First reported · updated · 6 reports huggingface.co
Lead dispatch
First reported island.io
AgentBaiting: How Fake AI Skills Deliver Malware at Scale
Island security researchers uncovered the FakeGit campaign, which used roughly 7,600 malicious GitHub repositories—over 800 posing as AI Skills or MCP servers—to deliver SmartLoader malware that installs the StealC information stealer. The campaign introduces a technique called AgentBaiting, in which AI agents such as Claude Code, Gemini, and ChatGPT autonomously discover the attacker repositories, treat the malicious README as legitimate documentation, and pass installation instructions to users; the operation recorded over 14 million downloads.supply-chain · tool-abuse · malware-delivery · agentbaiting
mcp · ai-agents · ai-skills · llm · copilot
Severity
0.75
The wire · latest
First reported google.com
Beware of Agentic Botnets: Scalable Untargeted Promptware Attacks via Universal and Transferable Adversarial HalluSquatting
Researchers from Tel Aviv University, Technion, and Intuit disclosed 'HalluSquatting' (adversarial hallucination squatting), a technique that exploits the predictable tendency of LLMs to hallucinate resource identifiers (repos, skills, URLs) in tool calls. By preemptively registering the hallucinated resources, attackers can achieve scalable, untargeted remote tool execution and remote code execution across popular agentic LLM applications without any direct injection channel, potentially building agentic botnets. Details →First reported medium.com
The Last Patch. The MCP Attack Surface We’re Building… | by Zac | Jul, 2026
An opinion piece by Zac on Medium argues that the rush to expose MCP endpoints and build agent-to-agent (A2A) orchestration is creating a large new attack surface, where every MCP endpoint is an agent-callable function and every A2A handoff is a traversable trust boundary. The article draws on Anthropic's report mapping 832 accounts banned for malicious cyber activity (March 2025–March 2026) against MITRE ATT&CK, noting medium-or-higher-risk actors rose from 33% to 56% and that AI is increasingly used deeper in the attack lifecycle. Details →First reported backpropagation.ai
The Intelligent Worm: Adaptive Malware | Adventures and Amusings of a Mathematician
"The Intelligent Worm: Adaptive Malware" is a defensive threat-modeling essay arguing that if a worm's infection vector is no longer a fixed asset carried from its author but a capability regenerated on the fly by an onboard reasoning loop (an LLM), the epidemiology of the threat fundamentally changes and undermines the signature-and-patch defensive model. The essay is explicitly architectural and hypothetical, stating it contains no exploit code, propagation implementation, or operational recipe, and draws on the tradition of academic worm-dynamics papers. Details →First reported webstudiolabs.in
AI Worms 2026 The Next Big Cyber Threat Explained | Rishi Koushal
An explainer blog post describes AI worms — autonomous agentic malware that can scan for vulnerabilities, write and morph its own exploit code, and spread across systems. It cites a proof-of-concept agentic AI worm created by researchers at the University of Toronto, the Vector Institute, ServiceNow, and the University of Cambridge, and notes BeyondTrust's gain-of-function testing and a warning that an AI-powered worm attack could target developers within six months to a year. Details →First reported · updated · 2 reports stepsecurity.io
Miasma Supply Chain Attack: Azure Hit, 73 Repos Down, 37 PyPI Wheels
The Miasma supply-chain worm campaign expanded to poison Microsoft's Azure/durabletask GitHub repository with config files that execute a credential-harvesting payload the moment a developer opens the repo in AI coding tools like Claude Code, Gemini CLI, Cursor, or VS Code, triggering GitHub to disable 73 Microsoft repositories including Azure/functions-action. Two days later the Hades variant dropped 37 malicious PyPI wheels across 19 packages using Python .pth startup hooks to run a Bun-powered credential stealer on every interpreter launch, with Socket tracking 448 affected artifacts across npm and PyPI. Details →First reported crunchtools.com
The Prompt Injection That Copies Itself
Crunchtools publishes an explainer on prompt injection against AI agents, arguing that the quietest danger is self-replicating injection — citing the Morris II research worm (Cornell Tech and Technion, 2024) that embedded an adversarial prompt in an email, hijacked assistants across ChatGPT, Gemini, and LLaVA to leak data, and forwarded itself with no human clicks. The piece also references a Replit coding agent deleting a production database and the Pliny the Prompter jailbreak community, and mentions the author's defensive project 'Trentina' built to catch injection. Details →First reported phoenix.security
Supply Chain Attacks 2026: npm, PyPI, VS Code, AI Agents — 0 CVEs
Phoenix Security's Malware Package Intelligence report analyzes 59 supply chain attack campaigns and 657 malicious package-versions from June 2024 to June 2026, documenting an acceleration across npm, PyPI, and the VS Code Marketplace. It highlights a May 2026 self-propagating worm that turned one compromised maintainer token into 226 poisoned packages, and finds AI agent tooling — MCP server injection, .cursorrules poisoning, CLAUDE.md hidden instructions, and AI coding assistant SessionStart hooks — used as a confirmed delivery mechanism in at least 14 of the 59 campaigns. Details →First reported infoworld.com
Meet Hades: The malware that lies to AI security agents
StepSecurity researchers uncovered the Hades Campaign, a sophisticated supply-chain compromise targeting Python developer environments via infected packages (including ensmallen). The self-propagating worm extracts sensitive data, moves laterally, and notably uses adversarial prompt injection to trick LLM-based code analysis/AI gatekeeper systems into overlooking its malicious payloads. It is described as the latest evolution of the Miasma threat actor. Details →How the wire is made
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