Listen to how convincing it is.
In order to secure your account, please enter the code we have sent to your mobile device now.
Don't worry if any payment has been charged to your account, we will refund it within 24 to 48 hours. Your reference ID is 1549926. You may now hang up.
And I think if you go so far as to listen to the message, for some people, you're right, they'll pick up the phone, they'll hear an automated voice, they'll hang up.
Other people, if they are likely to listen to the message, then maybe they're more likely to be persuaded by it.
Ring us back on this number," or, you know, "Press this number to go through our switchboard system." I've had this recently from a gym.
And they keep ringing me with an automated voice message saying I have to call them back, which obviously means I'm never gonna call them back and they're gonna continue taking money from me.
And the scammer even comments on how great the bots are because not everyone is comfortable on the phone.
So if you're the awkward type of criminal that doesn't have a great telephone manner, don't worry, these bots will do the social engineering for you.
And that's one thing we spoke about, you know, how this lowers the bar for criminals and the fact that as we get more accustomed to communicating with bots, the more, of course, cybercriminals are going to try and subvert it and take advantage of the fact that we're using that and we're more comfortable with speaking with robots.
You need to act now, put in your code, then you receive the code at exactly the right time. And for some— Sure. Oh, Siri's not sure. Siri's not sure if they understand that.
Sorry, that was my watch piping up at that point.
So you leave it two days before you start to realise, hold on, loads of money's been siphoned out of my account and it's not going back in.
And I mean, they're putting out the communications, don't share your code with anyone who asks for it. We will never call and ask for it in that way.
What's interesting is the scammer says they're using some communication tools, I think is it Twilio, one of them? Other ones where they will make calls on your behalf.
So obviously legit services where as a business you can get that service to put calls out for you.
And so those platforms are also saying they're trying to crack down on the use of bots and they're aware of this and they're doing what they can to try and squash it.
You know me from Smashing Security." And you do not own your voice. There's no copyright for voice ownership. So you wouldn't be able to say, "Hey."
So if someone asks you, "Oh, can you tell me what the two-factor code is that you've just been sent?" you should be wary of that.
But the fact that it's a robot asking you somehow might reassure people and think, "Oh, well, I'm just dealing with some automated system.
Maybe this is part of PayPal or whatever company it is that's called me up."
You guys are like the Hutch to our Starsky, the Lacey to our Cagney, the Doyle to our Bodie, the Hutch to our Turner, the Danny DeVito to our Arnold Schwarzenegger, the Robin to our Batman, the Rodney to our Del Boy, the Cheech to our Chong, the canine to our Doctor.
From all of your friends at Host Unknown.
And according to ProPublica, millions of people have just upped and quit their jobs, right? Looking for a new life or a new way of life.
In fact, in August, 2.9% of Americans quit their jobs.
So we're seeing this really huge churn in the labor market, particularly in the States, although I'm sure it's happening elsewhere.
So Graham, I want you to imagine that you are one of this 3% and you need a new job, right? This podcast gig isn't working out for you. You've done 250 episodes.
All right, at a pay that actually works out to about $100 grand a year, right? And let's imagine this is exactly the gig you've been looking for.
No more sitting at home in your stupid studio, you're hitting the open road. And so you're excited about this opportunity, so you click on the link and you send in your CV.
And then, okay, so let's play along. So I might say, have you ever fallen asleep at the wheel, Mr. Cluley?
And the person on the phone that called you isn't an interviewer but a scammer trying to get as much info about you as they can to use their legit identity for their own nefarious purposes.
So, it's really interesting. So one version of the scam was posted in a Telegram channel of a Nigerian scam group called Yahoo Boys Community. This is according to ProPublica.
And then there was instructions on what to tell applicants to get them to share their Social Security numbers, photographs of their driver's license, and other personal details.
But what you need is to get their personal info in order to land them, get through the ID check. You know, make sure you are who you say you are, Mr. Cluley, type thing.
Because I remember we used to work for a computer security company, and they had a hiring policy of asking people how many ping pong balls could fit into this room, and do you read Living Marxism and stuff like that, didn't they?
And which helped them decide who they wanted to employ.
But it's kind of worked, I think, as an approach for them.
But for many people, it would make them think, well, I've been through some sort of process and haven't I done well to get through it?
Now I will upload my passport details or my Social Security numbers or whatever else.
I mean, it's, you know, maybe in a vulnerable position where you've been made redundant.
So last December, Alexandra Mateus Vasquez, so she was speaking to ProPublica, she was applying for a graphic designer position at a restaurant chain called Steak 'n Shake, which, you know, gives me— I don't want anyone taking a steak and then shaking it around the room.
And at first, she thought it was a bit weird. But then the questions seemed super standard, how do you meet tough deadlines? So she just provided the earnest answers to this.
And hours later, she received an email offering the job, asking her for her address and phone number so a formal letter could be dispatched. And the pay was super attractive.
And when the letter arrived, it sought her Social Security number too, which she provided the information for.
And then she was invited to do a background check via online chat with a supposed hiring manager.
She found herself trading messages with an account that had a blurry photograph of an old man and the name Iran Coleman attached to it.
And apparently other applicants described a similar experience at Steak 'n Shake, which is weird.
But this hiring manager requested copies of Vasquez's personal records to verify her identity.
She shared photographs of her New York State ID, her green card, but grew suspicious when the person got, in my view, super greedy and asked for her credit card number too.
As you said, asking expected questions, reassuring them, and then moving on to all things you would expect. You know, we need to verify your identity.
Well, yeah, of course, I'm applying for a job.
And then you say, oh, well, I'm just, sometimes I'm just too devoted.
And this is an identity verification vendor used by 27 states to safeguard unemployment insurance from fraud.
And they called her and said, "Hey, are you trying to apply for jobless aid in California?" And that's when she realized she was for sure being scammed, because she wasn't, right?
So they were using her details to apply for aid in California.
So I really feel for those that are duped by such a scam because it's in that world. You are looking for a job, right?
And someone's suddenly saying you are great for this, and you think you've spotted a great job at a salary.
And the Better Business Bureau said in an alert last month that indeed LinkedIn and Facebook top the list of online platforms where users reportedly spot these fraudulent job advertisements, which doesn't really surprise me.
They're the three big ones, aren't they, really?
You see what I mean? If someone says, "Oh yeah, that's good, that's good." So if they said, "What do you like in the office?" Say, "Well, I tend to burp and fart a lot."
Yeah, sure."
This is an example of—" Admittedly, I haven't been to a job interview for over 30 years, so I'm possibly the wrong person to ask about technique.
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Plus, their 21st annual security conference is coming up between November 15th and 18th this year in Las Vegas. But you can also attend online.
One cool highlight is you'll get a keynote speech from Chris Krebs, former director of CISA, with further talks around the role of automation in security. Want to learn more?
Of course you do. Visit smashingsecurity.com/qualyslasvegas. That's Q-U-A-L-Y-S Las Vegas. And thanks to Qualys for sponsoring the show.
Could be a funny story, a book that they've read, a TV show, a movie, a record, a podcast, a website, or an app. Whatever they wish.
It doesn't have to be security related necessarily. 250th show better not be. Well, my pick of the week this week is not security related. Yay! It is the game of Pit.
Have you guys ever played Pit? No. No. Oh, Carole, next time you invite me over, I'm going to bring Pit with me. It's good fun. It is a fabulous, raucous card game.
That I remember from my youth. It's been in existence since 1904, according to Wikipedia, inspired by the Chicago Stock Exchange, also known as The Pit. And what happens is this.
You deal out cards. You have 3 or more people, right? You deal out cards. Not playing cards. These are special cards.
Cards with different commodities on them, wheat, barley, flax, rye, etc., right? Whatever the commodity is. Right.
And your mission in the game is to get a complete set of the same commodity. So you've all got cards.
You don't know what other cards other people have, but you have an option to trade.
So you can put down, for instance, you may have two flax, for instance, which you want to get rid of in order to get more barleys, right?
And so you'd put them down face down and go 2, 2, 2, 2, 2, 2, 2. And other people meanwhile are doing the same, right?
So someone may have put down 2 cards or 3 cards or 4 cards, whatever. And if you get a match and you want, you can then swap with the other person without looking at their cards.
Are you going through the entire rule book of it? No, but I'm explaining how it works. Now, there's no taking turns in Pit.
It is just chaos because everyone's shouting out 2, 2, 3, 3, 3, etc., etc. Oh my God, very raw.
Some modern implementations of Pit have a little bell you can ring, but I think it's more fun to say corner when you do it.
And Pit is a— look, there will be someone listening to this who knows this game and will agree with me that this is an enormously fun game.
Things, particularly if they have an element of competition. And so my latest watch in this genre was Metal Shop Masters on Netflix.
And basically it's a group of— it's an American TV show— a group of metal artists who have to take scrap metal and then they torch it, they cut it, they weld it, and they make creations according to—
But I think it's so therapeutic, you know, particularly when our day jobs are about people who break things, break technology, exploit people.
It's so therapeutic to watch people just build something beautiful out of basically scrap metal.
Blown Away, where people do the glass blowing. Amazing. Smashing, love that one, highly recommended.
If you gave me a pile of scrap metal and told me to make something, you could give me 10 hours and you will end up with me showing you a pile of scrap metal. That's the limit.
I'm, yeah, I could do that.
Well, people are actually— no offense, Nailed It contestants— but they are rubbish, and they know they're rubbish, and they turn out these just monstrosities.
So, when I watch that, I know I can do better.
And it is people who have to recreate a sort of baking work of art, but they choose people who know that they're terrible at baking. So, what they produce is horrendous.
And then some of the shows, oh, they're hilarious. And when I watch that, I'm like, yeah, I can do better.
Although I then attempted to make cake pops, and let me tell you, I could be a contestant on Nailed It. They were terrible. So I just love this stuff, you know, what people make.
And the fact that I know I could never ever do it's so much fun.
Tools.techjunkie.com. And this is a site that has basically short links to all those little annoying things having to do with file conversions.
You know, when you have to just send in only PDFs to someone or you need to convert your photos to PNGs or whatever. This site might be for you.
So you can look through, if you look through, is there any that just jump out at you going, oh, I wouldn't mind a quick link to that?
There's a whole bunch for doing things with PDFs, adding a password or compressing them, because sometimes PDFs are quite large, aren't they?
I know I can, you know, I don't have to think about what particular app I've got on my system. You can just run it through here.
And they say that they, all files are deleted 15 minutes after upload. So you load it up, you do what you need to do, and then it goes poof.
So this is on Alphr or alphr.com, link in the show notes.
But you can see the view here that you might actually recognize from your own use, DuckDuckGo, for example, the Wayback Machine.
There's some quite good ones here. Okay. Nice. There you are. Those are my picks of the week. A useful thing after you finish playing Graham's game and watching Jess's TV show.
Now, delighted to have you on the show, Sumedh.
When we started back then, the words SaaS and cloud as the nice marketing words today did not exist.
It was very interesting, but the idea came even before the terminology SaaS was really used publicly.
We're quite excited about the innovation that we brought into cybersecurity and have continued to build on top of that with our belief that the SaaS model and the cloud model is the best scalable model for today's needs for cybersecurity.
And I was curious if you thought having those different roles really helped give you the skills to be CEO, if it helped you out at all.
Not to date myself, but it's been about almost 20 years that I've been part of this journey and driven this journey in many ways.
I think the really great part about that is just the experiences that you get along the way that really help you understand the customers, help you understand what you can do to innovate and drive that innovation.
Having these different roles in engineering, product management, support, and now as I focus on sales, marketing, go-to-market, it's just given me a very well all-rounded perspective of the market, what works, what customers want, and really how we can help the customers.
So it's been a very rewarding experience.
So what can you tell us about this event?
I think we have been very committed to getting everybody back into having meetings face-to-face, interactions that really help increase productivity.
And that's been one of the things why we've been pushing this year to really participate in this conference in person because of COVID last couple years.
At least last year we couldn't do the conference in person, we did a virtual conference, which was very well attended. And this year we're going to do a hybrid.
The reason this conference is really well attended and appreciated is because we really focus on showcasing the innovation that Qualys is doing at this conference.
And this is about our engineers getting an opportunity to work directly with our customers, understand from them how they look at the challenges that they face in the cybersecurity realm and how they can solve them.
And then the ability for them to showcase the innovations and get feedback from customers in the direction that we're going.
So for customers and security professionals, it's a great opportunity to come and interact with other security professionals who are in the same space trying to solve the same problems and have that interaction with each other to really understand how somebody else might be solving a cybersecurity challenge that you may be facing.
And then it's also great because one of the things we offer here is two days of free training on the Qualys capabilities.
So for a lot of them, it's great to come have a refresher for two days. We go through many different capabilities, and that's one of the most liked aspects.
It takes time and then people are distracted with other things.
I noticed as well that Qualys has launched a number of new cybersecurity solutions to help businesses get to grips with this new working world.
And one I noticed was a ransomware risk assessment. Can you tell us about that?
If you look at where Qualys started and where we are today, customers have just way too many tools that they have to use for cybersecurity, individual siloed solutions that don't work with each other.
And a lot of times people just don't know what they have on their network.
So when we started developing this platform and expanding it, we took a step back and we said, really at the end of the day, cybersecurity professionals are looking to do three main things.
One is find all devices in their environment, which is their asset inventory.
Smashing security, and do your best effort to reduce your risk by patching, hardening, fixing what you can, CI/CD pipeline scanning.
So now you've done everything to make sure that you've eliminated as many possibilities of somebody coming in the environment, which is reducing your risk.
And then the third part is to monitor if after all of that somebody gets into your environment, can you actually keep track and take some action on it, which is typically your EDR solutions or your SIEM/XDR solutions.
What we did is we took a step back and we said, let's put all of these capabilities together on a single platform so customers can go from detecting something to actually taking action on it very, very quickly because it's all in one tool rather than having to go to multiple tools.
Instead of just going and launching some free marketing gimmick, we said, why don't our researchers go and they spend a bunch analyzing ransomware attacks over the last five years so that we can actually find out what techniques are used by these families.
And it's kind of a mafia, right? So they have families of ransomware that basically do different attacks leveraging similar techniques.
And so each family has a characteristic of how they go about and what they focus on from an exploitation perspective.
And based on the research, we identified about 100 or so very commonly used vulnerabilities and techniques that are being exploited by these attackers.
We created a very simple workflow which was actionable and measurable, which says, okay, get into the Qualys assessment tool.
It is going to focus and show you exactly those issues that exist in your environment that map to that.
So that ability to find your asset, detect the vulnerabilities, prioritize them, and patch them is — that is what the service does on a single platform.
But especially since the pandemic, the number of apps that people are using simply to communicate and store data and share information, it is astounding.
And you see that today with self-driving car technology, right?
There's people are trying to go very fast on the technology and then you kind of have this pull from, well, how safe is it?
So that kind of pulls back some of the innovation, but in a positive way because you can't have this innovation without the security aspect.
And the same thing is happening in IT and security.
As we have been entering this new world of cloud and containerization, there's a lot of very new innovation that is happening in terms of IT and how you deploy apps and lots of databases.
In the past, it was only one database or two databases that you could use.
The positive side is there's a very fast growth of expansion in the technology that is being used so we can have nimble and very scalable and nice apps that we can use.
The flip side of that is that it creates obviously an architecture where you have a lot of different things, data stored in many different areas and everything is moving at a fast speed and the IT team doesn't always communicate that or most of the time communicate that fully to the security team.
So they see that there's a bunch of servers running, but they don't quite know what is running on each one of them.
What we are going to talk about is what are the challenges coming from moving into cloud containerization from a security perspective, and what are the solutions?
What are people looking at out there and obviously how Qualys platform is going to help you sort of see the full picture so that in the same platform you can manage your remote laptops for the employees, where you can manage your cloud and your container environment and your handheld mobile devices, all of that.
So you can get a bigger and better picture of the risk in one place. And that's really the focus for us here.
And this is a great place for them to do that.
So that's been very exciting to create capabilities and solutions that some of the largest businesses in the world are using.
But sometimes you do something and then when they look at it, they say, this is great, but I need this one basic thing to get started in my environment.
Without that, I cannot deploy what you have. So that feedback is very helpful. And as I mentioned, we have really good customers.
We have Euronet and few other customers who are coming there who are going to actually present. Yeah, that's so great. And so that's a good way to learn.
How are other people solving some of the challenges and to what extent have they been successful?
One of the things that they're going to cover is what are CISOs presenting to their management, to their board, to show success when it comes to cybersecurity and what measures they're taking, what is measurable, what is actionable.
And then there's a lot of good, exciting sessions around that and in-person interaction because we will have, you know, hopefully a couple hundred people at least who will be coming there in person.
But at the end of the day, when you look at a breach that happened recently where it was a cloud-based breach because people use new technology, put things in the cloud and they are breached, but if you go and look at it, a lot of time it's just the same basic issue that we have had for many years, which is cloud asset was misconfigured.
Oh, we didn't change the password, we used a default password, oh, we didn't apply a patch that was available or we didn't close this particular port.
So I think a lot of times as we are looking at the expansion of IT and it may seem daunting, I think it is important to be able to take a step back.
A lot of times just comes down to the basics, just the basic hygiene of detecting misconfigurations, fixing vulnerabilities.
And the basic process of security at that point is just the ability to find your devices, do everything that you can to reduce your risk, and then make sure that you're able to monitor and detect any threats in the environment.
And I think that's the journey that Qualys is pioneering in a single platform to do all of that. Really looking forward.
I really encourage your listeners to come and join us at the conference and tell us and give us feedback so we can improve these capabilities and create new capabilities that are going to help us as an industry overall to fight back against the attackers.
If you want to get together with other cyber leaders and hash out today's problems and get some serious solutions, all you got to do is clear your calendar for November 15th to 18th—that's in two weeks' time—and sign up at smashingsecurity.com/qualyslasvegas to attend in person at Las Vegas or remotely via the powers of the internet.
That link again is smashingsecurity.com/qualyslasvegas. Sumedh Thakar, CEO and President of Qualys, thank you so, so much for your time today.
What's the best way for folks to do that?
And don't forget to ensure you never miss another episode, follow Smashing Security in your favorite podcast app, such as Apple Podcasts, Spotify, and Google Podcasts.
For episode show notes, sponsorship information, guest list, and the entire back catalog of more than 249 episodes, check out smashingsecurity.com.
Hosts:
Graham Cluley:
Carole Theriault:
Guests:
Jessica Barker – @drjessicabarker
Show notes:
- Squid Game cryptocurrency rockets in first few days of trading — BBC News.
- Squid Game crypto token collapses in apparent scam — BBC News.
- 'I Lost Everything': How Squid Game Token Collapsed — CoinMarketCap.
- Squid Game Cryptocurrency Scammers Make Off With $3.3 Million — Gizmodo.
- The Booming Underground Market for Bots That Steal Your 2FA Codes — Vice.
- Scammers Are Using Fake Job Ads to Steal People’s Identities — ProPublica.
- FBI Warns Cyber Criminals Are Using Fake Job Listings to Target Applicants’ Personally Identifiable Information — FBI.
- Don’t let job scams block your path forward — FTC Consumer Information.
- Pit — Wikipedia.
- Pit game description — Board Game Geek.
- Metal Shop Masters — Netflix.
- Metal Shop Masters trailer — YouTube.
- Techjunkie Tools.
- 15 Secret Websites — Alphr.
- Smashing Security merchandise (t-shirts, mugs, stickers and stuff)
- Support us on Patreon!
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Qualys Security Conference 2021 is taking place in Las Vegas November 15-18 2021, and you can attend either in person or online.
Hear from experts such as Chris Krebs, former Director of the DHS & CISA, learn strategies and tactics to secure your organization, and network with your peers and other Qualys experts to accelerate your career.
To learn more about attending the Qualys Security Conference 2021 in person or online visit smashingsecurity.com/qualyslasvegas
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