A new malware family has been discovered that is reportedly responsible for 
the theft of 225,000 Apple account credentials 
<http://www.computerworld.com/article/2977467/security/keyraider-ios-malware-targets-jailbroken-devices.html>,
 
as well as a host of other sensitive data. The malware, dubbed KeyRaider, 
targets jailbroken iOS devices and is distributed through third-party app 
stores that specialize in software for jailbroken devices. The stolen Apple 
IDs are being used to provide “free” apps and in-app purchases for other 
users. The malware is mainly impacting users in China.

*Raiders of the lost accounts*
The KeyRaider malware was uncovered after users of popular iPhone community 
Weiphone began reporting unexpected purchases being made using their Apple 
accounts.

KeyRaider is distributed as repackaged apps. Once on the jailbroken device, 
the malware intercepts iTunes traffic and steals the user’s account login 
credentials, device GUID, Apple push notification service certificates and 
private keys, and iTunes purchase receipts. The stolen information is sent 
to a remote server.

After investigating the suspicious account activity reported by users, 
researchers discovered the malware as well as two related jailbreak tweaks. 
Jailbreak tweaks are programs that allow users with jailbroken devices to 
perform actions that are usually not possible with un-jailbroken devices. 
The two suspicious tweaks, named iappstore and iappinbuy, were advertised 
as software packages that allowed users to download paid apps and in-app 
purchases for free.

Researchers found over 225,000 entries stored on the remote server where 
KeyRaider sends compromised credentials to. When users who installed the 
iappstore and iappinbuy jailbreak tweaks download a non-free app in the App 
Store, the software connects to the remote server and uses stolen 
credentials to complete the purchase, meaning the owner of the stolen 
credentials ends up being billed. This is how unsuspecting owners of stolen 
Apple accounts are seeing unusual charges appearing on their accounts.

*A problem only in China?*
It was also reported that a majority of the email addresses associated with 
the compromised Apple accounts were from Chinese users. However, other 
email addresses linked to other countries, such as France, Russia, Japan, 
the United Kingdom, the United States, Canada, Germany, Australia, Israel, 
Italy, Spain, Singapore, and South Korea, were also found. These addresses 
could belong to Chinese users who are based in other countries.

A possible reason why China is disproportionately affected by this problem 
is highlighted by a huge appetite for third-party app stores among Chinese 
owners 
<http://www.forbes.com/sites/thomasbrewster/2015/06/26/china-iphone-jailbreak-industry/>
 of 
iOS devices. iOS users can only download software from third-party app 
stores after they jailbreak their device. The problem is, once you point 
your device to other murkier corners of the internet to download apps, you 
run a disproportionate risk of becoming impacted by malware and other 
nastiness 
<https://www.hackread.com/ios-jailbreak-backdoor-tweak-icloud-hacked/>.

*Mitigation *
Users with non-jailbroken devices are not at risk from this threat so have 
little to be concerned about. Symantec advises users against jailbreaking 
their devices as it can seriously impact security and is against the usage 
policies of the product.

Users should also only install apps from trusted sources. Trusted app 
stores, such as Apple’s, have a rigorous vetting policy in place to prevent 
malicious apps from appearing in the ecosystem. Third-party app stores 
often don’t have the same controls and policies in place when it comes to 
the software they distribute and may be used to harbor malicious copies of 
well-known apps or other malware.

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