Ransomware attacks in the U.S. have actually been on an increase considering that late 2020, however it is especially flourishing in 2021. This year, hackers have hit numerous U.S. companies in large-scale hacks. One such attack on pipeline operator Colonial Pipeline resulted in momentary fuel supply lacks on the U.S. East Coast. Hackers also targeted an Iowa-based agricultural company, sparking fears of disruptions to grain harvesting in the Midwest. Schools, insurance provider, and authorities departments have actually likewise struggled with these attacks.
In response to this, the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN), charged with safeguarding the financial system from illicit use, released a Financial Trend Analysis. FinCEN published the report on Friday, October 15, 2021.
The report examined the significant development in ransomware payments in the very first 6 months of 2021 and the relative distinction from in 2015.
Ransomware Attacks In The U.S.
U.S. Treasury Secretary Janet L. Yellen recently noted, “Ransomware and cyber-attacks are victimizing businesses large and small across America and are a direct threat to our economy.” According to the report, FinCEN analysis of Suspicious Activity Reports (SARs) submitted throughout the very first half of 2021 shows that it is an increasing hazard to the U.S.
Between January 1 and June 30, 2021, 635 SARs were filed, and 458 transactions were reported. This was 30% more than the overall of 487 SARs applied for the whole 2020. The total value of suspected ransomware payments during the first half of 2021 was $590 million, more than the $416 million reported for the whole of 2020.
The U.S. Treasury Department stated the typical quantity of reported ransomware deals monthly in 2021 was $102.3 million. FinCEN identified bitcoin (BTC) as the most common payment method in reported transactions. Approximately $5.2 billion in outbound BTC payments connected to the top 10 variants over the previous 3 years. It noted that USD figures cited in this analysis are based on the value of BTC when the transactions occurred.
If the patterns maintain, hackers might make more from ransomware this year than they carried out in the previous 10 years integrated.
The U.S. Government’s Response
The U.S. government has been working to clamp down on attacks from hackers. The Biden administration has actually made the federal government’s cybersecurity action a top concern following a series of attacks this year that threatened the U.S. energy and food products.
Earlier this month, the Justice Department announced the launch of a National Cryptocurrency Enforcement Team to go after the exchanges that expedite crime-related transactions, like ransomware demands.
In September, Wall Street Journal reported that the Biden administration was “preparing an array of actions, including sanctions, to make it harder for hackers to use digital currency.”
Also last month, the Department of the Treasury’s Office of Foreign Assets Control sanctioned crypto exchange SUEX OTC, S.R.O. (SUEX) for facilitating financial transactions for ransomware actors. This action was the department’s very first such relocation versus a virtual currency exchange over ransomware activity.
Coinciding with the release of the report, the Treasury Department released virtual currency guidance. The assistance stated, “the virtual currency industry, including technology companies, exchangers, administrators, miners, wallet providers, and users, plays an increasingly critical role in preventing sanctioned persons from exploiting virtual currencies to evade sanctions and undermine U.S. foreign policy and national security interests.”
