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xHunt Campaign: New PowerShell Backdoor Blocked Through DNS Tunnel Detection
xHunt's new CASHY200 PowerShell backdoor used DNS tunneling for C2; DNS security blocked beaconing at a Kuwait organization in September 2019.
Unit 42 describes CASHY200, a new PowerShell-based backdoor tied to the xHunt campaign that communicates with its C2 server windows64x[.]com via DNS tunneling, parsing commands from DNS answers. In September 2019, a Kuwait-based organization's DNS security service blocked the beaconing minutes after detection, cutting off adversary access. Samples dating to May and June 2018 and open source collection suggest the tool was used against Kuwait government organizations from spring 2018 through 2019, with malicious Word documents observed installing CASHY200 payloads configured with C2 domains such as firewallsupports[.]com and winx64-microsoft[.]com. The tool's name derives from identifiers stored under the registry key HKCU\Software\Microsoft\Cashe and the command value 200.
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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.
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xHunt Campaign: Attacks on Kuwait Shipping and Transportation Organizations
xHunt deployed custom backdoors Hisoka, Killua, Gon, and EYE against Kuwait shipping and transportation organizations, using DNS tunneling and email-draft C2 channels.
Unit 42 observed the xHunt campaign targeting Kuwait transportation and shipping organizations between May and June 2019, installing backdoors named after characters from the anime Hunter x Hunter, including Hisoka, Killua, Sakabota, and Netero. The tools use HTTP and DNS tunneling for C2, and Hisoka v0.9 added an unusual email-based C2 channel that abuses Exchange Web Services with stolen credentials to exchange email drafts. The Gon tool provides port scanning, file transfer, screenshots, remote command execution, and RDP session creation, while EYE acts as a cleanup failsafe if a legitimate user logs in. Related activity targeting Kuwait between July and December 2018 was reported by IBM X-Force IRIS, suggesting the campaigns are likely related.
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China-Aligned Hackers Hide PeckBirdy Malware C2 Inside Casino and Adult Websites
Infoblox found China-aligned actors hiding PeckBirdy malware C2 inside fake Chinese-language casino and adult websites, evading security scans via service workers and WebSockets.
Infoblox reported that China-aligned actors behind the PeckBirdy JScript C2 framework conceal command-and-control inside low-quality Chinese-language casino and adult websites, extending Trend Micro's earlier findings that tied the framework to backdoors including MKDOOR and HOLODONUT. One decoy, vip311[.]cc, embedded JavaScript linked to cache-mcp[.]com and registered a service worker connecting to mcp-source[.]online over WebSocket; at publication mcp-source[.]online had zero VirusTotal detections, showing how the layered design evades conventional scanning. The campaign has been active since at least 2023, and just over 3% of Infoblox enterprise customers resolved at least one PeckBirdy C2 domain, with education, IT, banking and government among observed sectors.
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Hackers Weaponize AI Safety Guardrails to Hide Malware From LLM-Powered Security Scanners
ESET says Russia-aligned actor UAC-0099 hid guardrail-triggering comments in VBScript to derail LLM-based malware scanners in Ukraine.
ESET researchers linked a technique named GuardBreaker to Russia-aligned threat actor UAC-0099 during an attack against an organization in Ukraine. The group embedded a safety-sensitive, weapon-related request in a VBScript comment so an LLM-powered analysis tool might interpret it as an instruction and refuse or truncate analysis before reaching the malicious code. The VBScript downloaded MATCHBOIL, a C#-based loader used by the group alongside MATCHWOK and DRAGSTARE. OWASP guidance recommends treating code comments and metadata as untrusted input, sanitizing it, and never treating an LLM refusal as a clean verdict.
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GTIG AI Threat Tracker: From Prompting to Autonomy – The Evolution of Adversarial AI
GTIG's Q2 2026 tracker shows adversaries adopting agentic AI workflows, including credential harvesting in under six hours and supply chain attacks by UNC6780.
Google Threat Intelligence Group's Q2 2026 report documents adversaries moving from basic prompting to agentic AI workflows and automation, including a cloud compromise followed by agent-enabled mass credential harvesting executed in under six hours. It tracks financially motivated actor UNC6780 (TeamPCP) conducting large-scale open source supply chain compromises across PyPI, npm, and Docker Hub since March 2026, deploying credential stealers. The report also highlights growing targeting of proprietary AI models, source code, prompts, and API credentials, plus LLMJacking practices where adversaries steal developer credentials or hijack cloud infrastructure to run unauthorized AI workloads.
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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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North Korea-linked IT Workers Are Getting Hired Inside Western Companies
Huntress documented five DPRK-linked FAMOUS CHOLLIMA workers hired by Western companies in 2026 using fake identities, proxies and laptop farms.
Huntress published an investigation of five confirmed 2026 cases of North Korea-linked IT workers, tracked as FAMOUS CHOLLIMA, obtaining remote jobs at legitimate companies in IT, sales, marketing and healthcare. The workers use stolen or fabricated identity documents, VPNs and proxy services, and some were caught using PiKVM hardware-level control, travel routers and laptop farms to mask their true location. Detection relied on document forensics, behavioral anomalies and indicators like identical typo artifacts in electricity bills rather than network intrusions.
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ThreatsDay: Gogs 10.0 RCE, n8n Workflow-to-RCE, $10M Reward, GLM
Hacker News ThreatsDay roundup: Defender BTR.sys driver abuse, DoJ charges 17 Mabna Institute members over IRGC-linked intrusions, Grandoreiro sideloading, OpenAI monitoring.
Check Point researchers showed Microsoft's signed Defender Boot-Time Removal driver (BTR.sys) can be repurposed as a universal kernel operation engine to bypass endpoint security without BYOVD. The DoJ charged 17 members of Iran's Mabna Institute, which on behalf of the IRGC stole over 31 TB of academic data from 144 US universities and compromised roughly 8,000 of 100,000 targeted professor accounts; the State Department offered a $10 million reward for five defendants. Separately, Acronis tracked a Grandoreiro campaign abusing DLL sideloading in the Duplicate Files Finder app across Latin America and Spain, while ErrTraffic ClickFix campaigns deliver Cruciferra (BYOVD) and Remus Stealer. OpenAI also previewed Private Safety Processing, a privacy-centric approach to monitoring model misuse without retaining customer content.
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Attackers impersonate popular AI brands to spread malware
Sophos documented 38 MDR cases where attackers impersonated AI brands like Claude and Perplexity to deliver infostealers and backdoors.
Sophos X-Ops analyzed 12 months of MDR cases and confirmed 38 incidents involving AI. Software impersonation accounted for 30 cases, with Claude impersonated in 26; fake installers used an 'InstallFix' technique delivering mshta commands, in-memory payloads, and process hollowing. Malicious browser extensions posing as AI assistants, including a fake Perplexity extension with 10,000 installs, acted as infostealers. In one case, attackers used a Claude coding agent to develop a Rust remote access trojan communicating over Slack after an SQL injection compromise.
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Inside Operation CameraSwarm: How One Actor Took Over 14,000 Dahua Cameras
One actor compromised over 14,000 Dahua cameras in Ukraine and Russia using brute-force, authentication bypass, and cloud relay serial-number abuse.
Hunt.io reconstructed Operation CameraSwarm from an exposed operator directory, revealing one actor compromised 14,000+ Dahua cameras between June 17 and July 22, 2026, mainly in Ukraine and Russia. The toolkit included a brute-force engine, a two-flaw 2021 authentication-bypass chain planting a persistent backdoor account on 1,923 cameras, and abuse of Dahua's cloud relay where 89.4% of probed serials returned open, unauthenticated channels. A SalatStealer Windows binary and Defender-disabling PowerShell script were staged on the same server but appear unrelated to the camera campaign.
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New Python-Based Payload MechaFlounder Used by Chafer
Unit 42 identified MechaFlounder, a new Python backdoor used by the Chafer group to target a Turkish government entity via HTTP-based C2.
Unit 42 reports that in November 2018 the Chafer group targeted a Turkish government entity, reusing the win10-update[.]com infrastructure reported earlier in 2018 by ClearSky. The new secondary payload, tracked as MechaFlounder, is Python compiled with PyInstaller and acts as a backdoor supporting file upload/download and command execution. It beacons over HTTP using anomalous GET requests containing the username and hostname, suggesting a custom C2 server rather than a standard web server. Code overlap with OilRig's Clayside VBScript was noted, but Chafer and OilRig remain tracked as separate groups.
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North Korean Remote Workers Are Infiltrating Government and Businesses: How to Expose Them Before Hiring
Researchers expose DPRK remote IT worker infiltration tactics, including forged identities and AI-assisted interview behavior.
A joint investigation by Mauro Eldritch, Heiner García, and ANY.RUN hired suspected DPRK developers linked to Lazarus Group into controlled sandboxes, revealing forged IDs, remote-access tools, AI-assisted workflows, and VPN/VPS infrastructure. The FBI is investigating a North Korean remote IT worker who reportedly worked for a U.S. federal agency. The article outlines verification steps and indicators including VPS and AstrillVPN exit node IPs.
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