Authorities in the Netherlands have arrested a 24-year-old convicted cybercriminal on suspicion of aiding in data thefts and extortions by the prolific hacker group ShinyHunters. In the days immediately following the suspect’s arrest, remaining ShinyHunters members dramatically escalated their attacks, stealing highly sensitive data from the FBI and extorting the Russian ransomware group Cl0p.

According to three sources familiar with the matter, the Dutch man arrested by authorities this month is Pepijn van der Stap, a convicted cybercriminal from Almere and Lelystad in the Netherlands. Van der Stap was previously convicted in 2023 in connection with a string of data thefts and extortions that prosecutors said earned between €1.5 million and €2.7 million.

At his trial in late 2023, van der Stap admitted that he lived a Dr. Jekyll and Mr. Hyde existence, secretly using the hacker handle “Umbreon” to extort victims and post their data on English language hacking communities like the now-defunct RaidForums and Breached. By day, however, van der Stap was working as a software engineer at the Amsterdam-based cybersecurity startup Hadrian, while volunteering at the Dutch Institute for Vulnerability Disclosure (DIVD), a nonprofit security research group.

Van der Stap confessed to his data theft and extortion activity, and was sentenced to four years in prison (one of which was suspended). During his trial, van der Stap opted to remain in custody for a time rather than at home, saying he could not find better treatment on the outside for his ongoing psychological issues, which he claimed included PTSD related to childhood trauma. He was released from prison in December 2025.

In an interview with KrebsOnSecurity on September 9, 2026, Van der Stap cast himself as a reformed hacker who was trying to turn his life around and make a positive contribution to society. Van der Stap is currently employed as offensive security lead at the Dutch company Neo Security, which did not respond to requests for comment.

Van der Stap said he was still dealing with civil lawsuits and restitution related to his previous cybercrime victims, and that he was trying his best to make amends. But not long after that interview, the Dutch hacker abruptly stopped replying to messages. Efforts by others close to him also repeatedly failed to elicit a response for the past two weeks.

According to two sources with knowledge of the matter, Van der Stap was arrested by Dutch authorities on or around September 16, and has been held in custody for questioning since. One source said a colleague of theirs personally witnessed Dutch authorities carting items out of Van der Stap’s residence.

Authorities in the Netherlands have been asking the public for help in identifying the voice in a recorded telephone call from February 2026 in which a native Dutch-speaking ShinyHunters member social engineered their way into Odido, the nation’s largest mobile telecommunications provider. In that intrusion, ShinyHunters tricked an Odido employee into logging in at a spoofed website, and then used that access to steal data on more than 6.2 million Dutch people.

Responding to Dutch news media, ShinyHunters confirmed that the suspect in the audio clip is indeed a member of the hacker collective.

“Our team member has our full support – emotionally, mentally, and financially,” the hackers said. “Everything has been arranged, including a criminal defense lawyer. We do not look down on our staff and members; we take excellent care of them,” reads a statement ShinyHunters shared with NL Times. It remains unclear if the Dutch police have matched the Odido caller to a confirmed real-life identity. The Dutch police unit handling the Odido incident did not respond to requests for comment.

The group also lashed out at the authorities in the Netherlands. “The Dutch police will need all the luck in the world – and everyone’s prayers – if they want to catch him before we carry out another large-scale data theft in the Netherlands,” the ShinyHunters statement said. “Frankly, the Dutch police are a big joke; they are incapable of doing anything. Incompetent. Irrelevant. Unimportant. Useless.”

FBI, CL0P HACKS

Just days after sources say Van der Stap was detained by Dutch authorities, ShinyHunters claimed credit for an unusually brazen breach at the FBI’s job application site apply.fbijobs.gov. According to reporting from 404 Media, the data stolen from the FBI site includes Social Security numbers and personal information on more than 5,000 officials.

404 Media and Reuters reported the FBI data included each person’s job title or team, such as special agent, threat intake examiner, major cybercrimes unit, and those investigating cyber threats from foreign state-backed actors. Reuters examined documents shared by ShinyHunters and found they included sensitive psychiatric and medical files of FBI staff. The FBI issued a brief statement confirming the hack.

ShinyHunters said it gained access to the FBI site and other victims by exploiting a recently patched vulnerability (CVE-2026-35273) in PeopleSoft, a software-as-a-service platform from the software giant Oracle that is broadly used by companies to manage hiring and human resources, benefits and payroll. Oracle quickly issued a fix for the Peoplesoft vulnerability that ShinyHunters reportedly began exploiting as a zero-day in June, and at the time Mandiant released web application firewall rules intended for organizations who couldn’t apply the security update quickly enough.

But on Friday, BleepingComputer reported that ShinyHunters used a URL-encoding trick to bypass Mandiant’s suggested web application firewall rules designed to mitigate the threat from the PeopleSoft flaw. In a report released Sept. 25, security experts at Mandiant and the Google Threat Intelligence Group (GTIG) confirmed that ShinyHunters had mass-exploited the PeopleSoft vulnerability to steal data from dozens of systems across a range of industries, including higher education, technology, healthcare, agriculture, transportation and government.

Van der Stap’s former hacker alias Umbreon was hidden in plain sight throughout the imagery ShinyHunters used to spread news about the FBI hack: The defacement image that ShinyHunters left behind on the hacked FBI jobs site included an ASCII art design featuring the Pokemon character Umbreon. The message at the top read, “This site has been seized by ShinyHunters. rooting your systems since ’19 ;)” The image appears identical to a defacement message ShinyHunters used in their 2020 hack of the English-language cybercrime community Hackforums.

Multiple sources close to the ShinyHunters investigation said the group’s recent risky attacks against the FBI and one of Russia’s most venerated ransomware groups amounted to a major pivot away from the more measured tenor of the hacking gang’s operations. Those sources said the sudden shift came about after ShinyHunters was taken over by a teenage cybercriminal from Amman, Jordan who goes by the nickname Rey and operates as part of a cybercrime group called ScatteredLapsussHunters (SLSH), which experts say is an amalgamation of three hacking groups — Scattered Spider, LAPSUS$ and ShinyHunters.

Those sources said Rey had an ongoing beef with the Dutch hacker over control of the ShinyHunters brand and data, and that the inclusion of the oversized Umbreon Pokemon image in the FBI jobs site defacement was likely an attempt by Rey to pin the hack on the Dutchman.

Rey was first publicly identified by the cybersecurity firm KELA in March 2025. In advance of our November 2025 profile of Rey, KrebsOnSecurity messaged Rey’s father and asked for permission to interview his teenage son. Rey’s dad merely forwarded the message to his son, who admitted to participating in ransomware attacks and said he was trying to extricate himself from the SLSH hacker group.

BLAMING UMBREON

Immediately after news of the FBI jobs site hack was picked up in the media, Rey’s main account on Twitter/X (Ryan Moran/@rmoskovy) was taunting the Cl0p ransomware group and the FBI, crudely depicting them as the twin towers in New York being struck by planes labeled “cl0p drama” and “fbi breach claim.” In the foreground of the city is the giant Pokemon figure of Umbreon.

On Sept. 24, KrebsOnSecurity again contacted Rey’s dad, asking to interview him and his son for a story on Rey’s apparent ascendency as the head of ShinyHunters. Just hours after that request, Rey deleted his longtime Twitter/X account. Meanwhile, Rey’s dad, who works for the Royal Jordanian Airlines, has failed to respond to a half-dozen emailed requests for comment about his son’s alleged activities.

Where does the bad blood between SLSH and ShinyHunters come from? According to a story in Wired this month, ShinyHunters and SLSH members briefly partnered earlier this year to help better monetize important stolen credentials collected by TeamPCP, an upstart group that was having great success compromising global code supply chains with malicious software but hadn’t been able to profit much from their stolen data (two alleged leaders of TeamPCP were arrested last month in Australia, and in an interview the TeamPCP leader claimed they made just $20,000).

The Wired story noted how Mandiant had infiltrated TeamPCP and was secretly responsible for having the crime group’s stolen credentials burned so quickly: Mandiant was secretly feeding those credentials to the major cloud providers like Amazon and Microsoft, who quickly invalidated the stolen keys. Meanwhile, the formerly cooperating hacker groups began to blame one another for causing the credentials to become worthless.

Wired’s Andy Greenberg reported that a few weeks after partnering with TeamPCP, “ShinyHunters went rogue, carrying out its own extortions with TeamPCP’s credentials but without giving the supply-chain hackers their cut.”

Mandiant researcher Austin Larsen told KrebsOnSecurity earlier this month that ShinyHunters has been enjoying a successful extortion spree so far this year, and is on track to pull in nearly $100 million in extortion payments from cybercrime victims in 2026.

Van der Stap claims he was never motivated by money and that his earlier hacker activity was driven by a desire to have the world’s most complete collection of stolen databases. Speaking with reporters from Bloomberg in 2024, Van der Stap said that singular focus in turn fueled his desire to carry out cyberattacks.

“The hacking was very easy for me, and it wasn’t a compulsion,” he told Bloomberg. “My habit was collecting. Collecting data, organizing data, downloading data, creating folders.”

DIVD, the nonprofit security research group where Van der Stap previously served as a volunteer, disclosed on LinkedIn last week that the organization was dealing with an internal cybersecurity incident that appears to have involved the malicious use of artificial intelligence. DIVD has released few details about that incident, but a spokesperson for the nonprofit told KrebsOnSecurity it does not appear related to ShinyHunters, nor are there any signs the matter involves the work of a previous volunteer.

Update: 3:44 p.m. ET: Corrected Van der Stap’s age, which is 24 (not 23).

Update, 4:54 p.m. ET: The Dutch police have confirmed the arrest of a 24-year-old in connection with the ShinyHunters investigation. In a statement on Twitter/X, the Dutch police said the man will appear on Tuesday, September 29 before the chambers of the Rotterdam District Court, and that it will provide more information tomorrow.

Sept. 29, 9:42 a.m. ET: The Dutch news outlet RTL reports that investigators suspect Van der Stap tried to orchestrate at least two murders. RTL reported the two murders were allegedly to be committed abroad, and that there are indications the suspect gave the order for this.

The FBI released a short video message on the ShinyHunters investigation from Brett Leatherman, assistant director of the FBI’s cyber division, who thanked Dutch law enforcement partners for their assistance and urged remaining ShinyHunters members to turn themselves in.

“Arrests have a way of changing who is willing to talk, and seized infrastructure has a way of showing us who’s left,” Leatherman said. “The longer you stay in this, the more we learn about you. You know how to find us, and we know how to find you. I suggest you reach out to us while the choice is still yours.”

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It can be daunting to determine who’s responsible for showing ads on the websites we visit, or who’s harvesting data from the mobile apps we use every day. That information is already semi-public, but it is not easily parsed and traditionally much of it has remained walled away in the hands of large advertising platforms. Not anymore: A powerful and free new service called DecryptAds scrapes and correlates this adtech data and makes it simple to quickly learn a great deal about the entities that are tracking you.

The newly launched decryptads.com says it is constantly scraping the files that websites and apps make publicly available to disclose the companies that are permitted to run ads or collect user data. These files include:

–ads.txt: all of the adtech companies and data brokers that may run ads or harvest data from the site;
–app-ads.txt: entities that can harvest data from or display ads on mobile and smart TV apps;
–buyers.json/sellers.json: the entities buying, selling or reselling ad inventory for a given site or app.

Zach Edwards is chief research officer for DecryptAds and a threat researcher at the security company Infoblox. Edwards said he and two other founders decided the service was needed because the adtech data in these files is generally only useful when it can be cross-referenced to build a more complete picture of the advertising ecosystem for each website or app.

“It’s an adtech tool but we’re trying to approach adtech from a security perspective,” Edwards said. “It’s really built for a lot of privacy and security use cases that have been dramatically underserved.”

Those use cases, he said, include tracking down the source of malicious ads that try to foist malware on targeted users, identifying ad networks located in adversarial nations, and detecting the fast growing swarms of AI-generated slop websites and apps. And as decryptads.com demonstrates, these potential security and privacy threats are near impossible to detect just by viewing a single apps.txt or app-ads.txt file.

“Supply-chain integrity issues rarely live in a single file,” the site explains. “They show up as broken cross-references between ads.txt, app-ads.txt, and sellers.json files; as cloned declaration sets across unrelated domains; as seller removals that only make sense when viewed across exchanges; and even as supply paths in bid logs that never actually appear in any given publisher’s authorized-seller list.”

A search in DecryptAds for the hugely popular sports network espn.com reveals 143 ad partners and 19 registered data broker domains are listed within its ads.txt and app-ads.txt files. That data broker information is gradually becoming available because four states — California, Oregon, Texas and Vermont — have recently passed laws requiring data brokers to register if they buy or sell data on consumers from those states. DecryptAds reports that almost half of those data brokers are collecting geolocation data from espn.com visitors who aren’t blocking ads, while another three disclose that they collect device fingerprints and sensitive personal information.

HIGH-RISK AD PARTNERS

DecryptAds also makes it easy to learn the beneficiaries and national origins of the advertising firms lurking in apps and websites, displaying a conspicuous warning when adtech partners of an app or website are based in “geo-risk” areas like China and Russia, or in countries with strong financial and political ties to both — such as Cyprus and the United Arab Emirates (UAE).

According to DecryptAds, espn.com works with four different advertising entities that are based in either Russia, China or the UAE, including the adtech firm Between Digital, which lists a New York address. However, the dossier on Between Digital flags them as a Russian firm, showing that their publisher offers (PDF) are processed through Alfa Bank, Russia’s largest private commercial bank and one of several financial institutions placed under U.S. sanctions in 2022 after Russia invaded Ukraine. KrebsOnSecurity sought comment from both Between Digital and the company’s founder, and will update this story in the event that either replies.

A search for several top U.S. military news websites — including armytimes.com, airforcetimes.com, defensenews.com, navytimes.com, marinecorpstimes.com and federaltimes.com — shows they all allow Between Digital to serve ads and track users, as well as two entities in the UAE and another in the ownership secrecy haven of Panama. DecryptAds reports that Between Digital is collecting ad data on approximately 55,000 partner websites.

Pivoting on Between Digital’s app-ads.txt file reveals hundreds of domains featuring simple web-based games that are frequently interrupted by ads. Edwards said Between Digital’s own declarations show the company is listed as both a publisher and a reseller on approximately two-thirds of their portfolio.

“It means they are basically playing both sides of the bidding equation, which creates opportunities to direct client spend at your owned and operated properties or client infrastructure, essentially creating opportunities for conflicts of interest,” Edwards told KrebsOnSecurity. “The problem we have right now is that for years we’ve had almost no one policing these ads.txt and app-ads.txt files.”

The Opera Web browser remains quite popular, and probably many users are unaware that since 2016 it has been majority owned and controlled by the Chinese company Kunlun Tech (the operational headquarters of Opera remain in Oslo, Norway).

Opera.com’s profile at DecryptAds identifies 27 registered data brokers collecting information, including 15 adtech partners in the UAE, six in China, three in Cyprus, two in Russia and one each in Hong Kong and Ukraine. DecryptAds makes clear, however, that these companies represent just seven percent of the adtech partners specified in Opera.com’s ads.txt and app-ads.txt files.

LEGAL DOSSIERS

One feature of DecryptAds that sent this author down multiple hours-long research rabbit holes is its Legal Dossier lookup, which takes several minutes for each search but eventually churns out oodles of useful information about who owns a particular domain or app, when it was registered, and any aliases or relationships it may have to adtech companies and other websites or apps.

For example, last month KrebsOnSecurity wrote about researchers from Bitsight who found that an extremely popular line of TV streaming sticks called H96 quietly rent out each user’s Internet connection to strangers. Bitsight also discovered that when these devices aren’t being used to stream pirated video content, they are spoofing themselves as mobile phones clicking ads on AI-generated slop websites.

Bitsight concluded that the same Chinese company that made several of the malicious apps common to all of these H96 streaming sticks — the Fengwo Group — also also ran the network of ads and AI slop websites being clicked on by tens of thousands of these devices that are pretending to be mobile phones.

A DecryptAds legal dossier on the (now dormant) Fengwo Group domain name for the AI slop website pictured on the left in the screenshot above (medicalbeautyhub dot com) shows it shares a seller ID (1674071) with a gaming website — giacoloredstones[.]com — which features yet another seller ID (103488000).

Pivoting on that latter seller ID reveals hundreds of active websites within Russia’s Yandex ad system featuring extremely low-quality games or simple utilities that pepper visitors with ads.

QUIET REMOVALS

Edwards said that when advertising networks suspect a given advertiser is engaged in unauthentic clicks or displaying malicious ads, very often those networks will quietly remove the offender from their list of approved partners without letting anyone else know about their suspicions.

This practice, he said, makes it easier for dodgy adtech firms to avoid accountability and continue victimizing others. To address that visibility gap, DecryptAds features a quiet removals feed that records and correlates all of the sellers.json removals across ad exchanges for the same seller domain or name.

“The way the adtech industry works, someone will write a report about ad fraud and only share it with their own clients and they won’t make it public,” Edwards said. “The ban is just removing them from the sellers.json file, but they told nobody. One day it was there, the next it was gone. So if you’re trying to navigate who is suspicious, that’s usually tough to do because there are a lot of adtech companies removing things all at once.”

MALVERTISING AND AI SLOP

Malvertising, the term given to the practice of inserting malicious ads that foist malware or redirect visitors to phishing pages, remains an all-too-frequent occurrence in the modern adtech industry. But Edwards said these malicious ads are far more commonly found now on newly generated AI slop websites than on high traffic destinations that typically employ a variety of technologies and third party tools to quickly flag bad ads.

“None of these slop AI content farms are paying for that kind of protection,” he said. “They’re just signing up the lowest quality partners, and it essentially becomes a greased rail to target the users of those sites with malicious ads. Most malvertising attacks don’t happen on espn.com or huffpost.com, but rather [on] some lower quality content farm and someone just went there because it came up in a search.”

Edwards said the AI slop websites are populated with machine-generated blog posts and images, and cover a wide array of themes from home improvement and decorating to food recipes, hunting, cars and consumer technology. He said organizations that get hit with malicious ads are often at a loss for what to do next, unaware that in most cases the answer is one of the entities listed inside the website’s ads.txt or app-ads.txt file.

“A lot of serious organizations are starting to understand that if we’re not breaking down this ad data, we’re not going to know who’s targeting government people with zero-click payloads on an almost daily basis,” he said.

Edwards maintains that truly getting a handle on the malvertising and AI slop problems will require more data-sharing by the major ad networks. Specifically, he says those platforms do not broadly share what’s known as the “supply chain object” or SCO, structured data attached to each advertising bid request that lets buyers see every seller, reseller and intermediary involved in passing an ad impression from the publisher to the final buyer.

“That SCO tells you who sold it or resold it, and who was the final entity that bought the impression that served that malware payload,” Edwards explained. “You may see the malicious zero-click redirection, but without the supply chain object — which is only served server side — you won’t know who targeted your people with malware and won’t have a way to try and prevent it properly. But if we can encourage the adtech industry to expose that SCO, it will get easier to find the culprit behind any one bad ad.”

DecryptAds also offers an application programming interface (API) that allows researchers to automate queries and integrate the site’s functionality into popular AI platforms.

WHAT CAN YOU DO?

The only sane reaction to the examples described above is to block all online ads outright. This approach is broadly endorsed by security experts because it also makes it more difficult for adtech firms and data brokers to build detailed profiles on you and track your movements around the web and in the real world.

However, much depends on how you normally prefer to browse the Internet, and how much trust you place in third party browser plugins and extensions. For those primarily surfing via a regular desktop or laptop Web browser, uBlock Origin Lite is an excellent free and well-maintained open source option. uBlock Origin also should work with mobile browsers like Firefox, but apparently only on Android-based devices.

Adblock Plus is a decent option for iPhone and iPad users. For power users, Adblock and uBlock Origin both support custom blocking rules from easylist.to, which publishes a frequently updated list that removes most advertisements from webpages.

The well established browser extension NoScript blocks all non-approved Javascript code, and it generally does a fine job blocking most ads from loading. However, script blockers like NoScript may not be suitable for average users who don’t enjoy constantly having to referee which scripts should be allowed to load so that each site displays properly.

More technically inclined/adventuresome readers should strongly consider a hardware approach to blocking ads at the local network level, because that is easily the cheapest, most secure and scalable way to do it. A tiny, low-cost and broadly available computer known as a Raspberry Pi can be turned into a powerful ad blocker for all devices on a local network when fitted with a microSD memory card and a free program called Pi-hole. Once you’ve set it up properly and changed your router’s network settings to use the Pi-hole’s DNS sinkhole and DHCP servers, it should prevent ads from displaying on any devices connected to that network.

Bear in mind that ad blockers often do little to block ads and/or tracking that occurs from within mobile apps that users have chosen to install on their devices. Many websites now push users to install a mobile app, supposedly in order to more fully access and enjoy the site’s services and content. But in my experience, they’re not doing this because the user experience is somehow way better on the app (as LinkedIn tries to convince us non-app users several times a week via email). On the contrary, I find most mobile apps to be horribly designed, annoying, and/or completely unnecessary, and when given the option I will almost always choose to interact with a website or service directly in a Web browser.

No, the cold truth is that big web destinations tend to get pushy with their apps because they make it easier for these companies to keep you on their platforms longer and to collect (and in many cases resell) far more precise data about who, what and where their users are. Also, companies pushing customers the hardest to install mobile apps always seem to liberally opt everyone in to having their data used to train large language models these days. So be cautious about the apps you install on your mobile devices (including any smart TVs!), and poke around their listings at DecryptAds if you want to learn more about their privacy practices and any relationships they may have to adtech firms.

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Security experts have been sounding the alarm for years about the risks of using generic TV boxes that promise unlimited content streaming for a one-time fee, warning that they secretly rent the user’s Internet connection out to strangers. But a groundbreaking new analysis finds these devices also routinely spoof themselves as mobile phones clicking ads on AI-generated websites as part of a sprawling operation that seeks to defraud online merchants and advertising networks.

Pedro Falé is a threat researcher with the security firm Bitsight. Falé told KrebsOnSecurity he was able to peer inside a vast and complex ad fraud network by registering an expired domain name that was used to coordinate fake ad clicks across a particularly popular brand of these streaming devices known as H96.

Falé said the domain he scooped up was previously used for telemetry, periodically collecting full hardware information and the entire list of installed apps from tens of thousands of H96 streaming sticks plugged into television sets around the globe. But upon inspecting the traffic being funneled to the domain, he discovered nearly all of the TV boxes transmitting data claimed to be mobile phone models from a variety of manufacturers, including Samsung, Vivo, Huawei, and Xiaomi.

“We noticed something was wildly wrong,” Falé said. “Multiple devices reporting to this factory Android TV Box backdoor were ‘phones.'”

The researcher found all of the devices reported having the same two apps installed, and that those apps were made by a company called Zhejiang Fengwo IoT Technology Ltd, an entity founded in 2019 in mainland China which operates an ad-publishing portfolio under the name Fengwo Group. Further investigation into the Fengwo Group revealed it has registered multiple patents that match the inner workings of these apps.

“Bitsight TRACE identified several Hong Kong, Singapore, and single person ‘legal’ shell identities used to collect the monetization and traced the operation back to a mainland China company known as Zhejiang Fengwo IoT Technology Co., Ltd, which operates under the Fengwo Group,” Falé wrote in a report released today about their findings.

Falé said an analysis of the apps shows they help to coordinate an ad fraud network that uses these H96 devices as a captive traffic source to click on ads at AI-generated websites operated by the Fengwo Group.

Bitsight discovered the websites contain machine-generated news articles and graphics across a range of categories, including finance, health, education, gaming, music and food blogs. But they also found none of those sites displayed ads unless the device visiting the page matched the spoofed mobile profile of these H96 devices.

AI DIGITAL HUMANS

The domain for the Fengwo Group — fwgcloud[.]com — claims the company is “redefining the boundaries of human-AI interaction,” and that it has created more than 120,000 “AI digital humans” available to rent for everything from emotional companionship to 24/7 customer service and creative design.

Falé said the Fengwo Group’s domain shared its SSL certificate data with other domains associated with the apps found on H96 devices, specifically the phone spoofing mechanism. He noted the domain also has an internal wiki platform that directly ties the Fengwo Group to a proprietary implementation of a Google-built visual programming language called Blockly, which was originally designed to help kids learn how to write software.

According to Bitsight, the Fengwo Group’s employees use Blockly to build the sham websites, allowing low-skilled operators to drag blocks of code together in their Blockly editor — without any need to understand what the underlying code blocks do or how they work.

“An operator can drag blocks together in their Blockly editor, to define each fraud routine, given a task type,” reads Bitsight’s report. “Once the routine is saved, it gets exported as JavaScript and uploaded to the S3 buckets. An operator doesn’t need as much understanding of the underlying technicalities, as it is all set in place for ease of use.”

Bitsight even found one of the Fengwo Group app developers mentioning exactly these advantages, noting the developer remarked that “only a small number of highly-skilled developers are needed to build the template execution-unit images,” and that “developers who create execution units from those templates have significantly lower technical requirements, greatly reducing the company’s operating costs.”

Falé said if a user’s H96 streaming stick is selected for a specific fraud task, it will be pushed the appropriate Blockly module according to the task desired, which can include silently launching a web browser, visiting websites, browsing pages, managing tabs, and clicking on ads.

To ensure the TV boxes masquerading as mobile phones can reliably click on ads displayed via the AI-generated websites, the Fengwo group “fuses three vision and reasoning systems into a single interface,” allowing the bots to correctly identify an ad on the webpage and navigate the site much like a human would, the Bitsight report observed.

TV ON? PROXY. TV OFF? AD FRAUD

Bitsight found the H96 devices were either relaying residential proxy traffic or participating in ad fraud, but never both at the same time. In fact, they concluded that when these TV boxes detect an HDMI signal from an attached television — indicating the user intends to stream video content — the box is usually functioning as a residential proxy. When the TV is off, it switches back to waiting for ad fraud jobs.

Falé said he believes the TV boxes are set up this way because its ad fraud activities are far more resource intensive and could interfere with the device’s stated purpose — streaming video content over the Internet.

Despite repeated warnings from the FBI and security industry leaders about the security and privacy risks of using these streaming devices, major e-commerce providers like Amazon, Best Buy, Newegg and others continue to sell hundreds of different models and brands that bundle unofficial versions of Google’s Android operating system and are frequently marketed (via online influencers) as a way to access a broad array of streaming services and live broadcasts without a subscription.

In addition to enlisting the user’s TV box in ad fraud networks, these off-brand streaming devices almost universally come with residential proxy software pre-installed. This software rents the user’s Internet address out to anonymous paying customers, who run the gamut from aggressive content scraping firms to ticket scalpers and outright cybercriminals.

What’s more, because these generic (and generally dirt cheap) TV boxes are all horribly insecure by default and bereft of any kind of authentication, installing one on your home or office network only invites further mischief. In January, the proxy tracking service Synthient documented how multiple botnets had rapidly enslaved millions of TV boxes using a complex interplay of security vulnerabilities in both the residential proxy software and the streaming devices themselves.

SHOW ME THE MONEY

Bitsight said it tracked approximately 38,000 TV boxes globally phoning home to the expired Fengwo Group domain, and based on that number the report estimates this ad fraud network brings in revenues of close to $50,000 a day (not counting substantial revenue from the residential proxy side of the business). However, Falé emphasized that these estimates are highly conservative and based on telemetry from just one of the Fengwo Group’s core (but older) domains.

As for the Fengwo Group’s claim to have 120,000 “digital humans” at their disposal, Bitsight’s report concludes it could be just a clever marketing scheme and/or a way to avoid drawing suspicion to the company’s operations.

“Historically, when dealing with proxy services or DDoS, we sometimes see these websites undertake inconspicuous facades, so as not to advertise their DDoS capability or botnet size,” Falé wrote in the report. “This could also be the case here.”

If the Fengwo Group truly does have tens of thousands of “AI humans” at its beck and call, it does not appear to have dedicated any of them to fielding inquiries from its own website. KrebsOnSecurity sought comment from the Fengwo Group by emailing the contact address listed on the company’s homepage, but the request bounced back with the reply, “Your message couldn’t be delivered to postmaster@fwgcloud[.]com. Their inbox is full, or it’s getting too much mail right now.”

As Bitsight’s analysis shows, when it comes to TV boxes and streaming sticks, it’s best to stick to name brands from reputable manufacturers, and then to be sparing and careful with any apps you choose to install on the device — as many of those can bundle residential proxy software as well. Google says consumers can confirm whether or not a device is built with the official Android TV OS and Play Protect certification by following these instructions.

Additionally, Synthient maintains a running list of IoT devices that have been known to ship to consumers with residential proxy software and other malicious apps pre-installed. Careful readers will notice Synthient’s list includes other IoT devices apart from streaming sticks and boxes: As the FBI has warned, residential proxy software has also been found in other popular consumer IoT devices from random brands, particularly digital photo frames.

Microsoft Corp. today released software updates to plug at least 570 security holes in its Windows operating systems and other software, almost triple the number of vulnerabilities the software giant fixed in its record-smashing Patch Tuesday release last month. Microsoft attributed the burgeoning patch counts to vulnerability discoveries aided by artificial intelligence.

Nearly 60 of the bugs quashed in July’s Patch Tuesday earned a “critical” severity rating, meaning miscreants or malware could use them to seize remote control over a Windows device with little or no help from the user. Microsoft also addressed three zero-day flaws, including two that are already being exploited in the wild.

Two of the zero-day weaknesses allow an attacker to elevate their user rights on a Windows system, as do approximately 250 other elevation of privilege flaws fixed this month; they include CVE-2026-56155 — an Active Directory Federation Services bug — and CVE-2026-56164, a Microsoft Sharepoint vulnerability.

CVE-2026-50661 is a security feature bypass in Windows BitLocker that could allow attackers to gain access to encrypted data if they have physical access to the device. Microsoft said this bug has been detailed publicly, but that it is not aware of any active exploitation.

In a blog post on July 9, Microsoft Executive Vice President Pavan Davuluri wrote that Windows users will notice “a higher volume of security updates included in each security release” as a result of AI aiding in the discovery of vulnerabilities.

“The pace of vulnerability discovery is changing with advances in AI making it possible to find more issues, faster, across more code, with new mechanisms that can accelerate both discovery and analysis,” Davuluri wrote.

Jack Bicer, director of vulnerability research at Action1, called attention to CVE-2026-48561, a remote code execution flaw in Microsoft Copilot (with a 9.6 CVSS threat score) that allows an unauthorized attacker to execute code over the network. Microsoft says an attacker could exploit this bug by hosting a malicious website that causes Microsoft Edge for Android to automatically send crafted prompts to Copilot when a user visits the site.

As AI advances the state of vulnerability discovery and remediation, it is also making it easier for attackers to quickly devise working exploits for known software flaws. Microsoft has long labeled security bugs using its “exploitability index,” which is Redmond’s best guess as to how likely it is that attackers will be able to figure out a reliable way to exploit a given vulnerability.

But Satnam Narang, senior staff research engineer at Tenable, argues that Microsoft’s exploitability index needs to do a better job of shifting with the machine speed of discovery. For example, Microsoft originally gave this month’s SharePoint zero-day an exploitability rating of “less likely,” although the flaw was added to CISA’s Known Exploited Vulnerabilities list on July 1.

“Anthropic’s Red Team’s own findings for known vulnerabilities (n-days) revealed how fragile this system has become, with its Mythos Preview model being able to produce proof-of-concept exploits for 13 of 14 vulnerabilities that were rated ‘Exploitation Less Likely’ or ‘Exploitation Unlikely,'” Narang said. “What this means is that our way of looking at Patch Tuesday has changed, because the exploitability index is centered around humans, not AI tools, and as these tools continue to improve, defense needs to improve alongside it.”

Chris Goettl at Ivanti observed that the record patch numbers from Microsoft come as a number of other major software makers are increasing their patch cadence, including Adobe which announced today it is moving to twice-monthly security bulletins published on the 2nd and 4th Tuesday of each month (Adobe also cited AI for accelerating their patch cycles). Cisco, Mozilla and Oracle also are shipping updates more frequently, while Google’s patch batches in June 2026 totaled more than 900 security fixes, Goettl noted.

Backing up your Windows system and/or data is always a good idea before applying operating system updates. Given the volume of patches addressed this month it may be wise for end users to wait a few days before applying these fixes. It’s not uncommon for security patches to introduce system stability issues, and those chances probably increase quite a bit with the gigantic patch count released today.

Further reading:

Action1’s Patch Tuesday blog

Automox’s rundown

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The Federal Bureau of Investigation (FBI) said today it worked with industry partners to seize hundreds of domains associated with NetNut, a sprawling residential proxy service operated by the publicly-traded Israeli company Alarum Technologies [NASDAQ: ALAR]. The action comes roughly two weeks after KrebsOnSecurity published findings from multiple security firms connecting NetNut to the Popa botnet, a collection of at least two million devices that have been compromised by malicious software with little or no consent from victims.

On June 19, three different security firms issued similar findings: That NetNut is a residential proxy network which populates a botnet called Popa, and distributes software for devices commonly found in homes, such as smart TVs and streaming boxes. NetNut’s software turns those systems into always-on residential proxy nodes that are rented to others, who predominantly use them to relay abusive and intrusive Internet traffic, such as mass content scraping, advertising fraud, and account takeover activity.

Earlier today, NetNut’s homepage was replaced with a seizure notice from the FBI and the Internal Revenue Service Criminal Investigation division. The seizure notice thanked Google, Lumen, Shadowserver and other industry partners for their help in dismantling hundreds of domains tied to the Popa botnet, which experts say has long been synonymous with NetNut’s residential proxy infrastructure.

In a blog post published today, the Google Threat Intelligence Group (GTIG) said NetNut’s proxy network is widely resold and white-labeled by a number of third-party proxy providers, and that its services are heavily sought out by cybercriminals seeking to obfuscate the source of their malicious traffic. The GTIG said that in a single week during June 2026, they observed 316 distinct clusters of threat actors using suspected NetNut exit nodes, including cybercriminal and espionage groups.

“These bad actors can use NetNut to mask their origin IP address when accessing victim environments, accessing their own infrastructure, and conducting password spray attacks,” Google’s GTIG wrote. “Furthermore, when a consumer device becomes an exit node, unauthorized network traffic passes through it. This means bad actors can access other private devices on the same home network, effectively exposing them to Internet threats.”

Google said it disabled Google accounts and services used by NetNut for malware command and control, and that it shared technical intelligence on NetNut’s software development kits (SDKs) and backend infrastructure with platform providers, law enforcement and research firms. The company also disabled apps known to bundle NetNut’s various SDKs.

Omer Weiss, legal counsel for NetNut parent Alarum Technologies, said the company was aware of the FBI seizure and cooperating with investigators.

“Alarum takes this matter seriously and will fully cooperate with law enforcement to ensure any misuse of its infrastructure is thoroughly investigated and those responsible are held to account,” Weiss said in a written statement.

Benjamin Brundage is founder of the proxy tracking service Synthient, one of the companies that published evidence last month linking the Popa botnet to NetNut and Alarum Technologies. Brundage said the domain seizures appear to have disrupted both the Popa botnet and the NetNut proxy network that rides on top of it.

Brundage said NetNut’s apparent demise is likely to be a great disadvantage for the cybercrime community, which was already reeling from legal actions by Google earlier this year that seized infrastructure for NetNut’s biggest competitor — IPIDEA.

“I think this takedown is going to have a big impact, because NetNut gained significant popularity after the IPIDEA takedown,” he said. “Also NetNut has been incredibly common among resellers, and they were on par with IPIDEA in terms of their daily traffic, quality, size, price per gigabyte, all of it.”

The NetNut and Popa botnet takedown may have another added benefit, Brundage said: Lessening the impact of large distributed denial-of-service botnets that have been built on the backs of poorly configured residential proxy services. In January, Synthient revealed how cybercriminals had built the world’s largest DDoS botnet (Kimwolf) by tunneling through IPIDEA proxy connections into the local networks of TV box owners, and infecting other Android-based devices behind the victim’s firewall.

While many of the bigger proxy providers took steps to block this activity, resellers of the major proxy networks have been far slower to respond to the threat, Brundage said.

“In terms of all these TV box devices getting compromised from the proxy network, it will have an impact on the DDoS botnets out there,” he said.

For its part, Google reckons today’s actions have caused “significant degradation to NetNut’s proxy network and its business operations, reducing the available pool of devices for the proxy operator by millions.” But the company warns that proxy networks can rebuild themselves by effectively reselling other proxy services, as IPIDEA has done over the past few months.

“Google has high confidence that many popular residential proxy brands are in fact whitelabeling the NetNut botnet,” the GTIG report concludes. “While we expect this disruption to have a larger ripple effect across the residential proxy ecosystem, observations after the disruption of IPIDEA proved that individual networks can appear resilient. What we have observed is that when faced with the degradation of their own botnet, proxy operators begin buying capacity from their competitors, effectively becoming a reseller. We recognize that creating a lasting disruption in this fluid ecosystem means we must scale our efforts to target the infrastructure of several interconnected providers.”

As KrebsOnSecurity has warned repeatedly, most of the no-name TV streaming boxes for sale on the major e-commerce websites either come pre-installed with residential proxy software, or require the installation of proxy SDKs in order to use the device for its stated purpose (streaming pirated movies, sporting events and TV shows). Google’s advice here is sound: When it comes to TV boxes, stick to name brands from reputable manufacturers, and then be sparing and judicious with any apps you choose to install.

The sketchy TV boxes that are being commandeered by the Popa botnet and other threats all come with or require the user to install unofficial Android operating systems that do not operate within the confines of Google’s Official Play Protect store. Google says consumers can confirm whether or not a device is built with the official Android TV OS and Play Protect certification by following these instructions.

Even people without TV streaming boxes can find their smart TVs enrolled in residential proxy networks, just by installing one of thousands of apps available for download on Samsung and LG smart TVs. In a report released last month, the proxy tracking company Spur found 42 percent of apps available for download via the webOS operating system on LG smart TVs include SDKs that turn one’s television into an always-on residential proxy node. More than a quarter of the apps made for Samsung’s Tizen operating system had similar residential proxy components, Spur found.

Update, 4:24 p.m. ET: Included a statement shared post-publication from an attorney representing NetNut parent Alarum Technologies.

Update, July 8, 2:34 p.m. ET: The website for Alarum Technologies — alarum[.]io — now also features a seizure notice from the FBI. The company’s stock has taken a beating since the FBI action, and is currently trading at $2.62 a share, a roughly 67 percent decline over the past week.

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Authorities in the Netherlands have arrested the co-owners of two related Internet hosting companies for operating IT infrastructure used by Russia to carry out cyberattacks, influence operations and disinformation campaigns inside the European Union. The two men were the focus of a 2025 KrebsOnSecurity story about how their hosting companies had assumed control over the technical infrastructure of Stark Industries Solutions, an Internet service provider sanctioned last year by the EU as a frequent staging ground for cyber mischief from Russia’s intelligence agencies.

The Dutch daily news outlet de Volkskrant reports that the Dutch financial crime agency FIOD on May 18 arrested a 57-year-old from Amsterdam and a 39-year-old from The Hague, charging them with violating sanctions law by directly or indirectly making economic resources available to EU-sanctioned entities.

The Dutch investigation focuses on Stark Industries, a sprawling hosting provider that materialized just two weeks before Russia invaded Ukraine. As detailed in this May 2024 deep-dive, Stark quickly became the source of massive distributed denial-of-service (DDoS) attacks against European targets, and emerged as a top supplier of proxy and anonymity services that showed up time and again in cyberattacks linked to Russia-backed hacking groups.

That report identified two Moldovan brothers — Ivan and Yuri Neculiti and their company PQHosting — who were providing one of Stark’s two main conduits to the larger Internet. In May 2025, the EU sanctioned PQHosting and the Neculiti brothers for aiding Russia’s hybrid warfare efforts. But as KrebsOnSecurity observed in September 2025, those sanctions failed to target Stark’s remaining connection to the Internet — an Internet service provider based in the Netherlands called MIRhosting.

MIRhosting is operated by Andrey Nesterenko, a 39-year-old Russian native who runs the business out of the Netherlands.  News that PQHosting and the Neculiti brothers were about to be sanctioned by the EU leaked in the media nearly two weeks before the sanctions were announced last year. During that time, the Stark network assets were transferred from PQHosting to a new entity called the[.]hosting, under the control of the Dutch entity WorkTitans BV.

And as our September 2025 report showed, WorkTitans was controlled by Nesterenko and a 57-year-old from Amsterdam named Youssef Zinad. On top of that, WorkTitans was getting connectivity to the larger Internet solely through MIRhosting, where Zinad had worked previously.

On May 18, Dutch financial crime investigators arrested Nesterenko and Zinad, and searched three businesses in Enschede and Almere and two data centers in Dronten and Schiphol-Rijk. A statement from the Dutch authorities said they also seized laptops, telephones and more than 800 servers.

De Volkskrant said it reviewed data showing WorkTitans and MIRhosting were the most-used networks in pro-Russian attacks on Danish government bodies between November 13 and 19, 2025, the week of Denmark’s municipal elections.

The publication wrote that prior to Nesterenko’s arrest, the MIRhosting founder denied that he knew his servers had been misused by pro-Russian cybercriminals. “He said he had ended all services with the Neculiti brothers when the EU sanctions came into force in May 2025,” and the he “reserved all rights to take action against ‘harmful and incorrect publications,” de Volkskrant wrote.

MIRhosting released a statement saying it has initiated an internal investigation into the alleged facts concerning the elections in Denmark, and that it has temporarily paused services to WorkTitans as a precautionary measure while the matter is being reviewed further.

“Based on our preliminary findings, there are no indications that the services over which we exercise control were actually used to influence the Danish elections,” the statement reads. “No anomalies or spikes were observed in our network traffic during the period mentioned in the publication; had large-scale DDoS attacks occurred, such activity would have been evident. Furthermore, prior to the media publication, we had not received any complaints, abuse reports, or official requests regarding suspicious activities or misuse of our network. Meanwhile, our regular operational activities continue, and our service to our other clients remains fully intact.”

Born in Nizhny Novgorod, Russia, Mr. Nesterenko grew up as a piano prodigy who performed publicly at a young age. In 2004, Nesterenko founded MIRhosting’s parent Innovation IT Solutions Corp., which has the notable distinction of being the company responsible for hosting stopgeorgia[.]ru, a hacktivist website for organizing cyberattacks against Georgia that appeared at the same time Russian forces invaded the former Soviet nation in 2008. That conflict was thought to be the first war ever fought in which a notable cyberattack and an actual military engagement happened simultaneously.

Responding to questions shared via email, Nesterenko said MIRhosting does not support cybercrime, sanctions evasion, or illegal activity, and that the allegations and arrest by Dutch authorities have been extremely harmful to him and his company.

“The transition to the.hosting was not intended to evade sanctions,” Nesterenko wrote. “The hardware and customer portfolio had already been transferred to WorkTitans before the sanctions appeared. Closing or damaging a legitimate Dutch infrastructure company will not stop cybercrime, but it will harm many people who have done nothing wrong.”

Far less is public about the 57-year-old Zinad, who reportedly has been keeping a low profile since our story last year. De Volkskrant reported that Zinad blocked access to his LinkedIn account, had gone months without responding to emails, WhatsApp messages and phone calls, and told a colleague that illness was forcing him to lead a somewhat more reclusive life.

Mr. Nesterenko claims Zinad was never an employee of MIRhosting.

“He helped me and MIRhosting with certain business tasks under a normal business-to-business arrangement between companies,” Nesterenko explained.

However, in previous emails to KrebsOnSecurity, Nesterenko carbon copied Mr. Zinad (who had a @mirhosting.com email), explaining that he was part of the company’s legal team. Also, the Dutch website stagemarkt[.]nl lists Youssef Zinad as an official contact for MIRhosting’s offices in Almere.

Mr. Zinad has never responded to requests for comment. Nor did de Volkskrant have any luck tracking him down. The publication said it repeatedly asked Mr. Zinad (referred to here as simply “Z”), but he reportedly avoided every form of contact.

“‘I am unavailable but will respond to your message as soon as possible,’ reads an automated reply on WhatsApp on 2 October 2025,” de Volkskrant reported. “It is the only response de Volkskrant would receive in months. He did not pick up his phone and did not call back. When an acquaintance asked him via LinkedIn to contact the reporter, he blocked access to his LinkedIn page. At an address in Almere where Z.’s personal limited company is registered, no one was present in April. The corner house’s blinds were drawn, and a pile of rubbish bags lay outside next to a container, as if someone had recently left. A neighbour said he knew the man but did not know where he was staying. Z. was later arrested at a residence in Amsterdam.”