Security researchers say a low-profile ransomware group is using Polygon smart contracts to hide and rotate its command-and-control infrastructure. CybersecuritySecurity researchers say a low-profile ransomware group is using Polygon smart contracts to hide and rotate its command-and-control infrastructure. Cybersecurity

Ransomware group uses Polygon smart contracts to evade takedowns

Security researchers say a low-profile ransomware group is using Polygon smart contracts to hide and rotate its command-and-control infrastructure.

Summary
  • DeadLock ransomware, first observed in July 2025, stores rotating proxy addresses inside Polygon smart contracts to evade takedowns.
  • The technique relies only on reading on-chain data and does not exploit vulnerabilities in Polygon or other smart contracts.
  • Researchers warn the method is cheap, decentralized, and difficult to block, even though the campaign has limited confirmed victims so far.

Cybersecurity researchers are warning that a recently identified ransomware strain is using Polygon smart contracts in an unusual way that could make its infrastructure harder to disrupt.

In a report published on Jan. 15, researchers at cybersecurity firm Group-IB said the ransomware, known as DeadLock, is abusing publicly readable smart contracts on the Polygon (POL) network to store and rotate proxy server addresses used to communicate with infected victims.

DeadLock was first observed in July 2025 and has remained relatively low profile since then. Group-IB said the operation has a limited number of confirmed victims and is not linked to any known ransomware affiliate programs or public data leak sites.

Despite its low visibility, the firm warned that the techniques being used are highly inventive and could pose serious risks if copied by more established groups.

How the technique works

Instead of relying on traditional command-and-control servers, which can often be blocked or taken offline, DeadLock embeds code that queries a specific Polygon smart contract after a system has been infected and encrypted. That contract stores the current proxy address used to relay communication between the attackers and the victim.

Because the data is stored on-chain, attackers can update the proxy address at any time, allowing them to rotate infrastructure quickly without redeploying malware. Victims do not need to send transactions or pay gas fees, as the ransomware only performs read operations on the blockchain.

Once contact is established, victims receive ransom demands along with threats that stolen data will be sold if payment is not made. Group-IB noted that this approach makes the ransomware’s infrastructure far more resilient.

There is no central server to shut down, and the contract data remains available across distributed nodes worldwide, making takedowns significantly more difficult.

No Polygon vulnerability involved

The researchers stressed that DeadLock is not exploiting flaws in Polygon itself or in third-party smart contracts such as decentralized finance protocols, wallets, or bridges. The ransomware is simply abusing the public and immutable nature of blockchain data to hide configuration information, a method similar to earlier “EtherHiding” techniques.

Several smart contracts linked to the campaign were deployed or updated between August and Nov. 2025, according to Group-IB’s analysis. While the activity remains limited for now, the firm warned that the concept could be reused in countless variations by other threat actors.

While Polygon users and developers are not facing direct risk from the campaign, researchers say the case highlights how public blockchains can be misused to support off-chain criminal activity in ways that are difficult to detect and dismantle.

Market Opportunity
Smart Blockchain Logo
Smart Blockchain Price(SMART)
$0.005025
$0.005025$0.005025
-0.77%
USD
Smart Blockchain (SMART) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

BitGo expands its presence in Europe

BitGo expands its presence in Europe

The post BitGo expands its presence in Europe appeared on BitcoinEthereumNews.com. BitGo, global leader in digital asset infrastructure, announces a significant expansion of its presence in Europe. The company, through its subsidiary BitGo Europe GmbH, has obtained an extension of the license from BaFin (German Federal Financial Supervisory Authority), allowing it to offer regulated cryptocurrency trading services directly from Frankfurt, Germany. This move marks a decisive step for the European digital asset market, offering institutional investors the opportunity to access secure, regulated cryptocurrency trading integrated with advanced custody and management services. A comprehensive offering for European institutional investors With the extension of the license according to the MiCA (Markets in Crypto-Assets) regulation, initially obtained in May 2025, BitGo Europe expands the range of services available for European investors. Now, in addition to custody, staking, and transfer of digital assets, the platform also offers a spot trading service on thousands of cryptocurrencies and stablecoins. Institutional investors can now leverage BitGo’s OTC desk and a high-performance electronic trading platform, designed to ensure fast, secure, and transparent transactions. Aggregated access to numerous liquidity sources, including leading market makers and exchanges, allows for trading at competitive prices and high-quality executions. Security and Regulation at the Core of BitGo’s Strategy According to Brett Reeves, Head of European Sales and Go Network at BitGo, the goal is clear: “We are excited to strengthen our European platform and enable our clients to operate smoothly, competitively, and securely.§By combining our institutional custody solution with high-performance trading execution, clients will be able to access deep liquidity with the peace of mind that their assets will remain in cold storage, under regulated custody and compliant with MiCA.” The security of digital assets is indeed one of the cornerstones of BitGo’s offering. All services are designed to ensure that investors’ assets remain protected in regulated cold storage, minimizing operational and counterparty risks.…
Share
BitcoinEthereumNews2025/09/18 04:28
Wormhole Unveils W Token 2.0 with Enhanced Tokenomics

Wormhole Unveils W Token 2.0 with Enhanced Tokenomics

The post Wormhole Unveils W Token 2.0 with Enhanced Tokenomics appeared on BitcoinEthereumNews.com. Joerg Hiller Sep 17, 2025 13:57 Wormhole introduces W Token 2.0, featuring upgraded tokenomics, a strategic Wormhole Reserve, and a 4% base yield, aiming to optimize ecosystem growth and align incentives. Wormhole has announced a significant upgrade to its native token, unveiling the W Token 2.0. This upgrade introduces new tokenomics including the establishment of a Wormhole Reserve, a 4% base yield, and an optimized unlock schedule, marking a pivotal development in the ecosystem, according to Wormhole. The W Token Evolution Launched in October 2020, Wormhole’s W token has been central to the platform’s mission of creating a connected internet economy. The latest upgrade aims to enhance the token’s utility across more than 40 blockchains. With a capped supply of 10 billion, the W token supports governance, staking, and ecosystem growth, aligning incentives for network security and development. Introducing the Wormhole Reserve The Wormhole Reserve will accumulate value from both onchain and offchain activities, supporting the ecosystem’s expansion. As Wormhole adoption grows, the token will capture value through network expansions and ecosystem applications, ensuring that growth is directly reflected in the token’s value. 4% Base Yield and Governance Rewards Wormhole 2.0 introduces a 4% base yield for W holders who actively participate in governance. The yield, derived from existing token supplies and protocol revenues, is designed to incentivize active participation without inflating the token supply. Optimized Unlock Schedule Updating its token release schedule, Wormhole replaces annual cliffs with bi-weekly unlocks, starting October 3, 2025. This change aims to reduce market pressure and provide a more stable environment for investors and contributors. The bi-weekly schedule will span over 4.5 years, affecting categories such as Guardian Nodes and Community & Launch. Wormhole’s Future Vision With these upgrades, Wormhole aims to expand its role as…
Share
BitcoinEthereumNews2025/09/18 15:48
SEC Greenlights Generic Listing Standards, Paving Faster Path for Crypto ETPs

SEC Greenlights Generic Listing Standards, Paving Faster Path for Crypto ETPs

TLDR: SEC approves generic listing standards for commodity-based trust shares on Nasdaq, CBOE, and NYSE. New rules remove the need for separate filings, speeding up crypto ETP listings and reducing delays. Grayscale Digital Large Cap Fund and bitcoin options contracts cleared for listing under updated framework. Experts say more work remains before all crypto ETPs [...] The post SEC Greenlights Generic Listing Standards, Paving Faster Path for Crypto ETPs appeared first on Blockonomi.
Share
Blockonomi2025/09/18 13:37