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Software Supply Chain
Cryptocurrency Wallet Security Cyber Security DeFi Security GitHub Compromise Injective SDK Mnemonic Seed Phrase NPM Supply Chain Attack Private Key Theft Software Supply Chain

Injective SDK Supply Chain Attack Exposed Developers to Cryptocurrency Wallet Theft


 

InjectiveLabs/SDK-TS, a widely used package, was briefly published on Node Package Manager (npm) as a malicious version after attackers gained access to a legitimate contributor's GitHub account, exposing developers to the theft of cryptocurrency wallet credentials. Several security researchers from Socket, Ox Security, and StepSecurity identified the supply chain attack as targeting Injective Labs' TypeScript/JavaScript SDK, which is used to develop applications based on Injective's blockchain.

The SDK is widely adopted by developers who create cryptocurrency wallets, decentralized finance (DeFi) applications, decentralized exchanges, trading bots, and payment platforms, with approximately 50,000 downloads per week on NPM. 

A significant security issue is the responsibility of the SDK when it comes to creating and importing cryptocurrency wallets, as it occupies a critical position in the development process. Developers and end users alike are particularly vulnerable to any compromise of the SDK because the wallet creation functions are crucial to the handling of users' mnemonic recovery phrases and private keys. 

Researchers have determined that hackers gained access to a legitimate contributor's GitHub account on June 8 and introduced malicious code, which was later released as version 1.20.21 for the @injectivelabs/sdk-ts package. Additionally, 17 additional Injective-related packages were referenced by the compromised release, resulting in a significant impact on downstream projects. According to security researchers, attackers compromised a legitimate maintainer's account after exploiting the trust-worthy GitHub publishing workflow of the project. 

As opposed to stealing an NPM publishing token or creating a fake package, the malicious version was distributed through the repository's normal release process, making the compromise appear genuine. Package maintainers detected the malicious activity within minutes, reverting the unauthorized changes and releasing a version that is free of malicious activity, 1.20.23. 

Nevertheless, systems that downloaded or updated the compromised package during the brief exposure window may still have been affected. In contrast to conventional malware that is executed during installation, the injected code is activated when developers create or import cryptocurrency wallets using SDK functions. 

When this was achieved, the malware captured private wallet keys and mnemonic seed sentences, encoded the information, and sent it via HTTP POST request to what appeared to be an official Injective Labs infrastructure endpoint in order to blend into normal network traffic. As a method of minimizing detection, the malware disguised its outbound communication as legitimate injective network traffic in order to prevent detection. 

By capturing multiple wallet secrets temporarily, encoding them, and transmitting them as a single request, the malicious activity was able to blend in with blockchain-related communications, avoiding detection. The malware, according to StepSecurity researchers, collected wallet secrets for approximately two seconds before bundling them into a single request to minimize suspicion while maximizing the amount of data stolen. 

In a recent report, Socket reported that 310 malicious packages had been downloaded before they were deprecated, but there is reportedly still availability of the associated malicious GitHub release artifacts. As a consequence of Ox Security's warning, the compromised SDK is dependent on 87 direct NPM packages, accounting for more than 112,000 cumulative downloads, illustrating the risk to a larger supply chain.

Researchers noted that even though the malicious payload was contained within @injectivelabs/sdk-ts, the compromised release affected 17 additional injective packages that depended on the infected SDK version. This could have resulted in developers installing the backdoored package unknowingly through normal project dependencies, thereby significantly expanding the attack's impact. 

It is advised that developers who suspect they may have installed the affected version transfer cryptocurrency assets immediately into new wallets, replace compromised private keys and seed phrases, and rotate any sensitive credentials stored within their development environment immediately. The incident underlines the growing threat posed by software supply chain attacks, particularly within the cryptocurrency ecosystem where a compromised development dependency may result in a significant financial loss to both developers and end users.

Due to the increasing sophistication of software supply chain attacks, organizations and developers must strengthen dependency verification, monitor package integrity, and respond quickly to compromised components so that credential theft and downstream compromise can be reduced.


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Cyber Security
Cryptographic Cryptographic Attacks Cryptographically Relevant Quantum Computer cryptography risk Cyber Security

QIZ Security Raises $17 Million to Expand Cryptographic Security and Post-Quantum Readiness Platform

 

Israeli cybersecurity startup QIZ Security has raised $17 million in seed funding to fuel the development of its cryptographic security management solution and post-quantum cryptographic (PQC) readiness platform. The Israeli cybersecurity company has seen rising demand for its service, which assists firms in inventorying their cryptography assets in preparation for the transition to post-quantum cryptography algorithms. 

The round was led by Bessemer Venture Partners and Merlin Ventures, with Evolution Equity Partners, Qbeat Ventures, Singtel Innov8, and Qino Cyber Capital also participating. The funding will support the company’s expansion and product development, with the company’s QIZ Security cryptographic governance platform’s research and development being the main focus. 

The startup was founded in 2022 by Ben Volkow, Lenny Ridel, and Itan Barmes, and its cybersecurity solution allows organizations to manage and inventory all cryptographic assets in on-premises, cloud, and hybrid environments without the need to scan their networks. Using industry standard APIs, QIZ Security’s cryptographic governance platform enables enterprises to detect and assess the risk of all certificates, encryption assets, security controls, protocols, cipher suites, and cryptographic keys. 

These details are automatically correlated to the organization’s applications and business processes discovered across hybrid cloud infrastructure environments. Moreover, the application detects vulnerabilities, weaknesses, and exposures to outdated encryption technologies that put enterprise data at risk in both transit and at rest. 

In addition, the company’s solution helps enterprises prioritize risks according to their technical and business significance and guides enterprises in responding to each identified risk. This empowers security operations and compliance teams to coordinate and accelerate activities and responses to cryptographic risks, ensuring that application owners and security stakeholders reduce exposure to business-specific threats. 

Modern cryptographic infrastructure governance is necessary for enterprises to inventory and better understand their cryptography assets, identify risks, and respond to them in a timely and cost-effective manner. With the upcoming quantum computing era, enterprises and government agencies are preparing to migrate their cryptographic infrastructure to post-quantum algorithms. This migration requires organizations to fully understand where their cryptography is, which encryption technologies put them at risk, and how best to respond. 

According to Chief Executive Officer Ben Volkow, enterprises are unable to effectively plan their transition to modern cryptography without gaining continuous visibility into their cryptography assets. Organizations need to take a step back and understand the overall state of cryptography in their IT environments to be prepared for upcoming changes. With the quantum era of computing arriving, businesses need to ensure they are taking the right steps now to safeguard their sensitive data. 

The news comes as governments and enterprises worldwide are beginning to acknowledge the need to inventory cryptographic assets to develop migration plans for post-quantum cryptography algorithms. Additionally, with increased concerns over the implications of quantum computing, multiple cybersecurity startups are positioning their services to assist enterprises in preparing their cryptography infrastructure for the transition to post-quantum cryptography algorithms.
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OpenMandriva
Administrative Privilege Cyber Security Linux OpenMandriva

OpenMandriva Accuses Former Contributor of Project Sabotage

 

OpenMandriva Linux is facing a serious internal security dispute after it said a former contributor abused administrative access to damage the project’s infrastructure. The alleged actions included deleting GitHub repositories and publishing an empty package that could have broken desktop systems for users of GNOME and COSMIC. 

According to the project, the problem did not begin with code but with conflict inside the community. OpenMandriva says an abusive incident in its Matrix chat led to one contributor being removed, which then triggered a chain of resignations and escalating anger among some members. 

The most damaging part of the incident involved repository access. Long-time maintainer AngryPenguin said the contributor had admin privileges because he had previously helped migrate and mirror project repositories to a private OneDev instance, and that access was later used to delete part of a repository the team had maintained for nearly 10 years. 

OpenMandriva also says the contributor pushed an empty package into its Cooker development branch. That package obsoleted the GNOME and COSMIC packages, meaning it could have caused real disruption for people relying on those desktop environments if the issue had not been caught quickly. 

The accused contributor, Davide Beatrici, rejects the sabotage allegation and says his goal was not to harm users or the distro itself. He argues that his actions were tied to a dispute over the project’s direction, including disagreement about OpenMandriva’s support for GNOME and COSMIC alongside KDE and LXQt. OpenMandriva says it is now restoring deleted repositories, repairing affected packages, and conducting a full audit to confirm that nothing else was altered. 

The project has also said the incident may meet the threshold of a criminal offense, though it has chosen not to pursue legal action at this stage. This case is a reminder that open-source projects do not only face technical threats from outside attackers. Internal access, trust, and governance can become just as dangerous when disputes turn personal and administrative privileges are misused.
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Software Supply Chain Security
AI Coding Agents AI Security Agents Claude Code Cyber Security Malicious Code Execution OpenAI Codex Prompt Injection Attack Software Supply Chain Security

AI Agents Built to Detect Malware Can Be Manipulated Into Running It


 

AI agents capable of identifying malicious software can be manipulated by the AI Now Institute to execute it, according to new research. The proof-of-concept attack, known as "Friendly Fire," demonstrates that autonomous AI coding agents, such as Claude Code from Anthropic and Codex from OpenAI, can be deceived into running malicious code while performing open-source security reviews. 

AI agents can approve and execute commands independently of the user without requiring user confirmation for every action, which is what this attack targets. Researchers contend that the vulnerability does not lie in the software version used by these agents, but rather in the way they interpret and react to instructions embedded within untrusted repositories rather than exploiting a software vulnerability. 

A comparison with conventional supply-chain attacks that hide malicious code within a repository was made by the researchers, who noted that when static analysis and manual review are performed, the repository itself can appear to be completely free of malicious code. By introducing the malicious payload at execution time, the AI agent follows embedded instructions, so traditional security tools cannot detect this technique.

By adding a seemingly harmless README.md instruction to an open-source project that recommended running a script entitled security.sh before submitting a pull request, attackers modified it. By launching a malicious binary hidden within a legitimate compiled Go file, the script silently executed on the host computer without triggering security warnings or approval prompts, allowing the malicious binary to execute on the system. 

According to the researchers, the attack is successful because the AI agent recognizes the instructions as a legitimate step in the process of installing software rather than an attempt to exploit the system maliciously. Once the recommended script has been executed, the payload will run under the same permissions that were provided for the developer or AI agent, potentially exposing credentials, environment variables, and other sensitive information. 

The procedure differs from previous prompt injection attacks, which relied on configuration files and often generated trust warnings, as this technique hides instructions inside standard documentation that is regularly read by developers and AI agents. It has been reported that both Claude Code and OpenAI Codex followed the embedded instructions during testing, while newer AI models executed the disguised binary upon detecting differences between the source file and the compiled executable. 

A laboratory proof-of-concept has been demonstrated, with no evidence of active exploitation in the field. In addition to excluding the malicious payload, the publicly released demonstration code does not attempt privilege escalation or lateral movement. These findings indicate that autonomous AI agents pose a greater challenge in terms of design rather than a problem that can be resolved by simply updating software. 

It is becoming more common for organizations to employ AI-powered coding assistants to review third-party software. Researchers recommend treating AI coding agents as privileged software, rather than simply assistants. Autonomous agents should not be permitted to execute commands on untrusted repositories, least-privilege access policies should be enforced, AI workflows should be isolated in sandboxed environments, and human approval should be required before running scripts or binaries recommended by project documentation. 

In accordance with the researchers, the issue is not related to any particular AI model, but a broader trust problem affecting autonomous coding assistants capable of executing shell commands. In addition to creating new attack surfaces if they are unable to reliably distinguish legitimate instructions from content controlled by the attacker, AI agents are becoming increasingly capable of cloning repositories, installing dependencies, and resolving setup issues independently. 

As autonomous AI systems are increasingly adopted in the software development and cybersecurity sectors, prompt injection attacks remain a major security threat. This study adds to a growing body of evidence that prompt injection attacks remain one of the greatest security risks. In light of the increasing autonomy of AI agents, organizations must balance automation and strong oversight in order to balance automation and security workflows. 

AI-driven attack techniques cannot be effectively countered until artificial intelligence (AI) systems can reliably discriminate between trusted and malicious instructions. Human verification and secure execution environments will therefore remain critical safeguards.
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MeitY
Apple App Store Battery Management System Bluetooth Vulnerability BMS Apps Cyber Security Cyber Threats E-Rickshaw Cybersecurity Electric Vehicle Security Google Play Store MeitY

Centre Orders Blocking of Battery Management Apps Exploited to Disable E-Rickshaws


After the Central Government discovered that seven battery management system (BMS) mobile applications were being misused to remotely disable batteries in electric vehicles and e-rickshaws, the Central Government has ordered the blocking of those applications. In multiple locations across India, this disruption disrupted services and enabled extortion. 


MeitY Secretary S. has directed Google and Apple to remove seven identified applications from their respective app stores on Android and iOS by the Ministry of Electronics and Information Technology (MeitY). In order to ensure applications that may threaten public safety or facilitate unlawful activities are not made available to users, Krishnan said app marketplaces must exercise due diligence. 

In response to reports that battery management apps primarily developed by Chinese companies for monitoring lithium-ion battery packs were being exploited by e-rickshaw drivers to shut down the vehicles while passengers were aboard. Authorities stated that while the applications are designed for proper battery management, they can be misused if battery systems are not properly protected by passwords or PINs. 

In the government's view, removing these apps from digital platforms will not eliminate the vulnerability completely, since Bluetooth connectivity is required in place of internet access to exploit this vulnerability. Thus, even after apps are blocked, unsecured battery management systems remain vulnerable to unauthorized access. Video clips circulated on social media showing e-rickshaws suddenly stopping on public roads attracted nationwide attention to this issue. 

The existing certification standards for e-rickshaws in India do not include cybersecurity requirements, which can result in potential misuse of connected battery systems. This vulnerability has already led to criminal activity. Police in Ujjain, Madhya Pradesh, arrested a suspect who has been accused of remotely disabling batteries from e-rickshaws and demanding compensation from their drivers. 

Local authorities claim the accused abused the flaw by deliberately immobilizing vehicles and charging drivers for assistance. A criminal offence involving intentionally disabling vehicles is considered to be an offence and can be prosecuted under applicable provisions of the Bharatiya Nyaya Sanhita (BNS) relating to criminal mischief. 

Concerns have been raised regarding the cybersecurity risk associated with connected electric vehicles and battery management systems following the incident. In order to prevent such misuse and safeguard public transportation operations, observers say stronger security controls are needed to prevent similar misuse, including authentication mechanisms and cybersecurity standards for electric vehicle components. 

A government intervention highlights the challenges facing connected electric mobility in terms of cybersecurity. Since software increasingly controls the functions of critical vehicle systems, stronger security standards, authenticated access controls, and continuous oversight will be critical in protecting drivers, passengers, and public infrastructure.
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Cybersecurity Policy
AI Governance Framework AI Risks AI technology Cyber Policy Cyber Response Framework Cyber Security Cybersecurity Policy

India Considers Separate AI Regulatory Framework as Government Signals Policy Shift

 

The Indian government is considering a law to govern artificial intelligence (AI) systems, signaling a shift from its previous approach of relying solely on existing information technology laws. Senior officials from the Ministry of Electronics and Information Technology (MeitY) stated that the current developments in this space are so significant that they require legislation. 

Speaking at an industry event this week, MeitY Secretary S. Krishnan said that consultations on laws governing AI had already begun. Both Krishnan and Union IT minister Ashwini Vaishnaw had previously stated that the government would consider separately legislating for AI at an appropriate time, and he added that the moment appeared to be now. 

Existing laws were largely sufficient to address deepfakes or AI-manipulated media, as well as misinformation, fraud, and other issues, he argued, but this was no longer the case as AI became more sophisticated and started to be integrated into critical industries. The new framework would provide guidance on the development of these systems while also protecting citizens, businesses, and critical infrastructure. 

While the government did not set a deadline for legislation, Krishnan noted that MeitY could begin drafting proposals for approval, with the framework then being debated and approved by Parliament. India is not alone in this endeavor as policymakers globally are considering steps to govern AI. A growing number of countries have been looking at laws and policies that seek to address potential risks to privacy, national security, intellectual property, and more while also encouraging innovation. 

The move also marks a notable shift in approach for India, which has largely promoted a lax regulatory environment for technology and adopted a voluntary approach to AI governance, with laws and policies focusing on promoting innovation and adopting existing frameworks for oversight. 

A separate law could add another layer of oversight while also supporting India’s broader ambitions in this space, including IndiaAI Mission, as it looks to promote and bolster its AI ecosystem alongside its digital transformation initiatives. 

Industry stakeholders will also be able to contribute to the process as the government considers its proposals. The law would promote responsible innovation and address risks posed by increasingly ubiquitous and sophisticated AI systems, officials added.
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Digital Sovereignty
Cloud Computing Cloud Data cloud data security Cyber Security data security data sovereignty Digital Sovereignty

Sovereign File Architecture Gains Importance as Enterprises Rethink Cloud Data Control

 

Cloud computing changed enterprise IT by enabling organizations to achieve significant storage scalability and cost savings. Companies quickly embraced the idea of storing data in the cloud because of its flexibility and accessibility. However, because information remains on physical servers, companies are discovering that data is stored in a specific location subject to local legislation. 

This led to the concept of sovereign file architecture, one of the strategies by which organizations seek to store information considering jurisdiction as a critical factor. The data storage strategy is now focused on achieving file sovereignty and residency rather than convenience. Data sovereignty differs from privacy in that the former concerns the primary authority that possesses the right to store and access information, while the latter relates to its geographic location. 

While the early cloud computing innovators placed their data with the most accessible and cost-effective infrastructure, there was little information on where exactly it was stored. This created a sovereignty gap, as the organizations had limited insight into who could access the information and the applicable legal frameworks. At the same time, there are more data residency and sovereignty risks today as countries impose strict regulations and trade barriers while dealing with cybersecurity threats and geopolitical tensions. 

Data residency is a crucial consideration for many organizations, particularly those dealing with sensitive data and operating at a multinational level. Disasters, government restrictions, or geopolitical tensions may render some servers inaccessible, thus necessitating the need to store data in different jurisdictions. Enterprises are now prioritizing storage solutions that give them the most control by allowing them to migrate or place their information as they see fit. 

These factors are driving companies to adopt sovereign file architecture, which is designed to decouple file management from storage. By doing so, organizations satisfy the need to store data in several jurisdictions and maintain flexibility regarding where to store sensitive or non-sensitive information. Enterprises can also utilize a hybrid strategy consisting of private and public storage methods, thus balancing costs and file security. 

Sovereign file architecture allows organizations to remain compliant with the increasingly stringent data residency and sovereignty laws enforced by governments worldwide. Consequently, there is now a growing preference for sovereign file architectures over other options when considering factors such as transparency, legal protection, and control.
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Residential Proxy
Cyber Security Device Hijacking Free VPN Network Security Residential Proxy

Free VPNs and Streaming Apps Turn Your Device Into a Criminal Proxy

 

Free VPNs and streaming apps are quietly transforming everyday devices into tools for cybercriminals. Unwitting users are allowing their internet connections to be hijacked and used to mask illegal activity, exposing them to serious security and legal risks. While not all residential proxies are illegal, abusers take advantage of anonymity coupled with cheap, unauthorized residential proxies to perform tasks that may be unethical, if not outright illegal at times. 

Research from Infoblox Threat Intel indicates that the situation is more dire than previously assumed, as nearly two thirds (65%) of its Threat Defense Cloud customers made DNS queries to domains used to access or orchestrate residential proxy networks in 2026, totaling over 500 billion such queries per month. Criminals exploit these proxies for activities like fraud, online ad fraud, fake account creation, unauthorized data scraping, and bypassing regional restrictions on streaming platforms. Because their traffic blends in with legitimate user requests, businesses often struggle to identify and block these threats until real damage has occurred. 

Most users are unaware that their devices are being weaponized. Permission is either buried in the fine print of end-user license agreements or never properly obtained at all. Once inside a network, these apps can silently forward requests from threat actors, who benefit from the anonymity of a residential IP. Victims may later face issues such as flagged accounts, CAPTCHA overload, or extra verification steps, as their IP addresses get tagged by reputation systems for suspicious behavior. 

Certain categories of software are higher risk. Free VPNs, cheap IoT devices from unknown manufacturers, screen-recording or streaming software, and browser extensions can all serve as entry points for residential proxy abuse. These tools often lack transparency about their data and traffic practices, prioritizing monetization over user safety. 

Avoiding this is easier said than done, but there are ways to reduce susceptibility to this kind of abuse. A software audit should be your first line of defense. Knowing what runs on all your devices and whether it is trustworthy or not is key to preventing exposure. Investing in a router or software service that blocks such requests would also go a long way, as would leveraging Protective DNS to monitor your network. To start, users can also use services to monitor and check their IP's risk profile, allowing them to determine whether they are already a victim of abuse.
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