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Passkey-themed social engineering leads to identity and cloud compromise

Microsoft tracks ongoing cloud intrusions where passkey-themed helpdesk lures enable AiTM credential theft, MFA persistence, and SharePoint data theft.

Microsoft Security Research is tracking active cloud-based intrusions, observed since May 2026, that begin with helpdesk impersonation calls and SMS lures urging urgent passkey, MFA, or SSO updates. The lures lead to adversary-in-the-middle phishing or device-code authentication flows that capture credentials and session tokens or grant actor access, after which the actors add authentication methods, conduct Microsoft Graph reconnaissance, and download SharePoint and OneDrive content via REST APIs. Phishing domains embed victim organization names as subdomains (e.g., contoso.add-passkey[.]com), are often registered with Nicenic, and go operational within hours. Microsoft advises revoking sessions and removing unauthorized authentication methods for confirmed compromises.

Microsoft Security Blog · 7d agoThreat actor in the wild2

Counterfeit installers turn routine software downloads into enterprise breaches

Microsoft warns of a multi-sector campaign using counterfeit download sites for Edge, Kaspersky and Razer to deliver trojanized installers with persistent implants.

Microsoft Defender Experts tracked a campaign breaching organizations in healthcare, manufacturing, gaming, technology, logistics, government, and education via spoofed vendor download pages, often using .com.cn and .hl.cn domains. Installers keep the same filename while their hash changes on every download, indicating server-side payload generation that defeats file-based detection. The chain abuses msiexec.exe and scheduled tasks for persistence, adds Defender exclusions, deletes shadow copies, and disables Windows Update, with some hands-on-keyboard activity. The activity is consistent with the publicly reported Silver Fox (Yinhu) campaign, though Microsoft has not attributed it to a nation-state actor.

CSO Online · 13d agoThreat actor in the wild1

ShieldBreak Zero-Day PoC Claims Microsoft Defender Patch Bypass With SYSTEM Access

Researcher Chaotic Eclipse released ShieldBreak PoC, a claimed patch bypass for Microsoft Defender flaw CVE-2026-50656, now tracked as CVE-2026-69414.

Researcher Chaotic Eclipse released a PoC for ShieldBreak, a claimed full patch bypass of Microsoft Defender flaw CVE-2026-50656 (RoguePlanet), which can yield SYSTEM privileges. Independent researchers Kevin Beaumont and Will Dormann validated the exploit on Windows 11 25H2 and Windows Server 2025, noting it requires Defender to be enabled. Microsoft assigned CVE-2026-69414 (CVSS 7.8) with an 'Exploitation More Likely' assessment and is investigating, but has not yet released a patch. The article also notes CISA's KEV addition of the actively exploited Windows AFD.sys flaw CVE-2026-68820.

Microsoft Copilot Personal Flaws Could Let One Click Exfiltrate Data From Connected Apps

Varonis discloses CoSnitch (CVE-2026-24301), three Microsoft Copilot Personal flaws enabling one-click exfiltration of connected-app data; patched August 18, 2026.

Varonis Threat Labs found that an undocumented autorun=1 parameter, paired with the q parameter, lets an attacker-supplied prompt run automatically on page load in a victim's authenticated Copilot session, then exfiltrate data from connected services such as mail, calendar, Google Drive, chat history and the memory store via Copilot's built-in URL fetch to an attacker webhook. A separate memory-poisoning path through web summarization lets a crafted page persist attacker instructions in the user's memory, surviving password changes, session revocation and device re-enrollment. Microsoft shipped patches on August 18, 2026, tracked as CVE-2026-24301, and Varonis found no evidence of in-the-wild exploitation. The flaws were found via 'meta-hacking', asking Copilot itself to reveal the autorun parameter and its protections.

New Windows Defender ShieldCrash 0-Day Bypasses Microsoft Patch to Read Files as SYSTEM

Researcher's ShieldCrash PoC claims Microsoft Defender still allows arbitrary file reads as SYSTEM on patched Windows, bypassing the CVE-2026-69414 fix.

Researcher MSNightmare released the ShieldCrash proof of concept showing Microsoft Defender can allegedly be made to read arbitrary files with SYSTEM privileges on fully patched Windows systems, bypassing the September 2026 fix for ShieldBreak (CVE-2026-69414). Microsoft has not confirmed the bypass, and the new flaw has no CVE assignment yet. The PoC repository contains C++ project files, a Warden.dll library, and an EICAR test archive, suggesting interaction with Defender's malware-detection and file-handling workflow. Reading files as SYSTEM could expose configuration files, credentials, private keys, and other users' data, though it does not enable code execution.