Cybercrime Overview and Challenges

Introduction

• Technical sophistication of criminals varies
• Severity of cybercrime can be measured by technical expertise of investigators

Traditional Problems

• Location of crime is used to determine jurisdiction
• Computer crime may affect jurisdictions where the criminal and the victim live
• International cooperation is difficult due to lack of agreements
• Encryption or hiding information makes prosecution difficult
• Delayed detection increases the likelihood of escaping prosecution
• Perception of anonymity encourages crime

Recognizing and Defining Computer Crime

• Targets include individuals, organizations, or countries
• Fruits of illegal activity need to be identified
• The degree to which technology is involved is important
• The extent to which computer technology is involved helps determine the severity of the crime
• Early forms of computer crime included the theft of physical technology or sabotage

Phreakers: Yesterday’s Hackers

• Phreaking is the manipulation of telecommunications carriers to gain knowledge or steal services
• Methods used include social engineering (stealing codes), blue boxes (devices that deceive switching systems), and theft and sale of stolen access codes

Evolution in the Hacking Community

• Early hackers were young, socially inept, and fascinated with computer technology
• Early hackers were motivated by anti-establishment ideology or to reduce the cost of downloading

Contemporary Hacking Communities

• Contemporary hackers are motivated by profit, revenge, notoriety, boredom, voyeurism, intellectual challenge, sexual gratification, or political goals

Hierarchy of Contemporary Cyber-Criminals

• Script kiddies use others' programs to exploit vulnerabilities and compromise computer systems, but don't understand the programs
• Cyberpunks is a term law enforcement uses to describe those who cause havoc on the internet
• Hackers/Crackers are sophisticated computer criminals
• Cyber-criminal organizations pose a significant threat to computer security

Social Engineering

• Takes advantage of people who use technology
• Insiders may be the most dangerous, intentionally or unintentionally
• Security awareness training can reduce risks

Computers as Commodities

• The black market involves criminal organizations, while the gray market involves legitimate businesses engaging in questionable activities
• Software can be counterfeited, stolen, or pirated

Theft of Intellectual Property

• IP includes patents, trademarks, copyrights, software, music, film, and television
• Piracy can be conducted through the use of bitstream

Criminal Sophistication

• Criminals have varying levels of expertise.
• Criminal sophistication is reflected by the expertise of investigators.

Traditional Crime Problems

• Jurisdictional issues based on crime location.
• Computer crimes may fall under laws of both victim and criminal locations.
• Lack of international cooperation.
• Encryption and steganography make it harder to prosecute and can lead to escaped prosecution.
• Perception of anonymity may encourage committing crimes.

Recognizing Computer Crime

• Targets include individuals, organizations, and countries.
• Means involve technology, with variations in how much technology is required for the crime (e.g., hacking vs. phishing).
• Incidentals: to what degree is technology incidental to the crime? (e.g., online gambling vs. falsified insurance claims).
• History: Early forms of computer crime included physical technology theft and sabotage.

Phreakers

• Phreaking involves manipulating telecommunications for knowledge and theft of services.
• Includes illegal use, manipulation of codes and systems.

Phreaking Methods

• Social engineering like shoulder surfing.
• Blue boxes, devices that deceive switching systems for free calls.
• Constant development of new strategies, including theft and sale of access codes.

Evolution of Hackers

• Early hacking was conducted via role-playing games, often by younger individuals with technical fascination.
• Early motivation was anti-establishment ideology or cost-related.

Motivation for Contemporary Hacking

• Profit and economic goals (theft).
• Revenge (disgruntled employees).
• Personal notoriety.
• Relief from boredom.
• Informational voyeurism.
• Intellectual challenge.
• Sexual gratification.
• Political goals.

Hierarchy of Cyber Criminals

• Script kiddies: Inexperienced hackers who use pre-written scripts to exploit vulnerabilities.
• Cyberpunks: Term used by law enforcement for those involved in cybercrime.
• Hackers/crackers: Sophisticated computer criminals.
• Cyber-criminal organizations: Considered a greater threat.

Social Engineering

• Takes advantage of technology users.
• Insiders can be a significant threat, both intentionally and unintentionally.
• Security awareness training can mitigate these risks.

Computer Commodities

• Black market involves criminal organizations.
• Gray market involves questionable activities by legitimate businesses.
• Software can be stolen, counterfeited, and pirated.
• Data piracy includes the sale of credit card numbers.

Theft of Intellectual Property

• Includes patents, trademarks, and copyright.
• Software is protected by copyright.
• Piracy of films and television can be conducted via bitstream.

Traditional Problems with Investigating Computer Crime

• Computer crime poses traditional problems for law enforcement.
• Jurisdictions are based on the location of a crime, however, computer crimes can occur in multiple locations.
• International cooperation can be difficult due to lack of agreements and cultural differences.
• Encryption, steganography, and anonymity make it difficult to prosecute computer crimes.

Recognizing and Defining Computer Crime

• Defining computer crime can be difficult based on several factors.
• Victim targeting can be complex: individuals, organizations, or countries.
• The nature of the crime can vary, involving various means and using technology to different extents.
• The use of computers in a crime might be incidental. For instance, online gambling compared to filing a false insurance claim.
• Computer crime has a history ranging from physical theft of technology to digital sabotage.

Phreakers: Early Hackers

• Phreaking involves manipulating telecommunications systems to access services illegally.
• This manipulation includes using unauthorized access codes, tones, and switching systems.
• Methods included social engineering (shoulder surfing) and using blue boxes that mimicked switching systems.
• Phreaking evolved with technology, with new strategies like stealing and selling access codes.

Evolution in the Hacking Community

• Early hackers were often young, fascinated with technology, and driven by anti-establishment ideals or cost reduction.
• Contemporary hacking motivations are driven by profit, revenge, personal notoriety, boredom, information seeking, challenge, sexual gratification, and political goals.

Hierarchy of Contemporary Cybercriminals

• Script kiddies are inexperienced hackers who use pre-made tools to exploit vulnerabilities. They lack understanding of these tools.
• Cyberpunks are a law enforcement term used for those who disrupt the internet.
• Hackers/Crackers refer to sophisticated computer criminals.
• Cybercriminal organizations are a significant threat.

Social Engineering

• Social engineering leverages people's trusting nature.
• Insiders, both accidentally and intentionally, pose a serious risk.
• Security awareness training is crucial to mitigate risks.

Computers as Commodities

• Black markets involve criminal organizations, while gray markets involve legitimate businesses engaging in questionable practices.
• Software can be subject to theft and counterfeiting.
• Data piracy includes activities like selling stolen credit card numbers.

Theft of Intellectual Property

• Intellectual property (IP) includes patents, trademarks, and copyrights.
• Software is copyright-protected.
• Film and television piracy can be accomplished through bitstream manipulation.

This quiz explores the complexities of cybercrime, focusing on its technical sophistication and jurisdictional challenges. It discusses the difficulties of international cooperation and the impact of technology on crime severity. Participants will gain insights into defining computer crime and recognizing its evolution.