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Cosmos EVM Flaw Exploited After Cosmos Labs Knew Every Blockchain Running It Was Vulnerable
Attackers exploited a critical Cosmos EVM balance bug (GHSA-7g4w-cg88-2cq2) to drain funds from six blockchains; fixed in v0.6.2 and v0.7.2.
Cosmos Labs disclosed that a critical balance-handling flaw in the shared Cosmos EVM module (GHSA-7g4w-cg88-2cq2, no CVE) was exploited to drain funds from six blockchains between August 20 and 25, 2026. The bug, reported April 25 and initially judged harmless, lets vesting accounts delegate more than their spendable balance, wrapping balances to roughly 2^256 and triggering unintended mint/burn in reconciliation, potentially halting chains or burning victims' holdings. Fixes shipped in v0.6.2 and v0.7.2 on August 19 as state-breaking coordinated network upgrades; operators who cannot upgrade must halt their chains. The post-mortem notes the team used public silent patching for a fund-threatening issue, contrary to its own bug bounty policy, and that eleven deployments had never registered with its security channels.
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ClickFix Campaign Compromises 31 Orgs, Abuses Polygon Blockchain
A ClickFix social engineering campaign compromised 31 organizations, abusing the Polygon blockchain via EtherHiding for dynamically updated command-and-control.
The campaign uses ClickFix-style social engineering to compromise victims, with 31 organizations affected. It employs EtherHiding to dynamically update its command-and-control server, abusing the Polygon blockchain as an attacker-controlled address book. This blockchain-based C2 approach makes the infrastructure more resilient and harder to take down.
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‘White hat’ hackers take $47 million bounty after $320 million crypto theft
Hackers withdrew $320 million in bitcoin from Liquid Network, negotiated on-chain, returned $266.5 million and kept a $47 million reward.
Purported white-hat hackers withdrew 4,000 BTC (about $320 million) from Liquid Network's own wallet, one of the largest cryptocurrency thefts of 2026. Over roughly 12 hours of public on-chain negotiation with operator Blockstream, the hackers returned $266.5 million in bitcoin and kept 598.5 BTC (about $47 million), claiming it as a reward for uncovering a bug. Blockstream deployed updated software and paused deposits and withdrawals while experts traced the flaw to the Elements sidechain framework. April thefts of $290 million from Kelp and $280 million from Drift, attributed to North Korean hackers, were previously 2026's largest.
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Attackers Turn Trusted Node.js Runtime Into Malware Delivery Tool in Targeted Attacks
Symantec reports multiple threat actors, including KongTuke, abusing the trusted signed Node.js runtime and blockchain C2 (EtherHiding) to deliver backdoors in targeted attacks.
Symantec's Threat Hunter Team (Broadcom) reports that since February 2026 attackers have used the legitimate signed node.exe binary and interpreted scripts to deliver implants while evading signature-based detection, hitting government departments, technology companies, and hotels. One intrusion at an Asian technology firm (March 23–July 25, 2026) used ClickFix social engineering, the official Node.js installer, and EtherHiding to fetch commands via the Ethereum blockchain after AdaptixC2 and Cobalt Strike attempts were blocked. Related chains involve KongTuke (Woodgnat) using ModeloRAT, Mistic, NexShield, and GateKeeper, plus C2Looper, AsukaStealer, and EtherRAT; GuidePoint Security separately linked a fake-CAPTCHA ClickFix campaign to at least 31 compromised organizations using the Polygon blockchain as a dynamic C2 address book.
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Kimwolf v7 Hides DDoS Traffic Behind Chrome Fingerprints and Ethereum
Unit 42 details Kimwolf v7, an Android TV botnet upgrade using HTTP/2 Chrome-fingerprint DDoS floods and Ethereum ENS-based C2 across 1.8M+ infected devices.
Palo Alto Networks Unit 42 identified Kimwolf v7 on February 3, 2026, an upgrade to an Android TV botnet active since August 2025 and linked to the AISURU botnet, which has infected over 1.8 million devices. The new version adds an HTTP/2-based DDoS flood that mimics full Chrome browser fingerprints, consolidates 43 attack commands into 15 methods covering layers 3-7, and resolves C2 addresses via Ethereum Name Service using five hard-coded public blockchain RPC endpoints, backed by a Tor hidden service and a local proxy on 127.0.0.1:23075. It spreads through residential proxies to Android TV boxes with ADB enabled on port 5555 and masquerades as netd_service. The botnet is associated with the record 31.4 Tbps DDoS attack in November 2025.
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Kimwolf botnet rebuilt to survive takedowns, researchers say
Palo Alto Unit 42 reports the Kimwolf/Aisuru botnet now uses HTTP/2 Chrome-impersonation floods and Ethereum blockchain-based command resolution to survive takedowns.
Palo Alto Networks' Unit 42 says a new Kimwolf/Aisuru botnet version active since February conducts DDoS floods over HTTP/2 with full Chrome browser fingerprints, making attack traffic hard to distinguish from real users. The malware resolves command servers via the Ethereum Name Service using five shuffled Ethereum endpoints, with a Tor hidden service fallback, so authorities cannot seize a domain or serve a takedown order. The botnet, powered mostly by hijacked Android TV boxes and IoT devices, previously had servers seized and an alleged operator arrested; new C2 infrastructure traces to a single network in Saint Petersburg, Russia. It is unclear whether the same developers built the new version.
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ClearFake WebDAV infection chain delivers Amatera stealer, ZigCryptoStealer, and NetSupport Manager
Cisco Talos details ClearFake WebDAV chains delivering Amatera stealer to a Ukrainian government organization, with cryptocurrency and credential theft payloads.
Cisco Talos investigated DLL executions named 'verification.google' via WebDAV UNC paths at a Ukrainian government organization, tracking the actor as UAT-10820 and assessing with moderate confidence the activity is Russian and opportunistic rather than targeted. The infection chain uses ClearFake JavaScript injected via a Cloudflare Worker, EtherHiding storage on BNB Smart Chain contracts, and a ClickFix fake Google CAPTCHA prompt to deliver Amatera stealer. Secondary payloads differ by C2: one loader deploys ZigCryptoStealer with a Go reverse TCP proxy and a vulnerable driver that kills EDR, while the other installs an unauthorized NetSupport Manager with a Russia-based C2. Similar Amatera chains were separately documented by Malwarebytes and Blackpoint Cyber, but with no shared infrastructure.
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DeadLock Ransomware Uses Polygon Smart Contracts to Make Extortion Infra Harder to Disrupt
Microsoft reports DeadLock ransomware using Polygon smart contracts and Session messaging for extortion infrastructure, claiming 96 victims across Europe and the U.S.
Microsoft Threat Intelligence reports the DeadLock ransomware operation uses the Session messaging network and Polygon blockchain smart contracts to host victim chat, proxy server addresses, and its data leak blog, making takedowns harder. First detected in July 2025, the group has claimed 96 victims, mostly in Italy, Spain, Poland, Türkiye, and the U.S., with deployments by affiliates of Lynx and INC ransomware. The encryptor uses Curve25519 with XChaCha20, drops an interactive HTML recovery chat application, geofences CIS-linked countries, and clears logs and shadow copies to evade forensics.
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Week in review: F5 data breach, Microsoft patches three actively exploited zero-days
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Week in review: Attackers exploiting VMware RCE, Microsoft fixes actively exploited zero-day
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