Case Study: How Unit21 Stops Data Leakage to Shadow AI
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When Screenshots, Clipboard Activity, & File Uploads Become Security Incidents: Lessons from a Recent Insider Threat Case

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A leading cybersecurity vendor recently terminated an employee who took internal screenshots and shared them with threat actors, who then attempted to pass off the leaked material as evidence of a system breach. While no customer data was compromised and production systems remained secure, the incident exposed a blind spot that should concern every CISO: authorized users with legitimate access becoming your biggest vulnerability.

The Attack Pattern Security Teams Miss

Here's what happened. An employee with valid credentials captured screenshots of internal dashboards and authentication pages on their workstation. They shared these images with a cybercrime group, who then used the screenshots to fabricate breach claims and attempted extortion. The employee had every right to view those screens - that was their job. The problem was what happened next: copying that data and moving it outside organizational boundaries.

This wasn't a vulnerability exploit or credential theft. It was authorized access weaponized through simple data movement - screenshot, copy, share. Your existing perimeter defenses, authentication controls, and network monitoring saw nothing suspicious because technically, nothing was.

Three Critical Gaps This Incident Reveals

1. Your DLP doesn't see the desktop

Legacy data loss prevention operates at the network or application layer. When employees capture screenshots, copy sensitive data to their clipboard, or download files to local storage before uploading to unauthorized destinations, most security stacks are completely blind. The data never touches your CASB, never triggers your email gateway, never appears in your SaaS audit logs.

Modern endpoint agents track these desktop-level actions—monitoring clipboard operations, screen captures, file downloads, and subsequent uploads across any application or browser tab. This visibility extends from sanctioned SaaS applications through AI tools to personal accounts, maintaining data lineage even when content crosses tenant boundaries.

2. You can't trace data movement after download

Once an employee downloads a file from your corporate repository to their endpoint, where does it go next? Gets uploaded to personal cloud storage? Pasted into an external AI tool? Sent via personal email? Most organizations lose visibility the moment data leaves SaaS applications.

Complete data lineage tracking follows sensitive content from source through every transformation - file downloads, clipboard copies, format conversions, renames - to final destination. When an incident occurs, security teams need the complete story: which corporate system originated the data, who accessed it, where it traveled, and what exfiltration attempt occurred.

3. Your policies don't match your actual risk

Applying the same security policies to your CFO downloading quarterly financials as you do to an intern accessing marketing materials creates either excessive friction or inadequate protection. Risk-based policies tailored to user roles, data sensitivity, and content lineage enable proportional responses - blocking high-risk exfiltration attempts while coaching employees on moderate-risk actions.

Define lineage-based rules that prevent data originating from your most sensitive applications from being uploaded to unauthorized destinations, regardless of the exfiltration channel. When customer data from Salesforce or proprietary code from GitHub attempts to leave via browser upload, email attachment, clipboard paste, or USB transfer, intelligent automation can block the action, coach the employee, or alert security operations - all with full forensic context.

What CISOs Should Do This Week

Audit your endpoint visibility. Can you detect when employees take screenshots of sensitive dashboards? Do you know when they copy proprietary information from corporate apps and paste it into personal tools? If not, you have the same blind spot that enabled this incident.

Test your data lineage. Select three sensitive files from your most critical systems. Have a trusted user download them to their endpoint, then attempt to upload to personal cloud storage or an AI tool. Can your security team trace that movement? Do they receive alerts? Can they reconstruct the complete path from source to attempted exfiltration?

Implement graduated response policies. Not every data movement requires blocking. Deploy monitor-only policies that educate employees about risky behaviors while collecting intelligence on Shadow IT and unauthorized tools. When high-risk exfiltration attempts occur - credentials, financial data, customer PII, source code, confidential company IP and more - automated blocking should activate instantly with full forensic context for investigation.

Establish privileged user monitoring. Employees with access to internal systems, dashboards, and sensitive infrastructure require additional scrutiny. Deploy comprehensive monitoring for administrators, executives, and other high-access users who could cause significant damage if compromised or malicious. This isn't about distrust - it's about recognizing that elevated access requires elevated security controls.

The next insider threat won't announce itself with malware signatures or failed login attempts. It will look like normal business activity - until someone with legitimate access decides to move your data somewhere it shouldn't go. The question isn't whether you trust your employees. The question is whether you can see what they're actually doing with your most sensitive data.

Interested to learn more about how Nightfall can help address this gap? Contact sales@nightfall.ai for a 30 minute demo.

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