Okay, this is going to be silly. We're about 10 people here, so... Come to me, my children. Or not. Yeah, it's cool. Three, five. One, two. Minus one. Okay, I'm not funny, okay? Um... Okay. I'll start by introducing myself, which is always a good thing. I guess. But before that, I need to ask, was anybody here at my previous lecture a couple of days ago? No. Cool, I can use the same jokes again. No, seriously. I don't have that many jokes. And they're usually bad. What you're going to hear about right now, I'm not really sure what lecture you came to, because... If you know what lecture you came to, because I was just inserted into the schedule. There are some scheduling problems. I'm going to lecture about the survivability of the internet. Woohoo, fun. And I'm going to make some bad jokes. And I'm going to speak about some serious issues. And since there are not that many people here, I'll allow myself to say a lot of shit and fuck. Now, my name. My name is Gadi Evron, and some of you may know me from the internet as an asshole. Others might know me as a nice guy, but not that many. I mean, there are not that many people here, okay? And that's basically it. What is DA? DA is a mailing list. What is MWP? MWP is also a mailing list. Now, we'll start with the boring stuff. Is there actually a threat to the survivability, big word, of the internet today? Now, I don't really expect you to answer me, 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12... There are not that many people, but seriously, does anybody here think there is a problem today with the internet? Cisco gate, okay, cool. Yes, I'll answer it. Yes, there is a problem. Is it called botnets? No. Well, kind of, but no. We'll get to that. Now, I'm jumping right in, skipping a few slides, and what I basically want to talk about, which I'm not going to, is botnets. But, essentially, when you look at the problems of the internet, and you see spyware, you see spam, you see viruses, you see all that shit going around. Why? I mean, seriously, people used to blame everything on hackers, or the bad guys, and that doesn't make any sense to me, really. Boring stuff is, for example, like in any social structure, that's my belief, there are many different kinds of people, duh, and it's not just the bad hacker, the bored employee going back home and doing whatever malicious stuff he wants to do, or she wants to do. There are the kiddies, there's the military, there are the criminals, everybody. Different people. But still, to sustain such a huge amount of bad stuff on the internet, somebody has to get something out of it. I mean, seriously, so much stuff just going out of boredom? I don't think so, and I'll try and prove that. Even though it's not really the point of the presentation. So where is the ROI? Where is the management talk? Return of investment. On investment, sorry. Like I said, social structure. Let's start with the kiddies. Are there any kiddies here? Ah, cool. Hey, kiddy. Kiddy front. Some of you may have read it a couple months ago on Suns maybe, or heard it from a guy called Dan Hubbard. Iframe dollars.biz. Now, generally, whenever I see a .biz domain, I start crying, or scratching, or whatever. Seriously, biz domains are bad. Nearly as bad as CX or WS or whatever else. Seriously, I just see .biz domain and I start crying. Iframe dollars.biz was a business, plain and simple. Some guy said, hey, let's make money off the internet. And you're coming up here, you do know that. Yeah. Dan fucking Kaminsky, people. Dan fucking Kaminsky. Now, oh shit, these are people that actually heard my lecture before. I can't use the same jokes again. Now, iframe dollars.biz basically said, okay, come into my website, take this code iframe, I think it was, and put it on your website. Now, for every first click, every user that goes into your website and installs our spyware, or whatever it was, you'll get money. You won't get a lot of money, you'll get 0.06 dollars. Now, they claimed you're eating. Bitch. Okay. They claimed, if I have one more bad pizza, I swear I'll puke. They basically said, look, take this code, put it on your webpage, whenever somebody comes inside, into your webpage, you'll get 0.06 dollars, which is cool. Now, they claimed to pay, the week before we saw them, $11,000 for that. Now, that amounts to about 220,000 clicks. Again, they claimed. Now, we actually found their statistics page, and yes, apparently they did pay 220,000 people did get firstly installed software on their computers, and they did pay $11,000 to people. Now, 11k is a lot of sum, but it's not that much money. Now, there is another guy, I would like to give you as an example, and I don't know how to pronounce his name, or nickname, or whatever we chose to call him. It could be Flowby, it could be Flowby, depending on where you're from. Now, this guy is a botnet controller. Just so we are clear, I'll explain in a couple of lines what I believe a botnet is, and if you think I'm wrong, tough. Trojan horses. We all know what Trojan horses are, I'll repeat anyway, and again, you can argue with me all you like, I don't care. Shut up, Dan. You can't speak if you're not drunk, that's it. Is that beer? No, it's not that. Okay, Flowby was a botnet controller, and again, Trojan horses, let's say it's some sort of software or hardware or whatever, some sort of thingy, that if a user knew what it would do, it would not be so pleased about it, let's put it that way, and it's usually a remotely controlled device or whatever installed on your machine. That was the worst explanation of what a Trojan horse ever gave, or heard, for that matter. Now, you can do whatever you like on a machine where a Trojan horse has been installed. You control that machine. Now, imagine if you had 10 such machines, where you installed Trojan horses. Imagine you had 100, and they were on broadband, of course. Imagine you had 200, 1,000, 10,000, 100,000, a million machines, all completely at your control. Well, you would have to control them somehow, and that's basically a botnet, because these drones, bots, whatever, will be reporting to a center point, which is the command and control server. Now, this guy owns many botnets, and on one of the botnets, we can't really prove that, we've seen it happening with many different cases, and it's just very easy for me to give you an example. On one of his botnets, which was 35k large, 35,000 bots large, he decided, hey, DDoS is not good enough for me. I don't want to spam, I don't want DDoS, there is a lot of downtime for my bots, and I want to use that downtime. So, basically, what he supposedly did is install a lot of spyware on every single machine. Now, a legal calculation of a page we believe he took the spyware from would mean that he gained about 8k a day from his small botnets. So, that's a kiddie front. 8k, 11k, whatever. Now, the big picture. We don't really know what the big picture is. Seriously. We do not see what's happening. And this is DEF CON, I don't need to explain it to you, because half the lectures here were about conspiracy theories and how the government is spying on us and all that. But we can see some of that. It's in plain sight, it's public. And between a lot of beers, you might actually notice it. I was just looking at you, I didn't mean anything by that. There's plain sight spying by government? Yes. Now, when you see phishing, which is in plain sight, he's a little bit drunk, or I'm just not very well understood, which is possible. Or likely. You're not implying governments are running legitimate botnets by putting spyware on people's machines? You're on to me. I work for the government, you know. Okay. Now, phishing, seriously, phishing gives us a very, very good picture of what's going on. Phishing is public, you get it in your inbox, you can go to the sites, you see what's going on, which is great. And we can actually see the amounts of money that goes into it, and I'll show you in a minute. And then there are a few minor details, such as, for example, the Trojan Horse industrial espionage case, where there were some private investigation companies and some very rich companies that wanted to spy on their competition. So basically, as far as I understand, they paid 17k UK pounds, or 13k UK pounds a month, per computer. Which is a lot of money. So there are things going on behind the scenes. Some of them we can actually prove because we hear about one or two every year. But let's actually look at what we can see day-to-day. The APWG, the Anti-Phishing Working Group, says they saw over 13k unique phishing emails in March 2005 alone. And thousands of phishing sites. Woohoo! Now, people usually say, and I'm going to be kind of... Okay, we all know this. These guys, they sent so many millions of spam messages out. And then just one person clicks on it and fills the details in. Well, one person clicking and filling in the details is a clear cut return on investment because email doesn't cost money. We all know that, but it's very important to reiterate that issue. Now, let's give some statistics. In Germany, for example, every phishing attempt 2,000 people fill in their details. Now, that number keeps rising. It's not just one stupid guy. There's a lot of stupid people out there. Now, of them, about six do not get their money back. And that's because the banks are very good at moving money around. Money is stolen, no problem. But six do not get their money back. Or rather, the banks have to cover it. Now, on average, that amounts to about 6K euro lost per person. 36K euro for every attack. Now, per year, that's 1.2 million euros. And that's just for one group. Each group's attacks are used to attack once every eight days. Now, they do it a lot more often. Quite a few groups out there. Can anybody see the ROI yet? The return on investment? There is a lot of money going into this. Now, the Russian mob, and I have to say this again, I always say it in my lectures, I have nothing against Russians. Seriously. I had a girlfriend who was Russian. But really, nothing against Russians. But most of this stuff, there are a lot of small operators out there in Eastern Europe, in Brazil, all around the world. But most of this stuff comes from the Russian mob. Clearly, from the Russian mob. I'll say it again. Hold on. Hold on. I'll answer every question, and if not, hey, I'm on tape. The Russian mob sees the return on investment. Okay? Cool. And they actually invest in the technological and operational capabilities over time. There are people sitting here who actually watch the binaries and the samples, and can tell you how they evolve over time. Now, many of these kitties just, like I said, it's social structure. It's not all the Russian mob. Many of these kitties just trade it like candies. And most of these trojan horses, or bots, or whatever, are just the same code, ripped from one another over and over and over again. But still, it's important to note that, and I'll give you an example. Here in the States, this just came out a few months ago, here in the States, there was a phishing attempt. It's a phishing attack, actually. And somebody's account got emptied in a branch of the bank on the West Coast. Now, a week later, a FedEx box came in, carrying a fake check, which is what actually got people to look into it, to refill their account so they can empty it again. Shut up! So basically, you'll get to lecture in a minute, so don't disturb. You're not allowed. You're not drunk. I'm very happy that you came. Now, I really am happy that you came. Basically, what that means, people, this is not cyberspace anymore. This is meatspace. This is happening right here, right now, with real people, and real money. That's critical to what I'm going to talk about. Now, in the UK, for the last example, the losses are also significant. 1.4... 1 to 4, I'm sorry, million pounds a month in losses, just at the beginning of this year. And it jumped by 1 million every month. December, January, February, March, it got to 4 million pounds lost. Now, don't take my word on these numbers. You won't find them anywhere. As far as you're concerned, I'm lying, because I'm not going to prove it to you. And anything I'm not going to prove, just believe I'm lying. But these numbers are true. Now, this is by... I'm lying. No, this is by phishing alone. There is a lot of money in this. I'm saying it again. I'm repeating myself, and there is a reason for that. In the US, the story is a bit different. One bank, they say they used to see about 200 victims per scam. Today they say they see about 5. But come on, people. Banks, at least in the United States, in the UK, they can't, as far as I know. They have a legitimate reason to actually try and underplay the problem. I mean, do you have any idea? I don't have any idea, by the way. Do you have any idea how much of all their business goes online? How much of any business today goes online? Depending on the bank, it could be 50-60%. Everything. Everything. Again, I don't have hard numbers, and it changes drastically from bank to bank. I don't want to talk about it. What? I really want to answer that. I honestly don't have time. I know I'm kind of weeny for saying that, but I honestly don't have time. Sorry. Other banks are actually reporting losses of around $10-20 million. Again, don't take my word for it. The Germany numbers, I can sign on. And they're not anywhere you can find. Now, the problem is not botnets. Again, I didn't really want to make this a botnet lecture, although I can't speak about botnets for hours on end. Botnets is a very serious symptom. A very, very serious symptom. It's a problem. Actually, I keep using the same jokes. You were in my last lecture, you bitch. Why were you in my last lecture? I can't reuse jokes. You were hoping it would be funnier. I know where you live. Okay, I don't. I can find out. Dan? The Mossad! The Mossad! I was just at Cisco the other day, and they gave, like, name tags that stick on your shirt. Now, I don't know who told them and what the fuck they thought they were doing, but I don't work in Israeli government security. But I said, Israeli government security. I immediately photocopied it. Asked for another one. Put it in my pocket. That's so great. I'm for the Mossad. Watch out. I'll send people after you. Okay, I don't have time. The problem is not botnets. Botnets are a very serious symptom. What I'm trying to say is botnets are a serious problem. I can tell you that from our limited view, and we see quite a bit, but again, we don't see everything. We have 4,000... 4K botnets out there. Since the beginning of this year. And that's just a little bit. I mean, people keep looking at the bot itself. And they keep asking me, how many bots are out there? And you know what? I don't give a shit. Seriously, I don't care how many bots are out there. Some people might have to care, but I don't, and I'll explain why in a few minutes. Now, okay, I'll explain why now, actually. And waste some time. Why... you people who live in the United States, or most of you do, you know about this thingy of asking, why be able to destroy the world a thousand times over when once is more than enough? Right? Well, botnets on the internet are strategic warfare. They are nuclear weapons. And the amounts and numbers out there are unbelievable. And I can tell you that we've actually seen a 350k botnet. And it wasn't the only one. It's just the best example I have. A few months ago. Now, when you have that big of a botnet at your control, you can do pretty much anything on the internet. Now, I'll continue with that in a minute, but really, looking at the botnet as a problem, a botnet itself, the network, install some bots separately, is what I'm talking about. Now, the philosophy of the problem, why I'm looking at botnets as a symptom... okay, I can't say problem, seriously. This is a joke I must reuse. I'm sorry. It's not really a joke. I was sitting with a guy from Adobe, or my boss was, I don't really remember. I reuse jokes all the time. And the guy would refuse for two hours to say the word problem. He would say challenges. For two whole hours, I just heard, or he heard, challenges, challenges. And now they changed it. You're supposed to say opportunity, opportunity. Anyway, so there are several challenges. Let me get to the point. If I'm saying botnets are strategic warfare on the internet, I mean, everybody knows what DDoS is. Why say they're just a symptom? Let's start a bit about our philosophy of the problem. The internet. Photon monoculture. We all, I mean, whether we like it or not, most of us use Windows. And I'm not talking about the home computer. At work, most of us use Windows. Everywhere, it's Windows. And that makes us extremely susceptible to attacks. And I don't have time to talk about that anymore, but just think about it. I'll waste some time later. Now, one bug, or one patch, can bring us down. Repeating past mistakes. When we left the world of the mainframes, OS development somehow sinked down to a new level. And just now we are starting to reach the level of where we were with the mainframe in OS development. And I can actually see it as a pattern of things actually repeating themselves non-stop. The PC wasn't the end of it. For example, cell phones. Everything is in default. You can't disable anything. Everything is in automatic. Java, browsers, whatever. Unbelievable. We keep repeating the same mistakes over and over again. And that brings me to Killing Fires. And before I reach Killing Fires, I would like to discuss the problems of the internet. We'll get to KC and who she is in a minute, but everybody keeps saying at the end of the year companies like Symantec, they do a great job, but they come out and say something like look, these are the problems that we are going to face in the year of 2005. Okay, great. How do you know that? Well, we have looked at our past agendas and logs and histories and we can tell you what we believe the issues are going to be. Okay, so basically F of that is what happened last year. Almost another F is what you believe is going to happen, therefore you're self-prophesying or whatever you call it, that it will happen and some of it will happen. And some of this stuff will actually surprise you, because you can't know what everything that's going to surprise you is going to be. And I'm saying something different. The problems are out there and we know about them for many years now. Many years. Let's take for example spam. Are you interested in my talk at all? I am. You are? I believe you. Okay, David fucking Kaminski everybody. Not drunk for the first time on video. Now... Yeah. I'm trying to remember what the fuck I was talking about. Predictions. Thank you, bitch. I love this guy. But he gave me such hell when I asked him to come and help me in my lecture. Yeah, but I don't need you now. Yeah, I'm going to talk now. Yeah, I'll tell you about the superbugs in a minute. I'm still wasting time. What was I talking about? No, seriously. Predictions. So basically, the problems have been around for many, many years now. Let's take spam as an example. Yes, tell them we love them. I want that phone later on. It's mine now. The problems of the internet have been around for many years now. Let's take spam. I'm going to completely ruin the history of spam. In the last lecture I met, there was a guy from SpamHouse here and he wanted to kill me, but it's cool. First, we didn't really care about spam. Seriously. It's just some emails you get eventually, here and there, once a day, and you found a good solution for it too. JHD. Just hit delete. And it worked. And then it got a little bit more annoying as somebody started working on it, but nobody really cared. Nobody wanted to put the money into it to get rid of the business, or at least try to. And then it got to be a problem. Then everybody started caring about it. And then I started finding solutions. And like any human society, anywhere, they said, I have to be elected into office. I mean, this is not really it, but seriously, long-term solutions are not part of the business here. It's part of our culture. We have to kill this fire called spam right now. So we will invest some money, and come up with a solution that will kill the fire right now. That solution was, for example, Bayesian filters, or F-ass Bayesian filters. And if we see, for example, Viagra in one instead of an I, all these evasion techniques that bad guys came up with, that's cool. I mean, seriously, use some F-ass Bayesian filters that bad guys learned and started using one instead of I. Then I started using mail relays. Again, it could have been the other way, but I don't really care right now. And we started using blacklists, like maps. And then I started using zombies, and they can email from all over the world. Anytime we actually kill the fire right now, get rid of this problem right now, what we actually accomplished was, hey, we are teaching the bad guys. We are educating them. We are throwing them into an evolutionary route that we are not choosing. We are making things worse. And I can tell you it's the same with botnets. It's the same everywhere, and that's what brings me to the superbugs theory. Now, superbugs is not a new theory. I mean, doctors really liked antibiotics. You had a flu? The flu, they gave you antibiotics. You had a cold? They gave you antibiotics. And what they actually did was create some sort of stronger bugs that could resist antibiotics. And they kept doing it. And that brings me back to monoculture. Everything is windows. And we keep just ignoring the problems that are out there for years, and I can give you a list of problems and I'll get to that in a second. And I've been out there and it's getting worse. And eventually they get so bad that we have to kill them right now. And every time we do something like that, no matter if it's terrorism, no matter if it's botnets, no matter if it's spam, we just kill the problem right now. I'm repeating myself, I know, but it's important to me. And make it worse. Educate the bad guy. So the superbugs theory is where I wanted to get to. And that's why botnets are not really the problem now. Who is the enemy? I keep speaking of there are bad guys out there. FUD, I'm not giving any facts. Well, it used to be a rival or an opponent really, not really an enemy. Because, I'll give you an example from the dynamic DNS providers. Dynamic DNS providers are really, really good for the bad guys. They can run botnets using DNS really easily. They tell all the bad bots, connect that address. Then when somebody kills the server, because that's how you deal with the botnet, you kill the command and control server which is bad, because then the bad guy just moves up to another server and starts investigating and educating themselves and getting to be better at it. Again, superbugs. But basically, when dynamic DNS providers are perfect for them. They go online, they open a new account, they get some free DNS free domains, free whatever, and just point the botnet over there. That's basically how it works. The dynamic DNS providers really suffer. Because imagine 100,000 bots, and bots are not very nice internet users losers. They just keep asking the same question. How do I connect over there? Where is that A record? And they really weigh down on the dynamic DNS providers. The dynamic DNS provider says, okay, this is the botnet, it's in breach of my acceptable use policy. I will map this botnet address to 1918 addresses, localhost, whatever. And that's acceptable to the bad guy, because it says, hey, I abused the service, but I need it again. They found me out, I'll just use it again, re-register. Now what if the dynamic DNS provider says, I'm sick of it. I mean, so far they've been contesting for the same resources, they live in the same realm, but don't really come to combat, open combat. But what if the dynamic DNS provider says, I'll sinkhole the botnet. I'll kill the botnet, I'll take the botnet away from the bad guy. The bad guy gets pissed. And then it's open warfare. You will DDoS the dynamic DNS provider to hell, and that makes it an enemy. And why I wanted to stick to this point for a minute, which is not really related to the lecture, is because this is an enemy to the infrastructure. And when I try to think about who the hell owns the internet, and I'm not talking about owning the internet as in who runs the internet, but who are the stakeholders? Seriously, who cares if the infrastructure survives? And I try a lot, and I can't really find the people yet, but the infrastructure is at a serious risk. I don't care if somebody is a black hat, if somebody is a white hat, if somebody is a grey hat. Whatever you do at home, whatever you have fun with, that's cool. But when you go out and take money from Granny Jane, or when you go out and try to DDoS the internet to hell, you're not a nice netizen, and over more, you're pretty much, you're not a black hat, you're an idiot. And your idiocy is pretty much what's going to cause the internet to go to hell. And that's FUD. That's fear, uncertainty, and doubt. And I didn't want to say that until I could give you some facts. What do we do about it today? It could be tens of thousands of dollars a week, it could be millions, it depends on who you are. The question was, why are you relying on DynDNS for something that is critical to your infrastructure when you make millions? You don't rely only on DynDNS, but I don't have time to cover it right now, but just think about why do botnets use IRC? Seriously, why use IRC? It's perfect for them. I mean, I don't have time to cover it because this is not a botnet lecture right now, but something does not have to be extremely complicated to be good. Although, damn, fucking Kaminsky is not drunk to answer that. Ignore everything I just said, please. There needs to be legitimate services that are using that particular host that it would be a problem if you just killed it entirely. If you go ahead and you put a colo somewhere and it's the CNC and it's the DNS and so on, pull the plug on it and you've just killed illegitimate services. The idea is to mix the illegitimate botnet with the legitimate dynamic DNS and that's why they do it. Amen to that. Next issue. And thank you to Dan Kaminsky. He's not drunk. I'm sorry, Dan fucking Kaminsky. He calls me God, he fucking Ron. Come on. Hold on, we'll get to that. Now, what do we actually do about it today? First of all, there are vendors. Anti-virus vendors, anti-spam vendors, let's even say ISPs. Vendors. A lot of vendors who try to give you solutions. Then there are more vendors who try to sell you stuff. Some of them do good shit. Seriously, there are companies such as Message Labs, Maps, Spam House. Companies that really do good for the internet. They're still vendors. And they look at their small way of making money and if they can do good with it, that's cool. Then we have research funds. Research in general such as the NSF, Army, Navy, DARPA, whatever. Then there is symptom-based response. For example, hand-spam. The FTC recently came up with something that they claim will report to every ISP. It will report to ISP the bots. Again, the bots are not the problem as far as I'm concerned. And any infected machine will have 10 more bots on it, at least. The botnets are the problem. But say they will report the bots. So what they do is look at emails, spam emails, and find the zombies that send them. Now, out of all the numbers of all the drones and bots out there, how many of them send spam? A lot, but not quite that many from the whole of the entire botnet population. Now here I have to discuss the botnet population. How many bots are actually out there? Because that's what people keep asking me. So I'll make this quick. I don't really give a shit. As I said, if you can destroy the world a thousand times over, why the hell would you care if you can do it just once? And that's what botnets are. But if I have to answer the question, I'll discuss research that has been happening unrelated for quite some time now. How often, or how soon, when you start scanning the internet when you put the machine on the internet, will it get scanned? A few years ago, to put the machine on the internet, it got scanned 36 hours after that. A couple of years ago, I checked, and depending on the ISP I checked on, I got scanned once every two seconds to once every 20 minutes. Kevin Mitnick, I believe, made some check and got around the same conclusions. On the site in SANS, internet survivability time is about 20 minutes or something like that. It keeps coming up and down. So basically, say it's not every two seconds like in my house. Say you actually get scanned for the easy vulnerabilities automatically by viruses, worms, whatever you want to call them right now, hacking tools, every 20 minutes once. Now, on broadband providers, out of all their clients, how many would be easily exploitable? Now, when you get to the potential population of that, and how many bots you can get installed on one machine, because basically I count the bots as how many samples are installed or working on each machine per IP address per machine, you get a huge number. Now, if you wanted to count it in another way, say you sync all the botnets, and that's not my research, that's somebody else's. Say you found botnets and you followed them, and you checked and saw that several botnets have the same IP addresses coming back again, there are time of day issues, DHCP issues, sometimes you see a Linux machine and then it's a Windows machine, but you actually see IP addresses returning. If you take that cut between the different groups, you may try and get to the point where you see the entire omega. This is David Duggan's research at Georgia Tech. He says, by the limited research he has done, he has seen about 20 million bots. That's nothing. If I had to give a number or just say 40 million, but that's nothing, people. Seriously. And why would I care about the number? Now, sorry, I had to give a terrible response to this if I didn't explain myself correctly, because it's critical. Now, another issue, and symptom-based response for the FTC came up with this issue and said, we'll report bots to the ISPs, not botnets bots, and they're reporting spam bots. They're reporting a symptom of the symptom, which is the zombies that send out spam. Great. A for effort, that's about it. I'm glad they're doing it, but it's nothing. Shoot the customer. I really like that. I want to shoot the customer, seriously. Blocking port 25 is one of the best things out there that can be done to stop spam. I hope Larry from Spamels will be here again to explain that, but basically lots of end-to-end, blocking port 25, blocking all these ports, no matter why now, if it's a good or bad idea, you're shooting the customer. That's how ISPs are dealing with it. I'm not saying it's bad, I'm not saying it's good. I actually like it. But it's shooting the customer. That's how we deal with it currently. Now to business. Why DA? And as we said, DA is a mailing list. Well, it gives community and industry involvement, basically. I'll discuss what it is exactly as I go. You see the anti-virus industry, academia, dynamic DNS providers, law enforcement, ISPs. There are other groups out there that work on the problem, and I'll discuss them in a minute, but none of them have the scope. I'll continue in a second. Long-term study and research. Killing viruses is bad. Guacamole was bad. Today when you actually kill a button, it not just jumps to the next IP address, the next compromised host, they actually learn from it, they become better at what they do. It's bad for us. Long-term research and study is critical. R&D, ways and means. Finding new solutions. Following technological operational evolution by the other side. Doing all that and still maintaining the vetting. And vetting does not mean secret entry club where nobody can enter. Hey, I'm lecturing in DEF CON for very few people, but still, lecture in DEF CON. The point is getting as many people involved as possible who care about the infrastructure and actually having the internet around. Now, this is not easy, but it's critical. Now, what does that mean? What can we do that a closed group of ISPs can't? Or a closed group of antivirus gods can't? Antiviruses care about signatures, libraries, which is great, that's their business plan, model, whatever. ISPs care to get their networks back online without problems, maintaining their networks. So they kill botnets. What do we do? First of all, we can do traceback. Tracking down the botnet, authors, controllers, whatever. Creating an intelligence database on who they are. Actionable intelligence, law enforcement cooperation. Get the intelligence, give it to law enforcement. Law enforcement does not care. What do I mean by that? I don't give a shit. And not because they're bad people. Actually, it's the opposite. Law enforcement cares. They can't do squat. We see a very large increase in their caring in the recent year, especially. They want to do good, but they care a lot more about the murderers out there, as they should. They do not have the resources to invest in this. Plain and simple. And it's not really their fault, it's policy. Policy from upstairs that dictates this. And I can tell you we have somebody who actually knows from his hard work who the bagel author is. And he gave them information, he gave them pictures of the guy. And they didn't do squat. Shit. Nothing. Again, I love the guys in law enforcement, and they're trying, but they can't because their hands are tied. So we can't count on them. Sorry, but that's the way it is. Now, reverse engineering, working actually on the samples rather than just the networks, IDSs, flows, whatever, shows us where they are technologically, what they can do. We can find the botnets better, we can see what they're doing, it's cool. Financial trace back. If you work with law enforcement or the financial industry, you see phishing, you can actually trace back from all ways. Not just on the network, not just on the sample level, financial trace back. See where the money is going. Which is basically the only thing the Fed knew how to do with phishing until very recently. Cooperation. That's the critical part, and that's where I was going with this lecture, basically. Working together to see the big picture, because everybody is an expert. But nobody, except if you work together, can see the macro level image. I mean, seriously, we'll talk about Casey in a minute, but she says, for example, the research community is looking for ideas on what to research. The industry needs solutions, and nobody is talking to one another. Now, DA and DA related projects, again, DA is a mailing list, because we had to start somewhere, and that's where we started. Carsnet, that's David Dagan from GA Tech, he does amazing work to study botnets, and he can't find funding. The bad guys have millions, and he can't find funding. But, that's a database, basically, for us to follow everything, gather information, pretty cool. Snort for ISPs, rather dead project right now, but we're working on it. Getting signatures out to detect botnets easier. Botnets, not bots. Passive DNS replication is critical, I do not have time to talk about it, I'm sorry, but it's critical. If you want, Google it. AS-based reporting, getting the reports out to ISPs. Monthly shaming, some ISPs do not give a shit. We need to shame them, and we are actually managing to change the map of the internet every month. Basically, it's, okay, we managed to get that ISP to work with us, which means, okay, the botnet controls are going to run to another ISP now. But we change the map, every month. Some ISPs don't give a shit, we're not sure how to handle that yet. There's some parts of the world we can't reach, but we're working on it. And I'll get to that in a second. Then there's Granix. You'll hear about that in the future, I'm not going to talk about it. Drone armies, at least I think so, I have no idea. I call it Dumbledore's army, I'm not sure if there are any Harry Potter fans here. No? You guys suck. Now, MWP is another mailing list. We had a lot of off-topic posts. There's nearly no noise, only signal on the mailing list until I decide, okay, this is too much signal and I just send some shit in. But it's a community, it's not completely operational. There are other lists that are operational. Spammed malware sites. You spam it via email, it's malware, we'll take it down. Captures, okay, there are many other companies that see these files online, we'll find them and we'll take them down. Now, I'm not supposed to say kill the site, but that's what we do. We do it legally, which means in lawyer talk I would have preferred to say something like we find the data, collect it, give it to the respectable authority to review and investigate and validate or whatever themselves, and then proceed according to their acceptable legal policy or whatever. Basically we kill the sites. Now, worm propagation sites take it down. For example, if there is a worm and you download samples, updates, whatever from some site, we'll take it down, we'll stop the worm from spreading. Phishing sites take it down. We don't do that anymore right now, I'll explain why later, but we still follow it very, very closely. Global law enforcement coordination and tracking of phishing groups. Law enforcement can work together very good, they have their own ways to communicate, but they suck on the small things. Seriously. And we have managed by giving them the actionable intelligence that they don't have, we managed to get several law enforcement agencies around the world working on taking these guys down, because they make money. And the only way that we can stop them from moving their botnet or their phishing or whatever to just another server is by changing their economics and make it not worth their while. That's basically it. And phishing on the net. We want to gather all these phishers, companies such as MessageLabs, Panels, all these guys, send us the phishers, we'll report them to ISPs, we'll get the shelf life of a phishing server down to two hours instead of six days. Ask Dan later. Sorry, I got five minutes. I'm serious, I'm sorry. Other projects. There are other lists out there, other projects, for example, NSP Sec for ISPs to work, you can Google it. The Aninet project, they don't want to work with law enforcement, they're pure researchers. APWG, Anti-Phishing Working Groups in the United States and Apex in the UK. UNISOC, Digital Finish Net, which is the FBI, which is just now starting to get some things done, they basically suck so far, I have high hopes. Microsoft. People, Microsoft is doing a lot. I believe their motives are more like, we want to prove to everyone we do good security, and we want to fucking take over the industry. That's what I believe their motives are, they're hiring a lot of people, but whatever their motives are, they're not really hiding as far as I see it. They do a lot of good. They actually do something. Now as far as I see it, the stakeholders so far I've been able to find... I'll get to Casey first, I'm sorry. Internet Governance. You might have heard Paul Vix's lecture. It's a lot of shit and crap and whatever, and the point is, we can go lower than that, it's trust. For example, nothing prevents me from going to dine right now with a 5 kilo hammer, or kick him in the nuts, or kill him, basically. In real life... Okay, Dan, my glock is at home. No, seriously, you guys are watching me. There are laws, there is fear. I don't know what's stopping me from doing that right now, but that's meatspace. On the internet, nothing stops me from doing that. For example, when people threaten sites for takedown. Pay me 10k right now, I'll take you down. In real life, especially in the States as far as I understand it, from movies in Hollywood, protection money is really good. Works really good. Somebody might come to you and say, look, you pay me right now, or I'll burn down your store, set it on fire. And you might pay him. Or he'll set your store on fire. Now once you've paid, it is likely that the guy won't set your store on fire. Further, if anybody else comes to you and says, hey, pay me or I'll set your store on fire, this guy will protect you. On the internet, they say, okay, pay me 10k right now, I'll set your store on fire. How do you know he won't? First off, it's the internet. Second, he can't stop anybody else from doing it anyway. And the point is, if I meet somebody online, say from Korea or Japan, he doesn't know me, I don't know him, why would he trust me? Why would she trust me? No reason. They may be the bad guy that's trying to trick me down. Would I share information with them? The bad guys are sharing information, making money, everything. We do not share information. We do not get things done. Now, if we don't get a way to cooperate and get things done, somebody else will find a way to do it for us. According to Casey again, I'm misrepresenting your ideas, that's to be clear. But as far as I understand their ideas, every network in the world ever built, whether it's communication network, transportation network, whatever, somebody came and made some order. That somebody was usually or always the government. Do we want the government, your government, my government, to come in and try and make the internet fall in place? They're already trying, especially in Canada and Australia, as far as I can see. Here in the States, everywhere. I doubt they'll succeed. What I see, basically, I'm not worried as Casey is. I believe it will either be Microsoft or the Russian mob. Now, you can quote me, God, he said the Russian mob and Microsoft, whoo! But seriously, these are the stakeholders right now. They make money. Microsoft and the Russian mob. Which one do I prefer? Exactly! Thank you for asking that question. Now, I love Microsoft. Seriously, they're doing a good job out there. I don't know why they care. They may have their own ideas, but they're doing a good job. They're the only ones. Now, cooperation, trust, just getting things done. Basically. We need to solve these problems. And usually, like I said last time, I would have expected a full hole when I said, get involved, people! We have many projects, maybe you have some ideas, too. But seriously, you're just like 20 people or something like that, but still, get involved. If you believe this is important, I do. We need help. Yes, I'm coming to DEF CON, and I'm saying we need help. In about two minutes, so I'll let Dan come up here with me, because it was very nice to come here anyway. Dan! Go! Farming. What about farming? Okay, the ITF sucks. They're good guys, the ITF, but they suck. Seriously, how long have they been dragging their feet on DNSSEC right now? 15 years? 11 years? You answer that. DNSSEC is an interesting scene. Farming basically gets into the idea of attacking the infrastructure. Really, though, we're already talking about botnets of the size of a quarter million to eventually multi-million infected hosts. The endpoints are getting owned, en masse. There's a thing called the Byzantine problem. You're a Byzantine general, and how do you control your troops when a fairly large portion of them want to turn on you? And there's ways of organizing the networks so that you can go and kill the generals that turn against you and such. There's a critical mass of hosts that if they're on your network and they're bad, you die. I don't know, is it 250,000? Is it a couple million? Is it 50% of your customer base? Eventually, online banking is really going to have to start accepting the possibility that too many of its customers are actually not its customers, but are coming from corrupted hosts. Already, if you go to Kinko's, you will see. They say, please do not use online banking. Or at least they say, please do not use anything with personally sensitive information. This is a result of a case in New York where a Chinese immigrant actually put botnet, or Trojan code, on all of the publicly available hosts. So, there's a couple things that I wanted to say because it's going to be on film and I'm going to be able to say, hey, I totally predicted that. Last year, like I said, the botnet control data, right now, DNS directs you to command and control servers. Eventually, they're just going to put commands in the command and control servers. At the scale of when you have all these machines, they can stop saying, okay, I want you to take everyone on this bank and send money, send all the money. They're going to start doing really intelligent things. When you have multi-million nodes broken into, you can say, huh, let's find everyone who's sending money to everyone else. Let's build a graph and let's find out who are the people who are receiving money from anyone. In other words, all the stuff the bank does to find fraud, the fraud people can use to find targets. So, I want to have your baby. I want to have your baby. So, no, I mean, the canonical attack becomes, okay, I find one guy who receives money from 10,000 different people. I put a tax on every transaction of, say, 1%, 10%. I hide the fact that the tax was applied because I control the interface on everyone. The money moves over to the guy. The bank thinks it's normal because the bank's always seeing money move. And the guy never actually gets any extra money because he gets his account drained of the extra money. These are the kind of threats that really happen when every single, you know, when large numbers of endpoints are broken into. And it stops being about a couple thousand here or there. This kind of stuff is going to happen. And, you know, I don't know if you guys know this. The financial network is kind of converging on sending money instantaneously when all of the security stuff is really saying, hey, slow down. We need to check. We need to go back. So, it's a real question. What is going to happen to the speeding up of the financial system? And it's a real, real question. Are we going to be able to do online banking with personal computers in a year and a half? This botnet stuff that Gadi is doing, every day he does what he does is another day we can use online banking. Okay, that's enough. Online banking is one issue, basically. We need to work together. We need to find solutions. We need to get things done. Because we use the internet, no matter who we are. I mean, this sounds like, I want to cure world anger and cancer and all that, but seriously, come on! And with that, I'll take another question and finish because... Yes, I am with the Mossad and I'm going to send quads after you. I do send the quads after them. If you watch the MI6 site, by the way, I just heard it last week, you will actually see that they say, mess with us and we'll mess with you. MI6 people, they're cool. It's not just a newsletter, it's a whole effort of trying to get things done. So, contact me. You have my email address. gadi.sert.gov.il or ge.linuxbox.org. Contact me. Talk to me. We need help. That's it. Thank you. And... fucking Dan Kaminsky!