Washington : The Biden administration will unveil sanctions on Tuesday against a cryptocurrency exchange over its alleged role in enabling illicit payments from ransomware attacks, officials said, part of a broader bid to crack down on the growing threat.
The Treasury Department accused Suex OTC, SRO, of facilitating transactions involving illicit proceeds for at least eight ransomware variants, marking the first such move against a virtual currency exchange over ransomware activity.
“Exchanges such as Suex are critical to an attacker’s ability to profit from ransomware attackers,” Wally Ademo, deputy secretary of the Treasury, said in a call with reporters previewing the announcement. “Today’s action is indicative of our intention to expose and disrupt illegal infrastructure using these attacks.”
Hackers use ransomware to destroy systems that control everything from hospital billing to manufacturing. They stop only after receiving huge payments, usually paid in cryptocurrencies.
The Treasury said the attacks are increasing in scale, sophistication and scope. Ransomware payments reached more than $400 million in 2020, more than four times that in 2019, Anne Neuberger, Cyber’s deputy national security adviser, told reporters on the call.
Officials said the administration is also updating guidance on restrictions to encourage victims of ransomware attacks to share information with law enforcement.
The Treasury said an analysis of known SuX transactions showed that more than 40% of them involved illegal actors. While some exchanges are exploited by bad actors, others, such as Suex, “facilitate illegal activities for their own illicit profit,” the agency said in a release.
The sanctions, included in a 2015 executive order targeting cybercriminals, block Suex’s access to all US assets and prevent Americans from transacting with the company.
According to Refinitiv’s Eikon, Suex OTC is a private company based in the Czech Republic.
Don’t miss a story! Stay connected and informed with Mint.
download
Our App Now!!
.