Cybersecurity analysts have uncovered a fresh wave of malicious activity involving the SmartLoader malware framework. In this campaign, attackers circulated a compromised version of an Oura Model Context Protocol server in order to deploy a data-stealing program known as StealC.
Researchers from Straiker’s AI Research team, also referred to as STAR Labs, reported that the perpetrators replicated a legitimate Oura MCP server. This genuine tool is designed to connect artificial intelligence assistants with health metrics collected from the Oura Ring through Oura’s official API. To make their fraudulent version appear authentic, the attackers built a network of fabricated GitHub forks and staged contributor activity, creating the illusion of a credible open-source project.
The ultimate objective was to use the altered MCP server as a delivery vehicle for StealC. Once installed, StealC is capable of harvesting usernames, saved browser passwords, cryptocurrency wallet information, and other valuable credentials from infected systems.
SmartLoader itself was initially documented by OALABS Research in early 2024. It functions as a loader, meaning it prepares and installs additional malicious components after gaining a foothold. Previous investigations showed that SmartLoader was commonly distributed through deceptive GitHub repositories that relied on AI-generated descriptions and branding to appear legitimate.
In March 2025, Trend Micro published findings explaining that these repositories frequently masqueraded as gaming cheats, cracked software tools, or cryptocurrency utilities. Victims were enticed with promises of free premium functionality and encouraged to download compressed ZIP files, which ultimately executed SmartLoader on their devices.
Straiker’s latest analysis reveals an evolution of that tactic. Instead of merely posting suspicious repositories, the threat actors established multiple counterfeit GitHub profiles and interconnected projects that hosted weaponized MCP servers. They then submitted the malicious server to a recognized MCP registry called MCP Market. According to the researchers, the listing remains visible within the MCP directory, increasing the risk that developers searching for integration tools may encounter it.
By infiltrating trusted directories and leveraging reputable platforms such as GitHub, the attackers exploited the inherent trust developers place in established ecosystems. Unlike rapid, high-volume malware campaigns, this operation progressed slowly. Straiker noted that the group spent months cultivating legitimacy before activating the malicious payload, demonstrating a calculated effort to gain access to valuable developer environments.
The staged operation unfolded in four key phases. First, at least five fabricated GitHub accounts, identified as YuzeHao2023, punkpeye, dvlan26, halamji, and yzhao112, were created to generate convincing forks of the authentic Oura MCP project. Second, a separate repository containing the harmful payload was introduced under another account named SiddhiBagul. Third, these fabricated accounts were listed as contributors to reinforce the appearance of collaboration, while the original project author was intentionally omitted. Finally, the altered MCP server was submitted to MCP Market for broader visibility.
If downloaded and executed, the malicious package runs an obfuscated Lua script. This script installs SmartLoader, which then deploys StealC. The campaign signals a shift from targeting individuals seeking pirated content to focusing on developers, whose systems often store API keys, cloud credentials, cryptocurrency wallets, and access to production infrastructure. Stolen information could facilitate subsequent intrusions into larger networks.
To mitigate the threat, organizations are advised to catalogue all installed MCP servers, implement formal security reviews before adopting such tools, confirm the authenticity and source of repositories, and monitor network traffic for unusual outbound communications or persistence behavior.
Straiker concluded that the incident exposes weaknesses in how companies assess developing AI tools. The attackers capitalized on outdated trust assumptions applied to a rapidly expanding attack surface, underscoring the need for stricter validation practices in modern development environments.
A cyber intrusion identified on November 24, 2025 has disrupted essential local authority services in two central London boroughs, freezing parts of the property market and delaying administrative functions.
The Royal Borough of Kensington and Chelsea and Westminster City Council have both been unable to operate several core systems since the breach was detected. Although Kensington and Chelsea is internationally associated with high-value homes, luxury retail outlets and tree-lined residential streets, routine civic operations in the borough are currently under strain.
A notice published on the Kensington and Chelsea council website states that disruption is expected to continue for several more weeks and that restoring all services may take months.
According to HM Land Registry figures, approximately 2,000 property transactions occur annually within Kensington and Chelsea. Many of those transactions are now impacted because the councils cannot conduct local authority searches. These searches are mandatory checks that examine planning history, land charges, infrastructure proposals and regulatory constraints linked to a property.
Nick Gregori, Head of Research at property data platform LonRes, explained that local authority searches are fundamental to the conveyancing process. Buyers relying on mortgage financing cannot secure loans without completed searches. Even purchasers using cash are advised to obtain them to ensure proper due diligence.
Jo Eccles, founder of buying agency Eccord, said two of her clients purchasing in Westminster have had to obtain indemnity insurance because official searches are not expected to resume until April due to accumulated delays. She noted that private banks are sometimes willing to proceed with indemnity-backed transactions, whereas retail lenders are generally less accommodating.
Robert Green, Head of Sales at John D Wood & Co. in Chelsea Green, stated that indemnity policies do not eliminate the need for careful investigation. Solicitors are attempting to reconstruct due diligence by reviewing historical documentation held by sellers or from previous acquisition files. Buyers without access to private lending or substantial liquidity are finding transactions extremely difficult to complete.
Planning services have also stalled. Architect Emily Ceraudo has two projects paused: one involving listed building consent in South Kensington and another concerning a mansard roof extension in Mayfair. She said clients initially struggled to accept that the entire planning system could remain offline for this duration, prompting her to share official correspondence confirming the cause of delay. Councils have indicated that some applications may be processed offline, but no revised timeframe has been provided.
There are reports of contractors reconsidering site activity and some clients contemplating proceeding with works in anticipation of retrospective approval.
Housing benefit payments were also interrupted. Laurence Turner, who rents a studio flat in Chelsea to an elderly tenant with medical needs, said he only became aware of the issue after two missed payments. He emphasized that he has no contractual relationship with the council and that his tenant had consistently paid rent early for five years. His letting agent, Maskells, contacted the council for clarification. Payments due in mid-December and mid-January were missed, leaving £2,870 outstanding before funds were eventually received.
Turner observed that council service charges were skipped once in mid-December but resumed in mid-January, whereas housing benefit was missed twice. He acknowledged that municipal financial systems are complex and that he may not see the full administrative context.
Neither borough has provided a definitive restoration date. Kensington and Chelsea stated that systems are being reactivated gradually under guidance from NCC Group, the Metropolitan Police and the National Cyber Security Centre. Property searches are expected to return as soon as possible, with a limited search service available before full restoration.
Council Leader Cllr Elizabeth Campbell described the incident as a n intricate criminal cyber attack. She said prior investment in digital, data and technology infrastructure, including updated cyber defence systems, helped reduce overall damage. She confirmed that the planning system is undergoing checks, that new planning applications cannot progress beyond validation, and that local land charge searches remain unavailable. She added that £10 million in housing benefits has been issued since the incident and that recovery work continues with specialist partners to ensure systems are restored safely and with strengthened resilience.
Cybercriminals are using traditional mail services to target cryptocurrency users who own hardware wallets manufactured by Trezor and Ledger. The attackers are distributing printed letters that falsely present themselves as official security notifications and attempt to trick recipients into revealing their wallet recovery phrases.
The letters instruct users to complete a compulsory “Authentication Check” or “Transaction Check,” claiming this step will soon become mandatory. Recipients are warned that failure to comply before stated deadlines could result in disrupted wallet functionality. One Trezor-themed letter sets February 15, 2026 as the cutoff date, while a Ledger-branded version references October 15, 2025.
The correspondence appears professionally formatted and claims to originate from internal security or compliance departments. In a case shared publicly by cybersecurity researcher Dmitry Smilyanets, a Trezor-related letter stated that authentication would soon be enforced across devices and urged users to scan a QR code to prevent interruption of Trezor Suite access. The letter further asserted that even if users had already enabled authentication on their device, they must repeat the process to ensure full activation and synchronization of the feature.
The QR codes direct recipients to fraudulent domains including trezor.authentication-check[.]io and ledger.setuptransactioncheck[.]com. At the time of reporting, the Ledger-linked domain was inactive, while the Trezor-related site remained accessible but displayed a phishing warning from Cloudflare.
The Trezor-themed phishing page states that users must complete authentication by February 15, 2026 unless they purchased specific models, including Trezor Safe 7, Safe 5, Safe 3, or Safe 1, after November 30, 2025, in which case the feature is allegedly preconfigured. After selecting “Get Started,” users are warned that ignoring the process could lead to blocked access, transaction signing errors, and complications with future updates.
Those who continue are prompted to enter their wallet recovery phrase. The form accepts 12-, 20-, or 24-word phrases and claims the information is necessary to confirm device ownership. Technical analysis shows that submitted phrases are transmitted through a backend endpoint located at /black/api/send.php on the phishing domain.
With access to the recovery phrase, attackers can restore the wallet on another device and transfer funds.
The method used to identify recipients remains unclear. However, both manufacturers have experienced past data breaches that exposed customer contact information, potentially increasing targeting risks.
Although email-based crypto phishing is common, physical mail scams remain relatively uncommon. In 2021, attackers mailed tampered Ledger devices designed to capture recovery phrases during setup. A similar postal campaign targeting Ledger users was reported again in April.
A recovery phrase, also called a seed phrase, represents the private cryptographic key controlling a cryptocurrency wallet. Anyone who obtains it gains complete control over the associated funds.
Legitimate hardware wallet providers do not request recovery phrases through mail, QR codes, websites, or email. The phrase should only be entered directly on the hardware device during a genuine restoration process.