On July 15th in Pittsburgh, David J. Hickton,
a gray-haired U.S. attorney in a crisp dark suit, stepped out before an
American flag to announce the feds' latest victory against online crime.
"We have dismantled a cyber-hornet's nest of criminal hackers, which was
believed by many to be impenetrable," he said. "We are in the process
of rounding up and charging the hornets." By the next morning, more than
70 people across the world had been charged, arrested or searched in what the
Department of Justice called "the largest coordinated international
law-enforcement effort ever directed at an online cybercriminal forum."
After an 18-month international investigation
led by the FBI, known as Operation Shrouded Horizon, hackers on a site called
Darkode were accused of wire fraud, money laundering and conspiring to commit
computer fraud. The trail of crimes was massive, with one member compromising
companies including Microsoft and Sony and another swiping data from more than
20 million victims. Hickton said Darkode posed "one of the gravest threats
to the integrity of data on computers in the United States and around the world."
Its computers were considered "bulletproof" from the law by running
on offshore servers—including one traced to Seychelles, the remote island
nation in the Indian Ocean. "Cybercriminals should not have a safe haven
to shop for the tools of their trade," said FBI Deputy Director Mark F.
Giuliano, "and Operation Shrouded Horizon shows we will do all we can to
disrupt their unlawful activities."
At least for a bit. Two weeks later,
"Sp3cial1st," the main administrator of Darkode, posted a retaliatory
statement on a new website—underscoring the feds' struggle to police the
Internet. "Most of the staff is intact, along with senior members,"
Sp3cial1st wrote. "It appears the raids focused on newly added individuals
or people that have been retired from the scene for years. The forum will be
back." He vowed the organization would regroup on the Web's deepest, most
impenetrable region, the Darknet—a space where anyone, including criminals, can
remain virtually anonymous. And the Darknet could never be shut down—thanks,
conveniently, to the feds, who created it and are still financing its growth.
The
Darknet (sometimes called the Dark Web) works on the Tor browser, free software
that masks your location and activity. Originally designed by the Naval
Research Lab, Tor receives 60 percent of its backing from the State Department
and the Department of Defense to act as a secure network for government
agencies as well as dissidents fighting oppressive regimes. It is a privacy
tool that has been used for both good and evil. Over the past decade, Tor has
empowered activists to spread news during the Arab Spring; it has helped
domestic-violence victims hide from online stalkers; and it has allowed
ordinary citizens to surf without advertisers tracking them. But at the same
time, the Darknet, which Tor enables, has become the primary cove for criminals
like Ross Ulbricht, imprisoned founder of Silk Road; the hackers behind the
recent Ashley Madison attacks; and the international crew busted by the feds in
July. As an instrument for both activists and criminals, Tor presents an
increasingly difficult problem for law enforcement to solve—exacerbating the
hapless game of whack-a-mole facing those who try to bring law to the most
lawless part of the Net. And the battle over the Darknet's future could decide
the fate of online privacy in the U.S. and abroad. As Hickton tells Rolling
Stone, "It's the Wild West of the Internet."
Think of the Web as an iceberg. Most people
only see the so-called Surface Web above the water: all the news and gossip and
porn that's just a Google search away. But dive below and you'll see the vast
expanse of the Deep Web: all the data that search engines can't find, which is
much larger than the Surface Web. This includes anything behind a paywall (like
Netflix), a password-protected site (like your e-mail) or a Web page that
requires you to do your searching there (like when you're trying to find court
records).
The Darknet lurks in the Deep Web, because
the sites there can't be found by search engines either. But here's the big
difference: The Darknet is composed of people and sites that want to remain
anonymous and, unless you're using the Tor browser, are nearly impossible to
find. Tor lets you peruse the Surface Web, just as you do with Firefox or
Safari, but it also allows you to surf Amazon and Silk Road. Using a regular
browser like Firefox, you can be identified by your Internet Protocol (IP)
address, the numerical code that can be traced to your unique device. But on
the Darknet, your location—and the locations of the people overseeing the sites
you search—remain hidden. Most people use Tor for law-abiding privacy purposes.
In fact, according to the Tor Project—the government-funded nonprofit that
maintains the browser—Darknet surfing accounts for only three percent of Tor
usage. (And criminal activities are just a fraction of that.) But because the
Darknet is so seemingly shadowy and mysterious, it has become ominous in the
popular imagination, a creepy catchall that includes everything scary lurking
online: terrorists, pedophiles, dope dealers, hackers-for-hire.
In the past year, some of those scarier
elements have been surfacing. In May, the feds sentenced Ulbricht, founder of
Silk Road—the online black market that generated roughly $200 million in
sales—to life in prison. In August, hackers dumped the personal information of
36 million users of Ashley Madison, the cheaters' website, on the Darknet. After
ISIS claimed responsibility for a shooting outside a Prophet Mohammed cartoon
contest in Texas in May, the Darknet was singled out for blame. Michael B.
Steinbach, assistant director of the FBI's counter-terrorism division, told the
House Homeland Security Committee that encryption tools have given such
terrorists "a free zone by which to recruit, radicalize, plot and
plan." Without the ability to adequately monitor the terrorists online,
Steinbach went on, "we're past going dark in certain instances. We are
dark."
Despite the high-profile busts of Darkode and
Silk Road, the Darknet is thriving. According to an August study by researchers
at Carnegie Mellon University, criminals earn an estimated $100 million a year
by selling drugs and other contraband on hidden websites using the virtual
currency bitcoin, the digital cash that doesn't require a credit card or bank
to process the transactions. The feds aren't just battling bad guys adept at
hiding online, they're also facing a massive rush of ordinary people looking to
score anonymously. "Given the high demand for the products being
sold," the CMU researchers conclude, "it is not clear that takedowns
will be effective.
Though a lot of people think you have to be
some kind of hacker to navigate the Darknet, it's surprisingly easy to sell or
buy illegal goods and services. Click on Tor, and it looks like any other
browser—complete with its own cartoonish onion logo—though it moves more slowly
because of complex routing behind the scenes. Instead of ending in a .com or
.org Web address, Darknet sites end in .onion and are often called onion sites.
Since Google doesn't crawl onion sites, you need to use rudimentary Darknet
search engines and listings such as the Hidden Wiki or Onion Link.
Black-market Darknet sites look a lot like
any other retailer, except there are categories for, say, benzos, psychedelics
and used AK-47s instead of woks and lawn ornaments. On Silk Road 3, a site
unaffiliated with the original one, you can search by category, or scroll down
to see pictures and descriptions of bestsellers: 1 g 90 percent-purity coke,
x10 methylphenidate XL 18 mg (Concerta/Ritalin), and so on. Vendors are
verified and rated by the community, just as on eBay and other shopping sites.
KAITH SRAKOCIC/AP
But while navigating the Darknet seems easy
enough, law enforcement has a much more difficult time busting the bad guys for
one simple reason: The same tools that keep government agents and dissidents
anonymous keep criminals virtually invisible too. "This is the crime scene
of the 21st century, and these traffickers are finding all kinds of ways to
cover their tracks," says Karen Friedman Agnifilo, Manhattan's chief
assistant district attorney, who's among those leading the fight against
criminals online. "Law enforcement has to play catch-up."
Paul Syverson, a 57-year-old mathematician at
the U.S. Naval Research Lab, created Tor as a means for people to communicate
securely online. "We certainly were aware that bad people could use
it," says Syverson, wearing an M.C. Escher T-shirt in his cluttered office
in Washington, D.C., "but our goal was to have something for the honest
people who need to protect themselves."
Since its inception in 1923, the NRL has been
the military's most esteemed research and development lab, inventing everything
from radar to GPS. In 1995, Syverson and his colleagues conceived a way to make
online communications as secure as possible. The idea was to provide a means
for anyone—including government employees and agents—to share intelligence
without revealing their identities or locations. With funding from the
Department of Defense, Syverson brought on two scruffy graduates from the
Massachusetts Institute of Technology, Roger Dingledine and Nick Mathewson, to
help bring his vision to life. Like Syverson, Dingledine—a ponytailed privacy
activist from Chapel Hill, North Carolina—saw the project as a way to empower
everyone in the age of online surveillance. "How can we build a system
that gives you privacy in the face of the large governments who are surveilling
the Internet as much as they can?" Dingledine asks. "That's a really
hard research problem."
To understand how the problem was solved,
imagine a spy taking a train from Paris to Berlin. If the spy travels directly,
he can easily be followed. But if he takes a series of trains between several
cities—Paris to Amsterdam, Amsterdam to Madrid, Madrid to Berlin—he's harder to
trace. This was essentially how Syverson and his team designed the solution.
Instead of a spy in Paris directly accessing a computer in Berlin, he would be
routed through a random series of computers along the way, hiding where he was
based. They called the network the Onion Routing, evoking this layered means of
online access.
If only military people used Tor, though,
it'd be obvious that the traffic was government-related. "We wanted to
have a network that would carry traffic for a variety of users," Syverson
says, "so you don't necessarily know if this is a cancer survivor looking
up information or somebody from the Navy." In order to do that, Syverson
and his team made a decision he calls "central to the security of the
system": They designed Tor to be freely available online and open-sourced,
which meant it could be assessed and improved by anyone around the world.
The Tor network wasn't just designed to hide
who is accessing websites, it was created to give websites the ability to mask
the locations of the servers hosting them. One of the ideas was to provide a
kind of secret bunker for government websites, so that if they were under
attack, agents could visit a hidden version of the site online without hackers
tracing them. These were the sites that ended with .onion. The Tor creators
call them "hidden services" sites—today, it's more sensationally known
as the Darknet.
In 2003, Tor software was publicly released.
Word about the browser spread on forums among privacy advocates and
researchers, and it soon became the most resilient and important tool for
anyone seeking to preserve their anonymity online. Geeks, agents and activists
formed a volunteer network of nodes that routed Tor traffic anonymously across
the world. Before long, people could reliably surf the Internet without being
traced—out of sight of anyone who wanted to know who they were, where they were
traveling or what they intended.
Tor's early adopters weren't criminals—they
were dissidents. One of them is Nima Fatemi, a black-clad 27-year-old Iranian
who serves as a key Tor evangelist—helping others around the world use the
software to fight oppressive regimes. "We needed something different to
connect to the Internet safely," he tells me. "I found Tor and
thought, 'This is the tool.' It was peace of mind."
In the summer of 2009 in Tehran, Fatemi was
running for his life from riot police after shooting photos of a protest.
"I felt it a duty because so many people outside of Iran had no idea that
we were protesting," he says. "The state TV was just showing photos
of flowers and stuff." As soldiers chased him, Fatemi tore through the
streets, leaping over a fallen woman, and turned into a courtyard where a
sympathetic family gave him cover. "The police would attack me as if I had
an RPG on my shoulder," Fatemi says.
It's dangerous to be a social-media activist
in certain parts of the world. Recently, a blogger in Brazil was beheaded, and
another in Bangladesh was killed with machetes. In Iran, blogger Soheil Arabi
was sentenced by the Supreme Court to be hanged for "insulting the Prophet
Mohammed" in Facebook posts. (His sentence was later commuted to two years
of mandatory theology study, but he is serving a seven-and-a-half-year jail
sentence for insulting the Supreme Leader.) This year, four secular bloggers were
murdered in Bangladesh alone.
At the time of his near capture, Fatemi had
been uploading photos that were used on Facebook and Twitter to spread breaking
news of the Iranian government's crackdown on dissidents. Under increased
scrutiny, he'd turned to Tor to continue working anonymously—and to help
himself and his fellow activists stay out of jail. Fatemi held private
workshops in Iran, teaching friends and family how to use the software and thus
strengthening the network, as more users meant more nodes with which to relay
and hide the online traffic. "We spread the tool everywhere," he
says.
In the decade since the Tor software has been
released, it has spread virally beyond the U.S. government and into the
activist community. This is fueled in part by the Electronic Frontier
Foundation, the digital-rights group which used to fund and still champions Tor
as a powerful pro-democracy tool. Jacob Appelbaum, the noted activist who has
worked closely with Edward Snowden and Julian Assange, calls it "surveillance
resistance." By using Tor in place of another browser, protesters and
journalists can log on to Twitter or surf dissident chat rooms with far less
risk of being tracked by a government that might imprison them or worse.
"There are countries where browsing a political website about democracy
can get you thrown in jail," says Jeremy Gillula, a staff technologist at
the EFF. "That's the most life-and-death reason why Tor needs to
exist."
During the Arab Spring, Tor helped facilitate
protests throughout the Middle East. Nasser Weddady, a 39-year-old
Mauritanian-American activist, was living in the States and began promoting the
underground browser—becoming one of the most influential social-media
dissidents during the uprising. "There would be no access to Twitter or
Facebook in some of these places if you didn't have Tor," he says.
"All of the sudden, you had all these dissidents exploding under their
noses, and then down the road you had a revolution."
With the Tor Project still largely being
financed by the DOD, Mathewson and Dingledine have kept the software and
community evolving. For Mathewson, a bushy-bearded 38-year-old sci-fi fan, its
continuing spread among activists throughout the world exceeded his dreams.
"I'd be getting e-mails from people saying, 'I'm pretty sure your software
saved my life,'" he recalls. "I'd say, 'I'm very glad you're alive,
but I'm just this person who's been writing software—I hope I don't screw
anything up!'"
On January 27th, 2011, Ross Ulbricht,
operating under the pseudonym Altoid, announced the launch of the first
black-market site to exploit the cloaking powers of the Darknet. "I came
across this website called Silk Road," he posted on a drug forum called
Shroomery.org, posing as a customer. "It's a Tor hidden service that
claims to allow you to buy and sell anything online anonymously."
Ulbricht, who ran the site as Dread Pirate
Roberts, was the first to fully exploit Tor's potential for fostering a new
kind of criminal enterprise. It was more of a novel idea than a technical feat.
Ulbricht, or anyone running an illegal Web page, could simply create it on the
Tor hidden network. This made it difficult not only to find who was hosting the
address, but also who was visiting it. But Ulbricht went further by using
bitcoin to make the subsequent transactions just as hard to track.
By
the summer of 2011, word of the Darknet hit the press and the pols. In a July
news conference about Silk Road, Sen. Chuck Schumer, of New York, demonized
drug sellers and buyers who were "hiding their identities through a
program that makes them virtually untraceable," and called on the Drug
Enforcement Agency to crack down. Time magazine called the Darknet "a
haven for criminals...where drugs, porn and murder live online." The Daily Mail warned that "hiring a hitman has
never been easier."
Many activists in the Tor community, however,
wince when they hear the word "Darknet." Criminal sites, they say,
represent a tiny fraction of .onion traffic. For them, the focus on criminality
obscures Tor's greater intent. "I don't think very much of the term
'Darknet,'" Mathewson says with a groan. "I think it's pretty
much a media creation."
Whatever
it's called, powerful agencies are still taking the Darknet seriously.
According to an Edward Snowden leak in October 2013, the NSA, during a
top-secret presentation in 2012, considered Tor a threat. "Tor
stinks," reads the title of one NSA slide. "We will never be able to
de-anonymize all Tor users [but] we can de-anonymize a very small fraction. "
(When contacted by Rolling
Stone, the NSA declined to comment.) In another of Snowden's
revelations, Britain's intelligence agency, the Government Communications
Headquarters, dismissed the democratic potential of Tor as
"pseudo-legitimate uses" that paled next to the "bad
people" who ruled the Darknet.
As a result, law-enforcement agencies began
seeking new ways to infiltrate the Darknet. In July, Interpol held its
first-ever training on "identifying the methods and strategies used by
organized crime networks and individuals to avoid detection on the
Darknet." That same month, FBI Director James Comey explained to a U.S.
Senate Judiciary Committee the agency's plight in tracking encrypted
communications. "The tools we are asked to use are increasingly ineffective,"
he said.
But according to e-mails recently leaked
online, there was at least one company pawning a solution: Hacking Team, a
software-security firm based in Milan, which equips governments to fight back
against criminals, activists and dissenters on the Darknet. As Hacking Team CEO
David Vincenzetti wrote to his private mailing list after Comey's remarks,
"The Darknet can be totally neutralized/decrypted. The right technology to
accomplish this exists.... Just rely on us."
The e-mails came as part of a breach in July
by an unknown attacker against Hacking Team's internal database. They revealed
that the FBI has spent almost $775,000 on Hacking Team software and services,
including tools that, as Vincenzetti suggested, specifically targeted criminals
on the Darknet. In one e-mail from September, an FBI employee wanted to know if
the latest version of Hacking Team's spyware could still "reveal the true
IP address of target using Tor....If not, can you please provide us a way to
defeat Tor....? Thank you!" (When contacted, the FBI said it does not
comment on specific tools and techniques.)
Of course, this can all seem nutty, wasteful
and insidious that one end of the U.S. government is trying to crack the secret
code funded by another. When I ask Syverson how he feels about the government
trying to compromise Tor, he declines to comment, saying that this is out of
the scope of his work. Mathewson, however, shrugs off the seemingly bizarre
scenario. "It's not like people are being followed around by shadowy
agents," he quips. "I guess we kind of always assumed the NSA tries
to break all interesting new encryption."
Eric Rabe, spokesman for Hacking Team, will
not confirm or deny the FBI's use of the company's tool. But he was quick to
promote its software, which, he tells me, allows a client to see whatever a
target is doing on a computer or mobile device, including surfing the Darknet.
In the wrong hands, such a tool could be used to infiltrate or infect a
victim's machine. And the market for this product is only growing, as agencies
try to break Tor, which Rabe calls "the front door to the Dark Web."
He goes on, "Clearly, Tor is used very broadly for criminal activity. I
don't think even the most staunch human rights activists would say that's not
true."
But most activists view the government's
battle against the Darknet as the new Reefer Madness, a misguided attack on
something becoming increasingly endangered: privacy and anonymity online.
"There are a lot of governments around the world that are trying to
prevent people from reaching these sites," Dingledine tells me one
afternoon at a cafe in Philadelphia. When I ask him which other government
agencies are trying to break Tor, he gives a shrug. "The simple answer is
'I don't know,' " he says. "And that's really disturbing."
D an Kaufman, the chipper white-haired
innovation head at the Defense Advanced Research Projects Agency—the DOD's
research and development wing—is a former video-game designer who quit his job
to fight real-life criminals. In a darkened conference room in the agency's
non-descript Arlington, Virginia, headquarters in June, he turns on a large
high-definition monitor to show me how DARPA is trying to win the Web’s
ultimate game: cops and robbers in the digital age.
By way of example, he pulls up an ad for a
prostitute named Cherry. In her photo, she's thin, Asian, and looks 19 but
could be in her thirties. Her description reads that she's five feet four, has
shoulder-length brown hair and no tattoos or piercings. Cherry is a
sex-trafficking victim, just one of an estimated 600,000 to 800,000, according
to the U.S. State Department, who are moved across international borders each
year. This is the fastest-growing crime industry in the world, pulling in
annual profits of nearly $100 billion.
And just like other criminal enterprises—like
drugs and weapons—it has migrated from the streets to the hidden corners of the
Internet: anonymous forums, encrypted chats, subscription services and other
sites that search engines are unable to locate. This problem gave DARPA the
idea to take action. "It started that simply: 'This is terrible, we should
do something about it,'" Kaufman recalls.
What they did was create Memex: a search
engine that works on the Deep Web and Darknet. Memex can crawl the hidden Web,
finding sites and storing data so it can later be scoured, just as one would
search the Surface Web with Google. It's the latest and most important weapon
for online investigators and represents a new phase in the conflict that may
expose the hidden Internet like never before. As Kaufman shows me, with just
Cherry's e-mail address and a click, Memex displays a glowing matrix of
associated leads: phone numbers, massage-parlor addresses, photos associated
with her online ads.
Memex is the brainchild of Dr. Christopher White,
a former DARPA program manager. Just 33, White earned his accolades as DARPA's
senior official in Afghanistan and, in the past couple of years, set his
attention on the Darknet. The inspiration, he tells me, came from his tours of
law-enforcement agencies, which seemed woefully unprepared for rooting out
criminals online. "They were using Google and Bing as part of their
jobs," he says. "The things they were looking for weren't online
through those mechanisms—they were in the deeper Darknet."
Government
agencies and law enforcement now work closely with DARPA to customize Memex for
their needs, and are also exploring its use for finding ISIS recruiters hiding
online. The technology is part of a booming industry based on taming the
Darknet. So called "threat intelligence" firms—such as iSight
Partners, which The
New York Times compared
to "military scouts"—charge clients like banks and government
agencies as much as $500,000 to comb the Darknet for potential hackers.
According to Gartner, a technology research firm, the market could reach $1
billion by 2017.
But could exposing the Darknet ultimately
kill the last place remaining for Internet privacy? Online freedom fighters
hope Memex won't have the same effect on those using the Darknet for legal
means. "Memex might be a fascinating and powerful tool, but, like any
other tool, it can be used for good or ill," a cybersecurity blogger
recently posted online. "That same technology can very well be put to use
to invade privacy and trace the flow of legitimate and private data."
"Privacy is a huge issue," says
Kaufman, who recently left DARPA to become deputy director of Google's Advanced
Technology and Projects group. Memex has built-in limitations. It can only comb
content on the Deep Web and Darknet that is publicly available—those sites that
aren't password protected or behind a paywall. This limits Memex's ability to
bust a site like Darkode, which required passwords for users. Memex won't kill
the Darknet—but it will make it a lot more exposed to law enforcement. "I
think the world is better with transparency," Kaufman tells me.
In late August, administrators for the online
black market Agora, one of the biggest hubs for buying dope after the bust of
Silk Road, took to the DarkNetMarkets forum on Reddit with a warning.
"Recently research had come that shed some light on vulnerabilities in Tor
Hidden Services protocol which could help to de-anonymize server
locations," they wrote. In other words, something in Tor seemed seriously
fucked.
They seemed to be referring to a new MIT
study that claimed to have found crucial weaknesses in Tor that allowed
researchers to break the anonymity of its users. "We have recently been
discovering suspicious activity around our servers," the Agora
administrators continued, "which led us to believe that some of the
attacks described in the research could be going on." And, for safety's
sake, they were temporarily taking their site off the Darknet until they found
a fix. As of this writing, Agora is still offline.
For the time being, the cops battling the
Darknet have reason to celebrate. Despite the braggadocio of the Darkode forum
alum, who promised they'd resurface on the Darknet, they have yet to be seen
(though this doesn't mean they're not there)—and the first guilty pleas of its
users are coming. Eric "Phastman" Crocker, a 29-year-old from Binghamton,
New York, recently pleaded guilty to violating anti-spam laws after he was
busted for selling malware. He is scheduled to be sentenced on November 23rd,
and faces up to three years in prison and $250,000 in fines.
But as the feds count their victories, the
people who depend on anonymity are still fighting for their lives. In August,
Saudi Arabia's Supreme Court decided to review the controversial case of Raif
Badawi, a 31-year-old blogger sentenced to a decade in prison and 1,000 lashes,
after being arrested in June 2012 for allegedly criticizing the kingdom's
clerics. Badawi, who has since won a PEN Pinter Prize, personifies the
importance of preserving online anonymity and freedom—made possible by the same
software that powers the Darknet. Speaking out in support of Tor, California
Congresswoman Zoe Lofgren is among the small group of lawmakers who believe the
feds shouldn't lose sight of its original purpose. "Tor was developed with
support by the U.S. government to promote freedom," she says. "That's
why we support the creation of Tor and remains the core reason why Tor
exists."
As the battle continues over the Darknet,
Tor's popularity only becomes more mainstream. Facebook now offers a .onion
version of its site on Tor for those wanting to feel less watched. In June,
speaking at an event for EPIC, a privacy and civil liberties nonprofit, Apple
CEO Tim Cook railed against government efforts to crack consumer devices.
"Removing encryption tools from our products altogether, as some in
Washington would like us to do, would only hurt law-abiding citizens who rely
on us to protect their data," he said. "The bad guys will still
encrypt; it's easy to do and readily available."
Mathewson predicts that other Web browsers
like Firefox will build Tor into their functionality, and he hopes that privacy
will become "a default mode of communication on the Internet" within
five years. But the circuitous chase will surely continue. For all the
activists using these tools to better the world, there will be criminals employing
the same tools to exploit it—and law enforcers hunting them down. "I'm as
concerned about privacy rights as anybody," says U.S. Attorney Hickton,
"but would you have us do nothing?"
+++++++++++++++++++++++++++++++++++++++++++++=++++++ =======================================================
https://www.youtube.com/watch?v=HTgYHHKs0Zw
scoop_post=bcaa0440-2548-11e5-c1bd-90b11c3d2b20&__scoop_topic=2455618
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