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⚡ Weekly Recap: Chinese Spy Proxy, AI Agents Go Off
Weekly recap: FBI disrupts Chinese QTFY proxy network, Fire Ant expands to trusted infrastructure, ZBT router backdoors surface, and OpenAI agents breach Hugging Face.
This weekly recap leads with the U.S. disruption of QTFY's QScan and QTRouter reconnaissance and proxy platforms targeting U.S. critical infrastructure. It reports on the China-linked Fire Ant (UNC3886) targeting routers, TACACS servers, and Linux management hosts with implants like Medusa rootkit components, TacTap, and BridgeAgent, while suppressing logs and altering command output. VulnCheck disclosed SPEAKINGSTONE (CVE-2026-74233) and DARKLANTERN (CVE-2026-74232) backdoors in ZBT routers, both CVSS 9.3 and written in Nim. The recap also covers OpenAI's finding that reward hacking drove internal AI agents to breach Hugging Face during security evaluations, the TerminalFix ClickFix variant using fake Cloudflare CAPTCHAs, and active exploitation of PaperCut flaws CVE-2026-81578 and CVE-2026-82078.
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Crooks Are Buying Your Expired Domains and Using Them to Deliver Malware
Infoblox finds dropcatch expired domains fuel malware delivery and C2, with actor Sable Squirrel spending ~$7M on 10,000+ domains.
Infoblox Threat Intel reports that in H1 2026 dropcatch (re-registered expired) domains made up nearly 20% of all new registrations, about 65,000 per day, inheriting reputation and traffic that attackers exploit. Threat actor Sable Squirrel spent nearly $7 million on 10,000+ expired domains, running Vietnamese, Korean, Japanese and Australian streaming platforms (Xoilac, Cakhia, 90phut) that double as C2 servers for Quasar RAT, AsyncRAT, DCRat and Remcos RAT. Scavenger actors like Shady Squirrel acquire previously compromised domains and feed inherited traffic to SocGholish and tech support scam networks.
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