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Nation-State high Iran

MuddyWater

Iranian state-sponsored (MOIS) · Espionage / intelligence collection / false flag operations

Reports 4
Active Since 2017
Last Reported 5 Jul 2026
Sectors Targeted government, energy, communications, critical-infrastructure, finance, healthcare

Tactics, Techniques & Procedures (TTPs)

  • Social engineering via Microsoft Teams — screen-sharing sessions to harvest credentials
  • False flag operations using criminal ransomware branding (Chaos ransomware) to obscure espionage
  • MFA manipulation — instructing victims to register attacker-controlled devices as MFA factors
  • Credential file social engineering (victims directed to type passwords into credentials.txt)
  • MOIS-linked C2 infrastructure (moonzonet domain cluster)
  • Living-off-the-land techniques to minimise custom malware footprint

Known Targets

Construction and manufacturing companiesBusiness services organisationsUS and European enterprises (UK, Germany, Sweden, Austria, Poland, Italy)Israeli government and organisationsMiddle Eastern government entities

Analyst Notes

Operates under Iran's Ministry of Intelligence and Security (MOIS). Persistent user of social engineering and living-off-the-land techniques. The 2026 Chaos ransomware false flag campaign represents a tactical evolution — using criminal ransomware branding to obscure state-directed espionage objectives and complicate attribution. Organisations investigating what appears to be ransomware activity may incorrectly apply criminal incident response playbooks rather than state-actor ones, allowing MuddyWater footholds to persist after apparent remediation.

Also Known As

SeedwormMango SandstormStatic KittenMERCURYITG17

Intelligence Reports

Briefing governmentenergy

MuddyWater Deploys Four New Malware Families in Operation Olalampo Targeting MENA Government and Energy

Group-IB tracked MuddyWater's Operation Olalampo campaign from January 2026, uncovering four previously undocumented malware families including CHAR — a Rust backdoor using Telegram for C2 with evidence of AI-assisted development. Targets span government, energy, and telecoms across the MENA region.

Analysis governmentcritical-infrastructure

MuddyWater: Iran's MOIS Cyber Arm and the Blurred Line Between Espionage and Disruption

MuddyWater — Seedworm, Static Kitten, Earth Vetala — is Iran's Ministry of Intelligence and Security cyber unit conducting sustained espionage across the Middle East, Europe, and Asia, increasingly deploying ransomware as a false flag to complicate attribution and provide cover for intelligence collection.

Briefing financehealthcare

CISA Confirms Active Exploitation: Apex One Endpoint Platform Turned Against Defenders, Langflow Linked to Iranian APT

CISA's May 21 KEV additions confirm active exploitation of Trend Micro Apex One's directory traversal flaw -- which allows attackers to push malicious code through the defender's own endpoint management -- alongside a Langflow AI workflow vulnerability tied to MuddyWater intrusions.

Briefing critical-infrastructurecommunications

Iranian APT MuddyWater Deploys Chaos Ransomware as False Flag to Mask Espionage

Rapid7 researchers have attributed a series of intrusions using Chaos ransomware branding to MuddyWater -- an Iranian state-sponsored group -- in a deliberate false flag operation designed to obscure intelligence collection behind the appearance of criminal extortion.