Rapid7 Assesses Chaos-Branded Intrusion as Likely MuddyWater False Flag

Summary
Rapid7 says a Chaos-branded intrusion likely linked to MuddyWater used Microsoft Teams social engineering to steal credentials and establish remote access, then exfiltrated data without encrypting files. Its analysis details the downloader and custom RAT.
Key points
- Rapid7 assessed the intrusion as a likely false-flag operation linked to MuddyWater with moderate confidence, citing a code-signing certificate, infrastructure overlap, and tradecraft.
- Attackers used external Microsoft Teams chats and screen-sharing to harvest credentials and manipulate MFA, then accessed internal systems with compromised accounts.
- The operators used RDP, DWAgent, and AnyDesk for persistent access and exfiltrated data; Rapid7 found no file encryption in the investigated intrusion.
- The ms_upd.exe downloader fetched Game.exe, a custom RAT disguised as a Microsoft WebView2 application.
- Game.exe decrypts its configuration with AES-256-GCM, polls its C2 every 60 seconds, and supports command execution, file operations, and interactive shells.
- The RAT includes sandbox and virtual-machine checks; Rapid7 also identified C2 infrastructure including moonzonet[.]com as attribution evidence.
- Rapid7 and the victim found no artifacts matching the attackers’ initial claim of a ransom note, but the victim confirmed that data later published on the Chaos leak site was legitimate.
Article Details
- Attack Vectors
- The operators initiated external Microsoft Teams chats from a controlled account and used interactive screen-sharing to access users' systems.
- Victims were directed to enter credentials into locally created text files; in at least one instance, they accessed a Quick Assist-themed phishing page, and the operators instructed users to add attacker-controlled devices to MFA.
- Compromised accounts were used to access internal systems, including a Domain Controller, and to establish RDP sessions for lateral movement.
- DWAgent and AnyDesk were used for remote access and persistence. The operators used curl to download ms_upd.exe, which delivered the Game.exe RAT and an encrypted configuration file.
- The intrusion involved data exfiltration and extortion claims; the report says the victim later confirmed that data published on the Chaos leak site was legitimate.
- Defensive Notes
- Investigate the underlying intrusion lifecycle rather than relying on ransomware indicators alone; the report describes Chaos branding without file encryption.
- Monitor for suspicious external Teams chats and screen-sharing, credential collection, and changes that add attacker-controlled MFA devices.
- Review compromised-account use, RDP activity, and deployment of DWAgent or AnyDesk for unauthorized remote access.
- The report notes that Game.exe exposed plaintext strings and other telemetry that AV and EDR solutions were able to use to identify and stop the threat.
Indicators of compromise
| Type | Indicator | Context |
|---|---|---|
| DOMAIN | moonzonet[.]com | C2 domain contacted by ms_upd.exe for registration and status checks. |
| DOMAIN | uploadfiler[.]com | C2 hostname extracted from Game.exe's encrypted configuration. |
| IPV4 | 116[.]203[.]208[.]186 | IP address contacted by the renamed pythonw.exe during the intrusion. |
| IPV4 | 172[.]86[.]126[.]208 | Host identified as serving the initial ms_upd.exe downloader. |
| IPV4 | 77[.]110[.]107[.]235 | Source IP address associated in the report with malicious Microsoft Teams activity. |
| MD5 | 439c0a0a46627bd166e08436f383ad56 | Original sample MD5 identified in the YARA rule for the downloader. |
| MD5 | f8560b9a893eeb2130fc7159e9c1b851 | Original sample MD5 identified in the YARA rule for the RAT. |
| SHA1 | b674578d4bdb24cd58bf2dc884eaa658b7aa250c | Code-signing certificate thumbprint associated by the report with the malware chain and its moderate-confidence MuddyWater attribution. |
| SHA256 | 1319d474d19eb386841732c728acf0c5fe64aa135101c6ceee1bd0369ecf97b6 | SHA-256 of Game.exe, identified as the RAT delivered by ms_upd.exe. |
| SHA256 | 24857fe82f454719cd18bcbe19b0cfa5387bee1022008b7f5f3a8be9f05e4d14 | SHA-256 listed for the initial ms_upd.exe downloader. |
| SHA256 | 3df9dcc45d2a3b1f639e40d47eceeafb229f6d9e7f0adcd8f1731af1563ffb90 | SHA-256 of a Game.exe-like RAT sample found during a public malware-sharing-platform hunt. |
| SHA256 | 86e0197389f0573eb83ff53991f337d416124c7c8bd727721ef3d396cd5f65dc | SHA-256 listed for a DWService background and system-tray binary used in the intrusion. |
| SHA256 | a3bac548b5bc91c526b4d6707623ddbd1a675aa952f0d1f9a0aa6f7230f09f23 | SHA-256 listed for a DWService service binary used in the intrusion. |
| SHA256 | a92d28f1d32e3a9ab7c3691f8bfca8f7586bb0666adbba47eab3e1a8faf7ecc0 | SHA-256 listed for a downloader sample found during a public-repository hunt. |
| SHA256 | bfc1675ee1e358db8356f515aaded7962923e426aa0a0a1c0eddfc4dab053f89 | SHA-256 listed alongside AnyDesk.exe, which the report says was used to facilitate remote access. |
| SHA256 | c86ab27100f2a2939ac0d4a8af511f0a1a8116ba856100aae03bc2ad6cb0f1e0 | SHA-256 of visualwincomp.txt, the encrypted configuration file downloaded with Game.exe. |
| SHA256 | cd098eddb23f2d2f6c42271ca82803b0d5ac950cb82a9b8ae0928e83945a53df | SHA-256 listed for a remote management tool leveraged during the intrusion. |
| SHA256 | cf3dfd1d6626fd2129abb7a5983c11827f4b0d497e2dba146a1889bd71f23cd5 | SHA-256 listed for the renamed pythonw.exe used in the intrusion. |
| URL | hxxp[:]//172[.]86[.]126[.]208:443/ms_upd.exe | Payload-download URL used to retrieve the ms_upd.exe downloader. |
| URL | hxxps[:]//adm-pulse[.]com/verify.php | Quick Assist-themed phishing page identified in browser artifacts and used for credential harvesting. |
MITRE ATT&CK
T1021.001 · Remote Desktop ProtocolOperators used RDP sessions to access internal systems and move between them.T1027.007 · Dynamic API ResolutionGame.exe used LoadLibraryA and GetProcAddress for dynamic API and DLL resolution.T1041 · Exfiltration Over C2 ChannelThe operators exfiltrated data from the compromised environment; Game.exe also supports file uploads.T1055 · Process InjectionThe report describes the use of a renamed pythonw.exe to inject code into suspended processes.T1056 · Input CaptureUsers were instructed to enter credentials into locally created text files and a phishing page.T1059 · Command and Scripting InterpreterOperators ran commands including ipconfig, whoami, curl, and commands through cmd.exe or PowerShell.T1071.001 · Web ProtocolsThe RAT communicated with its C2 using web-style endpoints, including /home, /index.php, and /profile.T1078 · Valid AccountsHarvested credentials were used to authenticate to internal systems, including a Domain Controller.T1082 · System Information Discoveryms_upd.exe collected the infected host's computer name, username, and domain.T1105 · Ingress Tool TransferOperators used curl to download ms_upd.exe, which then retrieved additional payload components.T1219 · Remote Access ToolsDWAgent and AnyDesk were used to maintain remote access and control.T1497.001 · System ChecksGame.exe searched for analysis-related DLLs and checked processor information for virtualization-related keywords.T1543.003 · Windows ServiceThe DWAgent installation chain included dwagsvc.exe, identified as its service binary.T1556 · Modify Authentication ProcessVictims were instructed to modify MFA configurations to include attacker-controlled devices.T1566 · PhishingInitial access involved external Microsoft Teams chats and targeted social engineering.
Threat Actors
chaosThe report describes Chaos as a ransomware-as-a-service operation, but assesses that the intrusion's use of Chaos branding was a false flag and does not confirm that Chaos conducted this incident.MuddyWaterRapid7 assessed with moderate confidence that the intrusion, disguised using Chaos ransomware branding, was linked to MuddyWater based on the certificate, infrastructure, and tradecraft. The report identifies Seedworm as another name for MuddyWater.SeedwormThe report explicitly identifies Seedworm as another name for MuddyWater, which Rapid7 linked to the intrusion with moderate confidence.
Malware
DarkcompHistorically, this identity was also used to sign Stagecomp (ms_upd.exe), a downloader for the Darkcomp backdoor (Game.exe), both of which are firmly attributed to MuddyWater by multiple global security vendors.Game.exeThe campaign centered on ms_upd.exe and Game.exe, with infrastructure and a code-signing certificate connecting the activity to Iranian MOIS-affiliated tradecraft.ms_upd.exeThe campaign centered on ms_upd.exe and Game.exe, with infrastructure and a code-signing certificate connecting the activity to Iranian MOIS-affiliated tradecraft.StagecompHistorically, this identity was also used to sign Stagecomp (ms_upd.exe), a downloader for the Darkcomp backdoor (Game.exe), both of which are firmly attributed to MuddyWater by multiple global security vendors.
Vendors
Products
AnyDesk#MuddyWaterDWAgent#MuddyWaterMicrosoft Quick AssistChaos then persuades victims to grant remote access via legitimate tools such as Microsoft Quick Assist, allowing operators to establish an initial foothold.Microsoft Teamsdisguised as Chaos ransomware to be a false-flag operation likely linked to MuddyWater, using Microsoft Teams social engineering, credential theft, and remote access tools instead of encryption.Microsoft WebView2The custom payload chain included ms_upd.exe as a downloader and Game.exe as a RAT disguised as a Microsoft WebView2 application.
Countries
IranFor additional blog posts and detailed analysis from Rapid7 Labs on all things cyber-related to the conflict, please visit our Iran Conflict Cyber Threat Intelligence Hub.United StatesAdditionally, this explores the process by which MuddyWater is increasingly leveraging the cybercriminal ecosystem to provide plausible deniability for geopolitical espionage and prepositioning, particularly in the US.
Industries
business servicesThe group predominantly targets organizations in the United States, with a particular focus on the construction, manufacturing, and business services sectors (Figure 3).ConstructionThe group predominantly targets organizations in the United States, with a particular focus on the construction, manufacturing, and business services sectors (Figure 3).ManufacturingThe group predominantly targets organizations in the United States, with a particular focus on the construction, manufacturing, and business services sectors (Figure 3).
