A 21-year-old Minnesota man who operated under the online alias “Snoopy” was sentenced Tuesday to 18 months in federal prison for his role in a 2022 credential stuffing attack that compromised roughly 60,000 user accounts on the fantasy sports and betting platform DraftKings, resulting in hundreds of thousands of dollars in losses to customers.

Nathan Austad pleaded guilty in December to one count of conspiring to commit computer intrusion in the U.S. District Court for the Southern District of New York, which imposed the sentence. In addition to the prison term, Austad was ordered to serve three years of supervised release, pay over $1.3 million in restitution, and forfeit an additional $463,000.

In November 2022, Austad and his co-conspirators launched the attack against DraftKings via credential stuffing, successfully compromising approximately 60,000 accounts. In roughly 1,600 of those cases, the attackers added a new payment method under their own control to the compromised account and withdrew the available funds, stealing approximately $600,000 in total.

Access to the remaining compromised accounts was sold through cybercriminal marketplaces. Austad operated his own such shop, named after the Peanuts comic strip character Snoopy. Investigators also identified cryptocurrency accounts under Austad’s control that received approximately $465,000 in assets, including proceeds from his criminal activity.

Among the evidence presented in court were private messages in which Austad and his co-conspirators acknowledged that federal investigators were examining their activities even as the scheme was ongoing. In Dec. 2022, Austad wrote to a co-conspirator: “everyone shouldve been prepared for this before cashing out lol.” The co-conspirator replied: “lol fbi can’t do s–t.” Months later, Austad wrote: “like we didnt know the risk when we started lol . . . everyone knows their [sic] committing fraud.”

U.S. Attorney Jay Clayton cited those exchanges in his statement following the sentencing.

“The defendants acknowledged the federal investigation into their conduct while they were committing their crimes, even having the hubris to say the FBI could not do anything about it,” Clayton said. “They were wrong.”

DraftKings disclosed the breach in Nov. 2022, initially reporting that less than $300,000 had been stolen from affected customers. A month later, the company revised that figure, disclosing that 67,995 accounts had been compromised. 

Federal prosecutors have not officially named DraftKings in court filings, referring to the target as a “fantasy sports and betting website,” though the details of the attack match the breach the company disclosed publicly.

Austad is the third defendant to be sentenced in the case. Joseph Garrison received 18 months in prison in January 2024, and Kamerin Stokes, who used the alias “TheMFNPlug,” received 30 months in April 2026. 

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In a novel maneuver for a disruption operation against cyber attackers, industry and law enforcement teamed up to conduct a court takedown of two widely-used criminal tools at once rather than individually, Microsoft said Tuesday.

The takedown simultaneously went after Amadey, a botnet that can serve as a malware delivery system, and StealC, an infostealer. Cybercriminals often use them in conjunction and they rely on the same infrastructure, Microsoft said.

“When multiple parts of an operation are disrupted together, attacks are harder to launch, scale, and recover from,” said Steven Masada, assistant general counsel for Microsoft’s Digital Crimes Unit. “The result: fewer disrupted services, fewer opportunities for cybercriminals to profit, and more friction when they try to rebuild. It’s no longer enough to go after threats one by one. We need to interrupt how the attacks are put together.”

Microsoft had been tracking Amadey with ESET, BitSight, Lumen and Mitsui Bussan Secure Directions. Meanwhile, Europol had been investigating StealC alongside law enforcement partners including Germany’s Federal Criminal Police Office and the Dutch and Danish National Police as well as IBM X-Force and Proofpoint.

They then joined forces and turned to the Racketeer Influenced and Corrupt Organizations (RICO) Act, used to help authorities go after organized crime, to disrupt more than 200 command-and-control servers. Microsoft said it gained insights from its artificial intelligence product Copilot that “allowed the legal team to treat both malware families as part of a single criminal conspiracy.”

Microsoft regularly leads court-authorized disruption operations, but the industry and law enforcement partnerships combined with AI to expand data collection and identify connections beyond what one company could normally do, it said.

Amadey and StealC were linked to more than 140,000 infected computers around the globe in the first week of May alone, the company said. StealC has ranked among the top infostealers for years since its emergence in 2023 and sells in underground forums as a malware-as-a-service. It’s typically used by Russia-linked groups.

Amadey dates back to 2018, and is also commonly employed by Russian groups, including in attacks on Ukraine.

Their interaction shows the assembly line-like structure of modern cybercrime, Microsoft said. Even if the cybercriminals behind both tools never coordinate, their tools are designed to work together, it said.

“StealC is an infostealer that collects sensitive data from browsers, cryptocurrency wallets, messaging applications, email clients, and gaming platforms,” the company wrote in a separate blog post. “It is a malware-as-a-service (MaaS) offering that threat actors use to generate customized payloads and manage stolen data through a centralized web panel. Meanwhile, Amadey is a MaaS loader that threat actors use to deliver StealC and other malware. Modular, pay-as-you-go models like StealC and Amadey allow threat actors to use a single initial infection to quickly escalate into multiple other threats.”

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The Justice Department on Tuesday said it has seized infrastructure tied to what officials called one of the world’s most prolific criminal marketplaces, used to commit cyber scams and other crimes.

The seized cloud computing account hosted backend infrastructure used by subsidiaries of the Huione Group, a Cambodia-based corporate conglomerate.

At the same time, the Treasury Department announced fresh sanctions and more against Huione and affiliated companies. The administration actions Tuesday add to disruption efforts from last fall against pieces of the same network.

The Trump administration has placed an emphasis on combating transnational cybercrime and other kinds of scams and fraud.

The seized cloud computing account was used to operate Huione Guarantee, also known as Haowang Guarantee, according to Tuesday’s DOJ announcement.

“The Huione Group used this cloud computing account as part of a technological backbone that allowed billions in fraud proceeds to be transferred, moved, and concealed — much of it stolen through Southeast Asian scam centers,” said Tysen Duva, assistant attorney general of the Justice Department’s Criminal Division. “Seizures of these marketplaces is critical in the fight against fraud that affects so many Americans, and to stop avenues for criminal proceeds to be laundered.”

U.S. officials allege that Huione Guarantee operated Telegram channels with discussions about illicit goods and services, including the sale of stolen credit card and sensitive personal information, malware-enabled thefts, human trafficking schemes and the laundering of money from romance and investment scams. Huione Guarantee also allegedly offered escrow services for criminals such as money launderers for cryptocurrency.

Treasury took two steps Tuesday to build on its move in October to sever Huione Group from the U.S. financial system. One was to tack H-Pay Service onto its rule for Huione Group as a successor entity. And it slapped nine people and 26 entities linked to Prince Group with sanctions.

“Huione Group served as a critical node for laundering proceeds of cyber heists and virtual currency investment scams and was used by the Prince Group to transfer and consolidate scam-derived assets,” Treasury’s announcement states.

Also last October, the Justice Department said it seized bitcoin valued at $15 billion from the chairman of the Prince Group, Chen Zhi, and indicted him over alleged cryptocurrency crimes and other schemes. 

An alleged key figure in Chen’s criminal network has been arrested in Cambodia and extradited to China.

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An Algerian man known online as “SPOX” was extradited from Spain and charged with running a black-market cybercrime operation that prosecutors say defrauded thousands of victims and funneled roughly $900,000 through a cryptocurrency account over a three-year period.

Abdellah Belmili, 26, made his initial appearance Monday in the U.S. District Court for the Western District of New York in Buffalo. He faces a single count of conspiracy to commit bank fraud, which carries a maximum sentence of 30 years in prison. 

He was extradited from Spain earlier this month.

Federal investigators say Belmili allegedly created and administered at least two illicit online marketplaces, market0day.com and spoxy.us, that operated similarly to commercial e-commerce platforms. The marketplaces sold financial credentials, phishing kits, compromised email server access, and other tools used to carry out fraud. All transactions on the sites were conducted in Bitcoin.

According to court documents, the FBI became aware of the marketplaces in September 2020 through a confidential source. The site’s administrator was already known to investigators as a prolific creator of phishing kits targeting major U.S. financial institutions.

In 2020, undercover FBI agents used the marketplace to buy a phishing kit designed to replicate JPMorgan Chase’s login page and capture victims’ personal information. Agents also purchased access to a compromised email server. A third item — access to a website control panel — was paid for but never delivered, prompting customer complaints on Belmili’s Telegram channel.

Shortly after those complaints surfaced, Belmili announced he was closing market0day.com and redirecting customers to a new site, spoxy.us, which he described as a “new store for bulk sms,” which typically refers to mass phishing via text message. 

The new site used the same template, color scheme, and navigation structure as its predecessor and was registered using the stolen identity of a 77-year-old Texas resident.

Investigators identified Belmili through a combination of open-source research, search warrants, and records obtained from technology and financial companies. Early versions of his phishing kit code contained his full name, “Dila Belmili,” embedded in the source alongside his Telegram handle and a link to the marketplaces. Facebook accounts linked to the alias “spox_coder” listed “Dila Belmili (spox)” as the display name, and customers had posted complaints about phishing kit purchases directly on his profile.

Records obtained from Google showed that Belmili used his personal email account to search for financial institution logos, hacking tools, and methods for generating fake identities and credit card numbers. The same account received approximately 1,400 emails containing victims’ stolen personal information from active phishing kits targeting American Express, Bank of America, Cash App, JP Morgan Chase, PayPal, and Wells Fargo.

Investigators also found that Belmili had built hidden backdoors into phishing kits he sold to other criminals, allowing him to continue harvesting victim data even after the kits changed hands.

Records from cryptocurrency exchange Binance showed approximately $900,000 deposited into an account registered to Belmili between Jan. 2020 and Jan. 2023. Of that amount, roughly $760,000 was transferred to other accounts or converted into other forms of cryptocurrency, while approximately $41,000 was withdrawn from ATMs. 

In total, investigators identified approximately 595 distinct phishing kits created by Belmili. Analysis of victim data exported to Telegram pages and email accounts linked to the operation identified roughly 5,600 victims in the United States and internationally.

“This defendant thought that he could get away with defrauding thousands of victims out of hundreds of thousands of dollars by using fake names and hiding behind a keyboard to steal bank account and credit card numbers,” said U.S. Attorney Michael DiGiacomo in a release. “This arrest makes clear that, regardless of where you operate, our law enforcement partners will find you – and when they do, you will face the full consequences of your actions.” 

You can read the court documents below. 

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Authorities on Thursday disrupted a botnet, a malware framework and seized infrastructure that Evil Corp and other cybercrime groups used to steal data and break into various networks.

The globally coordinated effort targeted SocGholish, multi-stage malware that has compromised websites, redirected users to traffic distribution systems (TDS) and slipped malware into their networks since 2017.

“The malware establishes an initial foothold into victim computers, collectively known as a botnet, and is then used by threat actors for further targeting with ransomware campaigns and espionage,” the FBI’s cyber division said in a statement. 

Cybersecurity firms, researchers and officials from the United States, Canada, Germany, the Netherlands and Europol took down 106 servers and remediated nearly 15,000 sites that were infected with the malware. Officials also disabled the botnet and notified victims.

Sites infected with SocGholish, which are primarily hosted on WordPress, were widespread and provided everyday services including restaurants and auto repair shops, according to the Dutch National Police. 

The botnet, also known as “FakeUpdates,” is linked to the Russian cybercrime group Evil Corp. It also provided initial access to other ransomware variants, including DoppelPaymer, WastedLoocker, Hades Ransomware, LockBit, RansomHub and others, according to Infoblox, which participated in the takedown. 

Proofpoint, which also participated in the disruption, described Evil Corp as one of the most prominent cybercrime groups in operation and the “grandfather” of a threat type that compromises websites and uses TDS to redirect users to malware.

Following the takedown, the FBI issued a public service announcement warning about cybercriminals using TDS to break into victim networks for ransomware or other financial scams. 

Cybercriminals redirect traffic from sites to bypass firewalls, obscure their activity, identify potential victims and send them to phishing pages to steal credentials, initiate financial scams, access networks, deliver other malware, and sell access to other cybercriminals, officials said.

The law enforcement action was part of Operation Endgame, a multinational effort targeting cybercrime since 2024, and more narrowly for the FBI part of Operation Riptide, an ongoing campaign targeting cybercriminals and the infrastructure and financial networks they use to commit fraud.

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The Senate Judiciary Committee approved a new bill this week that seeks to prevent unauthorized deepfakes of American artists, performers and public figures. While the bill sailed through a committee voice vote, both Senators and outside groups say they’re worried it could become a tool for the powerful to quash free speech. 

The NO FAKES Act, introduced by Sens. Chris Coons, D-Del., and Marsha Blackburn, R-Tenn., would give Americans near-exclusive rights to their own digital AI replicas, and those rights live on, passing to heirs, executors and estates for at least 70 years after an individual dies.

While living, creators would be able to essentially license their likeness and image to others, over 10-year contracts for adults and 5 years for minors.

It would also permit individuals to sue anyone who uses their AI-generated image without permission, and pay up to $750,000 for violations. Blackburn submitted letters of support for the bill from more than 40 groups, including the Screen Actors Guild – American Federation of Television and Radio Artists, the American Medical Association, Creative Artists Agency, the Broadcasters’ Associations and the Human Artistry Campaign.

“It is imperative that we put this national standard in place for voice and visual likeness protection of creators, to protect from proliferation of harmful AIgenerated deepfakes that are created without their consent,” said Blackburn in a Thursday markup of the bill.

The introduction of consumer-grade AI tools has made it trivial to create convincing deepfakes of real individuals and public figures. The harms are well documented: bad actors have used them to create nonconsensual pornography or sexualized media of people they know, create child sexual assault material (CSAM) , and blackmail or humiliate individuals.

Artists have faced real challenges in the AI era when it comes to controlling their digital likeness. Last year, the Better Business Bureau warned that its Scam Tracker had been flooded with complaints about AI-celebrity endorsement scams. These included  deepfakes of Oprah Winfrey promoting weight loss products, Kim Kardashian pleading for donations to fight California wildfires, and pop star Taylor Swift and celebrity chef Gordon Ramsay endorsing cookware.

In the political arena, candidates now create deepfakes of their political opponents, putting words into their mouths or placing them in embarrassing or humiliating situations. Online, disinformation actors have repeatedly spread AI-generated videos and images of politicians like Donald Trump, Kamala Harris, and even regional or local politicians saying or doing scandalous things.

The bill represents one of the most aggressive attempts by U.S. policymakers to protect the digital commercial rights of artists and public figures. New York, for instance, passed a law this month that requires film and television advertisers to publicize when they’re using deepfakes in ads, but does not create a similar copyright regime for artists’ likeness. A Tennessee law, The ELVIS Act, that prohibits the unauthorized use of an individual’s voice and likeness and creates secondary liability for large platforms that publish or distribute the content.

The NO FAKES Act faces opposition from an alliance of tech business and digital rights groups. They argue the bill  fails to balance the commercial rights of artists to control their own image with longstanding First Amendment constitutional rights to free speech and parody.

Amy Bos, vice president of government affairs at NetChoice, a trade association for online businesses, said that while her group supports legislation that prevents unauthorized AI generated deepfakes, “good intentions do not make good law.”

“As written, this bill creates a dangerous financial incentive for platforms to aggressively over-remove lawful content, burdens creators with an unworkable counter-notification system, and fails to deliver the uniform national standard its sponsors promised,” Bos said in a statement.

Many digital civil groups agree with that view. A broad coalition of policy groups – including the American Civil Liberties Union, the R-Street Foundation, the Center for Democracy and Technology, the Electronic Frontier Foundation and others – wrote to the Senate Judiciary Committee this week to urge members to oppose the bill in its current form.

They argued the current bill creates a “Heckler’s veto” over most online content, allowing artists, public figures and advocacy groups to flood the notification system with takedown requests for content they don’t like. Similar to a law already on the books, the Digital Millenium Copyright Act, virtually all the incentives in the bill push platforms to be overaggressive in taking down content, regardless of whether it violates the law or not.

This approach could end up quashing not just unauthorized ads but also scores of other likely First Amendment protected uses, such as education, humor, satire and parody.

In 2023, a humorous AI-generated image of Pope Francis in a puffy Balenciaga jacket went viral. Under the NO FAKES Act, the coalition says that post would be illegal for anyone to post until nearly 2100.

In the political arena, both Republicans like Trump and Democrats like California Governor Gavin Newsom have used AI deepfakes to skewer their political opposition.

“A law that undermines free expression will struggle to survive constitutional review,” the groups wrote. “In the meantime, it can do lasting damage, both to lawful speech and to the autonomy of the people it claims to protect. We urge the Committee not to advance the NO FAKES Act in its current form, to examine how existing state and federal law already addresses the legitimate harms the bill seeks to address, and to pursue narrowly tailored solutions only where a genuine gap remains. We would welcome the opportunity to assist.”

While the bill passed by voice vote and with broad support, multiple Republican and Democratic members of the committee said they had similar concerns and expressed a desire to continue tweaking the bill further before passage into law.

In the Senate meeting, Coons appeared to dismiss those charges, arguing that changes made to the bill ahead of markup adequately address any First Amendment concerns.

“I want to be clear, NO FAKES includes features that protect free speech,” Coons claimed. “Parody, satire documentaries, biopics, newscasts, they’re all protected and we built in appropriate counter notification processes and exempted research libraries and archives.”

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TeamPCP is on a rampage through open-source software.

In less than four months, the threat actor has compromised and injected malicious code into more than 1,000 software packages. The extraordinary spree has transformed how software developers and maintainers distribute and manage their code, as their dependencies and repositories have become one of the most effective and prevalent attack vectors this year.

While there has been a host of technical exploits, TeamPCP’s greatest attack has been the uprooting of trust — repeatedly proving that most organizations fail to verify the code they ingest into their systems is legitimate, abusing a nearly blind faith that much of the software development industry relies on to power today’s modern economy.

Starting with Trivy in February, TeamPCP’s attacks have shaken that trust many times over.

The scale of TeamPCP’s attacks lies partly in the automated systems companies use to deploy code, like CI/CD pipelines. It is also capitalizing on new security gaps created by developers’ increasing reliance on AI. Yet, with relatively low effort and unoriginal tactics, TeamPCP is wrecking open-source frameworks and underlying systems at levels the technology community has rarely reckoned with.

“Developers didn’t do a great job of analyzing the security of their open-source dependencies before but, now with AI, there’s in some cases virtually no human in the loop or any kind of sanity check on what these tools are doing,” Feross Aboukhadijeh, founder and CEO at Socket, told CyberScoop.

“You have agents installing packages that haven’t been vetted,” he said. “When an attacker gets in, the impact is even broader because there’s less checks and balances to stop it from affecting everybody.”

TeamPCP hasn’t identified a new problem or proved anything novel. The crux of these attacks hinge on a central theme — defensive vulnerabilities the entire software industry has known about for years. Researchers and developers know the open source trust model is broken and susceptible to sabotage. Yet, the software industry has not fixed this problem. 

“The speed and scale of these attacks is what makes it most notable, not necessarily the methodology behind it, because at the core it is really about exploiting third-party trusts that we have,” said Kimberly Goody, senior manager at Google Threat Intelligence Group.

Software packages are typically subjected to intensive security monitoring to test for vulnerabilities and poisoned updates before they are released to live environments. 

Yet, the real vulnerability highlighted by TeamPCP lies further up the chain of command with the organizations or individuals that publish these packages to the wider market, according to Nathaniel Quist, manager of cloud threat intelligence at Palo Alto Networks.

“It is their responsibility to secure their credentials and not provide a jump off point to trigger a supply-chain event,” he said. “Everything that interacts with or crosses through that zone must be highly monitored and controlled to ensure a compromise can be contained quickly and easily.”

TeamPCP’s motivation

TeamPCP, like any prolific cybercriminal, has captured significant attention from threat hunters since it emerged in late 2025. Google attributes the activity to one core operator.

The company said it traced TeamPCP’s residential and mobile IP address connections to South Africa, indicating the primary operator was located there during at least some of its attacks.

“We don’t believe that there’s an established core group, at least not yet, and that a lot of this has been conducted by an individual,” Goody said. Google declined to name the core operator or confirm it knows the person’s true identity. 

Palo Alto Networks said the core manager of TeamPCP uses the “ResoluteXBF” handle on multiple platforms. The cybersecurity firm is also tracking two additional core members: “diencracked” and “Shinigami.”

If TeamPCP is primarily run by one person, law enforcement has a rare opportunity to make a lasting impact with a single arrest.

TeamPCP has collaborated with other cybercriminals, but most of those partnerships were short-lived and ended in a public feud or otherwise failed to get off the ground in any meaningful way, Goody said.

Researchers have linked TeamPCP to extortion crews, dark web forums and affiliates including Lapsus$, ShinyHunters, Vect, DragonForce, BreachForums and “HasanBroker.” TeamPCP listed about 4,000 private code repositories on a dark web forum with an asking price of $95,000.

The actions to date, including unpredictable behavior, indicate motivations beyond financial gain and a “clear desire for notoriety,” Goody said. “They seem to like to make chaos.”

Quist draws the same conclusion from his months-long investigation, noting that it encourages other cybercriminals to get in on the action, at one point offering financial rewards for the largest software supply-chain attack. 

TeamPCP isn’t in the game for extortion payments, he said. “These actors are more interested in the underground street cred they are gaining” and “causing as much damage and mayhem as possible.”

Victims abound, but exposure limited

TeamPCP has been remarkably noisy, opportunistically injecting malware into open-source software for the purpose of stealing credentials for Kubernetes environments, Amazon Web Services, Microsoft Azure, Google Cloud and many other connected services.

The group’s claimed victim list is staggering: Checkmarx, Bitwarden, LiteLLM, Telnyx, Mercor AI, PyTorch Lightning, AntV, SAP, GitHub, TanStack, UiPath, MistralAI, Microsoft DurableTask, Red Hat and Nx Console.

The full collection of packages compromised or poisoned by TeamPCP to date accounts for roughly 500 million weekly downloads combined, according to Quist.

While the breadth of potential downstream compromise flowing from those downloads is substantial, many endpoints infected with those malware-riddled packages aren’t exposed to the internet and less susceptible to attack, he added.

“I don’t think there’s going to be a very extremely large number of victims,” Quist said. “There’s going to be a lot of people who potentially could be compromised and have potentially vulnerable packages in their environment, but that doesn’t necessarily mean they’re in an exploitable position.”

While these incidents have grabbed headlines, TeamPCP hasn’t accumulated payouts nearly as large as other cybercriminals. The broader reputational impact it has wrought, however, is massive.

TeamPCP has publicly claimed more than 10,000 victims and about $90,000 in extortions, according to Quist.

“They might not be making a lot of money, but they are causing a lot of impact,” Goody said. “Their campaigns have been very disruptive.”

How TeamPCP’s operating model targets development

TeamPCP’s victim list has grown as its hijacked open-source repositories on npm, PyPI, GitHub and other outsourced developer tools that are incorporated into upstream code running in production environments.

Developer laptops and other endpoints that are assigned to install, build and publish software widely contain keys and access to source code that create incredibly valuable supply-chain targets for attackers, Amitai Cohen, head of the attack vector intel team at Wiz, explained during a June presentation on TeamPCP at SleuthCon in Arlington, Va. 

The group targets CI runners, which are automated systems that build, test, and publish code. TeamPCP injects malware into the code repositories these runners maintain. When other developers pull that code into their own systems, they unknowingly download the malware alongside it. 

Some of these artifacts, including Python libraries, npm registries and GitHub Actions, are downloaded almost immediately by thousands or millions of developers who’ve set their runners up to consistently pull the latest version, according to Cohen. “We as a security industry have taught them that that is the right thing to do. You want to use the latest version because you want to be protected against vulnerabilities, and obviously you want to benefit from all the latest features.”

That instinct is exactly what TeamPCP exploits. By compromising one company’s CI/CD workflow, the group gains access to every downstream user who automatically pulls that infected code. “This is what allows [TeamPCP] to leverage initial access to some patient zero, some company that had a vulnerability in their CI/CD workflow, in order to gain access to their downstream users,” Cohen said. “That’s just how the software supply chain works. Everything has dependencies upon dependencies upon dependencies.”

Some of the packages compromised by TeamPCP were live for almost 13 hours, but security practitioners have responded by identifying code-injection attacks much quicker now, pulling some compromised repositories within 15 minutes, said Ben Read, director of strategic intelligence at Wiz.

The threat group’s operations remain high-tempo. TeamPCP infects new software packages almost daily, validates compromises and captures sensitive data within 24 hours, according to Wiz researchers.

The threat group has consistently evolved its tactics, developing payloads in JavaScript and Python while spreading from local files to Kubernetes application programming interfaces and bundled software development kits. Most recently, it’s been stealing credentials via custom protocols. 

The group’s ambitions have expanded beyond its own attacks. TeamPCP is also responsible for a self-replicating piece of malware known as Mini Shai-Hulud, which infected hundreds of software packages across open-source registries in back-to-back attack sprees last month. A TeamPCP affiliate published the full source code for the malware on GitHub last month and encouraged other cybercriminals to use it for their own campaigns.

“TeamPCP is going for volume. They are not being discriminating, they’re not necessarily trying to be stealthy or trying to maximize ROI. They’re going for an all-of-the-above strategy,” Read said during the Sleuthcon presentation.

Defensive gaps create openings for attack

TeamPCP’s attack spree has also underscored how difficult it is for organizations to revoke compromised secrets. Multiple victims have experienced recurring infections, sometimes falling prey to TeamPCP three times within a month, because they didn’t rotate secrets properly, Cohen said. 

At its core, these attacks highlight a direct trade-off organizations accept when they update software quickly to fix vulnerabilities, but learn that doing so too quickly could expose them to illegitimate registries containing malware.

TeamPCP has targeted what Aboukhadijeh describes as a “public good,” open-source registries that were never perfect but widely trusted and rarely turned into a point of entry for supply-chain attacks. 

Rapid open source software installation is one of the most dangerous things an organization can do right now, he said, adding that there’s a roughly 1 in 10 chance that any package installed by an organization could trigger an active attack. 

TeamPCP has compromised security scanners, password managers, automation tools, data visualization software, and CI/CD infrastructure across various environments.

And it’s lifted a trove of credentials and other sensitive data from victims.

Researchers like Cohen at Wiz, who have been tracking this attack spree since the beginning, are nearing a breaking point. 

“This is also too hard on us. We’re very tired. I’m sure a lot of people working on this problem space are very tired, and it’s just kind of become untenable,” Cohen said.

“You can’t keep existing in a world where you wake up every morning and some super prevalent package is compromised and everybody’s just going to be using it like nothing,” he added. “We need to start taking this a bit more seriously.”

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The FBI, along with Google and Lumen Technologies, took down a major cybercrime network based in China that was responsible for an estimated $1.9 billion in losses, officials said Friday. 

Outsider, which provided phishing kits and hosted infrastructure for cybercriminals since July 2023, facilitated a wave of phishing attacks against people and businesses in 55 countries, including the United States, the FBI said in a LinkedIn post.

The jointly coordinated effort dubbed “Operation Ghost Hook” netted the seizure of several domains of the group’s core admin servers, a Shopify storefront, roughly $100,000 from Outsider payment wallets and thousands of domains registered through U.S.-based providers, officials said.

The FBI said it also used an Outsider Telegram bot to access information on the cybercrime network’s customers.

“The criminals behind Outsider Enterprise built a business out of impersonating trusted brands to defraud hundreds of thousands of victims,” Brett Leatherman, assistant director of the FBI’s cyber division, said in a statement.

Authorities traced Outsider’s phishing domains to nearly 3.9 million stolen credit cards.

Google, one of the vendors impersonated by the phishing kits, described Outsider as a massive AI-powered operation. 

Outsider provided its phishing kit, which allowed cybercriminals to create fake sites and phishing campaigns to steal credit cards, bank account credentials and personal data, for a weekly subscription as low as $88 per week, the company said in a civil lawsuit it filed to dismantle the cybercrime network’s infrastructure. 

The China-based group behind the operation encouraged and provided step-by-step instructions for customers to use Gemini and other AI platforms to generate custom code for phishing lures and corresponding sites for illegitimate missed packages, overdue highway tolls, parking violations, issues with a brokerage account or wireless carrier rewards.

“The Outsider software allows scammers to request multiple types of verification from victims, including SMS, PIN, email and app verification,” Google wrote in the lawsuit filed in the U.S. District for the Southern District of New York. “This flexibility enables the enterprise to defeat various forms of authentication security.”

Google said it’s working with AT&T, T-Mobile and Verizon to intercept the spam messages before they reach customers, but these types of phishing attacks are prevalent and have been spreading for years. 

Google is also pushing for legislative action, including a series of bills, to combat these scams, General Counsel Halimah DeLaine Prado wrote in a blog post.

“Litigation alone won’t end this,” she wrote. “As threats evolve, our laws must, too.”

Google said it doesn’t know the real names of the people or entities involved in Outsider, but said the operation is supported by multiple cybercrime groups providing different roles with overlapping infrastructure.

The FBI said the takedown was part of Operation Riptide, an ongoing campaign targeting cybercriminals and the infrastructure and financial networks they use to commit fraud.

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The U.S. Departments of Justice and Homeland Security seized multiple internet domains this week, accusing them of being used to publishing thousands of AI or digitally-altered images and videos of nude women.

The domains, CFAKE.com and SOCFAKE.com, specialized in digital forgeries that “were made to appear to be sexual images of famous women, including politicians, first ladies of multiple countries, royalty, journalists, television presenters, athletes, entertainers, and others” either nude or engaged in sexual activity,” according to a Department of Justice release.

In addition to creating sexual images and videos of women without their consent, the service allowed people to browse by topics, including “rape,” “forced,” and “degradation.”

That description comes from a Department of Justice release describing the contents of its probable cause affidavit and search warrants. CyberScoop has not viewed the court documents.  

The sites were seized under the TAKE IT DOWN Act, a law passed last year giving federal authorities the ability to criminally prosecute those who create and distribute deepfake porn. The law was a rare moment of bipartisan agreement in Washington D.C., gaining support from both Democrats and Republicans who said their constituents were demanding tougher laws to curb the use of AI to create nonconsensual deepfake porn.

The operation marks one of the largest seizures since the law went into effect. The details of the operation disclosed by the government show how creators of deepfake porn rely on a web of international assets and infrastructure to evade law enforcement.

Robert Fraiser, U.S. Attorney for the District of New Jersey, said U.S. authorities worked in coordination with law enforcement agencies in France and Italy. According to U.S. officials, they were first notified about the website by Italian Polizia de Stato, while a parallel investigation run by the Paris Public Prosecutor’s Office in France resulted in the arrest of a suspect connected with the site, along with seized cryptocurrency funds.

“These seizures stopped a website that trafficked in humiliation, exploitation, and the violation of personal privacy on a massive scale,” said Frazer in a statement. “For the victims whose images were distributed without their consent, the harm is not virtual — it is deeply personal and often enduring.”

According to the Paris Prosecutor’s Office, Cyrille B., a 47-year-old French national was arrested and accused of being an administrator for CFAKE. A search of his home in Nice found computer equipment related to the site and a little more than $48,000 in Ethereum cryptocurrency that they said came from the site’s advertising.

The French investigation identified 300,000 images, 7,000 videos depicting 14,000 individuals from different countries. The site had approximately 200,000 user accounts, 4 million views per month and uploaded 50 pieces of new content every day.

The suspect had no prior criminal record, and will go to trial on July 7. The charges carry potential penalties of up to seven years in prison and €500,000.

U.S. Immigration and Customs Enforcement’s Homeland Security Investigation division is leading the federal investigation, in conjunction with the U.S. Attorney’s office for New Jersey.

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A longtime former member of Conti, a ransomware group that attacked more than 1,000 organizations globally before it disbanded in 2022, pleaded guilty to participating in some of those attacks in federal court Wednesday, the Justice Department said.

Oleksii Oleksiyovych Lytvynenko, also known as Alexsey Alexseevich Litvinenko, admitted he joined the prolific cybercrime group in September 2021 and held data on 12 victims, including eight based in the United States. The 44-year-old told the court he developed malware that Conti used in some of its attacks, according to officials. 

“The defendant and his conspirators used the Conti ransomware to terrorize people and businesses in the United States and around the world, causing millions of dollars in damage,” A. Tysen Duva, assistant attorney general of the Justice Department’s criminal division, said in a statement.

Lytvynenko and his co-conspirators used the ransomware to attack more than 1,000 victims globally, ensnaring victims in 47 states, Washington, Puerto Rico and about 31 countries, according to the Justice Department. The FBI estimates Conti extorted more than $150 million in ransom payments from victims.

The Ukrainian national pleaded guilty to conspiracy to commit wire fraud and faces up to 20 years in prison upon sentencing, which is scheduled for Sept. 10. 

Lytvynenko was arrested in Ireland in July 2023, extradited to the United States in October 2025, and remains in federal custody in Tennessee where at least three of his victims are based. He left Ukraine in 2022 and obtained temporary protective status in Ireland, residing in Cork at the time of his arrest. 

Prosecutors said Lytvynenko and his co-conspirators extorted about $634,000 in Bitcoin from two victims in Tennessee, including an undisclosed government entity that resulted in the compromise of a sheriff’s department, local emergency medical services and a local police department. According to an indictment that was unsealed last fall, Lytvynenko and his co-conspirators also leaked data they stole from another Tennessee-based victim after it refused to pay a $3 million ransom demand.

Four of Lytvynenko’s alleged co-conspirators — Maksim Galochkin, Maksim Rudenskiy, Mikhail Mikhailovich Tsarev and Andrey Yuryevich Zhuykov — were indicted in 2023 in the same federal court for crimes related to their suspected involvement in Conti attacks from 2020 to 2022. 

Authorities said Lytvynenko engaged in cybercrime after Conti disbanded and its members splintered off into new groups, adding that he “was asleep but within arms’ reach of an open laptop running Cobalt Strike” at the time of his arrest.

At one point, Conti was among the most prolific ransomware groups globally, impacting hundreds of critical infrastructure providers, Costa Rica’s government in 2022, and ultimately leading the State Department to offer a $10 million reward for information related to Conti’s leaders. The group was notoriously resilient, bouncing back with new infrastructure and hitting new targets after a massive leak exposed chats between the group’s members in 2022.

Conti disbanded later that year, but members of the Cyrillic-language group rebranded under three subgroups: Zeon, Black Basta and Quantum, which quickly rebranded to Royal, before rebranding again to BlackSuit in 2024.

“Lytvynenko’s guilty plea is a significant step toward holding cyber criminals accountable for the damage they inflict on victims worldwide,” Brett Leatherman, assistant director of the FBI’s cyber division, said in a statement “Lytvynenko profited from fear and coercion, conspiring to use Conti ransomware to extort victims and steal their data.”

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Researchers are warning that cybercriminals exploited an Oracle PeopleSoft zero-day vulnerability and potentially infiltrated the networks of more than 100 organizations in an attack spree that largely impacted higher education.

Mandiant and Google Threat Intelligence Group said it became aware of the attacks earlier this month as part of its ongoing monitoring of ShinyHunters operations. The notorious cybercrime group claims it hacked more than 100 organizations and started naming victims and publishing allegedly stolen data Tuesday.

University of Nottingham, one of ShinyHunters’ alleged victims, on Wednesday confirmed a significant amount of student data was stolen during a cyberattack after the threat group leaked some of the school’s data.

The attacks date back to at least May 27, according to Mandiant, and involve the exploitation of CVE-2026-35273, a defect in Oracle PeopleSoft PeopleTools that allows unauthenticated attackers to execute remote code and takeover affected servers.

Oracle disclosed the vulnerability and recommended some steps for mitigation Wednesday, weeks after the attacks were already underway. The vendor hasn’t released a patch to address the defect and did not respond to a request for comment.

Google said it alerted more than 100 organizations of potentially vulnerable endpoints in their environments, but it declined to confirm how many victims are compromised. 

“This campaign is still active. We have observed ShinyHunters sending extortions as recently as today,” Charles Carmakal, chief technology officer at Mandiant Consulting, told CyberScoop Thursday evening. He added that more victims, beyond Google’s visibility, may be impacted.

Most of the potential victim pool is based in the United States and 68% are in the higher education sector, according to Google.

“We have previously observed ShinyHunters target the education sector this year, however it’s possible this targeting is representative of the majority of exposed PeopleSoft instances belonging to the sector,” Carmakal said. 

Oracle PeopleSoft PeopleTools includes more than 40 tools for human resources and customer relationship management.

The attacks come less than a year after the Clop ransomware group exploited a zero-day in Oracle E-Business Suite that affected dozens of victims. The data theft extortion campaign that followed those attacks, which began in August, didn’t get underway until October.

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Federal prosecutors have charged a Russian national with conspiracy to commit unauthorized computer access in connection with a sprawling cyber-espionage campaign linked to the Russia-aligned threat group Void Blizzard, according to a criminal complaint filed in federal court this week.

Denis Nikolayevich Obrezko, a Russian citizen, is accused of breaking into systems owned by companies in the United States and elsewhere, according to an FBI affidavit unsealed Tuesday. Investigators allege Obrezko facilitated the campaign by purchasing a virtual private server and domain names used in attacks targeting businesses, educational institutions, and other organizations.

The charges come roughly a year after Microsoft publicly identified Void Blizzard — which it also tracks as Laundry Bear — as a state-sponsored Russian threat group conducting large-scale espionage operations against government agencies, defense suppliers, and critical infrastructure providers across NATO member states, Ukraine, and beyond. Dutch intelligence and security services separately confirmed in May 2025 that the group had infiltrated the Netherlands’ national police force in September 2024, stealing work-related contact information on police staff.

The FBI affidavit describes a methodical but largely unsophisticated operation. Investigators say Void Blizzard primarily relied on stolen session tokens to authenticate to victim accounts without triggering re-authentication requirements, then used a U.S.-based commercial proxy service to mask the connection’s location. The group typically routed traffic through a VPN before selecting proxy IP addresses in the same region as a target, allowing it to bypass geographic firewall restrictions.

From June-July 2024, the FBI received tips from a foreign partner and a U.S.-based private-sector firm identifying several American companies being targeted by the emerging group. Investigators subsequently verified intrusions at 11 U.S. companies, a figure the affidavit describes as likely a fraction of the total victim count nationwide.

Void Blizzard’s methods, while not technically advanced, have proven broadly effective. Microsoft researchers noted in 2025 that the group’s success illustrates the sustained risk posed by even basic intrusion techniques when applied at scale. The group has been observed harvesting bulk email and files from compromised cloud environments, accessing Microsoft Teams conversations, and cataloging Microsoft Entra ID configurations to map organizational structures.

In April 2025, Microsoft identified a separate spear-phishing campaign attributed to Void Blizzard that targeted more than 20 non-governmental organizations in Europe and the United States, using typosquatted domains to spoof Microsoft authentication pages. The affidavit corroborates that activity, identifying domains such as miscrsosoft[.]com and micsrosoftonline[.]com registered through accounts connected to the same infrastructure used by the group.

Obrezko appeared in court Tuesday and agreed to be taken into custody while awaiting trial.

You can read the affidavit below.

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Authorities in Europe arrested 29 alleged cybercriminals and took down more than 27,000 illegal streaming URLs that pirated major sporting events, films and TV programming, Europol said Wednesday.

The continent-wide collaboration, led by Bulgaria and the European Union’s police agency, allowed authorities to dismantle nine organized crime groups supporting the illicit streaming networks, officials said. “Operation Kratos 2” focused on disrupting the networks’ underlying infrastructure and stretched for seven months before coming to a close in April. 

Officials did not name the suspects, groups or services targeted during the crackdown, but noted that investigators identified key players responsible for managing and operating the piracy platforms.

Europol said the streaming sites infringed on nearly 850,000 media across 169 domains. 

“What appears to consumers as cheap access to premium content is powered by complex criminal enterprises,” the agency said in a news release. Illegal streaming site operators host separate servers for customer-facing websites and illegal content, and distribute their services across multiple countries.

During the course of the operation, officials conducted 148 house searches, identified 86 suspects and referred 59 cases to courts for criminal proceedings. 

Investigators also worked with private-sector partners to identify nearly 4,400 new domains and more than 18,000 IP addresses linked to piracy and other illegal activity. Those efforts allowed authorities to report almost 400,000 additional URLs for suspension or removal. 

Live sports piracy networks are widespread and consistently tracked by antipiracy coalitions and authorities globally. Authorities in Egypt last year shut down Streameast, the most popular and largest illegal live sports streaming network at the time, with an operation that spanned 80 domains and logged more than 1.6 billion visits during the year prior.

Operation Kratos 2 was supported by anti-piracy associations, UEFA Europa League, La Liga, beIN Media Group and officials from Belgium, Bulgaria, Croatia, France, Greece, Ireland, Italy, the Netherlands, Poland, Romania, Spain, the United Kingdom and the United States.

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Researchers and threat hunters are scrambling to respond to an actively exploited authentication-bypass vulnerability affecting Palo Alto Networks customers’ firewalls. 

The company initially tagged CVE-2026-0257 with a medium-severity rating when it disclosed the defect May 13, but quickly reassessed it as critical after Rapid7 observed and confirmed active exploitation in the wild. The Cybersecurity and Infrastructure Security Agency followed suit, and added the vulnerability to its known exploited vulnerabilities catalog Friday.

The escalated threat posed by the defect, which allows remote attackers to bypass security restrictions and establish a VPN connection to an affected firewall, showcases how quickly a seemingly mild vulnerability can turn into an urgent warning. 

“Palo Alto Networks is actively monitoring limited exploitation attempts targeting CVE-2026-0257 on unpatched PAN-OS devices where mitigations have not been applied,” a company spokesperson said in a statement. The company on Friday urged all customers to immediately apply the patch or follow its recommended steps for mitigation. 

The vendor and Rapid7, which first observed exploitation May 17 in a customer environment, declined to say how many organizations are impacted thus far. Yet, Douglas McKee, director of vulnerability intelligence at Rapid7, warned: “We’ve continued to see new victims roll in, including a couple of customers hit within just an hour of each other during a second wave of activity” on May 21. 

Jake Knott, security researcher at watchTowr, told CyberScoop the vulnerability and resulting exploits follows a recurring trend wherein attackers target exposed network edge devices and rapidly identify, develop and weaponize exploits for initial access. 

“This is yet another authentication bypass on a device whose sole job is to guard the front door to an organization’s network,” he said. “What stands out is how simple it is — an attacker can forge a valid authentication cookie using nothing more than the appliance’s publicly available TLS certificate. The entire exploit is a single HTTP request.”

The vulnerability has a few requisites that limit exposure, specifically posing risk to some Palo Alto Networks customers running GlobalProtect portal or gateway configured to enable authentication override cookies. 

“The cookie encryption and decryption certificate must be reused with another feature, which potentially exposes the public key for that certificate,” said Caitlin Condon, vice president of security research at VulnCheck.

“It’s difficult to say how many deployments meet those criteria for exploitability, but Palo Alto Networks firewalls have a very large footprint, which means even uncommon configurations can present significant attack surface area,” she added.

Rapid7 said the same attacker or group is likely responsible for both waves of exploitation last month, but in many cases attackers are not establishing a full VPN connection or moving to other parts of the impacted network. 

The attackers are “highly opportunistic and clearly monitor the security research community,” McKee said. “Attackers are purposefully weaponizing medium-severity vulnerabilities, which are typically lower priority or blind spots for organizations.”

Multiple threat clusters are swarming to the opportunity and quickly adapting to published research.  Researchers have not attributed the malicious activity to any specific threat groups. 

“Their exact origins and long-term objectives remain unclear, as they currently seem focused purely on opportunistic initial access rather than targeted, long-term espionage,” McKee said. 

Palo Alto Networks said it discovered the vulnerability internally through its use of frontier AI tools. Yet, within days of its public disclosure, initial assessments were proven inadequate.

“This is a pattern we continue to see — the urgency only arrives after exploitation is underway,” Knott said. “Organizations that wait for confirmation of active exploitation before patching will consistently find themselves reacting too late.”

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A Tennessee man accused of abusing and sexually exploiting children while actively participating in 764, a sprawling online nihilistic violent extremist collective affiliated with The Com, pleaded not guilty Thursday to a series of charges that could keep him locked up for 50 years.

Zachary Sweeney has allegedly victimized multiple children, on numerous occasions grooming and coercing minors to produce child sexual abuse material that he distributed and sometimes sold, the Justice Department said. One of the 30-year-old’s alleged victims later died of an overdose.

Sweeney has been the subject of multiple FBI investigations, which uncovered extensive crimes against children dating back to at least 2022, prosecutors said. His alleged involvement in 764 and, by extension, The Com, underscores the growing, multi-faceted threat of physical violence, cybercrime, extortion and the pursuit of criminal underground notoriety posed by thousands of members typically between 11 and 25 years old.

Victims of these crimes are often young, vulnerable and degraded or traumatized for years with life-altering impact.

“Violent extremists who victimize vulnerable children online are among the worst predators in our community and across the country,” Braden Boucek, U.S. attorney for the Middle District of Tennessee, said in a statement.

Members of 764 and related groups commit crimes in the United States and engage with other extremists globally to foment social unrest and destroy civilized society through the corruption and exploitation of vulnerable people, the Justice Department said.

Police arrested Sweeney Thursday and charged him with three counts of sexual exploitation and attempted sexual exploitation of a minor and three counts of receiving visual depictions of CSAM. Prosecutors said they intend to request Sweeney remain detained at his next court appearance June 3. 

Sweeney allegedly traveled to New York, Indiana, Missouri and Georgia to meet numerous victims in person. Officials received reports from some of his alleged victims and online platforms, triggering FBI interviews with some of his alleged victims as early as 2023. 

One of his alleged victims, who began interacting with Sweeney when she was a teenager, told investigators she degraded herself and participated in virtual self-harm group video calls with a group of people she described as friends of his in The Com. Sweeney alleged raped her and streamed the crime online. 

She died of an overdose in 2024, approximately ten days after FBI agents interviewed her. 

Sweeney allegedly drugged and raped other victims and shared videos of those acts online, according to court records.

The FBI searched Sweeney’s residence in St. Louis in September 2023, more than two months after Meta sent a pair of tips to the National Center for Missing and Exploited Children that linked him to Instagram chats containing CSAM.

Agents seized devices containing evidence of 99 possible CSAM images and videos, but encryption and passwords prevented authorities from conducting further examination, according to court records.

Sweeney moved to Tennessee in the summer of 2024 and allegedly continued to travel out of state to meet victims in person and coerce other victims to produce CSAM through at least the summer of 2025.

Authorities accuse Sweeney of boasting about his crimes and sharing blackmail material, sexual assault and CSAM depicting underage female victims.

Authorities have arrested multiple members of 764 during the past year, reflecting heightened law enforcement activity targeting the violent extremist collective and other offshoots affiliated with The Com.

Two alleged leaders of 764, Leonidas Varagiannis and Prasan Nepal, were arrested and charged for directing and distributing CSAM in April. Alexis Aldair Chavez, of San Antonio, pleaded guilty in December to multiple crimes involving the sexual exploitation of children while acting as an administrator and leader of 8884, a splinter group of 764.

“This operation puts every child predator on notice: the FBI will hunt you down and bring you to justice,” Terence Reilly, special agent in charge of the FBI Nashville Field Office, said in a statement. “Removing violent extremists from our streets protects our most innocent and vulnerable members of society.”

You can read the indictment below.

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A Google security engineer was arrested in New York and charged with crimes related to bets he allegedly placed on Polymarket using confidential information he pulled from Google systems, the Justice Department said Wednesday. 

Michele Spagnuolo, a 36-year-old Italian citizen who lives in Switzerland, is accused of placing multiple trades on the prediction marketplace last year that netted him a profit of more than $1.2 million. He allegedly abused internal access to Google’s nonpublic Year in Search data and placed a series of bets on the most searched people on Google in 2025.

“Today’s charges reinforce a decades-old message: corporate insiders cannot use confidential information to turn a profit in our markets,” Jay Clayton, U.S. attorney for the Southern District of New York, said in a statement Wednesday. “Insider trading compromises the integrity of our markets, and the American people want this greed-driven conduct investigated and prosecuted.”

Spagnuolo was charged with violating the Commodity Exchange Act, wire fraud and money laundering, which carry a combined maximum sentence up to 50 years in prison. 

He was also served with a civil complaint by the Commodity Futures Trading Commission that accused him of insider trading. The government agency is seeking restitution, disgorgement, civil monetary penalties, trading and registration bans and a permanent injunction against further regulation violations. 

Spagnuolo has been employed as a security engineer at Google since 2014, where he built products, specifications and led multiple projects in the information security unit, according to his company bio, which has since been taken down. 

A Google spokesperson said the company is working with law enforcement on its investigation. “The employee accessed our marketing material using a tool available to all employees, but using such confidential information to place bets is a serious breach of our policies,” the spokesperson said in a statement. “We’ve placed the employee on leave and will take the appropriate action.”

Spagnuolo did not respond to a request for comment.

In a complaint unsealed Wednesday, a federal investigator said Spagnulo, who used the “AlphaRaccoon” user name on Polymarket, took deliberate steps to conceal his use of nonpublic information, including efforts to obscure the source and ownership of his proceeds. 

Prosecutors noted that Google’s internal software tool, which provided Spagnuolo access to search trends, bore a banner that stated “Google Confidential” in red text, adding that Spagnuolo confirmed he understood the company’s various confidentiality and ethics policies to access the data. 

Spagnuolo allegedly created his Polymarket account in May 2024 and placed a series of trades between later that year risking approximately $2.75 million on 25 outcomes that the market treated as unlikely.

The FBI said it traced Spagnuolo’s Polymarket account to a cryptocurrency wallet he allegedly used to fund the account and initiate multiple transfers. Spagnuolo is also accused of sending multiple transactions through a cryptocurrency swapping service that were received by an account in his name linked to his Italian government ID card. 

Spagnuolo allegedly changed his Polymarket username to an alphanumeric wallet address in early December, after Google released its Year in Search results and multiple users on Discord and X speculated the person between the account was a Google insider.

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Silent Ransom Group, a long-running data extortion operation, continues to hit U.S.-based law firms by impersonating IT support and, in some cases, visiting victims in person to gain physical access to computers, the FBI said in an alert Tuesday.

The closed group, which likely operates from Russia and emerged in 2022 after Conti disbanded, has claimed responsibility for more than 100 attacks with activity surging during the past few months, according to researchers.

The FBI’s warning comes exactly one year after the agency released a previous alert about Silent Ransom Group consistently targeting law firms since mid-2023. The group doesn’t deploy encryption, but its dual use of social engineering and in-person visits for data theft is extremely rare with no known parallels across the vast cybercrime ecosystem, multiple experts told CyberScoop.

“There were probably a lot of times that this failed before it started succeeding because there’s a lot of trial-and-error involved,” said Allan Liska, field chief information security officer at Recorded Future. Whereas other ransomware groups would rather move on to other tactics or targets, “Silent Ransom Group has seen the value especially in going after law firms, and so they’re willing to put the extra effort into it,” he added. 

The data extortion group, which is also tracked as Chatty Spider, UNC3753 and Storm-0252, isn’t as prolific as more high-tempo ransomware groups. Yet, it’s having a noticeable impact due to its proven knack for attacking organizations in the legal sector.

Halcyon tracked 134 ransomware incidents against law firms and legal services during the first quarter of this year, making it the fourth-most targeted industry accounting for more than 6% of all ransomware attacks the company tracked during the period. 

Silent Ransom Group and Inc, a ransomware-as-a-service operation dating back to mid-2023, are largely responsible for that uptick, said Cynthia Kaiser, senior vice president at Halycon’s Ransomware Research Center.

“Silent was the first group to really just be targeting law firms, and they’ve targeted major law firms” with a clear understanding of what’s most problematic for organizations in that segment, she added. “The theft of data in and of itself is the biggest issue for the law firms, so they’re tailoring a lot of their operations around what they know about the sector.”

Law firms are a rich target because data theft creates huge privilege and reputational problems, which creates the perception they might be more willing to pay high extortion demands, Kaiser said.

Silent Ransom Group’s social engineering scheme involves phone calls or phishing emails that urge employees to call one of the group’s associates posing as IT support, the FBI said. If the group’s attempt to gain access to the employee’s computer via remote access tools fails, it sends an associate to the victim’s location to physically attach a storage device to the victim’s workstation. 

This extra step is unique and places Silent Ransom Group in a completely different mode of operation than its peers in ransomware and data theft extortion. Some aggressive data theft extortion groups have harassed and threatened executives and employees with physical violence, but in-person visits for data theft are extraordinary.

“While Flashpoint has observed threat actors soliciting or co-opting both witting and unwitting insiders, we have not observed them physically sending attackers to victim locations. This tactic carries significant risk, as threat actors are able to use technology to obscure their real-world identities,” said Ian Gray, vice president of cyber threat intelligence operations at Flashpoint. 

Joe Slowik, director of cybersecurity alerting strategy at Dataminr, said it’s easy to question why potential victims would fall for this tactic. “However, humans in the workplace need to implicitly trust others to get their jobs done,” he said. 

“Questioning everything, while seemingly desirable, introduces significant friction and distrust in workplace environments and limits productivity in arbitrary ways,” Slowik added. “Criminal entities will continue to prey on human weaknesses and dependencies for success, and placing the burden solely on employees to defend against this is unfair and unreasonable.”

The FBI did not provide details about the people Silent Ransom Group uses to initiate the fake IT support calls or visit victims in person. Yet, with the group’s operators based in Russia, researchers speculate gig workers or subcontractors are playing a critical role by placing voice-based phishing calls in a common language and visiting victims at their workplace. 

Liska said he’s under the impression the group is using freelance taskers that don’t necessarily know they are committing a crime. “They may be suspicious, but you know, they need the money,” he said. 

“It’s kind of like a Doordash person that delivers Arby’s,” Liska said. “You know you’re doing really bad things to people, but you know what, they’re paying you to deliver.”

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CrowdStrike has dismantled the Glassworm botnet in an operation aided by Google and Shadowserver, stripping the operators’ access to infrastructure that helped threat actors infect hundreds of pieces of open-source software with malware since early 2025, the company said Tuesday. 

The coordinated effort involved the simultaneous takedown of four attacker-controlled servers that were designed to obscure the botnet’s operations and remain resilient against disruptions.

CrowdStrike and partners took down infrastructure, severed access to the botnet’s most critical services, impeded operation momentum and slowed the attackers’ ability to scale, Adam Meyers, senior vice president of counter adversary operations at CrowdStrike, told CyberScoop.

“The broader goal is sustained pressure that forces the adversary to spend time, resources, and operational energy reconstituting infrastructure instead of targeting victims,” Meyers added. “By exposing tradecraft and sharing intelligence, defenders can harden developer environments, CI/CD pipelines, and software supply chains against similar activity. That raises the operating cost for the adversary and gives defenders an advantage.”

Glassworm has targeted software developers in order to access source code repositories, cloud platforms, integration and delivery processes, and open-source package registries to push malware into the supply chain and trigger compromises downstream. 

The threat group behind the botnet, which is likely based in Russia, according to CrowdStrike, fed malware into VSCode extensions, npm and Python packages and more than 300 GitHub repositories, researchers said. 

Glassworm affected Windows, macOS and Linux systems with data and credential theft, and a remote-access tool called GlasswormRAT.

“What stood out about Glassworm was the operational sophistication around propagation and automation,” Meyers said. “This wasn’t just a smash-and-grab compromise of a package repository. The operation was designed to move through trusted developer workflows in a way that could expand reach very quickly if left unchecked.”

The botnet relied on four layered channels that CrowdStrike disrupted, including the Solana blockchain, BitTorrent’s peer-to-peer network, Google Calendar and virtual private servers hosted by commercial providers. 

“As part of our disruption efforts, we are working with partners to bring more pain to attackers, especially when we see them abusing our products or targeting our users,” John Hultquist, chief analyst at Google Threat Intelligence Group, said in a post on X.

Piotr Kijewski, CEO of the Shadowserver, said the non-profit organization assisted with some analysis and data sharing but noted the disruption was mostly CrowdStrike work.

The countermeasures took down “the connective tissue of the operation to create cascading operational pain,” Meyers said. “This forces the adversary to rebuild, while exposing tradecraft.”

CrowdStrike said the takedown demonstrates how the security industry can effectively thwart supply-chain threats by proactively disrupting the precise infrastructure attackers use without waiting for lengthy judicial processes. 

“When threat actors operate from jurisdictions where law enforcement cooperation is limited or nonexistent, disruption becomes one of the most effective tools available. If you can’t put handcuffs on the operator, you focus on dismantling the infrastructure, trust relationships, and operational dependencies,” Meyers added. 

The security company shared indicators of compromise to help organizations hunt for potential infections in their environments and called for other vendors, law enforcement agencies, platform operators and the open-source ecosystem to muster equal determination in responding to threats in the software supply chain.

“The more visibility and alignment you create across the ecosystem, the harder it becomes for the actor to quietly stand the operation back up,” Meyers said. “You may not eliminate the threat actor entirely, but you can absolutely reduce effectiveness, limit reach, and raise the cost of doing business.”

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The FBI is warning organizations and defenders about Kali365, a growing phishing-as-a-service platform that retrieves Microsoft 365 access tokens, issuing a public service announcement Thursday. 

The toolkit bypasses multi-factor authentication and abuses OAuth device code authorizations via phishing lures impersonating common enterprise services. This technique grants cybercriminal-controlled applications access to Microsoft 365 accounts, opening victims up to a host of follow-on malicious activity, including data theft, fraud, extortion and ransomware attacks.

Kali365 is one of many rapidly emerging device-code phishing tools, which are gaining popularity as a more effective means for cybercriminals to circumvent security controls while abusing legitimate Microsoft device authorization pages, according to researchers. 

Instead of gaining access to accounts via phishing kits that steal credentials and second-factor authentication codes, device-code phishing platforms connect a malicious app to a legitimate account with a single code. The process requires fewer steps and less interaction with the user, but victims do have to copy-and-paste a code generated by the Kali365 platform to grant access.

“We see quite a bit of this device-code phishing activity, but so much of it looks really similar. They’re all using the same types of lures, the same types of content, the same branding,” Selena Larson, senior threat researcher at Proofpoint, told CyberScoop. “It is very much AI generated, AI driven, and the threat actors, I think, are finding it pretty effective because we’re seeing this shift happen kind of all at once.”

Proofpoint researchers observed seven device-code phishing tools that looked nearly identical during a 10-day period last month.

Device-code phishing isn’t new, but platforms like Kali365 have integrated new techniques that differ from MFA phishing, and might be more effective as a result. “It’s something that people might not be used to. It’s a little bit sleeker,” Larson said.

This also partly explains why these cybercriminal tools are growing so quickly. Larson said Proofpoint observed an explosion in device-code phishing activity starting in February. 

By April, Kali365 was up and running and primarily distributed on Telegram, according to the FBI. “Kali365 lowers the barrier of entry, providing less-technical attackers access to AI-generated phishing lures, automated campaign templates, real-time targeted individual/entity tracking dashboards, and OAuth token capture capabilities,” the agency said in the public warning. 

Researchers at Arctic Wolf Labs, which has also been tracking large-scale campaigns linked to Kali365, said the platform charges affiliates $250 for 30 days of service or $2,000 for a full year.

Kali365 stores the OAuth access and refresh tokens it captures, and makes those available to affiliates on its platform. Those tokens can also be shared and reused by other cybercriminals who didn’t participate in the initial phishing lure, Arctic Wolf researchers added. 

The FBI also noted that these Microsoft 365 tokens provide persistent access, allowing attackers to wade through multiple Microsoft services without a password or additional MFA requests. 

“Identity can be very, very powerful once you’re in an organization,” Larson said, adding that attackers can abuse that access to impersonate people, access and steal data for extortion, commit fraud and deploy malware.

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Authorities arrested and unsealed charges against a Canadian man accused of running Kimwolf, one of the most far-reaching DDoS botnets on record, the Justice Department said Thursday.

Jacob Butler was arrested Wednesday in Ottawa, Canada, and awaits extradition to the United States where he is charged with aiding and abetting computer intrusions and, if convicted, faces up to 10 years in prison.

Investigators said the 23-year-old, also known as “Dort,” was a principal administrator of Kimwolf, a variant of the record-setting Aisuru DDoS botnet that spread like wildfire and eventually took over more than 2 million Android TV devices after its operators figured out how to abuse residential-proxy networks for local control.

Authorities in March seized infrastructure powering the Kimwolf, Aisuru, JackSkid and Mossad botnets, which hijacked a combined three million devices and launched more than 300,000 DDoS attacks collectively.

Kimwolf, which operated as a DDoS-for-hire service for other cybercriminals, initiated more than 25,000 attacks, resulting in network outages, disruptions and financial losses exceeding millions of dollars, officials said. Officials also said they found evidence linking Kimwolf to DDoS attacks targeting Department of Defense Information Network IP addresses.

“Kimwolf and the botnets associated with this operation have supported persistent corporate intrusion efforts and been used by a wide range of serious threat actors,” Zach Edwards, staff threat researcher at Infoblox, told CyberScoop.

Authorities searched Butler’s residence during the globally coordinated operation, but did not arrest him until Wednesday, roughly two months later. Officials filed a criminal complaint against Butler in the U.S. District Court for the District of Alaska in April, and unsealed the complaint following his arrest.

A special agent with the Defense Criminal Investigative Service confirmed Butler’s identity and involvement in the Kimwolf botnet after Butler used the same IP address to access multiple email accounts he controlled and Discord accounts linked to Kimwolf. 

“I have observed significant operational security lapses on Butler’s part resulting in patterns of overlapping IP usage among a Google account in Butler’s true name, other Google accounts that I believe to be controlled by Butler due to use of the same machine cookies, and Discord accounts which have been used in support of the KimWolf operation,” the special agent said in an affidavit. 

“The Discord accounts show patterns of overlapping IP usage with the KimWolf backend server. These IP addresses appear to be proxy or VPN IPs which were likely used by Butler in an unsuccessful attempt to evade law enforcement scrutiny. However, like many cybercriminals, Butler did not use proxy or VPN IP addresses exclusively,” the special agent added. 

Authorities described the botnet takedowns in March in nearly conclusive terms at the time, yet court records indicate the Kimwolf botnet is back in operation. 

“While today’s announcement is encouraging to see, there are still hundreds of millions of insecure IoT and network devices connected to sensitive government, corporate and home networks, and these remain a priority target for threat actors looking to build the next version of Kimwolf,” Edwards said.

“Until we find solutions to this underlying problem,” he added, “we’ll unfortunately continue to play Whac-A-Mole with botnet operators year after year.”

You can read the affidavit supporting the criminal complaint against Butler below.

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