TEARDROP is a memory only dropper that runs as a service, spawns a thread and reads from the file “gracious_truth.jpg”, which likely has a fake JPG header. Next it checks that HKU\SOFTWARE\Microsoft\CTF exists, decodes an embedded payload using a custom rolling XOR algorithm and manually loads into memory an embedded payload using a custom PE-like file format. TEARDROP does not have code overlap with any previously seen malware. We believe that this was used to execute a customized Cobalt Strike BEACON