A signed adware-like installer was abused to deploy the ValleyRAT backdoor through DLL sideloading, disabling Windows Defender and persisting via startup entries. The campaign used QN Wallpaper components and targeted users mainly in China and India, with activity linked to Silver Fox. #ValleyRAT #QNWallpaper #SilverFox
Keypoints
- The sample was initially classified as adware, but analysis revealed it actually triggered an infection chain delivering ValleyRAT.
- The malicious installer behaved differently based on its filename suffix, likely to distract users with legitimate-looking actions such as installing DingTalk or Google Chrome.
- The attackers abused the signed QN Wallpaper application to perform DLL sideloading through a malicious libcef.dll.
- The installer disabled Windows Defender using the DisableAntiSpyware registry key and added persistence through autorun and startup folder entries.
- ValleyRAT decrypted and loaded an AES-encrypted payload, then collected keystrokes, clipboard contents, window titles, and detailed system information.
- The backdoor could download and execute additional modules, including DLLs and shellcode, and use process hollowing with svchost.
- Detection data showed more than 100,000 sightings in 2026, affecting over 1,500 unique users, mainly in China and India, with attribution pointing to Silver Fox.
MITRE Techniques
- [T1218 ] System Binary Proxy Execution – The attackers likely planned to invoke the malicious RunDLL function via a trusted binary such as rundll32 to execute code under a legitimate process (‘we suspect the attackers intended to invoke it manually via rundll32’).
- [T1068 ] Exploitation for Privilege Escalation – The malware attempts to gain elevated rights by relaunching with runas when the user is not an administrator (‘attempts to obtain administrator privileges by using the runas utility’).
- [T1112 ] Modify Registry – It disables Windows Defender and sets autorun-related persistence through registry changes (‘uses the DisableAntiSpyware registry key’ and ‘adds it to the registry’s autorun entries’).
- [T1547.001 ] Registry Run Keys / Startup Folder – Persistence is established by dropping a file into the user startup folder and adding autorun entries (‘drops a file with the corresponding extension in … Start MenuProgramsStartup’).
- [T1574.001 ] DLL Search Order Hijacking – The attackers use a malicious libcef.dll loaded alongside a signed application to execute their code (‘carry out DLL sideloading’).
- [T1055.012 ] Process Hollowing – When loading shellcode modules, the backdoor hollowed svchost to run the payload (‘uses process hollowing with svchost to launch the module’).
- [T1057 ] Process Discovery – The malware checks which process the DLL is running inside to choose the payload (‘determines which process the DLL has been loaded into’).
- [T1082 ] System Information Discovery – ValleyRAT gathers host, OS, CPU, disk, graphics, language, and system path details (‘collects system information, including…’).
- [T1056.001 ] Keylogging – The backdoor tracks keystrokes and focused window activity using DirectInput8 (‘it tracks keystrokes and the currently focused window’).
- [T1115 ] Clipboard Data – It captures clipboard contents and stores them on disk (‘It also captures clipboard contents’).
- [T1012 ] Query Registry – It reads configuration and system-related information during execution, including registry-based startup behavior (‘adds it to the registry’s autorun entries’).
- [T1059 ] Command and Scripting Interpreter – The malware uses utilities and command-driven actions such as runas and remote command handling (‘uses the runas utility’ and ‘On command, the backdoor can perform the actions’).
- [T1105 ] Ingress Tool Transfer – It downloads additional modules from C2 or a third-party location before executing them (‘the backdoor downloads the file at that link and executes it’).
- [T1027 ] Obfuscated Files or Information – The configuration string is reversed to hide its contents (‘the attackers wrote the string in reverse’).
- [T1070.001 ] Clear Windows Event Logs – The backdoor can wipe logs as one of its remote commands (‘Wiping logs’).
Indicators of Compromise
- [MD5] Malicious installer and payload components – c24e99f9437feacaa63766a3cde3fe3d, 07ddbbe2c71c45577a7a4fbcdba0df91
- [MD5] Additional dropped files and modules – 96b4c1d0683dce22bd3223e1e40689c1, 6c158c0f8e029342192d4f0d72e102b7
- [File name] Dropped or packaged files – 1.zip, libcef.dll, QnWallpaper.exe, QnwPlayer.exe
- [Domain/URL] Infrastructure and download sources – qnwallpaper[.]keansoft[.]cn, meeting[.]tencent[.]com/download/
- [IP:Port] C2 server addresses – 103.45.66.18:441, 103.45.66.18:442, 103.45.66.18:443
- [IP:Port] Additional C2 server addresses – 192.253.225.173:6666, 192.253.225.173:8888
Read more: https://securelist.com/valleyrat-backdoor-adware/121175/