September 9, 2021 By David Bisson 2 min read

Cryptomining has become a lucrative industry, growing more and more mainstream. Now, attackers are trying to grab a bit of that cash with apps that claim to automate it. But when downloaded, the apps don’t do anything except take your money.

Lookout found that a total of 172 apps, including 25 on Google Play, promised users cloud-based cryptomining services for a fee. In truth, those apps never delivered those services.

Take a look at how these apps succeeded in stealing over $350,000 from nearly 100,000 victims.

Inside the BitScam and CloudScam Apps

Lookout did a deep dive into two types of apps, which they sorted into the BitScam and CloudScam families. All of these used a similar code base and design as one another despite advertising different cryptomining operations.

“They are simply shells to collect money for services that don’t exist,” Lookout reported.

Lookout’s researchers observed that whoever had created the BitScam apps had done so using a framework that didn’t require programming experience. Both apps asked users to use Google Play’s in-app billing system to purchase cryptomining subscriptions and services. BitScam also allowed users to pay using bitcoin and Ethereum.

Once installed, the apps loaded a dashboard that displayed a fake hash mining rate as well as the amount of coins that the users had supposedly earned. They also informed users that they could increase their hash mining rate by purchasing other services or subscription upgrades.

It was all a ruse, of course. The in-app updates did nothing to change the mining ‘rate’ either.

What’s more, the apps prevented users from withdrawing any of their mined ‘coins’. The programs displayed a message saying that the withdrawal was pending, but in the background, the apps reset the user’s coin balance to zero.

Other Fake Cryptomining Apps

While cryptocurrency is in the public eye more now than when it began, this kind of app has been around for years. Back in 2018, for instance, security researcher Lukas Stefanko discovered four apps that all impersonated cryptocurrency services. They leveraged that guise to steal users’ cryptocurrency wallet credentials and/or to trick them into sending money to the attackers.

Several years later, Intezer Labs came across an operation targeting users with fake cryptocurrency-related apps. Once installed, those apps dropped ElectroRAT, a Golang-based malware strain which targeted Windows-, macOS- and Linux-based systems.

How to Defend Against Cryptomining Scam Apps

Security teams can help their organizations to protect their employees against threats like BitScam and CloudScam using ongoing awareness training. They can use it to educate their employees about mobile security best practices, such as downloading apps from trusted developers only and installing apps from only an official app store. They can also draw on threat intelligence to keep their users up to date on some of the newest mobile threats.

More from News

Debate rages over DMCA Section 1201 exemption for generative AI

2 min read - The Digital Millennium Copyright Act (DMCA) is a federal law that protects copyright holders from online theft. The DMCA covers music, movies, text and anything else under copyright.The DMCA also makes it illegal to hack technologies that copyright owners use to protect their works against infringement. These technologies can include encryption, password protection or other measures. These provisions are commonly referred to as the “Anti-Circumvention” provisions or “Section 1201”.Now, a fierce debate is brewing over whether to allow independent hackers…

CISA Malware Next-Gen Analysis now available to public sector

2 min read - One of the main goals of the Cybersecurity and Infrastructure Security Agency (CISA) is to promote security collaboration across the public and private sectors. CISA firmly believes that partnerships and effective coordination are essential to maintaining critical infrastructure security and cyber resilience.In faithfulness to this mission, CISA is now offering the Malware Next-Generation Analysis program to businesses and other organizations. This service has been available to government and military workers since November 2023 but is now available to the private…

Change Healthcare attack expected to exceed $1 billion in costs

3 min read - The impact of the recent Change Healthcare cyberattack is unprecedented — and so are the costs. Rick Pollack, President and CEO of the American Hospital Association, stated, “The Change Healthcare cyberattack is the most significant and consequential incident of its kind against the U.S. healthcare system in history.”In a recent earnings call, UnitedHealth Group, the parent company of Change Healthcare, speculated on the overall data breach costs. When all is said and done, the total tally may reach $1 billion…

Topic updates

Get email updates and stay ahead of the latest threats to the security landscape, thought leadership and research.
Subscribe today