Dragon's Code: America Under Cyber Siege

Oh snap! US to China: Cyber punches incoming! Volt Typhoon drama heats up as America vows to hit back hard


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This is your Dragon's Code: America Under Cyber Siege podcast.

Hey there, Ting here! Your friendly neighborhood China-cyber-hack decoder. Let's dive right into this week's digital drama between the US and China. Trust me, it's been quite the cyber showdown!

So, the biggest news this week? The Trump Administration just threw down the digital gauntlet! On Thursday, Alexei Bulazel from the National Security Council warned China that the US is ready to "punch back" against critical infrastructure attacks. Speaking at RSA 2025 in San Francisco, he basically said the days of America taking cyber punches without returning fire are over.

This comes after we learned something wild - China actually admitted to those Volt Typhoon attacks! According to reports that surfaced last month, Chinese officials made this confession during a secret meeting in Geneva back in December with the outgoing Biden team. Talk about a bombshell! The WSJ reported that Chinese officials implied these attacks were retaliation for US support of Taiwan. Classic power play.

Let's talk technical details: Volt Typhoon has been particularly nasty, using zero-day vulnerabilities to infiltrate multiple sectors including energy, communications, and transportation. Most concerning was their 300-day dwell time in the US electric grid last year. That's almost a full year of undetected access! Their methodology involves sophisticated living-off-the-land techniques, making detection incredibly difficult.

This week, we also saw Salt Typhoon continuing its operations alongside Volt. Their combined tactics suggest a coordinated effort to establish persistent access points across our critical infrastructure. The Treasury Department hack from December now appears to be part of this broader campaign, specifically targeting the Office of Foreign Assets Control which had sanctioned Chinese companies.

Bridget Bean from CISA is scheduled to discuss these threats at an upcoming cyber summit. She's been vocal that China represents "the most persistent and active cyber threat" to US networks. No kidding!

In response, critical infrastructure operators are implementing air-gapped backup systems and enhanced monitoring for the specific IOCs associated with these APT groups. The lesson here? Traditional perimeter defenses aren't enough against these sophisticated state actors.

The timing is particularly concerning as tensions over Taiwan continue to escalate. According to reports, Taiwanese government networks faced an average of 2.4 million attacks daily in 2024. Yikes!

As someone who's followed China's cyber operations for years, even I'm impressed by the strategic patience and sophistication we're seeing. This isn't random - it's preparation for potential conflict scenarios. The big question now: how will America's promised cyber retaliation actually look? I guess we'll find out soon enough!

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Dragon's Code: America Under Cyber SiegeBy Quiet. Please