Japanese virtual desktop cloud hacked so hard it asks to be banned

Japanese ISP GMO Internet has warned customers the cloudy desktop service it offers as an ideal foreign exchange trading environment was compromised by an attacker, and that it had been slow to improve the service's security. GMO runs a service called Onamae.com Desktop Cloud and last week admitted “a third party had installed malicious programs in the server environments of some customers.” That’s never welcome news but is an especially poor outcome because the servers host cloudy Windows desktops that GMO recommends customers use to host foreign exchange trading applications. In later updates the company revealed that some customers reported “unauthorized operations were performed on their trading accounts” and advised that third parties had probably seen users’ passwords for trading services. The next day, the company advised users to immediately change passwords for their trading accounts, and to do so using a device that they don’t use for trading. The company has since admitted that its Onamae.com Desktop Cloud service’s “systems had security vulnerabilities, that its environment was accessed without authorization, and that customer information was taken outside the Company.” “Some customers have also reported transactions in their trading accounts that they do not recognize.” Those transactions have GMO sufficiently worried that it contacted major trading services, asked them to forcibly terminate all active sessions, monitor for unauthorized transactions, and to block trade requests coming from the Onamae.com Desktop Cloud. Not paying, or complaining GMO said it has “received a demand for money from a person believed to be the attacker. We have also been told that, if we refuse, the attacker will take actions such as publishing information about the Company and our customers.” The attacker wants $50 million. The company won’t pay because it feels “complying would not guarantee that the obtained information is deleted or that its misuse is prevented.” Investigations into the incident continue, with GMO warning that 26,739 VDI servers may have been hit by the attack, and that users’ personal devices may be at risk. The company is offering all users a ¥5,000 ($32) condolence payment and promised to make good on any trading losses caused by the attack. This incident may have quite a blast radius, as GMO has warned that some trading apps may keep sessions alive even after passwords change. “Check your securities or FX company's guidance or your account …