TerminalFix Campaign Utilizes Fake CAPTCHA to Deploy Multi-Stage Attack and Reverse Tunnel Access

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Microsoft Threat Intelligence has identified a new campaign named TerminalFix, a variant of ClickFix, which is targeting organizations across various sectors. This campaign employs compromised websites to present a fake Cloudflare CAPTCHA verification overlay, deceiving users into executing a malicious PowerShell command. Unlike traditional ClickFix campaigns that redirect victims to the Windows Run dialog, TerminalFix directs users to Windows Terminal or PowerShell, enhancing the chances of executing complex multi-line scripts successfully. This campaign is more sophisticated than earlier variants, deploying a multi-stage attack chain that includes DLL sideloading, steganographic payload extraction, extensive Active Directory reconnaissance, and a custom reverse-tunnel implant, thereby granting attackers persistent network-level proxy access through the compromised host. For further details, see the analysis by Microsoft Threat Intelligence.

Attack Chain Overview

The TerminalFix campaign follows a multi-stage attack chain that progresses from social engineering through payload delivery, persistence, reconnaissance, and ultimately network tunneling:

  • Initial access via compromised website: A compromised website displays a fake Cloudflare Turnstile CAPTCHA verification overlay, instructing the user to copy and paste a “verification” command.
  • PowerShell execution: The pasted command runs a disguised PowerShell script that downloads a ZIP archive from attacker infrastructure, extracts it to C:ProgramData, and silently launches a batch file.
  • DLL sideloading: The batch file executes LockScreenContentServer.exe, a signed legitimate binary, which automatically loads the co-located malicious dui70.dll.
  • Steganographic payload retrieval: The sideloaded DLL executes PowerShell that downloads PNG images from attacker domains, extracts embedded executables and DLL fragments hidden within pixel data, and reassembles them on disk.
  • Persistence: The malware establishes persistence through both HKCU…Run registry keys and scheduled tasks that re-execute LockScreenContentServer.exe every 60 minutes.
  • Reconnaissance: Extensive domain discovery is performed, including domain trust enumeration, domain admin group membership, Active Directory computer and user enumeration, targeted server pinging, and system information collection in multiple languages.
  • Command execution loop: A persistent PowerShell file-watch loop monitors a text file for new commands, executes them, and writes results to an output file, creating an asynchronous command shell.
  • Reverse tunnel deployment: A Python runtime and a custom tunneling implant are downloaded and launched, establishing a reverse WebSocket tunnel to gitnow[.]dev, providing the attacker with full TCP proxy access through the victim’s network.

Mitigation and Protection Guidance

Microsoft recommends several mitigations to reduce the impact of this threat:

  • Restrict PowerShell and Run dialog execution using AppLocker or Group Policy.
  • Monitor for DLL sideloading indicators, particularly for LockScreenContentServer.exe executing from non-standard paths.
  • Educate users about ClickFix tactics to recognize fake CAPTCHA verification pages.
  • Investigate affected hosts thoroughly, assuming network-level access through compromised machines.
  • Enable network protection and web protection in Microsoft Defender for Endpoint.

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