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.
China-Linked Jewelbug Uses XG-Web for Government Espionage and Crypto Fraud
China-linked Jewelbug runs government espionage and crypto fraud from a single XG-Web browser-based control framework.
Broadcom's Symantec and Carbon Black detail Jewelbug, a China-based hackers-for-hire group conducting espionage against governments and militaries in the Middle East, Southeast Asia, and South Asia, plus crypto fraud against Chinese-speaking victims. Operations center on XG-Web, a browser-centric remote-access and infostealing framework, with implants spanning browsers, Windows, Linux, and network devices. The group overlaps with CL-STA-0049, Ink Dragon, Earth Alux, and REF7707, and compromised a Middle Eastern government's webmail across 15 tenants.
14 Trojanized npm Packages Drop RedC2 4.0 Linux Backdoor With AI
Trend Micro found 14 trojanized npm calendar utilities delivering RedC2 4.0, an AI-powered cross-platform backdoor sold for $99.99.
Trend Micro's TrendAI identified 14 functional but trojanized npm packages (streak-*, kit-map-vim, map-streak-kit) that load a bundled Linux implant, the RedShell beacon of RedC2 4.0, without requiring install hooks. RedC2 4.0, sold by Red Offsec for $99.99 and advertised on Hack Forums by actor MarlboroMan in June 2026, offers shell access, credential theft, SOCKS5 proxying, in-memory execution, and an LLM-driven component called Red Agent for natural-language post-exploitation. The framework has evolved from version 2.0 in August 2025 through 4.0, with the Linux beacon introduced in the latest release.