The FBI has issued a critical warning regarding a massive malware campaign—dubbed BADBOX 2.0—which has compromised over 1 million Internet-connected consumer devices, including smart TVs, Android tablets, projectors, and streaming boxes. The malware, often embedded in Chinese-manufactured IoT devices, turns them into residential proxies exploited by cybercriminals to mask their activities.
“The BADBOX 2.0 botnet consists of millions of infected devices and maintains numerous backdoors to proxy services that cyber criminal actors exploit by either selling or providing free access to compromised home networks to be used for various criminal activity,” the FBI stated.
The infection typically occurs when users purchase devices preloaded with malicious firmware or unknowingly install compromised apps from third-party stores or, occasionally, even Google Play. During initial setup, these apps introduce backdoors, linking the devices to command and control (C2) servers, where attackers remotely execute various malicious operations.
These include:
- Residential Proxy Networks: Using victims’ home IP addresses to route traffic and hide malicious activity.
- Ad Fraud: Background ad-clicking to generate illegitimate revenue.
- Credential Stuffing: Attemptin
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