Education giant PowerSchool hit by major data leak

Education technology provider PowerSchool has suffered a major data breach, exposing the personal information of millions of students and teachers. Hackers gained access to its systems by exploiting stolen credentials, using a tool within the company’s PowerSource support portal to export sensitive data.

The stolen records include names, addresses, and potentially more sensitive details such as Social Security numbers and medical information in the US and Canada. PowerSchool, which manages academic records for over 60 million K-12 students, assured customers that not all users were affected. However, the breach has left schools scrambling to assess the damage.

PowerSchool insists the hack wasn’t due to a flaw in its software but was a result of unauthorised access using legitimate credentials. The company has engaged cybersecurity experts to investigate and taken steps to improve security, including deactivating compromised accounts and strengthening password controls.

Critics argue that PowerSchool was slow to inform customers, potentially putting students, parents, and educators at greater risk of identity theft. While PowerSchool is offering affected users credit monitoring and identity protection services, the incident has sparked calls for stricter regulations on data security in the education sector.

Biden pushes for stronger cybersecurity standards in final days of presidency

President Joe Biden is preparing to introduce a new executive order aimed at strengthening cybersecurity standards for federal agencies and contractors. The proposed measures address growing threats from Chinese-linked cyber operations and criminal cyberattacks, which have targeted critical infrastructure, government emails, and major telecom firms. Under the draft order, contractors must adhere to stricter secure software development practices and provide documentation to be verified by the Cybersecurity and Infrastructure Security Agency (CISA).

The order highlights vulnerabilities exposed by recent cyber incidents, including the May 2023 breach of US government email accounts, attributed to Chinese hackers. New guidelines will also focus on securing access tokens and cryptographic keys, which were exploited during the attack. Contractors whose security practices fail to meet standards may face legal consequences, with referrals to the attorney general for further action.

While experts like Tom Kellermann of Contrast Security support the initiative, some criticise the timeline as insufficient given the immediate threats posed by adversaries like China and Russia. Brandon Wales of SentinelOne views the order as a continuation of efforts across the past two administrations, emphasising the need to enhance existing cybersecurity frameworks while addressing a broad range of threats.

The order underscores Biden’s commitment to cybersecurity as a pressing national security issue. It comes amid escalating concerns about foreign cyber operations and aims to solidify protections for critical US systems before the transition to new leadership.

Thai police seize nearly 1000 Bitcoin mining rigs

Authorities in Thailand have confiscated 996 Bitcoin mining rigs in Chon Buri province, accusing operators of illegally tapping into the power grid. The raid, conducted on 8 January in the Phanat Nikhom district, targeted JIT Co., a digital asset trading firm that allegedly tampered with power meters to avoid electricity charges. Losses to local providers are estimated in the hundreds of millions of baht.

Despite solar panels being present on the site, investigators revealed they were not connected to the equipment, which relies on immense computing power to mine Bitcoin. Thai officials highlighted the heavy energy demands of mining, which can cost hundreds of thousands of baht per Bitcoin, compared to the typical household electricity bill of 750 baht.

The case underscores the growing global challenge of managing crypto mining’s resource demands. Thai regulators reiterated the need to safeguard public utilities as they continue investigating the scheme and identifying additional parties involved.

Brazil’s Lula criticises Meta’s move to end US fact-checking program

Brazilian President Luiz Inácio Lula da Silva has condemned Meta’s decision to discontinue its fact-checking program in the United States, calling it a grave issue. Speaking in Brasília on Thursday, Lula emphasised the need for accountability in digital communication, equating its responsibilities to those of traditional media. He announced plans to meet with government officials to discuss the matter.

Meta’s recent decision has prompted Brazilian prosecutors to seek clarification on whether the changes will affect the country. The company has been given 30 days to respond as part of an ongoing investigation into how social media platforms address misinformation and online violence in Brazil.

Justice Alexandre de Moraes of Brazil’s Supreme Court, known for his strict oversight of tech companies, reiterated that social media firms must adhere to Brazilian laws to continue operating in the country. Last year, he temporarily suspended X (formerly Twitter) over non-compliance with local regulations.

Meta has so far declined to comment on the matter in Brazil, fueling concerns over its commitment to tackling misinformation globally. The outcome of Brazil’s inquiry could have broader implications for how tech firms balance local laws with global policy changes.

How cybercriminals exploit email systems

Business email compromise (BEC) scams are on the rise, targeting companies through highly deceptive tactics. These scams involve cybercriminals hacking into legitimate email accounts and tricking victims into transferring large sums of money. Recently, a small business narrowly avoided a major financial loss when a scammer posed as its owner, sending fraudulent wiring instructions to the company’s bank. Quick action by the business owner and a vigilant banker prevented the funds from being transferred.

Experts warn that BEC scams rely less on technical vulnerabilities and more on exploiting trust between businesses and their partners. Hackers often gain access through phishing attacks, installing malicious software, or guessing weak passwords. Once inside an email account, they may create hidden rules to intercept or forward messages, concealing their activities until it’s too late.

To counter these threats, cybersecurity professionals recommend measures such as enabling two-factor authentication, regularly updating passwords, and monitoring email account activity for unusual changes. Businesses are also advised to verify financial transactions using secondary methods, such as phone calls, to confirm the legitimacy of requests.

With global losses from BEC scams amounting to billions, the stakes are high. By taking proactive steps to enhance security, businesses can protect themselves from falling victim to these sophisticated schemes.

Do Kwon’s trial set for early 2026

Do Kwon, the founder of Terraform Labs, is facing a criminal trial in the US, currently anticipated for early 2026. Prosecutors are dealing with six terabytes of data, encrypted devices, and the need to translate messages from Korean to English, creating significant delays in evidence gathering. District Judge Paul Engelmayer described the extended schedule as unprecedented in his 15 years on the bench.

Kwon denies the nine charges against him, which include securities fraud and money laundering conspiracies related to the $60 billion collapse of the Terra/Luna ecosystem in 2022. The incident impacted over 1 million investors. In a separate civil fraud lawsuit, a New York jury ordered Terraform Labs to cease operations and pay $4.5 billion in fines.

Extradited from Montenegro after 22 months in custody, Kwon has financed his legal defence with $200 million. His lawyers have until next week to request an earlier trial date, with the next hearing scheduled for 6 March.

Hacker claims breach at Gravy Analytics data firm

A hacker claims to have breached US location tracking company Gravy Analytics, leaking around 1.4 gigabytes of data. The allegation, shared on a Russian-language cybercriminal forum, included screenshots suggesting a data theft. Verification attempts were complicated as Gravy’s website remained offline and the company did not respond to messages.

Cybersecurity experts reviewing the leaked data found the breach credible. Marley Smith from RedSense and John Hammond from Huntress both confirmed the data appeared legitimate, though the hacker’s identity remains unclear.

Gravy was previously involved in a crackdown by President Biden’s administration targeting data brokers collecting sensitive location data without proper consent. The Federal Trade Commission (FTC) settled with Gravy and Mobilewalla in December over allegations of deceptive data practices.

The FTC expressed concerns that such data could be misused for stalking, blackmail, and espionage but declined to comment on the breach. FTC Chair Lina Khan recently warned that targeted advertising practices leave sensitive data highly vulnerable.

FBI warns of AI-driven fraud

The FBI has raised alarms about the growing use of artificial intelligence in scams, particularly through deepfake technology. These AI-generated videos and audio clips can convincingly imitate real people, allowing criminals to impersonate family members, executives, or even law enforcement officials. Victims are often tricked into transferring money or disclosing personal information.

Deepfake scams are becoming more prevalent in the US due to the increasing accessibility of generative AI tools. Criminals exploit these technologies to craft realistic phishing emails, fake social media profiles, and fraudulent investment opportunities. Some have gone as far as generating real-time video calls to enhance their deception.

To protect against these threats, experts recommend limiting the personal information shared online, enabling two-factor authentication, and verifying any unusual or urgent communications. The FBI stresses the importance of vigilance, especially as AI-driven scams become more sophisticated and harder to detect. By understanding these risks and adopting stronger security practices, individuals can safeguard themselves against the growing menace of deepfake fraud.

Telegram provided user data to US authorities following Durov’s arrest

Telegram, the popular messaging app, has fulfilled 900 requests from US authorities for personal information about its users in 2024, with a significant rise in inquiries following the arrest of CEO Pavel Durov in France. A report from 404 Media, published on 7 January, revealed that the platform provided 14 requests for IP addresses and phone numbers between January and September 2024. However, most of these requests were made after October, affecting over 2,000 users.

The increase in requests came after French authorities arrested Durov on 24 August, accusing Telegram of enabling criminal activity. Durov has stated that since 2018, Telegram has been providing user information like IP addresses and phone numbers to law enforcement authorities when requested. The policy, which is mentioned in Telegram’s privacy guidelines, continues to be a source of controversy.

Despite the ongoing legal issues, with Durov still barred from leaving France, Telegram remains a key platform, especially within the cryptocurrency community, where it has more than 950 million monthly active users.

White House introduces Cyber Trust Mark for smart devices

The White House unveiled a new label, the Cyber Trust Mark, for internet-connected devices like smart thermostats, baby monitors, and app-controlled lights. This new shield logo aims to help consumers evaluate the cybersecurity of these products, similar to how Energy Star labels indicate energy efficiency in appliances. Devices that display the Cyber Trust Mark will have met cybersecurity standards set by the US National Institute of Standards and Technology (NIST).

As more household items, from fitness trackers to smart ovens, become internet-connected, they offer convenience but also present new digital security risks. Anne Neuberger, US Deputy National Security Advisor for Cyber, explained that each connected device could potentially be targeted by cyber attackers. While the label is voluntary, officials hope consumers will prioritise security and demand the Cyber Trust Mark when making purchases.

The initiative will begin with consumer devices like cameras, with plans to expand to routers and smart meters. Products bearing the Cyber Trust Mark are expected to appear on store shelves later this year. Additionally, the Biden administration plans to issue an executive order by the end of the president’s term, requiring the US government to only purchase products with the label starting in 2027. The program has garnered bipartisan support, officials said.