Where the Silk Road ends: Feds arrest 'Dread Pirate Roberts,' alleged founder of largest Bitcoin drug market

What users who attempt to connect to the Silk Road marketplace see now (HT: Adrian Chen)

Looks like the government shutdown didn't stop federal agents from shutting down the most popular "deep web" illegal drug market. In San Francisco, federal prosecutors have indicted Ross William Ulbricht, who is said to be the founder of Silk Road. The internet marketplace allowed users around the world to buy and sell drugs like heroin, cocaine, and meth.

The government announced that it seized about 26,000 Bitcoins worth roughly USD$3.6 million, making this the largest Bitcoin bust in history. There were nearly 13,000 listings for controlled substances on the Silk Road site as of Sept. 23, 2013, according to the FBI, and the marketplace did roughly USD$1.2 billion in sales, yielding some $80 million in commissions.

According to the complaint, the service was also used to negotiate murder-for-hire: "not long ago, I had a clean hit done for $80k," the site's founder is alleged to have messaged an associate.

Ulbricht, 29, is also known as "Dread Pirate Roberts." Read the rest

Kim Dotcom sues New Zealand gov for USD $4.85 million over FBI-ordered raid

A lawsuit filed by technology entrepreneur and hacker Kim Dotcom against the government of New Zealand demands NZ $6 million (roughly USD $5 million) over an "excessively aggressive and invasive approach" by police who raided his mansion 18 months ago. The raid was ordered by the FBI, which sought to extradite him to the US on copyright violation charges. Read the rest

Worth reading: NYT on jailed 'journalist-agitator' Barrett Brown, and silence surrounding his case

"Barrett Brown makes for a pretty complicated victim," writes David Carr in his recent profile of the Dallas-based journalist "obsessed with the government’s ties to private security firms." Brown, 32 has been in jail for a year. He faces charges that carry a combined penalty of more than 100 years in prison. Why does the gag order on his case matter to all of us? Carr explains. Read the rest

FBI: Yes, we controlled Tor servers behind mass malware attack

"It wasn’t ever seriously in doubt," writes Kevin Poulsen at Wired, "but the FBI yesterday acknowledged that it secretly took control of Freedom Hosting last July, days before the servers of the largest provider of ultra-anonymous hosting were found to be serving custom malware designed to identify visitors." Freedom Hosting was a provider of so-called “Tor hidden service” sites. Their addresses end in .onion, their geographic locations are masked behind layers of routing, and they can be reached only over the Tor anonymity network. [Threat Level] Read the rest

A code of conduct for young hackers

r00tz is the amazing kid-track of programming at DEFCON, the giant hacker conference held annually in Las Vegas. The organizers have created a "code of conduct" for young hackers that is good advice for anyone doing infosec work, or exploring computers and systems:

The Internet is a small place. Word gets around, fast. Follow these rules at all times:

- Only hack things you own - Do not hack anything you rely on - Respect the rights of others - Know and respect the law - Find a safe playground (One always exists. If you don’t have support from your parents, get their permission to find an adult who will support you.)

There's more, but it's short and sweet. Go read it. The final statement, "r00tz is about creating a better world. You have the power and responsibility to do so. Now go do it! We are here to help you" sums it up nicely.

r00tz Asylum | About Read the rest

Limor "ladyada" Fried profiled by MIT

MIT is rightfully proud of alumna Limor Fried, the superhero hardware hacker behind AdaFruit Industries, creators of fantastic DIY, open source electronics components and kits. We're proud of Limor too! From MIT News:

Apart from selling kits, original devices and providing hundreds of guides online, Adafruit works around the world with schools, teachers, libraries and hackerspaces — community technology labs — to promote STEM education, designing curricula in circuitry and electronics, among other initiatives.

The company has released an online children’s show called “A is for Ampere.” On a weekly Saturday night program, “Ask an Engineer,” anyone can ask Fried questions online or show off their original devices.

One of Fried’s favorite stories, from a young viewer of “Ask an Engineer,” illuminates what she sees as the growing diversity of engineering. “A parent emailed us after watching the show with his daughter,” she says. “I had another engineer on the show with me — my friend Amanda — and this parent’s daughter asked, ‘Dad, are there boy engineers too?’”

"Meet the maker" Read the rest

Geohot says the darndest things

Famous hacker geohot just needs a nodding Cosby next to him.

Andrew "Weev" Auernheimer, the Adrian Chen profile

Weev. Photo: Gawker

Adrian Chen at Gawker has a must-read profile on Weev: so-called "iPad hacker," founder of the anti-blogging Internet-trolling organization "Gay Nigger Association of America," and born-again Mormon troll. Snip:

For Auernheimer, the AT&T breach was one of his finest works as a troll. He personally didn't hack anything—the program used to collect the email addresses was written by Spitler—except the media. He was the hype man for Goatse, and he claims blew the breach up far beyond its actual significance. "The bug that I'm indicted over isn't a big deal," he says. "What made it big is the way I presented it." He boils down his success at promoting the AT&T job to three bullet points: "Rhetoric, persuasion, and meme reference."

But was collecting the email addresses actually a crime? "If somebody mistakenly puts information out there on the web and somebody mistakenly gets that information, that's not illegal," says Jennifer Granick, a lawyer and the director of the Center for Internet and Society at Stanford. This is why Auernheimer decided to fight his charges instead of take a plea deal, as Spitler did last year.

"I contend there is no crime in telling the truth or using AT&T's, or anybody's, publicly accessible data, to cite it to talk about how they made people's data public," he told CNET.

Auernhemier's jury disagreed.

Read: The Internet's Best Terrible Person Goes to Jail: Can a Reviled Master Troll Become a Geek Hero?. Read the rest

Weev convicted: court finds "iPad hacker" guilty of breaching AT&T site

Andrew "Weev" Auernheimer, the 26-year-old "iPad hacker" charged with federal crimes for obtaining personal data of more than 100,000 iPad owners from AT&T’s website was found guilty on Tuesday in federal court in New Jersey. The court convicted him in one count of identity fraud and one count of conspiracy to access a computer without authorization. Kim Zetter in Wired has the details. Weev tweeted that he plans to appeal. Read the rest

Memories of shooting Sneakers

In Slate, Stephen Tobolowsky remembers what it was like to shoot the 1992 hacker/caper flick Sneakers, one of the great hacker movies of all time, with an all-star cast that included Robert Redford and Ben Kingsley:

During part of the big action finale, Robert Redford is chased through a secret lab by all of us bad guys. Phil was choreographing the chase and trying to put us in some kind of order of how fast we were running. He said, "Let's do it this way. Ben, you’re the Academy Award winner, we’ll start with you. Then, Tim, the Emmy winner, you’ll be next. Do we have a Tony winner? Anyway, Stephen, you'll be last."

Here is a Hollywood Zen story. We shot on location around Los Angeles and at Universal. The studio has a going concern of little buses that regularly drive through the back lot area with tourists from all over the world wielding disposable cameras. The tour guide has a set patter, "On your right is the shark from Jaws. On your left is Columbo's automobile." While one of the buses was nearing our stage, we were called to the set. The tour bus had to stop while Robert Redford and James Earl Jones crossed in front of it. No one noticed. The guide just kept up with, "On our right is the bicycle from E.T." People were snapping away at the bicycle and were completely oblivious that two of the most famous actors in the world were a few feet away from them.

Read the rest

Three hidden photographs found in Mac SE ROM

The folks at the NYC Resistor hackerspace found a Macintosh SE that had been abandoned on a Brooklyn sidewalk and decided to conduct a little "digital archeology."

While digging through dumps generated from the Apple Mac SE ROM images we noticed that there was a large amount of non-code, non-audio data. Adam Mayer tested different stride widths and found that at 67 bytes (536 pixels across) there appeared to be some sort of image data that clearly was a picture of people. The rest of the image was skewed and distorted, so we knew that it wasn’t stored as an uncompressed bitmap.

After some investigation, we were able to decode the scrambled mess above and turn it into the full image with a hidden message from “Thu, Nov 20, 1986“

They say there's more curious data in the ROM that they haven't been able to decipher yet.

Ghosts in the ROM (Via Matt Richardson) Read the rest

Social engineer hacks Wal-Mart from Defcon

In a contest at the hacker conference Defcon, security specialist Shane MacDougall successfully penetrated Wal-Mart. "Social engineering is the biggest threat to the enterprise, without a doubt," MacDougall said after his call. "I see all these [chief security officers] that spend all this money on firewalls and stuff, and they spend zero dollars on awareness." (via @kevinmitnick) Read the rest

A first for Black Hat hacker con: Apple in the house

Apple has never before participated in Defcon or Black Hat, but Bloomberg reports that this will change Thursday "when Dallas De Atley, manager of Apple’s platform security team, is scheduled to give a presentation on key security technologies within iOS, the operating system for iPhones and iPads" at Black Hat in Las Vegas, NV.

It’s significant because in recent years, Apple products have been stripped of their image of being hack-proof. The company’s rise has made it a bigger target, as hackers have been discovering bugs in the iPhone since it came out in 2007. Earlier this year, more than 600,000 Macs were infected, the first major malicious software attack targeting Apple computers.

Weev: Not Amused. Read the rest

Report: hackers targeting Iranian nuclear facilities "AC/DC-rolled" workstations after attack

Mikko H. Hypponen of F-Secure publishes an email he claims is from a scientist with the Atomic Energy Organization of Iran (or AEOI), which details a new "cyber attack" wave against Iranian nuclear systems.

Snip: "There was also some music playing randomly on several of the workstations during the middle of the night with the volume maxed out. I believe it was playing 'Thunderstruck' by AC/DC."

Mikko can't validate the email or the tale therein, and neither can we, but if it's true? Heh.

* The 'shoop above is mine, not the hackers'. Read the rest

Anti-anonymous hacker doxed--perhaps a little too spectacularly

The Jester, a vigilante hacker opposed to Anonymous and Wikileaks, was apparently exposed over the last few days. His blog, twitter account and other tracks were soon gone. Many, however, think he's just acting out a scheme to ransom details of the ostensibly "real" identity. [Sean Gallagher at Ars Technica] Read the rest

Anonymous rocked by revelation that top LulzSec hacker was FBI snitch

Quinn Norton has an excellent piece over at Wired:Threat Level on the reactions within "Anonymous" to the news that LulzSec frontman "Sabu" (photo above) was collaborating with the FBI. Kim Zetter's take on the arrests and secret plea deals is here.

 LulzSec frontman Sabu was FBI informant, fed Stratfor docs to ... Report: LulzSec members arrested - Boing Boing Read the rest

LulzSec frontman Sabu was FBI informant, fed Stratfor docs to Wikileaks from an FBI-owned computer

The Guardian has more on the big hacking news which Fox News broke yesterday (as noted in a post by Rob). "Sabu," the trash-talking, self-appointed leader of LulzSec, has been working for the FBI for the last six months. The FBI says he helped the US and various European governments identify and arrest five alleged LulzSec members charged with participating in defacement, DDOSing, and "doxing" against high-profile government and corporate targets. Sabu (above) is, in now identified as Hector Xavier Monsegur, a 28-year-old unemployed Puerto Rican guy living in New York, and a father of two. He was charged with 12 criminal counts of conspiracy to engage in "computer hacking and other crimes" last year, pled guilty in August, 2011, then "snitched" on his LulzSec friends.

Here's the FBI news release, which notably omits the names of any prosecutors (perhaps for fear of Anonymous attack).

Snip from Guardian story:

His online "hacker" activity continued until very recently, with a tweet sent by him in the last 24 hours saying: "The feds at this moment are scouring our lives without warrants. Without judges approval. This needs to change. Asap."

In a US court document, the FBI's informant – there described as CW – "acting under the direction of the FBI" helped facilitate the publication of what was thought to be an embarrassing leak of conference call between the FBI and the UK's Serious and Organised Crime Agency in February. Officers from both sides of the Atlantic were heard discussing the progress of various hacking investigations in the call.

Read the rest

More posts