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Cybersecurity researchers have lifted the lid on the menace actors’ exploitation of a now-patched safety flaw in Microsoft Home windows to deploy the PipeMagic malware in RansomExx ransomware assaults.

The assaults contain the exploitation of CVE-2025-29824, a privilege escalation vulnerability impacting the Home windows Frequent Log File System (CLFS) that was addressed by Microsoft in April 2025, Kaspersky and BI.ZONE mentioned in a joint report revealed as we speak.

PipeMagic was first documented in 2022 as a part of RansomExx ransomware assaults focusing on industrial corporations in Southeast Asia, able to performing as a full-fledged backdoor offering distant entry and executing a variety of instructions on compromised hosts.

Cybersecurity

In these assaults, the menace actors have been discovered to use CVE-2017-0144, a distant code execution flaw in Home windows SMB, to infiltrate sufferer infrastructure. Subsequent an infection chains noticed in October 2024 in Saudi Arabia have been noticed leveraging a faux OpenAI ChatGPT app as bait to ship the malware.

Earlier this April, Microsoft attributed the exploitation of CVE-2025-29824 and the deployment of PipeMagic to a menace actor it tracks as Storm-2460.

“One distinctive characteristic of PipeMagic is that it generates a random 16-byte array used to create a named pipe formatted as: .pipe1.<hex string>,” researchers Sergey Lozhkin, Leonid Bezvershenko, Kirill Korchemny, and Ilya Savelyev mentioned. “After that, a thread is launched that repeatedly creates this pipe, makes an attempt to learn information from it, after which destroys it. This communication methodology is critical for the backdoor to transmit encrypted payloads and notifications.”

PipeMagic is a plugin-based modular malware that makes use of a site hosted on the Microsoft Azure cloud supplier to stage the extra elements, with the 2025 assaults aimed toward Saudi Arabia and Brazil counting on a Microsoft Assist Index file (“metafile.mshi”) as a loader. The loader, in flip, unpacks C# code that decrypts and executes embedded shellcode.

“The injected shellcode is executable code for 32-bit Home windows methods,” the researchers mentioned. “It hundreds an unencrypted executable embedded contained in the shellcode itself.”

Kaspersky mentioned it additionally uncovered PipeMagic loader artifacts masquerading as a ChatGPT shopper in 2025 which can be much like these beforehand seen in October 2024. The samples have been noticed leveraging DLL hijacking methods to run a malicious DLL that mimics a Google Chrome replace file (“googleupdate.dll”).

Regardless of the loading methodology used, all of it results in the deployment of the PipeMagic backdoor that helps numerous modules –

  • Asynchronous communication module that helps 5 instructions to terminate the plugin, learn/write recordsdata, terminate a file operation, or terminate all file operations
  • Loader module to inject extra payloads into reminiscence and execute them
  • Injector module to launch a C# executable
Identity Security Risk Assessment

“The repeated detection of PipeMagic in assaults on organizations in Saudi Arabia and its look in Brazil point out that the malware stays lively and that the attackers proceed to develop its performance,” the researchers mentioned.

“The variations detected in 2025 present enhancements over the 2024 model, aimed toward persisting in sufferer methods and shifting laterally inside inside networks. Within the 2025 assaults, the attackers used the ProcDump device, renamed to dllhost.exe, to extract reminiscence from the LSASS course of.”

PipeMagic, a Subtle Malware Framework

Describing PipeMagic as a framework designed for flexibility and persistence, Microsoft mentioned the malware can dynamically execute payloads whereas sustaining strong command-and-control (C2) communication through a devoted networking module.

“Because the malware receives and hundreds payload modules from C2, it grants the menace actor granular management over code execution on the compromised host,” the Microsoft Menace Intelligence staff mentioned. “By offloading community communication and backdoor duties to discrete modules, PipeMagic maintains a modular, stealthy, and extremely extensible structure, making detection and evaluation considerably difficult.”

Storm-2460 assaults span a number of sectors and geographies, together with data know-how (IT), monetary, and actual property within the U.S., Europe, South America, and Center East.

PipeMagic will get its identify from using encrypted inter-process communication through named pipes. The malware communicates with its C2 server over TCP and receives payload modules via a named pipe and its C2 server. The payloads are saved in reminiscence utilizing an information construction known as doubly linked listing with out leaving any traces on disk.

One other module of significance is a community part that is used for C2 communications to ship information, accumulate complete system data, and course of instructions contained inside C2 responses that facilitate granular management over module administration, execution, and system reconnaissance.

“By offloading community communication and backdoor duties to discrete modules, PipeMagic maintains a modular, stealthy, and extremely extensible structure, making detection and evaluation considerably difficult,” it added.

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