Gentlemen RaaS Expands with SystemBC Botnet for Covert Attacks

Gentlemen RaaS Gang Linked to SystemBC Botnet for Covert Proxy and Payload Delivery

HIGH
April 21, 2026
5m read
RansomwareMalwareThreat Actor

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Threat Actors

The Gentlemen

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Products & Tech

VMware ESXi

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SystemBC Cobalt Strike Gentlemen Ransomware

Full Report

Executive Summary

The rapidly growing The Gentlemen ransomware-as-a-service (RaaS) operation is increasing its sophistication by incorporating the SystemBC proxy botnet into its attack chain. Research from Check Point has revealed that Gentlemen affiliates are using SystemBC to establish covert SOCKS5 tunnels on compromised hosts. This allows them to obscure their command-and-control (C2) traffic, evade detection, and deliver additional malicious payloads, including the ransomware itself. The investigation uncovered a SystemBC botnet of over 1,570 compromised corporate systems linked to this activity. This adoption of a dedicated proxy botnet marks a significant enhancement of the RaaS group's operational capabilities, enabling more stealthy and resilient attacks across a wide range of target platforms.


Threat Overview

The Gentlemen RaaS group, which emerged in mid-2025, has quickly scaled its operations by advertising on underground forums and providing affiliates with a versatile toolkit. The group offers multi-platform ransomware lockers, including:

  • A Go-based locker for Windows, Linux, NAS, and BSD systems.
  • A C-based locker specifically for VMware ESXi hypervisors, targeting the core of modern data centers.

The integration of SystemBC into their playbook provides affiliates with a powerful tool for stealth and persistence. SystemBC is a well-known malware that functions as a backdoor and proxy. By routing their traffic through the compromised systems in the botnet, attackers can make it difficult for defenders to trace the origin of the attack or block C2 communications.

Technical Analysis

During an incident response engagement, Check Point observed a Gentlemen affiliate's attack chain in detail.

Typical Attack Chain:

  1. Initial Access: The affiliate gains initial access to the network (vector not specified, but likely phishing or exploiting vulnerabilities).
  2. Privilege Escalation: The attacker escalates privileges to become a Domain Admin.
  3. Reconnaissance & Staging: The attacker deploys Cobalt Strike beacons for C2 and performs network discovery to identify high-value targets.
  4. Covert Tunneling: The affiliate deploys SystemBC on a compromised host. SystemBC connects to its C2 server and establishes a SOCKS5 proxy, creating a covert tunnel for subsequent attacker communications.
  5. Payload Delivery: The attacker uses the SystemBC tunnel to download and stage the Gentlemen ransomware payload.
  6. Impact: The ransomware is detonated across the network, encrypting critical systems, including ESXi hosts to take down multiple virtual machines at once (T1486).

MITRE ATT&CK TTPs:

Impact Assessment

The use of SystemBC makes Gentlemen ransomware attacks harder to detect and block. By tunneling C2 traffic through legitimate-looking SOCKS5 proxies, they can bypass many simple network-based IOCs. The ability to target ESXi hypervisors is particularly damaging, as a single command can encrypt dozens of virtual machines, causing massive operational disruption. The group's double-extortion model, using a Tor-based leak site to publish data from over 320 claimed victims, adds the threat of data breach and reputational damage to the operational impact of encryption.

IOCs — Directly from Articles

No specific file hashes, IP addresses, or domains were provided in the source articles.

Cyber Observables — Hunting Hints

Security teams can hunt for Gentlemen and SystemBC activity using these patterns:

Type
Process Name
Value
system.exe or svchost.exe (with unusual parent process)
Description
SystemBC often masquerades as a legitimate system process. Look for instances with no parent or an unusual parent like explorer.exe.
Context
EDR process tree analysis.
Type
Network Traffic Pattern
Value
Outbound connections on unusual ports to residential IP space.
Description
SystemBC botnet nodes are often on compromised home or small business systems. Look for persistent connections from servers to such IPs.
Context
NetFlow, firewall logs.
Type
Command Line Pattern
Value
powershell.exe -enc <base64>
Description
PowerShell is frequently used to download and execute SystemBC in a fileless manner.
Context
EDR, PowerShell script block logging (Event ID 4104).
Type
File Name
Value
Randomly named executables in C:\Users\<user>\AppData\Roaming\
Description
SystemBC is often dropped into user profile directories.
Context
EDR, file integrity monitoring.

Detection & Response

Detection:

  1. Network Egress Filtering: Monitor and restrict outbound traffic. Connections from corporate servers to residential IP addresses or known malicious C2 servers should be blocked and investigated.
  2. Behavioral Analysis: Use EDR to detect the chain of activity: a process spawning PowerShell, which then makes a network connection to download and execute a payload in memory.
  3. Threat Intelligence: Integrate threat intelligence feeds that provide up-to-date IOCs for SystemBC C2 servers.

Response:

  1. Block C2: If SystemBC is detected, immediately block the C2 IP addresses at the firewall to sever the attacker's connection.
  2. Isolate Host: Isolate the compromised host from the network to prevent lateral movement.
  3. Forensic Analysis: Analyze the host to identify the initial access vector and any other tools or backdoors the attacker may have installed.

Mitigation

  1. Egress Traffic Filtering: Implement a default-deny policy for outbound network traffic from servers. Only allow connections to known, legitimate destinations.
  2. Patch Management: Keep all systems, especially hypervisors like VMware ESXi, fully patched to prevent exploitation of known vulnerabilities.
  3. PowerShell Security: Enable PowerShell script block logging and transcription to capture and analyze PowerShell activity. Use Constrained Language Mode where possible.
  4. Network Segmentation: Segment the network to make it harder for attackers to move laterally from a compromised workstation to a critical server like an ESXi host.

Timeline of Events

1
April 21, 2026
This article was published

MITRE ATT&CK Mitigations

Implement strict egress filtering to block unexpected outbound connections from servers, which can disrupt SystemBC C2 communications.

Mapped D3FEND Techniques:

Keeping VMware ESXi and other systems fully patched reduces the potential for initial access via vulnerability exploitation.

Mapped D3FEND Techniques:

Proper segmentation prevents attackers who compromise a workstation from easily moving laterally to critical data center assets like ESXi hosts.

Mapped D3FEND Techniques:

D3FEND Defensive Countermeasures

To counter the core functionality of the SystemBC botnet used by Gentlemen affiliates, organizations must implement strict outbound traffic filtering, especially from server segments. The purpose of SystemBC is to create a covert tunnel to an external C2 server. By configuring firewalls with a default-deny egress policy, you can block these unauthorized connections. Servers should only be allowed to communicate outbound to a small, well-defined list of IP addresses and ports required for their function (e.g., patch servers, specific API endpoints). Any attempt by SystemBC to connect to its C2, which is likely hosted on a compromised residential system or other non-standard IP, would be blocked and logged. This single control can neutralize the attacker's ability to maintain persistence and deliver the final ransomware payload.

For detecting the presence of SystemBC, Network Traffic Analysis (NTA) is crucial. NTA tools can identify the characteristic beaconing of SOCKS5 proxy malware. Even if the traffic is encrypted, NTA can analyze metadata such as connection frequency, duration, and data volume. A corporate server suddenly making a persistent, low-and-slow connection to a residential IP address in another country is a high-confidence indicator of a proxy botnet infection. Furthermore, since the Gentlemen group targets ESXi hosts, monitoring the ESXi management network is critical. Any unexpected traffic from an ESXi host to an external address should be treated as a major red flag. NTA provides the visibility needed to spot these anomalous patterns that EDR on the host might miss.

Sources & References

Gentlemen RaaS Hits Windows, Linux, and ESXi With New C-Based Locker
GBHackers on Security (gbhackers.com) April 21, 2026
SystemBC botnet linked to Gentlemen ransomware attacks | brief
SC Magazine (scmagazine.com) April 21, 2026

Article Author

Jason Gomes

Jason Gomes

• Cybersecurity Practitioner

Cybersecurity professional with over 10 years of specialized experience in security operations, threat intelligence, incident response, and security automation. Expertise spans SOAR/XSOAR orchestration, threat intelligence platforms, SIEM/UEBA analytics, and building cyber fusion centers. Background includes technical enablement, solution architecture for enterprise and government clients, and implementing security automation workflows across IR, TIP, and SOC use cases.

Threat Intelligence & AnalysisSecurity Orchestration (SOAR/XSOAR)Incident Response & Digital ForensicsSecurity Operations Center (SOC)SIEM & Security AnalyticsCyber Fusion & Threat SharingSecurity Automation & IntegrationManaged Detection & Response (MDR)

Tags

GentlemenRaaSSystemBCransomwarebotnetCobalt StrikeESXiCheck Point

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