What makes Net-NTLMv1 more vulnerable than Net-NTLMv2?
Net-NTLMv1's encryption is weaker because it splits the user's [NTLM hash](/news/introduction-to-windows-password-hashes-ntlm-hash-and-net-ntlm-hash) into three 7‑byte keys used for 3DES encryption of an 8‑byte Challenge. This structure allows attackers who can control the Challenge (e.g., via a man‑in‑the‑middle tool) to recover the NTLM hash in seconds using precomputed rainbow tables, as described in [the original article](/news/introduction-to-net-ntlmv1-password-hash-in-windows). Net‑NTLMv2 uses stronger HMAC‑MD5 and a variable Challenge, making such attacks infeasible.
Related article:
Introduction to Net-NTLMv1: Password Hash in Windows