Reading view

Microsoft's worst 'Nightmare' unleashes BitLocker bypass 0-day

Nightmare Eclipse, the prolific zero-day vulnerability hunter with an axe to grind against Microsoft, released yet another exploit late Wednesday that the researcher claims will spawn a command prompt that provides total access to the BitLocker volume. This bug, called GreatXML, was “an accidental discovery,” according to the researcher, who said it only took four hours to find. They claim this exploit (published on GitHub and Git-based code-hosting platforms) can bypass BitLocker on any system that has ever run a Microsoft Defender Offline scan at any point in the past. GreatXML comes just a day after Nightmare released exploit code for RoguePlanet, which allows local privilege escalation and leads to SYSTEM-level control over an affected machine. This brings the researcher’s zero-day count to eight. The earlier six - RedSun, UnDefend, BlueHammer, YellowKey, GreenPlasma, and MiniPlasma - all have patches as of this week’s Patch Tuesday event. Redmond on Wednesday told The Register that it is aware of RoguePlanet, and “actively investigating the validity and potential applicability of these claims.” The Windows giant didn’t immediately respond to our inquiries about GreatXML, including when it planned to issue a patch. Microsoft has said none of the vulnerabilities were reported via its official channels prior to being made public. The company also banned Nightmare’s earlier GitHub account, and seemingly threatened legal action before dialing back its rhetoric after steep backlash from the security community. Nightmare Eclipse, who some researchers suggest is an ex-Microsoft employee, harbors a very personal grudge against the Windows giant and its communications with bug hunters. They have promised to keep the zero-days coming, but waffle on the timing. Last month, the researcher pledged a big July 14 drop: “I will make sure your bones are shattered that day,” and then added, “nothing will be released this June (or maybe I will release smtg, depending on circumstances).” On Tuesday, they changed course. “I will be unable to mass disclose zerodays in July 14th, RoguePlanet took way more time than expected and truly drained me. I might take a break but I can't say for sure what I will be doing for next month, maybe it's nothing, maybe it's smtg.” A day later, Nightmare released the “accidental” GreatXML BitLocker bypass. According to the researcher, the BitLocker bypass first requires copying “unattend.xml” and the “Recovery” directory to the root of the recovery partition. The next step is rebooting into WinRE by Shift-clicking Restart. “If everything was done correctly, a shell with unrestricted access to the bitlocker volume will spawn,” Nightmare wrote. Also, if the scan hasn’t even been initiated on the Windows system, first you’d need to either log in and initiate it, or “figure out a way to boot into WinRE in offline scan state.” Security sleuth Will Dormann followed Nightmare’s steps to reproduce GreatXML, and said the writeup seems “flawed.” In his testing, Dormann said the command prompt appeared the next time a Defender Offline scan ran. “And in order to trigger a Microsoft Defender Offline scan, you both need to be logged in to Windows, and also have admin credentials,” he wrote on social media. “And if you've already got that level of access, you can just turn off bitlocker.” “The writeup for GreatXML suggests that the prerequisite is that Windows Defender Offline has been executed at some point in the past,” Dormann added. “And that after planting two files in WinRE, all you need to do is [Shift]-reboot into WinRE, and Windows will automatically go into Microsoft Defender Offline scan mode. But this is not the case in any of the 3 lineages of Win11 that I have handy.” ®

  •  

VRChat says somebody faked a breach notice with the Maine AG's office

UPDATED Following notes from several readers, we followed up directly with VRChat on Thursday at 1945 GMT and they told us that the Maine Attorney General's office apparently posted a fake breach report. According to an email from VRChat's head of community, Charles Tupper, "VRChat did not submit this Notice of Data Incident, and the employee/email cited does not exist. We have no reason to believe that our data or systems have been compromised. We are in the process of contacting the Maine Attorney General's office to have this removed." In an effort to get to the bottom of this, The Register dialed the phone number on the report as well, but it connected to a line that is not in service. We also tried emailing the address on the report and got no reply. We could find no record of a Scott Caruso affiliated with VRChat. We apologize for the error, but generally speaking, government data breach reports are considered reliable. The fakers apparently even created a false notice that VRChat ostensibly sent to customers! If anybody knows who filed this apparently fake report and why, get in touch through our contact page, or through our secure tipline. The original story is below: Online chat platform VRChat says a recent cyberattack compromised the data belonging to nearly 2.5 million users. It confirmed the “data security incident” in a report filed with Maine’s attorney general, but has not disclosed it via public channels. The company’s report confirmed that its cloud environment was accessed between May 10-12, with the unauthorized intruder making off with information concerning 2,436,782 users. This included VRChat usernames, email addresses, whether a user was a VRChat+ subscriber, login histories (including device, hardware identifiers, and IP addresses), and Steam or Meta user IDs. It does not believe passwords, credit cards or other payment information, or government IDs used for age verification were affected. “VRChat sincerely regrets that this security incident occurred,” the company stated in its disclosure. “We understand that trust between our platform and its community is earned through consistent action, and we take full responsibility for the concern this event has caused. “The security and privacy of our players' information remain our highest priority, and we are committed to doing everything within our power to protect it.” VRChat said that after it was made aware of the intrusion, it contained the threat and implemented additional security controls, as well as engaging outside security experts. And in an unusual move for US breaches, the San Francisco-based company did not offer identity theft or credit monitoring services. Offering these kinds of services is not a legal requirement, but doing so is highly common, especially regarding attacks that affect so many individuals. VRChat does not publish the total number of registered users that it has on its books, but its documentation states that “the platform has grown to millions of users,” who have collectively published tens of millions of unique pieces of content for it since its first release in 2014. The part game, part chat platform is an online, open-world chatroom where people walk around interacting with one another via their 3D avatars. It has been compared to Second Life in that users explore other users' worlds, play mini-games, and partake in casual chit-chat, with support for both virtual reality headsets and conventional PCs. You can also think of it as something similar to Meta’s vision for the metaverse, just without all the coworking and KPI meetings, and with way more users. ®

  •  

Every employee’s password was stored in a single Excel file

PWNED Welcome, once again, to PWNED, the weekly screed where we highlight those who did not do the deed of securing their systems. If someone left their passwords or their access exposed, we will be writing about them here. Have a story about someone leaving a gaping hole in their network? Share it with us at pwned@sitpub.com. Anonymity is available upon request. This week’s terrifying tale of poor security hygiene comes courtesy of Luke Irwin, CEO and principal consultant at Aegis Cybersecurity. He’s been in the industry for more than a quarter of a century and he knows where the bits are buried. At one point, Irwin consulted for a company that was a large national facility services organization, a 2,000-employee firm that provided cleaning, security guards, industrial abseiling (cleaning the facade), and other things that other large businesses need to keep their physical plants running smoothly. The CEO had one very peculiar idea about how to keep his own house in order: he wanted to have access to every one of his employees’ login credentials. The chief executive had an Excel spreadsheet sitting right on his desktop with a complete list of all the employee usernames and passwords. Let that sink in for a second. One person had all the keys to the castle in a single, easily accessible file. In any decent security setup, no one in the company has access to anyone else’s password. Even the head of the IT department should not know another employee’s password. I say this as someone who used to work for a company where the IT department would ask you to DM them your password if you had computer problems. But this company’s CEO wanted the usernames and passwords for reasons I’m sure any of his employees would appreciate: so he could go into their email accounts! He had an experience where one colleague had sent secret information to the entire company via email and he had spent the evening logging into every single account and deleting the message before anyone could see it. Just in case other messages were sent in error in the future, the CEO wanted the ability to log into all the relevant accounts and delete them himself. Perhaps for the same reason, he would not allow MFA (multi-factor authentication), because that would have kept him out of people’s inboxes. He was adamant even though the company had been the victim of a ransomware incident previously. “Despite repeated advice, he held that position for around four months, until we were able to demonstrate that the IT team could remove messages centrally using fairly simple administrative commands, without needing everyone’s password,” Irwin said. Even after getting rid of the Excel sheet of shame, the boss still refused to turn on MFA and the company subsequently suffered two data breaches involving sensitive client data. Unfortunately, this company wasn’t the only one that Irwin worked with where the management had something against MFA. Another client, this one in the medical sector, was opposed to multi-factor authentication because it “made things just a little too hard” for the external consultants they were using to access their systems. During the time that Irwin worked with that company, they got lucky and no one breached them. But since then, he’s seen signs that their data was available on the dark web. No word on whether they ever switched MFA on. There’s plenty to learn from Irwin’s two clients, but it’s all pretty obvious. First, don’t let anyone, even administrators or CEOs, have other people’s passwords. If someone has to get into another person’s email account, have IT use administrative access. Second, always enable MFA, preferably MFA with passkeys. ®

  •  

Chinese agents caught rebuilding botnets and stirring the pot on AI datacenter debate

Multiple reports indicate that Chinese operatives continue using every tech tool at their disposal – including American AI – to amass data on and manipulate everyone from security-clearance holders to everyday US citizens. And they’re trying to influence public opinion on building datacenters for AI, albeit without success so far. One of these reports found a “significant resurgence” of a botnet linked to Chinese government-backed goons, including Volt Typhoon, which previously used a covert network of connected devices to burrow deep into critical US networks and preposition for future destructive attacks. In January 2024, the FBI said it killed Volt’s KV-botnet, comprised of hundreds of end-of-life routers and other internet-connected devices. At the time, KV-botnet consisted of four clusters, with the KV cluster primarily being used as a covert data transfer network, and the JDY cluster used for scanning and reconnaissance. In a Wednesday report, Lumen’s Black Lotus Labs said that while the KV cluster became largely defunct after the law enforcement takedown, the JDY cluster remains an active threat, and has since surged to more than 1,500 compromised routers and IoT devices. “Analysis of this activity shows a clear focus on identifying vulnerable infrastructure shortly after public vulnerability disclosures, suggesting that reconnaissance output is rapidly operationalized by China-nexus advanced persistent threat (APT) actors,” the threat intel team wrote. “This targeted focus has been observed across a range of sectors, with the US military and associated entities as the most prominent.” While the botnet resurgence poses the most pressing threat, and the security shop recommends all enterprises implement CISA and NCSC guidance for mitigating Volt Typhoon activity and defending against China-nexus covert networks of compromised devices, another report indicates that China’s attempts at influence operations haven’t died down, either. Using American AI for covert ops about … American AI OpenAI in a Wednesday report said it banned ChatGPT accounts likely originating from China after they used the American AI company’s models to generate content for covert operations about – wait for it – American AI. While neither of the two clusters seemed to have much success in sowing chaos or swaying opinions, the fact that they tried at all is significant, according to Ben Nimmo, principal investigator on OpenAI’s Intelligence and Investigations team. “Neither campaign appears to have gained much authentic engagement,” Nimmo told reporters. “They're important for what they reveal about the intentions of influence operators from China and the narratives they're testing and seeking to amplify.” The first cluster used ChatGPT to generate social media content and images for an operation claiming datacenters and AI applications are increasing electricity demand and causing higher costs for ordinary Americans. “For example, they asked for comic strips about a power grid operator’s capacity auction prices based on reporting from a legitimate regional paper,” the report says. “They asked ChatGPT to focus the comments on rising capacity prices as a consequence of peak electricity demand, framing the new demand as coming from data centers and AI applications and argued that these costs were ultimately passed to ordinary households.” The operators then posted these comments and images on X, likely using fake accounts, with links to real news stories about datacenters. OpenAI suspects the operators are part of a social-media team at a private Chinese tech company that provides services for Chinese provincial-level government clients. “This was not a case of an influence operation creating a debate,” Nimmo said. “The debate existed already. This was an influence operation from China trying to interfere in it. We didn't see any signs that they succeeded.” The second cluster of banned ChatGPT accounts also likely originated in China and used OpenAI’s models to write comments and draw political cartoons criticizing US tech policies and tariffs. “Interestingly, the operators specified in their prompts that the content should not include cartoons of Xi Jinping in the output and should only include President Trump,” Nimmo said. These accounts, all writing prompts in simplified Chinese and using VPNs to access the AI systems, also used ChatGPT to edit work reports and help design social media monitoring systems. “This isn't the first time that we've seen actors in China trying to come up with ideas for social media monitoring,” Nimmo said. In February, OpenAI said it banned ChatGPT accounts believed to be linked to Chinese government entities attempting to use AI models to surveil individuals and social media accounts. If AI doesn't work, bribery might? If Chinese agents can’t use AI systems to unearth sensitive information, there are always fake websites and job offers promising cash for state secrets. We’ve seen Beijing-linked government snoops use these tactics in the past, and according to the US Justice Department, they’re still using this scam (because it works). On Wednesday, the feds said they obtained a warrant for and seized 13 fake consulting company websites used to target US persons, including current and former security clearance holders with access to classified and sensitive government information. The domains include centrikglobalconsulting.com, rightinfoconsult.com, finnaclevesperconsulting.com, cydfconsulting.com, pulsewaveglobal.com, catalystglobalsolutions.com, thehorizzen.com, geoindopacific.com, gpf-ina.org, safesec-group.com, thetruthinfo.com, Vandercons.com, and gulfpeace.org. Since November 2023, these websites and associated job postings on social media, LinkedIn, and other hiring platforms advertised “consulting” jobs, including “Senior Analyst” and “International Affairs Consultant” positions. Suspected PRC operatives used the sites and job listings to recruit applicants and bribe them for sensitive information, DOJ alleges. “The conspirators have encouraged applicants and recruits to share confidential and sensitive information in violation of their official duties and of particular interest to the People's Republic of China (PRC) government,” according to the court documents. “The recruiters pressured candidates to share confidential information and reports from ‘insider sources' in violation of their official duties.” The court documents allege the conspirators then paid the recruits for these reports using online accounts in the names of fictitious individuals, and cryptocurrency to hide their identities and the source of the payments. ®

  •  

Angry bug hunter with Microsoft beef drops new Windows 0-day

They are angry at Redmond and will have their revenge. Nightmare Eclipse, the prolific bug hunter and possibly disgruntled ex-Microsoft employee, disclosed another zero-day vulnerability just hours after Redmond issued a record-breaking number of CVEs and fixes for June Patch Tuesday. The latest zero-day, RoguePlanet, targets Microsoft Defender and works against fully patched Windows 10 and Windows 11 systems, according to the researcher, who also released proof-of-concept exploit code for the security flaw. Assuming the attacker can win a race condition, this bug allows local privilege escalation and leads to SYSTEM-level control over an affected machine. Nightmare Eclipse (aka Chaotic Eclipse) is a disgruntled bug hunter with a deep understanding of Windows and an even deeper grudge against Microsoft. They claim to be an ex-employee, and accuse Redmond of ignoring vulnerability reports and refusing to communicate with them. "When I actively asked you to communicate with me, you refused, humiliated me and made sure to insult me in front of people," they wrote in an earlier blog post that also promised a “bone shattering” drop on July 14. "You defame me in public with your CVE-2026-45585 advisory even though you literally deleted the Microsoft account I used to report bugs to you with and I got zero pennies from doing so and I still happily did like an idiot," the post continued. Possibly as an outlet for this anger, and reportedly in response to Redmond's lack of action, Nightmare began releasing their findings to the public. RoguePlanet marks the seventh Microsoft zero-day that they found and disclosed - accompanied by either a PoC exploit or technical details - before Redmond issued a fix. Microsoft's initial response to those disclosures was widely interpreted as a threat of legal action, prompting massive outrage from the broader infosec community before Redmond sought to calm the backlash by stating it had "no intention to pursue action against individuals conducting or publishing security research." As of Tuesday, the previous six zero-days all have patches. Three of them, RedSun, UnDefend, and BlueHammer, came under attack soon after Nightmare published working exploit code for each and before Microsoft released security updates to address the flaws. The other three, YellowKey, GreenPlasma, and MiniPlasma, all have been fixed as of June’s Patch Tuesday. YellowKey (aka CVE-2026-45585) is a security feature bypass bug in Windows BitLocker. An attacker with physical access to the vulnerable system could bypass the BitLocker Device Encryption feature and gain access to the device's encrypted data. GreenPlasma (aka CVE-2026-45586) and MiniPlasma (aka CVE-2020-17103) are both privilege escalation flaws in the Collaborative Translation Framework (CTFMON) and the Cloud Files Mini Filter Driver that can be abused by an authorized attacker to elevate privileges locally and gain SYSTEM access. When asked about RoguePlanet, a Microsoft spokesperson told The Register that the Windows giant is “aware of the reported vulnerability and is actively investigating the validity and potential applicability of these claims." The spokesperson continued: "Microsoft is committed to investigating security issues and updating impacted products to protect customers as soon as possible. Importantly, we support coordinated vulnerability disclosure, an industry standard that protects customers and supports the research community by ensuring their findings are thoroughly investigated and addressed before being made public." Soon after Nightmare published a PoC for RoguePlanet, the ThreatLocker threat intelligence team validated the exploit code and said that they were “actively assessing impact, affected systems, and additional mitigations,” promising to share more findings “as they become available.” Tharros Labs senior vulnerability analyst and long-time respected security sleuth Will Dormann said he tested the exploit code, too. “It's reportedly not 100% reliable, but it worked on the first attempt for me,” Dormann wrote. Nightmare, for their part, rolled back the promise of a “bone shattering” drop on July 14. “(Un)fortunately I will be unable to mass disclose zerodays in July 14th, RoguePlanet took way more time than expected and truly drained me,” the researcher said on Tuesday. “I might take a break but I can't say for sure what I will be doing for next month, maybe it's nothing, maybe it's smtg. But the big thing is not happening. I did not intend to spread a mass panic with that post and I apologize for doing so.”®

  •  
❌