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⚡ Weekly Recap: Chrome 0-Day, AI Hacking Tools, DDR5 Bit
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China-Based Artificial Intelligence Companies Conducting Industrial-Scale Distillation Campaigns Against U.S. AI Companies
NSA, CISA, and FBI warn DeepSeek, Alibaba, and other Chinese AI firms ran industrial-scale distillation of U.S. frontier models, threatening U.S. AI leadership.
A joint NSA, CISA, and FBI Cybersecurity Advisory (AA26-251A) says China-based firms DeepSeek, Moonshot AI, Alibaba, MiniMax, StepFun, and Z.AI extracted billions of tokens from U.S. frontier models including Claude, GPT, Gemini, and Grok, likely with Chinese government knowledge. Campaigns running since at least late 2024 used native APIs, cloud providers, third-party aggregators, gray-market proxy "transfer stations", and shared premium subscriptions to bypass geographic restrictions, evade safeguards, and violate providers' terms of use. The agencies recommend detecting anomalous prompts, accounts, and usage patterns; subtly altering responses to suspected distillers; and cross-organization intelligence sharing. They also call DeepSeek's publicly cited $5.6M training cost misleading because it excludes data acquired through distillation.
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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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⚡ Weekly Recap: SD-WAN 0-Day, Critical CVEs, Telegram Probe, Smart TV Proxy SDK and More
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