US, allies disrupt BlackSuit ransomware network; servers seized and funds frozen as researchers warn of rebranding to Chaos ransomware

The U.S. Department of Homeland Security Investigations (HSI), with assistance from the FBI, Secret Service and the Internal Revenue Service, announced a disruption of the BlackSuit ransomware network on July 24, seizing four servers and nine domains tied to the gang’s infrastructure and freezing about $1.09 million in virtual currency. The Department of Justice unsealed the seizure warrant on August 11 and said the operation benefited from cyber-police cooperation with partners in the United Kingdom, Germany, Ireland, France, Canada, Ukraine, and Lithuania.

In its public briefing, U.S. authorities portrayed the action as a significant blow to BlackSuit (also known as Royal), a Russia-linked group that has targeted hundreds of U.S. victims across schools, energy firms and government entities, accumulating roughly $370 million in ransom payments since its emergence. While the DOJ and law enforcement agencies highlighted the seizure and international cooperation, they did not announce any arrests or disclose named suspects, underscoring the difficulties of cross-border prosecutions in ransomware cases.

The seizure comes amid continued chatter from security circles about the durability of such takedowns. Authorities in Germany previously claimed involvement in seizing BlackSuit servers and related systems, noting that they had collected substantial data to help identify members of the gang. The German statements were carried by the press portal Presseportal.de. Meanwhile, a report on the gang’s dark web presence noted that its site had been pulled down as part of an operation dubbed “Checkmate.”

Notably, the U.S. picture of disruption has been tempered by observers who say the attack ecosystem can quickly morph. After the operation, researchers noted BlackSuit’s alleged re-emergence under a new banner known as Chaos ransomware. Cisco Talos researchers said in a blog post that the new operation appears to be operated by former BlackSuit members, sharing encryption methods, ransom notes, and tooling with the old gang and that Chaos has been active since February, pursuing big-game hunting and double-extortion tactics.

The gang’s dark web leak site has already displayed 20 victims, though authorities have not publicly named most of them. Experts caution that while infrastructure disruption is noteworthy, it does not guarantee long-term containment of the threat, particularly when actors can relocate operations and rebrand across borders.

As this dimension of cybercrime evolves, observers insist that sustained cooperation among international partners will be essential to tracking and prosecuting suspects, even as some countries face extradition and evidentiary challenges.