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ThreatsDay: 296K IoT Botnet, 100+ Water Systems Targeted, SharePoint RCE Chain + 27 New Stories
Weekly ThreatsDay bulletin details a ShinyHunters-style social engineering hit on ReliaQuest, the 296,000-device Dysphoria IoT botnet, and several new malware families.
ReliaQuest confirmed a social engineering attack on August 22, 2026, in which an attacker used a fake SSO page and MFA push approval to gain brief view-only access to an identity dashboard, with tactics matching ShinyHunters, which has since listed the firm on its leak portal. The Shadowserver Foundation reported the Dysphoria botnet has compromised nearly 296,000 IoT devices for DDoS attacks and recently added residential proxy capability. Cisco Talos documented JWR, an operator-driven phishing-as-a-service framework linked to The Outsider that harvests credentials, identity documents, and 2FA codes over an encrypted WebSocket. New malware coverage includes the Octagon Android fraud bot ($1,400/month), the C2Looper Rust backdoor delivered via ClickFix, and the Aeternum loader that moved C2 to the Polygon blockchain.
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Hackers Target Claude, Cursor and Codex AI Agents to Steal Tokens and Prompt Histories
Gen Digital found infostealers like Amatera and Remus stealing AI coding agent tokens, prompt histories, and MCP configs from infected Windows and macOS machines.
Gen Digital analysts observed Amatera and Remus detections among tens of thousands of protected Windows users over three months, with Amatera targeting Cline and Continue data and Remus targeting Claude, Cursor, and OpenCode. CallbackBeaver added Cursor and Claude to its collection scope with more than 5,000 samples in 30 days, while macOS-focused Djinn Stealer has been associated with Claude, Codex, Gemini, Cline, OpenCode, and Kilo. The stealers harvest access and refresh tokens, prompt histories, and MCP configuration files that can expose source control, ticketing, databases, cloud resources, and sensitive project context for follow-on fraud. Many stealers add targets via remotely managed rules, meaning this is an adaptation of existing infostealers rather than a new vulnerability in the AI tools themselves.
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LiteLLM Supply-Chain Attack - Technology, Banking and Healthcare the Most Affected
TeamPCP planted the SANDCLOCK credential stealer in LiteLLM PyPI releases, exposing credentials across 2,038 repositories at 898 organizations including Microsoft and NVIDIA.
Threat actor TeamPCP compromised LiteLLM maintainer credentials and published malicious versions 1.82.7 and 1.82.8 to PyPI around March 2026, creating an exposure window of several months. The SANDCLOCK credential stealer exposed full credential sets across 898 GitHub owners and 2,038 repositories, including Microsoft, Azure, IBM, NVIDIA, PayPal, Deloitte, Bosch, and S&P Global. Stolen material includes GitHub CI/CD identities, AWS/GCP/Firebase credentials, SSH keys, Kubernetes secrets, and OpenAI and Anthropic API keys; Resecurity acquired a 150GB archive with 2,146 credential records. Technology, banking/finance, and healthcare organizations are the most affected sectors, and victims must rotate all exposed credentials.
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