In line with a recent report by ‘NYT’, the City council of Riviera Beach [Florida] is willing to pay nearly $600k in Bitcoin’s [BTC] ransom to regain access to the data encrypted in a recent hack. is willing to pay nearly around $600k in Bitcoin’s [BTC] ransom to regain access to the data encrypted in a recent ‘hack‘.
Recently on 29th May, the city experienced a security breach after a local police department employee opened an allegedly infected mail attachment, that eventually resulted within the on-line system breakdown. The hackers allegedly encrypted government records, blocking access to critical data, thereby leaving the city without a capability to accept utility payments apart from personally or by regular mail.
A person known to the matter, Rose Anne Brown aforesaid that the city had to pay over $900k on new computer software system that had been planned for the next year. Following the event, city council has agreed to pay about 65 BTC [$592,000 USD at the reporting time] to revive back the access to the data and get back their systems on-line, though there’s supposedly no guarantee that the hackers would be releasing the data upon receiving payment.
The director of technology services at the Floride League of Cities, named ‘Michael van Zwieten’ added:
“All cities, whether big or small, are naturally very cost-conscious once it involves budgeting for technology investments. The mid- to small-sized cities are particularly strained once it involves finding the required resources to keep their technology current. There is solely a finite amount of money that could be divvied up in the city to fund the services its voters expect.”
Earlier in May, city of Baltimore ‘experienced‘ a same hacking case, where cybercriminals allegedly overtook roughly around 10,000 government computers and were able to control the work of the native utility system employing a ransomware called ‘RobbinHood’. The hackers demanded nearly $100,000 USD worth of Bitcoin [BTC] to release the back-up. The hackers threatened to further increase the amount of ransom in the event of not paying within a period of four days.
In response, Baltimore mayor named ‘Jack Young’ aforesaid that the city officials are “well into the restorative process” and have “engaged leading cybersecurity experts who are working 24/7 with us.”
As reported earlier, blockchain analysis firm ‘Chainalysis’ revealed that about 64% of ransomware attack cash-out methods involve the laundering of funds via ‘cryptocurrency‘ exchanges. While among other ransomware cash-out methods analyzed, 12% involve mixing services and 6% involve P2P [Peer-to-Peer] networks, while the others went via merchant services providers or the dark net marketplaces. 9% of ransomware yields reportedly stay unspend.