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Microsoft and partners disrupt EvilTokens, a comprehensive cybercrime service for financial fraud

Microsoft, along with a group of industry partners, disrupted EvilTokens, a short-lived but highly consequential cybercrime platform that investigators linked to more than 12,000 compromised Microsoft customer email inboxes across more than 10,000 organizations globally, the company said Tuesday.

Acting on federal court order Sept. 15, Microsoft and partners seized 50 websites the phishing-as-a-service used for operations and disabled more than 175 domains linked to EvilTokens’ supporting infrastructure. 

EvilTokens, launched in February 2026, was “a powerful cybercrime platform that used AI at every step of the attack chain — from compromising email accounts to designing intricate roadmaps for financial fraud and scams,” Steven Masada, associate general counsel and general manager of Microsoft’s Digital Crimes Unit, wrote in a blog post.

About 1,000 cybercriminals used EvilTokens over the course of its operation, a Microsoft spokesperson told CyberScoop.

The service was centered on an AI-style chatbot that cybercriminals used to analyze victims’ inboxes, identify trusted relationships, payment authorizations and other sensitive details that could facilitate fraud.

“AI was not simply helping attackers write more convincing messages. It helped them decide who to target, who to impersonate, and how to most effectively exploit the relationship to extract as much money as possible,” Masada wrote. 

EvilTokens was one of the most widely used phishing-as-a-service platforms prior to its takedown. It facilitated business-email compromise campaigns by stealing session tokens that allowed cybercriminals to sift through a victim’s inbox and maintain persistent access.

“We cannot estimate the total fraud attributable to all EvilTokens activity. However, we were able to correlate at least 13 complaints filed with the FBI’s Internet Crime Complaint Center to EvilTokens-linked activity, representing approximately $1.7 million in reported losses,” a Microsoft spokesperson said. “Because many incidents go unreported and not all victims can be definitively linked to specific campaigns, we believe this is a conservative estimate.”

Victims of EvilTokens were largely concentrated in the United States, Canada, the United Kingdom, Australia, India and France, according to Microsoft. SpyCloud, which supported the takedown, identified compromised email domains spanning 79 countries.

Microsoft said it also identified two men behind EvilTokens — Felix Utomi and Waidi Segun Adams — and attributes the development and support of the platform to Storm-2992, a threat actor unaffiliated with any other known cybercrime groups.

The United Kingdom’s Metropolitan Police acted on that information Sept. 18 when it served warrants in the greater London area, arrested the men accused of making articles for use in fraud and money laundering and seized their digital devices.

The Metropolitan Police said it received information from Microsoft about EvilTokens’ administrators in August. Utomi and Adams were released on bail as the investigation continues. 

“The two primary operators identified in our investigation were residing in the U.K.,” a spokesperson for Microsoft told CyberScoop. “While our investigation focused on those individuals, we believe others may have supported the operation in various capacities.”

Microsoft’s legal filing in the U.S. District Court for the Eastern District of Virginia refers to five additional unidentified people allegedly acting as support personnel and users.

Microsoft and others involved in the EvilTokens takedown, including Health-ISAC, Cloudflare, OpenAI, Shadowserver and TRM Labs, didn’t fully quantify how much fraud the service enabled, but it gained popularity quickly among cybercriminals and was lucrative for its operators.

Coinbase, which also aided the investigation into EvilTokens, said it traced about $1.1 million in revenue for EvilTokens from its paying customers. The virtual currency company’s threat researchers found more than 1,000 deposits to EvilTokens from more than 700 distinct addresses through June 2026. 

Operators sold access to the service through Telegram for a $1,500 initiation fee and a recurring $500 subscription. EvilTokens significantly lowered the barrier to entry for cybercriminals by including specialized tools for identity attacks, cloud systems, social engineering and financial fraud in a single interface.

The service allowed cybercriminals to map organizational structure and permissions in Microsoft Graph, which enabled lateral movement, researchers said. With active tokens gained through a collection of highly-targeted phishing lures, cybercriminals consistently bypassed multi-factor authentication, email gateways and endpoint security tools.

Microsoft said the platform’s creators developed portions of the platform with AI and it uncovered capabilities from multiple AI models. 

“It packaged much of the criminal process into a commercially run service, complete with subscription pricing, customer support, management dashboards and tools designed to move customers from account access toward financial exploitation,” Masada added.

The companies and organizations involved in the globally-coordinated takedown identified and notified potential victims, shared indicators of compromise and shared intelligence with law enforcement about EvilToken’s operators and some of its customers.

Experts advised organizations and employees to treat unsolicited device codes as a red flag, assume compromised accounts are fully cataloged in minutes, and independently verify requests to change payment information or redirect funds.

“The infrastructure supporting EvilTokens has been disrupted, but the model it demonstrated will not disappear with it,” Masada warned.

The post Microsoft and partners disrupt EvilTokens, a comprehensive cybercrime service for financial fraud appeared first on CyberScoop.

Researchers use AI to find widespread software decoder flaw 

Researchers said they used Anthropic’s Claude and OpenAI’s Codex to identify a damaging flaw embedded in a popular software decoding tool that could leave major internet platforms, enterprise services, and web frameworks vulnerable to data theft and remote access.

The vulnerability, nicknamed HEIF Heist, refers to the malware’s ability to trigger memory corruption errors in affected software, allowing the attacker to pilfer sensitive data from its victims. In a report published Thursday, the researchers laid out the potential damage an attacker could cause, including gaining access to internal OpenAI repositories, leaking user files, access tokens, and other sensitive data for online services like Amazon Web Services, and gaining remote code execution privileges across a range of online services, including Meta’s core product suite, GitHub Enterprise servers and open-source internet forum Discourse.

“Even when Remote Code Execution isn’t immediately achievable, the attack primitives may still allow arbitrary heap disclosure, letting an attacker ‘heist’ in-memory data such as other users’ data and environment variables,” wrote Hacktron researchers Harsh Jaiswal, Mohan SRK, Rahul Maini and Sudhanshu Rajbhar.

The researchers relied heavily on AI systems, including frontier models from OpenAI and Anthropic, to conduct their research. Attribution for the research is described as being “led” by the Hacktron human researchers “assisted by Hacktron Harness, GPT-5.6 Sol, and Opus 5.”

According to the research, the attack exploited the way that code parsing tools in many popular software decoders — specifically libheif and libde265, used to parse C and C++ software — process certain image files.

By uploading HEIF, HEIC and AVIF image files corrupted with malicious code, the attacker could bypass most of the victim’s application layer defenses, in many cases achieving remote code execution privileges for accounts or products tied to major AI and tech brands.   

While the latest version of libheif has been patched, the researchers said “any deployment lacking the latest upstream security patches is potentially vulnerable.”

In one incident detailed in a Sept. 13 blog, Jaiswal, Maini, and Hacktron researcher Mohan Pedhapati described how chaining two vulnerabilities, including an image parser flaw, could compromise OpenAI employee accounts.

With access to the compromised accounts, researchers could reach OpenAI’s internal repositories. As a proof of concept, they opened a pull request in the company’s “monorepo,” a centralized library where code is shared across projects, using the employee’s Codex credentials. 

According to a timeline provided by the researchers, the flaw was discovered on July 25 and patched within days. They said the entire attack, from discovering the initial vulnerability to gaining access to the repositories, took less than 72 hours. OpenAI paid them a bug bounty of $6,500 for their work.

Given that AI models are increasingly integrated into enterprise and personal networks, an attacker exploiting HEIF Heist could have accessed far more than just OpenAI’s systems and data.

“Until two months ago, a user or OpenAI employee logging into OpenAI’s own help forum could have had their ChatGPT and Codex accounts taken over,” the researchers wrote. “Since people can connect various services to Codex and ChatGPT, the scope of what we could theoretically access was huge, including GitHub, Slack and emails.”

CyberScoop has reached out to OpenAI for comment on the research and additional information.

At the same time, the researchers said the attack paths they found were not particularly easy or efficient to exploit.

“Exploitation requires fingerprinting the target version and tailoring the payload images,” the blog stated. “Some of our RCE attempts landed only after thousands of image uploads. That said, an AI agentic approach with a frontier model like GPT-5.6 Sol cut exploit development time down to roughly 1 to 3 days from initial probe to remote RCE. A motivated attacker can convert a vulnerable upload endpoint into RCE or an info leak.”

The post Researchers use AI to find widespread software decoder flaw  appeared first on CyberScoop.

French nonprofit starts global intelligence and research hub for AI cyber threats 

The Paris Peace Forum, a French non-profit that has convened world leaders on global security issues, is launching a new project to bring together international experts to assess AI-related threats to global internet infrastructure.

The Integrated Network for Trusted AI in Cyberspace (INTAiC) will tap researchers and civil society experts from government and the private sector, analyzing current AI cyber threats from the field and creating “forward-looking” reports on how the technology will impact society and what organizations can do to respond.

One of the project’s top goals is to create an international, quick-response coalition of government and business to address AI-related threats, similar to coordination mechanisms that exist in other areas of cybersecurity.

“Evidence fragmentation on AI-driven cyber threats isn’t incidental — it’s structural: those defending networks and those securing AI systems have long worked in separate spheres,” said Adrien Abecassis, policy initiatives director for the Paris Peace Forum. “That’s exactly why INTAiC is unique — it’s built to turn those fragments into one comparable reading of the threat, because this is a challenge no actor can meet alone.”

The network already lists a number of prominent businesses and organizations, including Microsoft, the Cyber Threat Alliance, the Cloud Security Alliance, Orange Cyberdefense and others.

According to the forum, INTAiC’s work will focus primarily on two, separate workstreams. One is a single and regularly updated resource for defenders to stay up to date on how AI is reshaping cyber threats. The resource is focused more on attacker capabilities, different forms of misuse and the impact on security operations rather than isolated incidents.

“The result is a common reference point, grounded in reality, that gives policymakers a clearer measure of the threat and identifies the risks most deserving of collective attention,” the Forum said in a release.

The second workstream will focus on evaluating and preventing cyber risks associated with AI, building up a base of independent third-party experts who can provide neutral or unbiased assessments of frontier model cyber capabilities. That work will pull in governments, research institutions and non-profits to develop new organizational and funding pathways to support that kind of research.

While the U.S. federal government has come a long way in recent years building up its own capacity to test and study AI cyber threats, much of the access and technical expertise around frontier model capabilities are concentrated within commercial AI companies. This has at times created concerns that federal agencies were being overly reliant on AI companies to explain how the technology worked and walk them through the possible threat scenarios.

As Anthropic and OpenAI have rolled out defensive cybersecurity programs like Project Glasswing and the Trusted Access for Cyber program, access to those models have become available to a wider group of researchers and organizations.

The Paris Peace Forum intends to brief the public further on INTAiC’s work and accomplishments in Paris later this year during the organization’s annual conference in November.

The post French nonprofit starts global intelligence and research hub for AI cyber threats  appeared first on CyberScoop.

Finding vulnerabilities was never the hard part

I keep hearing the same frustration when I talk with security leaders. The real problem sitting on their desk isn’t finding vulnerabilities. It’s deciding which ones actually matter.

The industry has spent billions on better visibility. We’ve convinced ourselves that if we could just discover more vulnerabilities, collect more data, and ingest more threat intelligence, we’d become more secure. But look around. Organizations still aren’t more secure. They’re just overwhelmed.

Then AI arrived and changed the game entirely. In a matter of months, vulnerability discovery accelerated dramatically. AI systems review code faster than human researchers ever could. They identify weaknesses at unprecedented scale. They scan continuously without the limitations of time, staffing, or attention. The headlines have been everywhere. Government leaders are reevaluating AI laws. CEOs are tossing and turning at night.

But we are focusing on the wrong issue. None of this is actually solving what matters most.

For years, security teams have been drowning in findings. Every new threat feed promised greater visibility. What arrived instead was noise—more data, more alerts, more dashboards, more vulnerabilities. Rarely clarity. Now AI is pouring gasoline on that fire.

The conversations around AI in cybersecurity often get stuck in the wrong place. People debate whether it will help defenders move faster or enable attackers more easily. Both matter, but they are not the core issue.

The real consequence of AI is that it’s exposing something organizations have avoided facing. A vulnerability is not risk, it’s just a clue. Risk emerges when information connects to context: how critical the affected asset is, what controls surround it, how likely exploitation is, the business processes it supports, and what happens operationally if it fails.

Without that context, prioritization becomes impossible. Resources get spent on low-risk issues while mission-critical, vulnerabilities sit unfixed.

Now AI is now making the data volume problem almost impossible to comprehend. An enterprise working with hundreds of software vendors, cloud providers, contractors, and technology partners must investigate every relationship. It’s like a cybersecurity nesting doll where AI continuously identifies vulnerabilities across that entire ecosystem, every minute of every day.

The real challenge today isn’t discovering weaknesses. It’s determining which of tens of thousands of newly discovered weaknesses could actually disrupt operations, impact customers, halt revenue, or create regulatory exposure. Most organizations can’t answer that question quickly.

Some still rank risk using severity scores built for technical teams rather than business leaders. Others rely on manual triage that was already struggling before AI. Many still measure security maturity by how many findings they identify rather than the speed and accuracy of their decisions.

These approaches don’t work anymore. They probably didn’t work yesterday either.

What’s uncomfortable to acknowledge is that AI isn’t creating a cybersecurity crisis. It is revealing one that’s existed for years. The organizations that succeed in this an AI world will transform discovery into judgment faster than their competitors. When AI can find nearly every weakness, security belongs to those who know what to act on. It belongs to those who can connect data to business reality.

That’s the real edge. That’s what separates secure organizations from those that are just collecting more findings.

The post Finding vulnerabilities was never the hard part appeared first on CyberScoop.

Bitdefender Threat Intelligence: Built for How Security Teams Work

Simple investigations are known for only starting out that way. They can quickly become a time-consuming and complicated process that requires finding connected data points across disconnected tools and workflows.This slows investigations, increases the amount of manual analysis required during triage and response, and makes it harder for teams to confidently prioritize what matters most.What teams need is fast and rich threat context that helps them investigate threats more efficiently to improve detection quality and reduce the time spent validating indicators manually. The ability to quickly understand whether activity is suspicious, connected to known threats, or part of a larger attack makes a significant difference during investigations.Bitdefender Threat Intelligence Solutions rapidly provides enriched threat data and contextual insights, leveraging insights from the more than 50 billion queries the company processes each day, discovering more than 1,000 new cyberthreats each minute. These solutions also provide flexible integrations to support modern security operations and help teams work more efficiently within their existing environments.

What Mythos Reveals About Zero Trust’s Scope Problem

The coverage of Anthropic’s Mythos Red Team report has followed a predictable arc: a sensational headline, reactions ranging from alarm to dismissal, and little engagement with what the research actually demonstrates. That is worth correcting, because what Mythos reveals is not primarily a story about AI finding vulnerabilities. It is a story about why trusting software is no longer a viable strategy, and what the architectural response should be. 

The Curious Case of the Comburglar

By Troy Wojewoda During a recent Breach Assessment engagement, BHIS discovered a highly stealthy and persistent intrusion technique utilized by a threat actor to maintain Command-and-Control (C2) within the client’s […]

The post The Curious Case of the Comburglar appeared first on Black Hills Information Security, Inc..

Webcast: Durable vs. Ephemeral Threat Intel

In this Black Hills Information Security webcast John breakdowns why he hates threat intelligence… Again… But, he breaks down some of the cool new projects that are focusing on durable […]

The post Webcast: Durable vs. Ephemeral Threat Intel appeared first on Black Hills Information Security, Inc..

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WEBCAST: How to Use Threat Intelligence

John Strand// Using threat intelligence feeds for good….instead of wasting time and money. John’s intense hatred for threat intelligence feeds is pretty well known. Trying to defend your network against […]

The post WEBCAST: How to Use Threat Intelligence appeared first on Black Hills Information Security, Inc..

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