Ex-White House cyber official says ransomware payment ban is a ways off | CyberScoop<\/title> <link rel=\"canonical\" href=\"https:\/\/cyberscoop.com\/ex-white-house-kemba-walden-ransomware-payment-ban\/\"> <meta property=\"og:locale\" content=\"en_US\"> <meta property=\"og:type\" content=\"article\"> <meta property=\"og:title\" content=\"Ex-White House cyber official says ransomware payment ban is a ways off\"> <meta property=\"og:description\" content=\"Kemba Walden, the former acting national cyber director, said that a ransom payment ban is the ultimate goal.\"> <meta property=\"og:url\" content=\"https:\/\/cyberscoop.com\/ex-white-house-kemba-walden-ransomware-payment-ban\/\"> <meta property=\"og:site_name\" content=\"CyberScoop\"> <meta property=\"article:published_time\" content=\"2024-04-16T21:12:45+00:00\"> <meta name=\"author\" content=\"mbracken\"> <meta name=\"twitter:card\" content=\"summary_large_image\"> <meta name=\"twitter:image\" 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visually-hidden-focusable\">Skip to main content<\/a> <\/p>\n<div class=\"ad ad--top ad--top-desktop\">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<p> <main id=\"main\" role=\"main\" tabindex=\"-1\"> <\/p>\n<div class=\"ad ad--top ad--top-mobile\">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<section id=\"stickybar\" class=\"stickybar stickybar--newsletter js-stickybar\" readability=\"0.82\"> <button class=\"stickybar__close js-stickybar-close\" aria-controls=\"stickybar\"> <svg class=\"icon icon--close\" width=\"21\" height=\"22\" viewBox=\"0 0 21 22\" fill=\"none\"><path d=\"m.822.518-.805.805L9.695 11 .017 20.678l.805.805 9.678-9.678 9.677 9.678.806-.805L11.305 11l9.678-9.677-.806-.805-9.677 9.677L.822.518Z\" fill=\"currentColor\" \/><\/svg> <span class=\"visually-hidden\">Close<\/span> <\/button> <\/section>\n<article class=\"single-article content\">\n<div class=\"single-article__container js-single-article-content\">\n<header class=\"single-article__header \" readability=\"26.242203742204\">\n<div class=\"single-article__header-content\" readability=\"31.547085201794\">\n<ul class=\"single-article__eyebrow\">\n<li class=\"single-article__category\"> <a class=\"single-article__category-link\" href=\"https:\/\/cyberscoop.com\/news\/ransomware\/\"> <span>Ransomware<\/span> <\/a> <\/li>\n<\/ul>\n<p> Kemba Walden, the former acting national cyber director, said that a ransom payment ban is the ultimate goal. <\/p>\n<\/p><\/div>\n<div class=\"single-article__cover-wrap\">\n<figure class=\"single-article__cover\"> <img data-recalc-dims=\"1\" fetchpriority=\"high\" width=\"640\" height=\"426\" src=\"https:\/\/i0.wp.com\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off.jpg?resize=640%2C426&ssl=1\" class=\"single-article__cover-image wp-post-image\" alt decoding=\"async\" fetchpriority=\"high\" srcset=\"https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg 1920w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=300,200 300w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=768,512 768w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=1024,683 1024w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=1536,1024 1536w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=600,400 600w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=252,168 252w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=506,337 506w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=1013,675 1013w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-5.jpg?resize=1265,843 1265w\" sizes=\"(max-width: 1013px) 100vw, 1013px\"><figcaption> Then-acting National Cyber Director Kemba Walden, right, with Megan Stifel, chief strategy officer for the Institute for Security and Technology, at event on ransomware in Washington in May 2023. (Photo courtesy of the Institute for Security and Technology) <\/figcaption><\/figure>\n<\/p><\/div>\n<\/header>\n<div class=\"single-article__content\">\n<div class=\"single-article__content-inner has-drop-cap\"> <html readability=\"57.930641484858\"><body readability=\"118.6757493188\"><\/p>\n<p>A ransomware payment ban remains \u201cthe North Star\u201d for U.S. cybersecurity experts looking to curtail hacking groups\u2019 leverage over companies, but \u201creal steps\u201d remain before the country can get to that point, a former White House cyber official said Tuesday.<\/p>\n<p>Kemba Walden, who served as acting national cyber director from February-November 2023, said during a House Financial Services subcommittee <a href=\"https:\/\/financialservices.house.gov\/calendar\/eventsingle.aspx?EventID=409213\">hearing<\/a> that we haven\u2019t come to a \u201cplace where the American economy is resilient enough to withstand\u201d a prohibition on companies making payments to resolve an attack. <\/p>\n<p>\u201cThe profits are still too high and the costs are still too low,\u201d said Walden, now the president of the Paladin Global Institute, a division within the venture capital firm Paladin Capital Group aimed at protecting global critical infrastructure from cyber threats. \u201cSo we need to shift that balance, and there are a number of policy options that we can take in order to get to the point where profitability is no longer a motivator for ransomware actors.\u201d<\/p>\n<p>Rep. Maxine Waters, D-Calif., ranking member of the House Financial Services Committee, asked Walden whether a congressional ban on ransom payments, with limited exceptions, would effectively \u201cstarve the criminals of their proceeds,\u201d or if a law of that kind would \u201ccause the attacks to focus on critical infrastructure, meaning those organizations that we can least afford to lose.\u201d<\/p>\n<div class=\"ad ad--inline_1 \">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<p>Walden and other witnesses testifying before the Subcommittee on National Security, Illicit Finance, and International Financial Institutions said that under current economic conditions, critical infrastructure sectors and smaller businesses would be especially vulnerable to the ill effects of a payment ban.<\/p>\n<p>\u201cIf we banned ransomware payments today, we could bankrupt the very small- and medium-sized businesses that the American economy relies upon. Think rural hospitals that serve four or five municipalities; those can go bankrupt,\u201d Walden said. \u201cWhat we need to do is prepare for the worst \u2014 prepare those organizations to be more resilient against ransomware attacks, because a ban on payments is not going to stop the attacks from happening, but it will starve those businesses.\u201d<\/p>\n<p>Megan Stifel, chief strategy officer at the Institute for Security and Technology, echoed Walden\u2019s comments about the susceptibility of small businesses, pushing for Congress to provide additional support for \u201csome early term funds available through the Department of Homeland Security\u201d and a grant program established in late 2021.<\/p>\n<p>\u201cIt is unfortunately often those who are cyber poor who are targeted for these types of incidents, which oftentimes can drive these organizations out of business,\u201d Stifel said. \u201cAnd with small businesses being the lifeblood of the American economy, they do need additional support.\u201d<\/p>\n<p>Stifel and Walden are both members of a ransomware task force that released last week a <a href=\"https:\/\/securityandtechnology.org\/wp-content\/uploads\/2024\/04\/Roadmap-to-Potential-Prohibition-of-Ransomware-Payments.pdf\">road map<\/a> to the potential prohibition of ransomware payments. The document details a multi-pronged approach for governments to make progress on that front, covering ecosystem preparedness, deterrence, disruption and response. But even if leaders \u201cmove aggressively\u201d to meet the task force\u2019s suggested milestones, it will still \u201ctake several years following the start of a process before prohibitions could be considered as one possible effective step,\u201d the report argued.<\/p>\n<div class=\"ad ad--inline_1 \">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<p>Short of a ransomware payment ban, several witnesses called out tactics to mitigate attacks, such as widespread adoption of secure-by-design products and more formalized information-sharing between the public and private sectors. <\/p>\n<p>Daniel Sergile, senior consulting director at Unit 42 by Palo Alto Networks, touted the ability of artificial intelligence to defend against cyberattacks and \u201cclear through the clutter and be able to respond automatically.\u201d And Rep. Young Kim, R-Calif., the subcommittee\u2019s vice chairwoman, broached the possibility of creating incentives for small entities to adopt proper cyber hygiene practices and training, a concept supported by several of the panelists. <\/p>\n<p>There are also workforce issues at play. Stifel said there\u2019s a shortage of cyber experts in federal agencies with investigative and enforcement powers. <\/p>\n<p>\u201cIt does take a higher degree of understanding to put the pieces together, to leverage capabilities that some of the [hearing\u2019s] witnesses have to bring greater light to the activity that\u2019s being undertaken,\u201d Stifel said. That means hiring more agents at the FBI, Secret Service and the Treasury Department who \u201chave the training necessary to understand how to leverage what is available.\u201d<\/p>\n<p>With China, Russia, Iran and North Korea as the dominant countries of concern in the ransomware space, Stifel and Walden both told subcommittee members that it\u2019s important for federal investigators to be able to communicate with big tech companies and service providers, and pair that information with blockchain analysis and forensics to have a whole picture of the ransomware threat landscape. <\/p>\n<div class=\"ad ad--inline_1 \">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<p>\u201cWe have ransomware actors that are protected in safe havens around the world,\u201d Walden said. \u201cSo we need to be able to work together in order to make sure that these ransomware criminal gangs are not operating with impunity and doing the country of concern\u2019s bidding for them. But it does take a global effort. It is not fun to withstand ransomware attacks.\u201d<\/p>\n<p><\/body> <\/p>\n<footer class=\"single-article__footer\" readability=\"3.8443396226415\">\n<div class=\"author-card\" readability=\"15\">\n<div class=\"author-card__avatar\">\n<figure class=\"author-card__image-wrap\"> <img data-recalc-dims=\"1\" decoding=\"async\" class=\"author-card__image\" src=\"https:\/\/i0.wp.com\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-1.jpg?w=640&ssl=1\" alt=\"Matt Bracken\"> <\/figure>\n<\/p><\/div>\n<p><h4 class=\"author-card__name\">Written by Matt Bracken<\/h4>\n<p> Matt Bracken is the managing editor of FedScoop and CyberScoop, overseeing coverage of federal government technology policy and cybersecurity. Before joining Scoop News Group in 2023, Matt was a senior editor at Morning Consult, leading data-driven coverage of tech, finance, health and energy. He previously worked in various editorial roles at The Baltimore Sun and the Arizona Daily Star. You can reach him at matt.bracken@scoopnewsgroup.com. <\/p>\n<\/p><\/div>\n<div class=\"single-article__tags-container\">\n<h4 class=\"single-article__tags-title\">In This Story<\/h4>\n<\/p><\/div>\n<\/footer>\n<p> <\/html><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"single-article__ads js-single-article-sidebar\">\n<div class=\"ad ad--sidebar js-single-article-sidebar-5 ad--rightrail_1 \">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<div class=\"ad ad--sidebar js-single-article-sidebar-4 ad--rightrail_2 \">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div>\n<div class=\"ad ad--sidebar js-single-article-sidebar-3 ad--rightrail_3 \">\n<div class=\"ad__inner\"> <span class=\"screen-reader-text\">Advertisement<\/span> <\/div>\n<\/div><\/div>\n<\/article>\n<div class=\"popular-stories popular-stories--single-post\">\n<div class=\"popular-stories__container\">\n<h2 class=\"popular-stories__title\"> More Scoops <\/h2>\n<div class=\"popular-stories__stories\">\n<div class=\"popular-stories__cards\">\n<article class=\"post-item post-item--popular-stories-cards \" readability=\"19.135922330097\">\n<figure class=\"post-item__thumbnail\"> <a class=\"post-item__thumbnail-link\" href=\"https:\/\/cyberscoop.com\/international-ransomware-summit-white-house-russia\/\" tabindex=\"-1\"> <img data-recalc-dims=\"1\" loading=\"lazy\" width=\"500\" height=\"337\" src=\"https:\/\/i0.wp.com\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-2.jpg?resize=500%2C337&ssl=1\" class=\"attachment-ratio-16-9-md size-ratio-16-9-md wp-post-image\" alt decoding=\"async\" loading=\"lazy\" srcset=\"https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg 1920w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=300,202 300w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=768,518 768w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=1024,691 1024w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=1536,1036 1536w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=600,405 600w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=249,168 249w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=500,337 500w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=1001,675 1001w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-6.jpg?resize=1250,843 1250w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\"> <\/a><figcaption class=\"screen-reader-text\"> The White House in Washington, D.C. 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src=\"https:\/\/i0.wp.com\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-4.jpg?resize=252%2C168&ssl=1\" class=\"attachment-ratio-16-9-sm size-ratio-16-9-sm wp-post-image\" alt=\"threat landscape hearing\" decoding=\"async\" loading=\"lazy\" srcset=\"https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg 1920w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=300,200 300w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=768,512 768w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=1024,683 1024w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=1536,1024 1536w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=600,400 600w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=252,168 252w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=506,337 506w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=1013,675 1013w, https:\/\/ddi.mohflo.net\/wp-content\/uploads\/2024\/04\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off-8.jpg?resize=1265,843 1265w\" sizes=\"auto, (max-width: 252px) 100vw, 252px\"> <\/a><figcaption class=\"screen-reader-text\"> Sens. Gary Peters, D-Mich., and Rob Portman, R-Ohio, speak to Secretary of Homeland Security Alejandro Mayorkas, right, after a Senate Homeland Security and Governmental Affairs hearing Sept. 21, 2021 in Washington, D.C. (Photo by Greg Nash \u2013 Pool\/Getty Images) <\/figcaption><\/figure>\n<header class=\"post-item__meta\">\n<h3 class=\"post-item__title\"> <a class=\"post-item__title-link\" href=\"https:\/\/cyberscoop.com\/incident-reporting-legislation\/\"> The long, bumpy road to cyber incident reporting legislation \u2014 and the one still ahead <\/a> <\/h3>\n<div class=\"post-item__byline\"> <span class=\"post-item__author\"> <span>By <\/span> <a class=\"post-item__author-link\" href=\"https:\/\/cyberscoop.com\/author\/tim-starkscyberscoop-com\/\"> Tim Starks <\/a> <\/span> <\/div>\n<p> <\/header>\n<p> <\/article>\n<\/p><\/div>\n<\/p><\/div>\n<p> <\/div>\n<p>\n<\/div>\n<p> <\/p>\n<section class=\"latest-podcasts\">\n<h2 class=\"latest-podcasts__title\"> Latest Podcasts\t<\/h2>\n<\/section>\n<div class=\"top-categories\">\n<div class=\"top-categories__container\">\n<h3 class=\"top-categories__category-title\">Government<\/h3>\n<\/p><\/div>\n<div class=\"top-categories__container\">\n<h3 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{"id":3115,"date":"2024-04-16T16:12:45","date_gmt":"2024-04-16T21:12:45","guid":{"rendered":"https:\/\/cyberscoop.com\/?p=80154"},"modified":"2024-04-16T16:12:45","modified_gmt":"2024-04-16T21:12:45","slug":"ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off","status":"publish","type":"post","link":"https:\/\/ddi.mohflo.net\/index.php\/2024\/04\/16\/ex-white-house-cyber-official-says-ransomware-payment-ban-is-a-ways-off\/","title":{"rendered":"Ex-White House cyber official says ransomware payment ban is a ways off"},"content":{"rendered":"