Angry Birds: Toy Ghouls’ new toys
Kaspersky tracks ransomware group Toy Ghouls deploying new custom backdoors, mqtt-bird-agent and matrix-bird-agent, using HiveMQ MQTT and Element as C2 channels.
Kaspersky reports that Toy Ghouls (also known as Bearlyfy, Laboo.boo and Feral Wolf), a financially motivated group targeting Russian organizations since 2025, shifted from leaked Babuk and LockBit builders and public GitHub tools to its custom GenieLocker ransomware. In early July 2026 the group deployed two custom backdoors: mqtt-bird-agent 0.1.0 using the public HiveMQ MQTT broker as C2, and matrix-bird-agent 0.1.0 using the Element messenger. The backdoors are delivered via WinRM using Evil-WinRM and WinRM-fs, persist as Windows services, and encrypt their configuration with ChaCha20-Poly1305 keyed to the machine's MachineGuid registry value.
Attackers turn to AI for help identifying files worth stealing
Gambit Security documents three threat actors using AI: a ransomware operator with Claude Code, credential harvester Zerofot, and the AI-built RAGE cryptomining framework.
Gambit Security examined three unrelated threat actors using AI across different stages of intrusions. A suspected operator tied to The Gentlemen ransomware-as-a-service used Claude Code running Claude Sonnet 4.6 in late June 2026 at six organizations, including an Australian energy utility, where it ran reconnaissance, ranked valuable databases, staged SQL Server dumps for exfiltration, and modified firewall configurations, accidentally taking one utility firewall offline. The Zerofot credential-harvesting operation, built with OpenAI Codex and Claude Code, collected 2,975 validated credentials from 1,742 hosts between April 5 and May 23, 2026, including SSH private keys and AWS access keys. The AI-generated RAGE Python framework exploits exposed Redis, Elasticsearch, Docker, Tomcat, and other services to harvest credentials and deploy cryptominers, guided at runtime by a DeepSeek-backed AI Orchestrator.
Campaign Evolution: Darkleech to Pseudo
Unit 42 traces the pseudo-Darkleech campaign, which compromises websites to inject scripts redirecting visitors to exploit kits delivering ransomware.
Palo Alto Networks Unit 42 analyzed the evolution of the pseudo-Darkleech campaign, which injects malicious script into compromised Apache, IIS and WordPress sites to redirect visitors to exploit kits such as Angler and Neutrino. The original Darkleech Apache module infected thousands of servers starting in 2012 and delivered Blackhole EK until that kit disappeared after Paunch's 2013 arrest. From 2015 onward, pseudo-Darkleech delivered ransomware families like CryptoWall and TeslaCrypt, and by early 2016 its injected scripts added obfuscated numeric blocks with frequently changing separator characters. Unit 42 tracks these patterns to help defenders identify compromised websites.
Hackers Abuse VSSAdmin to Extract NTDS.dit and Delete Windows Recovery Copies
Huntress details intruders using PsExec and VSSAdmin on domain controllers to steal NTDS.dit credentials and delete shadow copies before ransomware.
Huntress analysts identified attackers launching SYSTEM-level command shells via PsExec on a domain controller, then running 'vssadmin create shadow' to snapshot and copy the NTDS.dit Active Directory database. Shadow copies were later deleted to destroy local recovery options ahead of a likely ransomware stage. Huntress recommends correlating VSS creation/deletion events with remote execution, DNS enumeration, and lateral movement rather than alerting on any single VSS event.
Pro-Ukraine Hacking Cat group deploying new malware against Russian targets
Kaspersky links pro-Ukraine hacktivist group Hacking Cat to Gorilla RAT and Monkey Ransomware in destructive attacks on Russian targets.
Kaspersky reports that pro-Ukraine group Hacking Cat, active since February 2024, has shifted from defacements to destructive encryption attacks, using a previously undocumented Gorilla RAT remote-access tool and Monkey Ransomware, which appends the .monkey extension to files. Initial access in some attacks came from exploited Microsoft Exchange vulnerabilities, and rapid multi-language malware variants suggest possible generative AI assistance. Shared tools like Nemo Wiper across groups including Ukrainian Cyber Alliance complicate attribution, and targets include Rosatom contractor and heating provider Donbassteploenergo.
Srsly Risky Biz: China's Private Sector Botnets Are Worth Disrupting
DoJ seized domains of Chinese espionage botnet platforms QScan and QTRouter, run by private firm QTFY for MSS and PLA targeting.
The US Department of Justice disrupted QScan, a distributed vulnerability scanning system with nearly a decade of internet scanning data, and QTRouter, a covert communications platform routing traffic through compromised IoT devices, operated by QTFY under Chinese company Nanjing Xinjiuwei Network Technology. FBI and NSA advisories say QTFY customers include China's Ministry of State Security and the People's Liberation Army, targeting federal agencies, the US Senate, hospitals, telecoms and financial institutions. This is the third Chinese state-backed botnet disrupted since December 2023, following the KV botnet (Volt Typhoon) and Raptor Train (Flax Typhoon), and a sister network, JDY, has more than doubled since the KV disruption. Separately, the Qilin ransomware group claimed a breach of the ATF's CALEA system, briefly publishing 6.3 GB of case folders and forensic data.
Suspected China-Nexus Actor Exploits VMware vCenter Flaw, Deploys Babuk
QUIRSO attributes exploitation of VMware vCenter CVE-2026-59310 to a suspected China-nexus actor that hit 361 IPs in 47 countries, deploying backdoors and Babuk.
German incident response firm QUIRSOS assessed with moderate confidence that a suspected China-nexus actor, likely operating in UTC+08:00 hours, exploited VMware vCenter flaw CVE-2026-59310 (CVSS 9.8 directory traversal) beginning five days after Broadcom's July 29 patch. The campaign compromised 361 unique victim IPs across 47 countries, most in Germany, the US, Turkey, Iran, and France. The actor abused cron jobs, a XOR-obfuscated 'linuxFile' WebSocket backdoor with systemd/cron persistence, a JSP web shell, SSH authorized-keys manipulation, and a reverse SSH tool, with one Babuk deployment reported. A separate vCenter 'vcenter_admin' account creation consistent with CVE-2026-59309 exploitation was also observed from August 1.
The Top 4 Threats We Found by Investigating Every Alert for a Quarter
Prophet Security's quarterly threat report finds identity attacks made up roughly half of confirmed malicious activity, with stolen authenticated sessions bypassing conditional access controls.
Between May 1 and July 31, 2026, Prophet Security investigated every alert in customer environments immediately on arrival; about 7% of completed investigations were confirmed malicious. Direct account/session attacks made up roughly 18% of confirmed activity, with replayed authenticated sessions bypassing conditional access since no re-authentication occurs. Infostealer activity affected about a quarter of investigated organizations, mostly delivered via browsers through compromised websites, malicious ads, sponsored search results and ClickFix fake CAPTCHA gates, with payloads including Lumma Stealer, Vidar, HijackLoader and AsyncRAT. Credential phishing was the largest category at about 28%, with adversary-in-the-middle relays revealed by seconds-long MFA approvals from distant countries and MFA fatigue attacks exploiting automatic unlock policies.
Hackers Disable Endpoint Protection and Deploy Sliver Across Compromised Windows Domain
The Hunter's Ledger tracked campaign UTA-2026-024 using Sliver C2, Domain Admin account creation, and Ethereum-based C2 rotation to compromise a US organization's Windows domain.
The Hunter's Ledger tracked an intrusion at one unnamed US organization as UTA-2026-024, staged from exposed server 193.233.202.17 with a Sliver beacon. Operators created a non-expiring Domain Admin account, enabled RDP with NLA disabled, dumped SAM, SYSTEM and SECURITY hives plus LSASS memory, and disabled eight endpoint protection services. A Node.js implant resolved its C2 server from an Ethereum smart contract that rotated domains five times in five months, while SYSTEM scheduled tasks with backdated dates and DNS allowlist manipulation provided persistence. The infrastructure ties to a confirmed ransomware incident, but no encryptor deployment was proven in this intrusion.
Impersonating IT support: how threat actors turn a remote session into enterprise-wide access
Microsoft details Teams IT-support impersonation campaigns deploying Node.js implants, AD reconnaissance, and WinRM lateral movement toward domain controllers.
Microsoft Threat Intelligence describes a human-operated campaign where attackers impersonate IT/helpdesk staff via Microsoft Teams external collaboration, talk users into granting remote sessions, and use RMM tools for interactive access. During the session they run PowerShell to silently install a malicious MSI that stages a portable Node.js runtime and obfuscated JavaScript implant for C2, executing follow-on payloads via rundll32. Operators then perform host and Active Directory reconnaissance, capture desktop screenshots, and pivot via WinRM on port 5985 to domain controllers and certificate authorities. The hands-on-keyboard chain, which can precede data theft and ransomware, blends into normal operations by relying on Teams, Quick Assist, msiexec, and Node.js; Microsoft shares hunting and mitigation guidance.
Threat Brief: Ongoing Russia and Ukraine Cyber Activity
Ukrainian government sites were defaced via OctoberCMS CVE-2021-32648 while Microsoft-attributed actor DEV-0586 deployed destructive WhisperGate malware.
Unit 42 tracks January 2022 attacks against Ukrainian government websites that were defaced or made inaccessible, which Ukraine attributed to Russia. Attackers exploited CVE-2021-32648, an account takeover flaw in OctoberCMS prior to 1.0.472, by submitting a boolean true as the password reset code to bypass validation. Separately, WhisperGate malware, attributed by Microsoft to DEV-0586, disabled Windows Defender and corrupted files across multiple Ukrainian organizations, using a ransomware-appearing first stage and an HTTPS-beaconing second stage with LOLBINs and anti-analysis techniques.