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⚠️Inside a cyberattack method that targets your cellphone⚠️
Is it really Okta? Or is it actually 0ktapus?
September 30, 2022
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A recent spree of “smishing” attacks points to what some experts anticipate will be a wider threat in the future.

The technique, which claims victims at Twilio and targeted others at Cloudflare, combines text messages intent on luring victims into clicking on a link, leans on the ubiquity of smartphones, seeks to manipulate human nature, and works around an increasingly common defensive measure.

A campaign that relied on the technique gathered steam this summer and targeted more than 130 companies,according to a report from cyberfirm Group-IB last month. The attackers compromised nearly 10,000 user credentials.

The technique works like this:

  • Hackers send phony text messages to prospective victims, luring them to click on a link by pretending to be, say, a member of their employers’ IT teamtelling them that their password had expired or their schedule had changed. Typically known as “phishing” when the lures arrive via email, this is known as “smishing” because it’s a portmanteau of “phishing” and “SMS,” commonly known as texting.
  • The link leads to a fake Okta site or another tool that verifies a sign-in, known as multifactor authentication or MFA. (Group-IB named the campaign in its report 0ktapus because of the Okta angle.)
  • Once the hackers get the code that their victim unwittingly gives them, they’re able to roam around in the victims’ networks.

The Group-IB figures are dramatic, saidRyan Olson, vice president of threat intelligence at Palo Alto Networks’ Unit 42.

“That means they had success on like 70 individuals per company on average, and I don’t know what all the companies are or how big they are, but that was extremely successful for a phishing attack,” Olson told me. “If you were to send a phishing attack over email, you’re lucky if one in a 1,000 people even sees the email and makes it through the filters, let alone click on it, let alone type in their multifactor authentication code as well. That’s a huge amount of success.”

Olson said his company has already seen copycats of the original campaign and expects it to expand, a view others in the cyber field share.

“It’s going to grow,” predictedAngelos Stavrou, founder and chief science officer at Quokka, a mobile privacy company known until recently as Kryptowire.

Why it works

In most cases, people don’t have as many defenses on their personal phones to block malicious messages as a large organization has on their work emails, Olson said. (Separately, theIRS warned about smishing attacks Wednesday.)

Smishing is a lesser known threat, and people are more accustomed to clicking on text messages, some of which their employer might send,Olson said. And attackers have learned that they can spam requests for MFA log-in codes and some people will eventually give in, which isapparently what happenedinthis month’s Uber breach.

MFA is a well-regarded defensive technique touted by federal officials and major tech companies alike, but as it has grown more common, “MFA fatigue” has taken hold. Often, users just want to make the messages stop and clicking on them is the quickest way.But Olson said you don’t need to be a dummy to fall for the trick.

Often users don’t trigger an MFA request until they sign into a system they use at work. But Olson himself recently got an MFA message because he had timed out of a system that was idle on his computer. Some office workers, in other words, get routine prompts to reauthorize.

For Stavrou, the reason it works is the steady escalation of defense and offense, and how everyday users respond.

“As we become more advanced, the adversary has become more advanced,” he told me. “The information that the user is presented with is increasing faster than they can handle.”

While 0ktapus focused on Okta, Palo Alto Networks has seen campaigns centered on other authentication tools as well, like Duo or Microsoft 365.

The risks and the fixes

There are some limits to the attack method. It requires hackers to use a login code within a certain amount of time, but Olson said that process is likely automated. The overall technique, according to Group-IB and others, doesn’t require major skills.

What can the hackers do to victims if successful? “Recent disclosures reveal that the initial compromises were just part of the attack,” Group-IB noted, pointing to the potential to steal cryptocurrency or use stolen information to launch attacks on other victims.

Some keys tofending off the attacksinclude physical devices like the Yubikey, which make it harder for hackers to intercept identity verification; reliance on apps like Google Authenticator rather than text messages for authentication codes; or employee awareness programs.

Until then, “anytime a technique shows this much success, other threat actors will copy it,” Olson said.

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The system will integrate the NYSE’s existing Pillar matching engine with blockchain-based post-trade systems, supporting multiple blockchains for settlement and custody. Tokenized shares will be interchangeable with traditional securities and will carry the same dividend and voting rights as conventional shares. The platform is part of ICE’s broader digital strategy to modernize market infrastructure for a 24/7 digital finance environment.

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Stellar CEO Reveals Where Real Opportunity Lies in Crypto Market: Details

In a recent tweet, Stellar Development Foundation (SDF) CEO and Executive Director Denelle Dixon defines what "real opportunity" is in blockchain as a new financial future beckons.

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XDC Network's acquisition of Contour Network

XDC Network's acquisition of Contour Network marks a silent shift to connect the digital trade infrastructure to real-time, tokenized settlement rails.

In a world where cross-border payments still take days and trap trillions in idle liquidity, integrating Contour’s trade workflows with XDC Network Blockchains' ISO 20022 financial messaging standard to bridge TradFi and Web3 in Trade Finance.

The Current State of Cross-Border Trade Settlements

Cross-border payments remain one of the most inefficient parts of global finance. For decades, companies have inter-dependency with banks and their correspondent banks across the world, forcing them to maintain trillions of dollars in pre-funded nostro and vostro balances — the capital that sits idle while transactions crawl across borders.

Traditional settlement is slow, often 1–5 days, and often with ~2-3% in FX and conversion fees. For every hour a corporation can’t access its own cash increases the cost of financing, tightens liquidity that could be used for other purposes, which in turn slows economic activity.

Before SWIFT, payments were fully manual. Intermediary banks maintained ledgers, and reconciliation across multiple institutions limited speed and volume.

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But SWIFT only fixed the messaging — not the movement. Actual value still moves through slow, capital-intensive correspondent chains.

Regulated and Compliant Stablecoin such as USDC (Circle) solves the part SWIFT never could: instant, on-chain settlement.

Stablecoin Settlement revamping Trade and Tokenization

Stablecoin such as USDC is a digital token pegged to the US Dollar, still the most widely used currency for trade, enabling the movement of funds instantly 24*7 globally - transparently, instantly, and without the need for any intermediaries and the need to lock in trillions of dollars of idle cash.

Tokenized settlement replaces multi-day reconciliation with on-chain finality, reducing:

  • Dependency on intermediaries
  • Operational friction
  • Trillions locked in idle liquidity

For corporates trapped in long working capital cycles, this is transformative.

Digital dollars like USDC make the process simple:

Fiat → Stablecoin → On-Chain Transfer → Fiat

This hybrid model is already widely used across remittances, payouts, and treasury flows.

But one critical piece of global commerce is still lagging:

👉 Trade finance.

The Missing link is still Trade Finance Infrastructure.

While payments innovation has raced ahead, trade finance infrastructure hasn’t kept up. Document flows, letters of credit, and supply-chain financing remain siloed, paper-heavy, and operationally outdated.

This is exactly where the next breakthrough will happen - and why the recent XDC Network acquisition of Contour is a silent revolution.

It transforms to a new era of trade-driven liquidity through an end-to-end digital trade from shipping docs to payment confirmation – one infrastructure that powers all.

The breakthrough won’t come from payments alone — it will come from connecting trade finance to real-time settlement rails.

The XDC + Contour Shift: A Silent Revolution

  • Contour already connects global banks and corporates through digital LCs and digitized trade workflows.
  • XDC Blockchain brings a settlement layer built for speed, tokenization, and institutional-grade interoperability and ISO 20022 messaging compatibility

Contour’s digital letter of credit workflows will be integrated with XDC’s blockchain network to streamline trade documentation and settlement.

Together, they form the first end-to-end digital trade finance network linking:

Documentation → Validation → Settlement all under a single infrastructure.

XDC Ventures (XVC.TECH) is launching a Stable-Coin Lab to work with financial institutions on regulated stablecoin pilots for trade to deepen institutional trade-finance integration through launch of pilots with banks and corporates for regulated stable-coin issuance and settlement.

The Bottom Line

Payments alone won’t transform Global Trade Finance — Trade finance + Tokenized Settlement will.

This is the shift happening underway XDC Network's acquisition of Contour is the quiet catalyst.

Learn how trade finance is being revolutionised:

https://www.reuters.com/press-releases/xdc-ventures-acquires-contour-network-launches-stablecoin-lab-trade-finance-2025-10-22/

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