Zeus Trojan History

Zeus       is a Trojan horse that steals banking information by Man-in-the-browser keystroke logging and Form Grabbing. Zeus is spread mainly through drive-by downloads and phishing schemes. First identified in July 2007 when it was used to steal information from the United States Department of Transportation, it became more widespread in March 2009. In June 2009, security company Prevx discovered that Zeus had compromised over 74,000 FTP accounts on websites of such companies as the Bank of America, NASA, Monster.com, ABC, Oracle, Play.com, Cisco, Amazon, and BusinessWeek.
The various Zeus' botnets are estimated to include millions of compromised computers (around 3.6 million in the United States).As of October 28, 2009 over 1.5 million phishing messages were sent on Facebook with the purpose of spreading the Zeus' trojan. On November 3, 2009 a British couple was arrested for allegedly using Zeus to steal personal data. From November 14–15, 2009 Zeus spread via e-mails purporting to be from Verizon Wireless. A total of nine million of these phishing e-mails were sent.
In 2010 there were reports of various attacks, among which one, in July, disclosed by security firm Trusteer, indicating that the credit cards of more than 15 unnamed US banks were compromised.
On October 1, 2010, FBI announced it had discovered a major international cyber crime network which had used Zeus to hack into US computers and steal around $70m. More than 90 suspected members of the ring were arrested in the US, and arrests were also made in the UK and Ukraine.
In May 2011, the then-current version of Zeus's source code was leaked and in October the abuse.ch blog reported about a new custom build of the trojan that relies on more sophisticated peer-to-peer capabilities.

Proliferation

The Zeus Trojan-controlled machines are in 196 countries, including isolated states such as North Korea. The five countries with the most significant instances of infected machines are Egypt, the United States, Mexico, Saudi Arabia, and Turkey. Altogether, 2,411 companies and organizations are said to have been affected by the criminal operations running the botnet.

Targeted Operating Systems

Zeus targets Microsoft Windows machines. It does not work on Mac OS X, or Linux.
In 2012, Kaspersky Lab researchers discovered five new variants of Zeus that infected BlackBerry and Android phones.

Targeted information

Every criminal can control which information he's interested in and fine tune his copy of Zeus to only steal those. Examples include login credentials for online social networks, e-mail accounts, online banking or other online financial services. The top sites with stolen login credentials, according to Netwitness' report are Facebook, Yahoo, Hi5, Metroflog, Sonico and Netlog.

Removal and detection

Zeus is very difficult to detect even with up-to-date antivirus software due to being stealthy. This is the primary reason why its malware family is considered the largest botnet on the Internet: Some 3.6 million PCs are said to be infected in the U.S. alone. Security experts are advising that businesses continue to offer training to users to prevent them from clicking hostile or suspicious links in emails or on the web while also keeping up with antivirus updates. Symantec claims its Symantec Browser Protection can prevent "some infection attempts" but it remains unclear if modern antivirus software is effective at preventing all of its variants from taking root.

FBI crackdown

FBI: The Zeus Fraud Scheme

In October 2010, FBI announced that using Zeus, hackers in Eastern Europe managed to infect computers around the world. The virus was disseminated in an e-mail, and when targeted individuals at businesses and municipalities opened the e-mail, the trojan software installed itself on the victimized computer, secretly capturing passwords, account numbers, and other data used to log into online banking accounts.
The hackers then used this information to take over the victims’ bank accounts and make unauthorized transfers of thousands of dollars at a time, often routing the funds to other accounts controlled by a network of money mules. Many of the U.S. money mules were recruited from overseas. They created bank accounts using fake documents and phony names. Once the money was in their accounts, the mules could either wire it back to their bosses in Eastern Europe, or turn it into cash and smuggle it out of the country. For their work, they were paid a commission.
More than 100 people were arrested on charges of conspiracy to commit bank fraud and money laundering. Of those, over 90 were in US, and the other arrests were made in UK and Ukraine.
Before they were caught, members of the theft ring managed to steal $70 million.

Retirement

In late 2010, a number of Internet security vendors including McAfee and Internet Identity claimed that the creator of Zeus had said that he was retiring and had given the source code and rights to sell Zeus to his biggest competitor, the creator of the SpyEye trojan. However, those same experts warned the retirement was a ruse and expect the cracker to return with new tricks.
As of 13 May 2011, the source code and compiled binaries are found to be hosted on GitHub