Germany’s Financial Watchdog Warns of ‘Godfather’ Malware Attacks on Crypto Apps – Security Bitcoin News

Germany’s financial sector watchdog has issued a warning about “Godfather” malware that attacks banking and crypto applications. The regulator noted that hundreds of these platforms are targeted, including those operating in the Bundesrepublik.

Financial authorities are advising Germans to protect their mobile apps from malware

Germany’s Federal Financial Supervisory Authority (Bafin) has warned consumers about the threats posed by malware known as Godfather. The Trojan often mimics a legitimate application and records user inputs when they use fiat and crypto accounts.

In an announcement published on Monday, the watchdog noted that Godfather has already attacked around 400 banking and cryptocurrency apps, including those developed by financial institutions operating in Germany.

It’s still unclear exactly how the malware loads onto the targeted devices, but it usually launches as a fake interface of a standard banking or crypto app to collect login information and pass it on to cybercriminals, Bafin explained.

The malware also sends push notifications to receive codes generated for two-factor authentication. The acquired information gives hackers the opportunity to gain access to customer accounts and digital wallets, the release states.

In November, Germany’s Federal Information Security Agency (BSI) released a video offering consumers in the country practical tips for using their mobile apps safely.

Godfather is designed to infect and take over Android-based devices to download and install other malware. It can also use them to send messages, including spam, and conduct DDoS attacks.

The all-time highs in 2021 prompted an increase in coin theft, including hackers using fake apps to empty wallets. However, according to recently released blockchain security data, crypto incidents related to hacking, code exploitation, and exit scams reached a record high in 2022 last month.

The negative market development also affected the industry. After the collapse of major players such as the crypto exchange FTX, in mid-December Bafin made a request for global regulations to better protect consumers in the space.

Do you expect to see an increase in attacks via malware like Godfather in the future? Share your thoughts on the topic in the comments section below.

Lubomir Tassev

Lubomir Tassev is a journalist from Eastern Europe who likes the Hitchens quote: “Being a writer is who I am, not what I do.” In addition to encryption, blockchain and fintech, international politics and economics are two other sources of inspiration.