GMO says attackers demanded $50 million; customer data reportedly posted after deadline
In short
GMO Internet Group chairman and president Masatoshi Kumagai said on 26 October that attackers who breached its FX auto-trading cloud service demanded $50 million (about 7.9 billion yen) in cryptocurrency, and that GMO has not paid. After a noon deadline on 27 October, a statement attributed to the attackers appeared online with a customer's personal information, and GMO declined to comment on individual matters.
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GMO Internet Group chairman and president Masatoshi Kumagai (熊谷正寿) said on his blog on 26 October that attackers behind the unauthorised access to a group company had demanded $50 million (about 7.9 billion yen) in cryptocurrency, due by 17:00 on 21 October. Yomiuri Shimbun reported that the attackers made contact at 11:57 on 21 October and asked for payment in Bitcoin or Ethereum. Nikkei and Mainichi Shimbun said it was the first time GMO had disclosed the amount requested. Kumagai said: "We have not complied with these demands and have made no payment whatsoever." [ 3 , 7 , 8 , 9 , 12 ]
GMO announced on 21 October that its cloud service for users who run automated FX trading had been accessed without authorisation, and users had reported unfamiliar operations on their trading accounts. Yomiuri said the service is "Onamae.com Desktop Cloud", that an unauthorised program was confirmed on some servers on 20 October and that the servers were stopped at 04:00 on 21 October. Mainichi reported that 26,739 servers may have been affected, and TBS said account IDs and passwords may have been misused. A 44-year-old user told TBS he lost more than 4 million yen in two seconds. [ 3 , 4 , 8 , 9 ]
In his 25 October blog, Kumagai apologised and acknowledged that in-house experts had pointed out weaknesses beforehand, but that measures had not been sufficient. Sankei Shimbun reported that the response had been put off to avoid affecting the service. He asked the government to apply "active cyber defense", and said GMO Internet would check unauthorised trades and compensate users' losses. Nippon TV reported that GMO also has a 200-person effort on defense and log analysis. [ 3 , 4 , 7 , 9 , 11 , 12 ]
The attackers published a demand on their own website on 24 October, Nikkei reported, saying they would not launch ransomware attacks on users if they were paid $1 million by noon on 27 October. NHK reported this as about 157 million yen. Nikkei noted that this differs from GMO's $50 million figure in both amount and timing. According to Asahi Shimbun, Kumagai's blog said the attackers also hinted at continued unauthorised operations on accounts, publication of data on customers' PCs and ransomware. GMO announced on the night of 26 October that it had been warned of customer information being published and ransomware used at noon on 27 October. [ 2 , 3 , 7 , 12 , 14 ]
On 27 October GMO asked users to back up data, disconnect from the network, power off and unplug their PCs before noon. ITmedia reported that staff were collecting customers' devices and that the group's white-hat hacker team was analysing them. ITmedia said no malware, including ransomware, had been found on devices already analysed as of 11:59. [ 22 , 23 , 28 , 30 , 39 ]
After noon, a statement attributed to the attackers appeared online. Kyodo News, carried by Tokyo Shimbun, said it posted part of what it described as customers' personal information, citing several security sources, because GMO had not met the ransom demand. GMO answered that it would refrain from commenting on individual matters, and Kyodo said the statement's authenticity might still call for caution. Yomiuri and TBS reported one person's information and TBS said the group would publish daily at noon. Finance Minister Satsuki Katayama said at a press conference that she had asked financial institutions to take appropriate steps, including preventing further damage. [ 17 , 18 , 32 , 37 ]
Why it matters
Users of the "Onamae.com Desktop Cloud" service have faced unauthorised trades and threats of data release and ransomware. The outlets also report a request to the government for "active cyber defense" and a call by the finance minister for financial institutions to take measures against further damage.
Key facts
- Kumagai said on his blog on 26 October that attackers demanded $50 million (about 7.9 billion yen) in cryptocurrency, payable by 17:00 on 21 October. [ 3 , 7 , 8 , 9 , 12 ]
- Kumagai said GMO has not complied with the demands and has made no payment. [ 3 , 5 , 7 , 8 , 9 , 11 , 12 ]
- Mainichi reported that 26,739 servers may have been affected, and some users reported unfamiliar operations on their trading accounts. [ 4 , 9 ]
- GMO told users of "Onamae.com Desktop Cloud" to back up data, disconnect from the network, power off and unplug their PCs before noon on 27 October. [ 23 , 25 , 28 , 30 ]
- After the noon deadline, a statement attributed to the attackers was published online with personal information said to belong to a customer. [ 17 , 18 , 37 ]
- Finance Minister Satsuki Katayama said on 27 October that she had asked financial institutions to take appropriate steps, including preventing further damage. [ 17 ]
Confirmed by several sources
- Kumagai disclosed on 26 October that attackers had demanded $50 million (about 7.9 billion yen) in cryptocurrency by 17:00 on 21 October, and said GMO had not paid. [ 3 , 5 , 7 , 8 , 9 , 11 , 12 ]
- GMO announced on 21 October unauthorised access to its cloud service for FX auto-trading users, and users reported unfamiliar operations on their accounts. [ 3 , 9 ]
- GMO said it received a notice that customer information would be published and ransomware used at noon on 27 October, and asked users to back up data and power off their PCs. [ 12 , 14 , 23 , 25 , 28 , 30 ]
- A statement attributed to the attackers appeared online on 27 October with a customer's personal information. [ 17 , 32 , 37 ]
- Kumagai apologised on 25 October after acknowledging that weaknesses had been pointed out in advance, and asked the government to apply "active cyber defense". [ 3 , 4 , 7 , 9 , 12 ]
Still unclear
- Whether the statement published on 27 October is genuine. Kyodo, in Tokyo Shimbun, said a cautious judgement on its authenticity may still be needed, and GMO declined to comment on individual matters.
- How much personal information was published. Yomiuri and TBS reported one person's or one item of personal information, while Kyodo said part of the personal information of customers was posted.
- The size of the losses. Toyo Keizai's summary says losses on the scale of billions of yen occurred; no other document gives a total.
- The exact ransom figure in yen. Most outlets say about 7.9 billion yen for $50 million, while Nippon TV and Impress Watch say about 8 billion yen.
What local media are saying
Timeline, local time
- On 21 October GMO stopped the servers; an unauthorised program had been confirmed on some of them on 20 October. [ 8 ]
- On 21 October GMO received an email from the attackers demanding $50 million. [ 8 , 11 ]
- The 21 October payment deadline in the $50 million demand passed. [ 3 , 8 ]
- On 26 October TBS reported that Kumagai had updated his blog to disclose the $50 million demand. [ 5 ]
- On 27 October GMO called on users to unplug their PCs and power off ahead of the noon threat. [ 25 ]
- As of this time on 27 October, no malware, including ransomware, had been found on customer devices already analysed. [ 39 ]
- The 27 October deadline in the attackers' $1 million demand fell at noon, the time at which they had announced a ransomware attack and release of customer information. [ 3 , 12 , 14 ]
- Yomiuri reported that the attackers may have published one item of personal information. [ 32 ]