An anonymous reader quotes a report from BleepingComputer: The FBI is warning that the BADBOX 2.0 malware campaign has infected over 1 million home Internet-connected devices, converting consumer electronics into residential proxies that are used for malicious activity. The BADBOX botnet is commonly found on Chinese Android-based smart TVs, streaming boxes, projectors, tablets, and other Internet of Things (IoT) devices. "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," warns the FBI. These devices come preloaded with the BADBOX 2.0 malware botnet or become infected after installing firmware updates and through malicious Android applications that sneak onto Google Play and third-party app stores. "Cyber criminals gain unauthorized access to home networks by either configuring the product with malicious software prior to the users purchase or infecting the device as it downloads required applications that contain backdoors, usually during the set-up process," explains the FBI. "Once these compromised IoT devices are connected to home networks, the infected devices are susceptible to becoming part of the BADBOX 2.0 botnet and residential proxy services4 known to be used for malicious activity." Once infected, the devices connect to the attacker's command and control (C2) servers, where they receive commands to execute on the compromised devices, such as [routing malicious traffic through residential IPs to obscure cybercriminal activity, performing background ad fraud to generate revenue, and launching credential-stuffing attacks using stolen login data]. Over the years, the malware botnet continued expanding until 2024, when Germany's cybersecurity agency disrupted the botnet in the country by sinkholing the communication between infected devices and the attacker's infrastructure, effectively rendering the malware useless. However, that did not stop the threat actors, with researchers saying they found the malware installed on 192,000 devices a week later. Even more concerning, the malware was found on more mainstream brands, like Yandex TVs and Hisense smartphones. Unfortunately, despite the previous disruption, the botnet continued to grow, with HUMAN's Satori Threat Intelligence stating that over 1 million consumer devices had become infected by March 2025. This new larger botnet is now being called BADBOX 2.0 to indicate a new tracking of the malware campaign. "This scheme impacted more than 1 million consumer devices. Devices connected to the BADBOX 2.0 operation included lower-price-point, 'off brand,' uncertified tablets, connected TV (CTV) boxes, digital projectors, and more," explains HUMAN. "The infected devices are Android Open Source Project devices, not Android TV OS devices or Play Protect certified Android devices. All of these devices are manufactured in mainland China and shipped globally; indeed, HUMAN observed BADBOX 2.0-associated traffic from 222 countries and territories worldwide."

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An anonymous reader quotes a report from BleepingComputer: Law enforcement authorities have dismantled a botnet that infected thousands of routers over the last 20 years to build two networks of residential proxies known as Anyproxy and 5socks. The U.S. Justice Department also indicted three Russian nationals (Alexey Viktorovich Chertkov, Kirill Vladimirovich Morozov, and Aleksandr Aleksandrovich Shishkin) and a Kazakhstani (Dmitriy Rubtsov) for their involvement in operating, maintaining, and profiting from these two illegal services. During this joint action dubbed 'Operation Moonlander,' U.S. authorities worked with prosecutors and investigators from the Dutch National Police, the Netherlands Public Prosecution Service (Openbaar Ministerie), and the Royal Thai Police, as well as analysts with Lumen Technologies' Black Lotus Labs. Court documents show that the now-dismantled botnet infected older wireless internet routers worldwide with malware since at least 2004, allowing unauthorized access to compromised devices to be sold as proxy servers on Anyproxy.net and 5socks.net. The two domains were managed by a Virginia-based company and hosted on servers globally. On Wednesday, the FBI also issued a flash advisory (PDF) and a public service announcement warning that this botnet was targeting patch end-of-life (EoL) routers with a variant of the TheMoon malware. The FBI warned that the attackers are installing proxies later used to evade detection during cybercrime-for-hire activities, cryptocurrency theft attacks, and other illegal operations. The list of devices commonly targeted by the botnet includes Linksys and Cisco router models, including: - Linksys E1200, E2500, E1000, E4200, E1500, E300, E3200, E1550 - Linksys WRT320N, WRT310N, WRT610N - Cisco M10 and Cradlepoint E100 "The botnet controllers require cryptocurrency for payment. Users are allowed to connect directly with proxies using no authentication, which, as documented in previous cases, can lead to a broad spectrum of malicious actors gaining free access," Black Lotus Labs said. "Given the source range, only around 10% are detected as malicious in popular tools such as VirusTotal, meaning they consistently avoid network monitoring tools with a high degree of success. Proxies such as this are designed to help conceal a range of illicit pursuits including ad fraud, DDoS attacks, brute forcing, or exploiting victim's data."

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