Thank you for subscribing!

Scammers are capitalising on the fallout from the worldwide CrowdStrike chaos, security researchers warn

When 8.5 million PCs went offline because of a botched update, it caused chaos around the globe.

Although less than 1% of all Windows machines worldwide were impacted, the CrowdStrike outage was one of the worst IT meltdowns ever recorded, grounding flights across Europe and the USA, causing chaos with budget airlines Ryanair and Wizz Air, leaving several banks and businesses unable to accept payment, and cutting off Sky News in the middle of a broadcast.

It was triggered by a faulty line of code in an update issued by Texas-based cyber security provider, CrowdStrike, which is used by 8 out of the top 10 financial services, food and beverages, and technology companies.

Fortune 500 companies lost $5 billion in revenue during the hours while CrowdStrike and Microsoft raced to put together a fix for the mass IT outage, some estimates suggest. It'll still take some time before every PC hit by the CrowdStrike glitch is patched and up-and-running again. Mac and Linux PCs were unaffected.

McAfee security researchers have warned the unprecedented chaos caused by the CrowdStrike update has provided a fresh opportunity for scammers. Fraudsters have launched campaigns to capitalise on the situation.

These scams range from fake emails about compensation for delayed flights, to cyber crooks posing as banks to steal login information or and retailers requesting an alternate payment method due to missed transactions.

Experts working at McAfee have also noticed an uptick in new website domain registrations with the term "CrowdStrike", clearly hoping to trick people into believing the site is related to a legitimate company — making it easier to launch phishing attacks, spread malware, or collect sensitive information.

Malware developers swiftly fast disguise malicious software like Remcos, Wiper, and Stealers as remediation tools for the outage. Unsuspecting people may have downloaded this software in an effort to restore their systems — and inadvertently made things much, much worse.

Speaking to GB News, Senior Director of Threat Research at McAfee, Abhishek Karnik said: "A McAfee Labs analysis of domains registered shortly after the Crowdstrike outage found more than 6,000 high-risk URLs containing the word ‘crowdstrike’.

"A majority of these domains were registered from the United States, although a significant number were also registered from China.

"Many of these sites presented themselves as resources offering details about the outage and steps for remediation. However, given their rapid appearance after the event, there is a high likelihood that these sites were created by opportunistic scammers looking to exploit the situation. This pattern is consistent with typical behaviours observed in cyber scams during and following high-profile tech incidents.

"Given that the Crowdstrike outage primarily impacted enterprise systems, the number of consumers whose machines were impacted was minimal. However, since the outage significantly disrupted services in key sectors including healthcare, airlines, and retail — and as a result, consumers had trouble accessing these services — scammers may have embedded malware in messages or websites presented as fixes for those access issues."

With malware campaigns on the rise, McAfee has outlined a few common sense rules to stay protected from the growing number of scams targeting those worried about the CrowdStrike disaster.

Security Evangelist at McAfee, Jasdev Dhaliwal added: "The recent global outage affecting Windows systems has had a profound impact across multiple sectors, disrupting essential services and exposing vulnerabilities that opportunistic scammers are keen to exploit. As the digital landscape becomes increasingly interconnected, the importance of maintaining rigorous cybersecurity measures cannot be overstated.

"Consumers and organizations alike must stay vigilant, enhance their security protocols, and remain proactive in safeguarding their personal and operational data against such threats. This incident serves as a stark reminder of the cascading effects that a single point of failure can have in our globally networked environment."

It comes as Lord Vallance of Balham said the CrowdStrike outage highlighted the need to strengthen the UK's technology defences.

A faulty update rolled out by cybersecurity firm CrowdStrike knocked many services offline around the world on Friday, causing flight and train cancellations and crippling some healthcare systems. Earlier this month in the King’s Speech, the new Labour Government had said it would introduce the Cyber Security and Resilience Bill, which would give greater power to regulators to push more firms to implement better cybersecurity defences.

It said the legislation would expand the remit of existing regulation and put regulators on a stronger footing, as well as increase the reporting requirements placed on businesses to help build a better picture of cyber threats to the UK.

Lord Vallance said: "Nowhere are security risks more apparent than in cyber attacks. In light of last week’s global IT outage caused by a failed software update, ensuring that our digital systems are safe and resilient feels more important than ever.

“In the last 18 months, we have seen devastating cyber attacks at the Ministry of Defence, the Royal Mail and the British Library. A recent attack on the NHS resulted in thousands of appointments and elective procedures being postponed, impacting health provision right across the capital.”

He added: “To reduce the damage from further attacks, we must urgently update our cybersecurity regulations.

“That is what the Cyber Security and Resilience Bill will do, strengthening our defences and ensuring that digital services that are more essential than ever are protected.”