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, 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.
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.
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.
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, 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.
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.
The International Civil Aviation Organization (ICAO) is investigating a potential cybersecurity breach following claims that a hacker accessed thousands of its documents. The United Nations agency, which sets global aviation standards, confirmed it is reviewing reports of an incident allegedly linked to a known cybercriminal group.
A post on a popular hacking forum dated 5 January suggested that 42,000 ICAO documents had been compromised, including sensitive personal data. Samples of the leaked information reportedly contain names, dates of birth, home addresses, email contacts, phone numbers, and employment details, with some records appearing to belong to ICAO staff.
ICAO has not confirmed whether the alleged breach is genuine or the extent of any possible data exposure. In response to media inquiries, the agency declined to provide further details beyond its official statement acknowledging the ongoing investigation.
Recent reports reveal that Chinese hackers have compromised a broader range of US telecommunications companies than previously known. In addition to earlier breaches involving AT&T and Verizon, the cyberattacks have now been found to affect Charter Communications, Consolidated Communications, Windstream, Lumen Technologies, and T-Mobile. The hacking group, identified as Salt Typhoon and linked to Chinese intelligence, exploited vulnerabilities in network devices from security vendors such as Fortinet and Cisco Systems.
The Wall Street Journal reports that US National Security Adviser Jake Sullivan informed telecommunications and technology executives in a confidential meeting in late 2023 that these hackers had developed the capability to disrupt critical US infrastructure, including ports and power grids. While companies like AT&T and Verizon have stated that their networks are now secure and that they are collaborating with law enforcement, concerns persist about the extent and impact of these breaches.
China has denied involvement in these cyber activities, accusing the United States of disseminating disinformation. Nonetheless, the revelations have intensified discussions about national security and the resilience of US critical infrastructure against sophisticated cyber threats. The situation underscores the ongoing challenges in safeguarding sensitive communications and infrastructure from state-sponsored cyber espionage.
The backdrop for the emergence of digital bamboo diplomacy is the deepening of Sino-American techno-decoupling. As tensions rise between the USA and China, many tech companies are seeking to preserve their supply chains by relocating production facilities to other Asian countries, with Vietnam being a primary location. For instance, Google has shifted the production of its latest Pixel smartphones from China to Vietnam. Similarly, microprocessor giants like Qualcomm have opened research and development centres in the country, and Intel has announced a substantial investment of USD 3.3 billion.
Vietnamese diplomacy is crucial in facilitating this digital shift. Traditional bamboo diplomacy, characterised by its flexibility and adaptability, is now infused with a digital edge.
Digital diplomacy featured high during the meeting on 28 November 2024 of newly appointed ambassadors ov Vietnam, which was hosted by the Ministry of Foreign Affairs and Ministry of Information and Communications. Deputy Minister of Foreign Affairs of Vietnam called to active participation on businesses in Vietnam’s digital diplomacy.
An importance of digital diplomacy was highlighted in December during the annual meeting of Vietnamese diplomats. Prime Minister Pham Minh Chinh highlighted the vital role of diplomacy in promoting emerging industries such as semiconductors, big data, AI, cloud computing, blockchain technology, cultural industries, and entertainment.
Vietnam’s diplomacy can foster tech priorities through regional initiatives and agreements such as the Regional Comprehensive Economic Partnership (RCEP) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
The upcoming UN Cybercrime Convention in 2025, to be signed in Hanoi and named the Hanoi Convention on Cybercrime, is a testament to Vietnam’s growing influence in the digital domain. As Vietnam continues to navigate the complexities of digital diplomacy, it stands poised to play a significant role in shaping the future of technology in Asia.
Do Kwon, the South Korean cryptocurrency entrepreneur responsible for the collapse of TerraUSD and Luna currencies, pleaded not guilty to US criminal fraud charges on Thursday. The plea followed his extradition from Montenegro earlier this week.
Kwon, co-founder of Terraform Labs, is accused of orchestrating a multi-billion-dollar fraud scheme that led to an estimated $40 billion loss in cryptocurrency value in 2022. Federal prosecutors in Manhattan unsealed a nine-count indictment against Kwon, charging him with securities fraud, wire fraud, commodities fraud, and conspiracy to commit money laundering.
The indictment claims Kwon deceived investors by falsely promoting TerraUSD as a stablecoin guaranteed to maintain its $1 value. Prosecutors allege that when TerraUSD’s value dropped in 2021, Kwon secretly enlisted a high-frequency trading firm to inflate the token’s price, misleading investors and artificially boosting its sister token, Luna.
These alleged misrepresentations drove substantial investment into Terraform Labs’ products, propelling Luna’s market value to $50 billion by early 2022. However, the scheme unravelled in May 2022 when TerraUSD and Luna crashed, causing turmoil in the broader cryptocurrency market.
Kwon, 33, remains in custody in Manhattan after declining to seek bail during his initial court appearance. His trial is set to begin on 8 January. Kwon has faced mounting legal troubles, including a $4.55 billion settlement with the US Securities and Exchange Commission and a federal jury finding him liable for defrauding investors earlier this year.
His case is part of a broader crackdown on cryptocurrency figures, including FTX’s Sam Bankman-Fried and Celsius Network’s Alex Mashinsky, as US authorities tighten scrutiny over the volatile industry.
