US Agencies Warn Chinese AI Firms Are Extracting Advanced AI Models
NSA, CISA, and FBI accuse six Chinese AI firms including DeepSeek and Alibaba of industrial-scale distillation of US frontier models.
A joint NSA, CISA, and FBI advisory alleges DeepSeek, Moonshot AI, Alibaba, MiniMax, StepFun, and Z.AI extracted billions of tokens across millions of requests from US frontier models including Claude, GPT, Gemini, and Grok since at least late 2024. DeepSeek reportedly ran an organized campaign against Claude, GPT, and Gemini between late 2024 and mid-2025 that aided R1 and V3 development, including chain-of-thought reasoning extraction. Reported techniques included shared premium accounts, gray-market proxy 'transfer stations,' automated failover, and prompt injection that made Claude Code believe it was a MiniMax product. The advisory recommends detection signals such as 24/7 multi-IP account usage and covertly serving degraded responses to suspected distillers.
NovaCookies Campaigns Abuse Genuine Docusign Notifications to Steal Microsoft 365 Sessions
NovaCookies AitM phishing kit, a Sneaky 2FA variant, uses genuine Docusign lures to steal Microsoft 365 sessions at hundreds of organizations.
Island disclosed NovaCookies, a $320/month adversary-in-the-middle phishing-as-a-service platform that relays Microsoft 365 sign-ins through attacker infrastructure to capture credentials, MFA codes, and authenticated sessions. Campaigns abuse genuine Docusign envelopes and Microsoft/Google redirect hops so each step looks legitimate, with lure domains on .vu and alternating-case labels such as PwPt-sHaRe. Proofpoint assesses NovaCookies as a Sneaky 2FA variant with added flows for Okta and Entra domains federated to GoDaddy, and a fully managed PhaaS model. It has targeted hundreds of organizations in the U.S., U.K., Canada, Germany, Israel, and the U.A.E., and is advertised via Telegram with anti-analysis checks like a Cloudflare gate.
⚡ 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.