MGM Resorts shuts down IT systems after cyberattack
Introduction
MGM Resorts, which is an international company, has suffered an ongoing cyberattack which led to the shutdown of a number of its computer systems, including its website, in response to a cybersecurity issue. MGM Resorts International is in touch with external cybersecurity experts to resolve the issue since it has affected its entire Computer systems. MGM is a larger entity and operates thousands of hotel rooms across Las Vegas and the United States. MGM Resorts shared about the incident and posted that MGM recently identified a cybersecurity issue affecting some of the Company's systems. Promptly after detecting the issue, they quickly began an investigation with assistance from leading external cybersecurity experts. MGM has notified law enforcement and took prompt action to protect systems and data, including putting down certain systems. MGM further stated that the investigation is ongoing.
The issue
Basic operations such as the online reservation and booking system MGM have been affected and shut down due to the cybersecurity issue faced by a lot of visitors. Since earlier times, casino security has been the state of the art as they were very vulnerable to attacks by robbers and con artists. This is what we have also seen in a lot of movies. In today's time, con artists and robbers are now strengthened by cyber tactics. This is exactly what was seen in the case of the MGM attack.
MGM Resorts is home to best-in-class amenities and facilities for guests, but with the increase in tourist traction, the vulnerabilities and the scope of cyber attacks have also increased. This is also because of open wifis in the establishments and the transition of casinos to e-casinos, thus causing a major shift towards digital and technology-based intervention for better customer experience and streamlining a lot of operations.
How real is the threat?
As reported by MGM Resorts, the following systems were impacted in the cyber security attack:
- Slots Machines: The slot machines placed in the casino suddenly went offline and displayed an error message for the players. Some players who were already using the slot machines lost their bets and were unable to withdraw their winnings.
- Room Keys: Some of the guests reported that the room keys became unresponsive, and in some cases, the replacement keys were also inactive for some time, causing massive chaos at the reception.
- Booking Status: All the bookings in today's time are made online; this was one of the worst-hit segments of the cyber attacks. Most of the bookings made automatically were put on hold, and the confirmations could be made only from the hotel reception, thus causing massive cancelling of the bookings and both the hotel and customers losing out on money.
- MGM App: The official app of MGM Resorts was completely down, thus causing a situation of confusion and panic among the guests. The users also received notifications to speak to different customer care executives, but some of the numbers were unattentive and seemed to be operated by bad actors.
- Data breach: The main focus of the cyber attack was dedicated to committing a data breach. The attack led to the breach of personal data of most of the users registered on the app or on the system of MGM Resorts.
Conclusion
The cyber attack on the tourism industry is a major and growing concern for the industry and its customers. Seeing the volatility of the data and the regular inflow of personal information this makes the hotel's cyber security system a vulnerable choice for bad actors. The cyber attack was no less than a fire sale, where in all the segments of the services offered were impacted. Similar attacks were reported by MGM in 2019 and 2020, and subsequently, the safety measures were also deployed, but the bad actors have hit the resorts chain owners again, in such cases the most paramount defence is having a safe and regularly updated firewall, upskilling of staff for IT issues and attacks, active reporting and investigation mechanisms for assisting the LEAs. In the times of rising cyberattacks, one needs to be critical of their data management and digital footprints. The sooner we adopt safe, secure and resilient cyber hygiene practices, the safer our future will be.
References:
https://www.bleepingcomputer.com/news/security/mgm-resorts-shuts-down-it-systems-after-cyberattack/
https://www.cnbc.com/2023/09/12/mgm-resorts-cybersecurity-incident-forces-system-outage.html
Related Blogs
Introduction
Digital Public Infrastructure (DPI) serves as the backbone of e-governance, enabling governments to deliver services more efficiently, transparently, and inclusively. By leveraging information and communication technology (ICT), digital governance systems reconfigure traditional administrative processes, making them more accessible and citizen-centric. However, the successful implementation of such systems hinges on overcoming several challenges, from ensuring data security to fostering digital literacy and addressing infrastructural gaps.
This article delves into the key enablers that drive effective DPI and outlines the measures already undertaken by the government to enhance its functionality. Furthermore, it outlines strategies for their enhancement, emphasizing the need for a collaborative, secure, and adaptive approach to building robust e-governance systems.
Key Enablers of DPI
Digital Public Infrastructure (DPI), the foundation for e-governance, relies on common design, robust governance, and private sector participation for efficiency and inclusivity. This requires common principles, frameworks for collaboration, capacity building, and the development of common standards. Some of the key measures undertaken by the government in this regard include:
- Data Protection Framework: The Digital Personal Data Protection (DPDP) Act of 2023 establishes a framework to ensure consent-based data sharing and regulate the processing of digital personal data. It delineates the responsibilities of data fiduciaries in safeguarding users' digital personal data.
- Increasing Public-Private Partnerships: Refining collaboration between the government and the private sector has accelerated the development, maintenance, expansion, and trust of the infrastructure of DPIs, such as the AADHAR, UPI, and Data Empowerment and Protection Architecture (DEPA). For example, the Asian Development Bank attributes the success of UPI to its “consortium ownership structure”, which enables the wide participation of major financial stakeholders in the country.
- Coordinated Planning: The PM-Gati Shakti establishes a clear coordination framework involving various inter-governmental stakeholders at the state and union levels. This aims to significantly reduce project duplications, delays, and cost escalations by streamlining communication, harmonizing project appraisal and approval processes, and providing a comprehensive database of major infrastructure projects in the country. This database called the National Master Plan, is jointly accessible by various government stakeholders through APIs.
- Capacity Building for Government Employees: The National e-Governance Division of the Ministry of Electronics and Information Technology routinely rolls out multiple training programs to build the technological and managerial skills required by government employees to manage Digital Public Goods (DPGs). For instance, it recently held a program on “Managing Large Digital Transformative Projects”. Additionally, the Ministry of Personnel, Public Grievances, and Pensions has launched the Integrated Government Online Training platform (iGOT) Karmayogi for the continuous learning of civil servants across various domains.
Digital Governance; Way Forward
E-governance utilizes information and communication technology (ICT) such as Wide Area Networks, the Internet, and mobile computing to implement existing government activities, reconfiguring the structures and processes of governance systems. This warrants addressing certain inter-related challenges such as :
- Data Security: The dynamic and ever-changing landscape of cyber threats necessitates regular advancements in data and information security technologies, policy frameworks, and legal provisions. Consequently, the digital public ecosystem must incorporate robust data cybersecurity measures, advanced encryption technologies, and stringent privacy compliance standards to safeguard against data breaches.
- Creating Feedback Loops: Regular feedback surveys will help government agencies improve the quality, efficiency, and accessibility of digital governance services by tailoring them to be more user-friendly and enhancing administrative design. This is necessary to build trust in government services and improve their uptake among beneficiaries. Conducting the decennial census is essential to gather updated data that can serve as a foundation for more informed and effective decision-making.
- Capacity Building for End-Users: The beneficiaries of key e-governance projects like Aadhar and UPI may have inadequate technological skills, especially in regions with weak internet network infrastructure like hilly or rural areas. This can present challenges in the access to and usage of technological solutions. Robust capacity-building campaigns for beneficiaries can provide an impetus to the digital inclusion efforts of the government.
- Increasing the Availability of Real-Time Data: By prioritizing the availability of up-to-date information, governments and third-party enterprises can enable quick and informed decision-making. They can effectively track service usage, assess quality, and monitor key metrics by leveraging real-time data. This approach is essential for enhancing operational efficiency and delivering improved user experience.
- Resistance to Change: Any resistance among beneficiaries or government employees to adopt digital governance goods may stem from a limited understanding of digital processes and a lack of experience with transitioning from legacy systems. Hand-holding employees during the transitionary phase can help create more trust in the process and strengthen the new systems.
Conclusion
Digital governance is crucial to transforming public services, ensuring transparency, and fostering inclusivity in a rapidly digitizing world. The successful implementation of such projects requires addressing challenges like data security, skill gaps, infrastructural limitations, feedback mechanisms, and resistance to change. Addressing these challenges with a strategic, multi-stakeholder approach can ensure the successful execution and long-term impact of large digital governance projects. By adopting robust cybersecurity frameworks, fostering public-private partnerships, and emphasizing capacity building, governments can create efficient and resilient systems that are user-centric, secure, and accessible to all.
References
- https://www.adb.org/sites/default/files/publication/865106/adbi-wp1363.pdf
- https://www.jotform.com/blog/government-digital-transformation-challenges/
- https://aapti.in/wp-content/uploads/2024/06/AaptixONI-DPIGovernancePlaybook_compressed.pdf
- https://community.nasscom.in/sites/default/files/publicreport/Digital%20Public%20Infrastructure%2022-2-2024_compressed.pdf
- https://proteantech.in/articles/Decoding-Digital-Public-Infrastructure-in-India/
What are Decentralised Autonomous Organizations (DAOs)?
A Decentralised Autonomous Organisation or a DAO, is a unique take on democracy on the blockchain. It is a set of rules encoded into a self-executing contract (also known as a smart contract) that operates autonomously on a blockchain system. A DAO imitates a traditional company, although, in its more literal sense, it is a contractually created entity. In theory, DAOs have no centralised authority in making decisions for the system; it is a communally run system whereby all decisions (be it for internal governance or for the development of the blockchain system) are voted upon by the community members. DAOs are primarily characterised by a decentralised form of operation, where there is no one entity, group or individual running the system. They are self-sustaining entities, having their own currency, economy and even governance, that do not depend on a group of individuals to operate. Blockchain systems, especially DAOs are characterised by pure autonomy created to evade external coercion or manipulation from sovereign powers. DAOs follow a mutually created, agreed set of rules created by the community, that dictates all actions, activities, and participation in the system’s governance. There may also be provisions that regulate the decision-making power of the community.
Ethereum’s DAO’s White Paper described DAO as “The first implementation of a [DAO Entity] code to automate organisational governance and decision making.” Can be used by individuals working together collaboratively outside of a traditional corporate form. It can also be used by a registered corporate entity to automate formal governance rules contained in corporate bylaws or imposed by law.” The referred white paper proposes an entity that would use smart contracts to solve governance issues inherent in traditional corporations. DAOs attempt to redesign corporate governance with blockchain such that contractual terms are “formalised, automated and enforced using software.”
Cybersecurity threats under DAOs
While DAOs offer increased transparency and efficiency, they are not immune to cybersecurity threats. Cybersecurity risks in DAO, primarily in governance, stem from vulnerabilities in the underlying blockchain technology and the DAO's smart contracts. Smart contract exploits, code vulnerabilities, and weaknesses in the underlying blockchain protocol can be exploited by malicious actors, leading to unauthorised access, fund manipulations, or disruptions in the governance process. Additionally, DAOs may face challenges related to phishing attacks, where individuals are tricked into revealing sensitive information, such as private keys, compromising the integrity of the governance structure. As DAOs continue to evolve, addressing and mitigating cybersecurity threats is crucial to ensuring the trust and reliability of decentralised governance mechanisms.
Centralisation/Concentration of Power
DAOs today actively try to leverage on-chain governance, where any governance votes or transactions are directly taken on the blockchain. But such governance is often plutocratic in nature, where the wealthy hold influences, rather than democracies, since those who possess the requisite number of tokens are only allowed to vote and each token staked implies that many numbers of votes emerge from the same individual. This concentration of power in the hands of “whales” often creates disadvantages for the newer entrants into the system who may have an in-depth background but lack the funds to cast a vote. Voting, presently in the blockchain sphere, lacks the requisite concept of “one man, one vote” which is critical in democratic societies.
Smart contract vulnerabilities and external threats
Smart contracts, self-executing pieces of code on a blockchain, are integral to decentralised applications and platforms. Despite their potential, smart contracts are susceptible to various vulnerabilities such as coding errors, where mistakes in the code can lead to funds being locked or released erroneously. Some of them have been mentioned as follows;
Smart Contracts are most prone to re-entrance attacks whereby an untrusted external code is allowed to be executed in a smart contract. This scenario occurs when a smart contract invokes an external contract, and the external contract subsequently re-invokes the initial contract. This sequence of events can lead to an infinite loop, and a reentrancy attack is a tactic exploiting this vulnerability in a smart contract. It enables an attacker to repeatedly invoke a function within the contract, potentially creating an endless loop and gaining unauthorised access to funds.
Additionally, smart contracts are also prone to oracle problems. Oracles refer to third-party services or mechanisms that provide smart contracts with real-world data. Since smart contracts on blockchain networks operate in a decentralised, isolated environment, they do not have direct access to external information, such as market prices, weather conditions, or sports scores. Oracles bridge this gap by acting as intermediaries, fetching and delivering off-chain data to smart contracts, enabling them to execute based on real-world conditions. The oracle problem within blockchain pertains to the difficulty of securely incorporating external data into smart contracts. The reliability of external data poses a potential vulnerability, as oracles may be manipulated or provide inaccurate information. This challenge jeopardises the credibility of blockchain applications that rely on precise and timely external data.
Sybil Attack: A Sybil attack involves a single node managing multiple active fake identities, known as Sybil identities, concurrently within a peer-to-peer network. The objective of such an attack is to weaken the authority or influence within a trustworthy system by acquiring the majority of control in the network. The fake identities are utilised to establish and exert this influence. A successful Sybil attack allows threat actors to perform unauthorised actions in the system.
Distributed Denial of Service Attacks: A Distributed Denial of Service (DDoS) attack is a malicious attempt to disrupt the regular functioning of a network, service, or website by overwhelming it with a flood of traffic. In a typical DDoS attack, multiple compromised computers or devices, often part of a botnet (a network of infected machines controlled by a single entity), are used to generate a massive volume of requests or data traffic. The targeted system becomes unable to respond to legitimate user requests due to the excessive traffic, leading to a denial of service.
Conclusion
Decentralised Autonomous Organisations (DAOs) represent a pioneering approach to governance on the blockchain, relying on smart contracts and community-driven decision-making. Despite their potential for increased transparency and efficiency, DAOs are not immune to cybersecurity threats. Vulnerabilities in smart contracts, such as reentrancy attacks and oracle problems, pose significant risks, and the concentration of voting power among wealthy token holders raises concerns about democratic principles. As DAOs continue to evolve, addressing these challenges is essential to ensuring the resilience and trustworthiness of decentralised governance mechanisms. Efforts to enhance security measures, promote inclusivity, and refine governance models will be crucial in establishing DAOs as robust and reliable entities in the broader landscape of blockchain technology.
References:
https://www.imperva.com/learn/application-security/sybil-attack/
https://www.linkedin.com/posts/satish-kulkarni-bb96193_what-are-cybersecurity-risk-to-dao-and-how-activity-7048286955645677568-B3pV/ https://www.geeksforgeeks.org/what-is-ddosdistributed-denial-of-service/ Report of Investigation Pursuant to Section 21 (a) of the Securities Exchange Act of 1934: The DAO, Securities and Exchange Board, Release No. 81207/ July 25, 2017
https://www.sec.gov/litigation/investreport/34-81207.pdf https://www.legalserviceindia.com/legal/article-10921-blockchain-based-decentralized-autonomous-organizations-daos-.html
Executive Summary:
Recently PAN-OS software of Palo Alto Networks was discovered with the critical vulnerability CVE-2024-3400. It is the software used to power all their networks in the next generation firewalls. This vulnerability is a common injection vulnerability which provides access to unauthenticated attackers to execute random code having root privileges on the attacked system. This has been exploited actively by threat actors, leaving many organizations at risk for severe cyberattacks. This report helps to understand the exploitation, detection, mitigations and recommendations for this vulnerability.
Understanding The CVE-2024-3400 Vulnerability:
CVE-2024-3400 impacts the particular version of PAN-OS and a certain configuration susceptible to this kind of a security issue. It is a command injection, which exists in the GlobalProtect module of the PAN-OS software. The vulnerability can be exploited by an unauthorized user to run any code on the firewall having root privileges. This targets Active Directory database (ntds.dit), important data (DPAPI), and Windows event logs (Microsoft-Windows-TerminalServices-LocalSessionManager%4Operational.evtx) and also login data, cookies, and local state data for Chrome and Microsoft Edge from specific targets leading attackers to capture the browser master key and steal sensitive information of the organization.
The CVE-2024-3400 has been provided with a critical severity rating of 10.0. The following two weaknesses make this CVE highly severe:
- CWE-77: Improper Neutralization of Special Elements used in a Command ('Command Injection')
- CWE-20: Improper Input Validation.
Impacted Products:
The affected version of PAN-OS by CVE-2024-3400 are-
Only the versions 10.2, 11.0, and 11.1, setup with GlobalProtect Gateway or GlobalProtect Portal are exploited by this vulnerability. Whereas the Cloud NGFW, Panorama appliances and Prisma Access are not affected.
Detecting Potential Exploitation:
Palo Alto Networks has confirmed that they are aware of the exploitation of this particular vulnerability by threat actors. In a recent publication they have given acknowledgement to Volexity for identifying the vulnerability. There is an increasing number of organizations that face severe and immediate risk by this exploitation. Third parties also have released the proof of concept for the vulnerability.
The suggestions were provided by Palo Alto Networks to detect this critical vulnerability. To detect this vulnerability, the following command shall be run on the command-line interface of PAN-OS device:
grep pattern "failed to unmarshal session(.\+.\/" mp-log gpsvc.log*
This command looks through device logs for specific entries related to vulnerability.
These log entries should contain a long, random-looking code called a GUID (Globally Unique Identifier) between the words "session(" and ")". If an attacker has tried to exploit the vulnerability, this section might contain a file path or malicious code instead of a GUID.
Presence of such entries in your logs, could be a sign of a potential attack to hack your device which may look like:
- failed to unmarshal session(../../some/path)
A normal, harmless log entry would look like this:
- failed to unmarshal session(01234567-89ab-cdef-1234-567890abcdef)
Further investigations and actions shall be needed to secure the system in case the GUID entries were not found and suspicious.
Mitigation and Recommendations:
Mitigation of the risks posed by the critical CVE-2024-3400 vulnerability, can be accomplished by the following recommended steps:
- Immediately update Software: This vulnerability is fixed in software releases namely PAN-OS 10.2.9-h1, PAN-OS 11.0.4-h1, PAN-OS 11.1.2-h3, and all higher versions. Updating software to these versions will protect your systems fully against potential exploitation.
- Leverage Hotfixes: Palo Alto Networks has released hotfixes for commonly deployed maintenance releases of PAN-OS 10.2, 11.0, and 11.1 for the users who cannot upgrade to the latest versions immediately. These hotfixes do provide a temporary solution while you prepare for the full upgrade.
- Enable Threat Prevention: Incase of available Threat Prevention subscription, enable Threat IDs 95187, 95189, and 95191 to block attacks targeting the CVE-2024-3400 vulnerability. These Threat IDs are available in Applications and Threats content version 8836-8695 and later.
- Apply Vulnerability Protection: Ensure that vulnerability protection has been applied in the GlobalProtect interface to prevent the exploitation on the device. It can be implemented using these instructions.
- Monitor Advisory Updates: Regularly checking for the updates to the official advisory of Palo Alto Networks. This helps to stay up to date of the new releases of the guidance and threat prevention IDs of CVE-2024-3400.
- Disable Device Telemetry – Optional: It is suggested to disable the device telemetry as an additional precautionary measure.
- Remediation: If there is an active exploitation observed, follow the steps mentioned in this Knowledge Base article by Palo Alto Networks.
Implementation of the above mitigation measures and recommendations would be in a position to greatly reduce the risk of exploitation you might face from a cyber attack targeting the CVE-2024-3400 vulnerability in Palo Alto Networks' PAN-OS software.
Conclusion:
The immediate response should be taken against the offensive use of the critical CVE-2024-3400 vulnerability found in the PAN-OS platform of Palo Alto Networks. Organizations should actively respond by implementing the suggested mitigation measures such as upgrading to the patched versions, enabling threat prevention and applying vulnerability protection to immediately protect from this vulnerability. Regular monitoring, implementing security defense mechanisms and security audits are the necessary measures that help to combat emerging threats and save critical resources.
