EU faces new battles over digital rights

EU policy debates intensified after Denmark abandoned plans for mandatory mass scanning in the draft Child Sexual Abuse Regulation. Advocates welcomed the shift yet warned that new age checks and potential app bans still threaten privacy.

France and the UK advanced consultations on good practice guidelines for cyber intrusion firms, seeking more explicit rules for industry responsibility. Civil society groups also marked two years of the Digital Services Act by reflecting on enforcement experience and future challenges.

Campaigners highlighted rising concerns about tech-facilitated gender violence during the 16 Days initiative. The Centre for Democracy and Technology launched fresh resources stressing encryption protection, effective remedies and more decisive action against gendered misinformation.

CDT Europe also criticised the Commission’s digital omnibus package for weakening safeguards under laws, including the AI Act. The group urged firm enforcement of existing frameworks while exploring better redress options for AI-related harms in the EU legislation.

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Australia moves to curb nudify tools after eSafety action

A major provider of three widely used nudify services has cut off Australian access after enforcement action from eSafety.

The company received an official warning in September for allowing its tools to be used to produce AI-generated material that harmed children.

A withdrawal that follows concerns about incidents involving school students and repeated reminders that online services must meet Australia’s mandatory safety standards.

eSafety stated that Australia’s codes and standards are encouraging companies to adopt stronger safeguards.

The Commissioner noted that preventing the misuse of consumer tools remains central to reducing the risk of harm and that more precise boundaries can lower the likelihood of abuse affecting young people.

Attention has also turned to underlying models and the hosting platforms that distribute them.

Hugging Face has updated its terms to require users to take steps to mitigate the risks associated with uploaded models, including preventing misuse for generating harmful content. The company is required to act when reports or internal checks reveal breaches of its policies.

eSafety indicated that failure to comply with industry codes or standards can lead to enforcement measures, including significant financial penalties.

The agency is working with the government on further reforms intended to restrict access to nudify tools and strengthen protections across the technology stack.

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Asahi faces major disruption after cyberattack

Growing concern surrounds Asahi Group after the company acknowledged a possible leak of nearly two million personal records linked to a cyberattack that began in late September.

Company president Atsushi Katsuki apologised publicly and confirmed that operations remain heavily disrupted as logistics teams work towards full recovery by February.

Investigators found that attackers infiltrated network equipment at one of Asahi’s facilities, obtained administrator credentials and accessed servers repeatedly.

Atsushi Katsuki noted that the breach demonstrated significant vulnerabilities, although he stressed that improvements had already been implemented and no ransom had been paid.

Production and shipments across most domestic factories were halted, forcing employees to handle orders manually and slowing the resumption of supply lines.

Competitors Kirin, Suntory and Sapporo have struggled to meet unexpected demand, triggering shipping limits and suspensions on some products across the wider beer industry.

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Malicious Chrome extension siphons SOL from Solana swaps

Security researchers have uncovered a malicious Chrome extension that secretly diverts SOL from users conducting swaps on the Solana blockchain. The extension, called Crypto Copilot, injects an undisclosed transfer into every Raydium transaction, quietly routing funds to a hardcoded attacker wallet.

The tool presents itself as a convenience app that enables Solana swaps directly from X posts, connecting to wallets such as Phantom and Solflare. Behind the interface, the code appends a hidden SystemProgram.transfer instruction to each transaction.

The fee is set at either 0.0013 SOL or 0.05% of the trade amount, whichever is higher, and remains invisible unless the user inspects the complete instruction list.

External services lend the app legitimacy, utilising DexScreener data, Helius RPC calls, and a backend dashboard that provides no actual functionality. Researchers warn that the disposable infrastructure, misspelt domains, and obfuscated code point to clear malicious intent, not an unfinished product.

On-chain analysis indicates limited gains for attackers so far, likely due to the low distribution. The mechanism, however, scales directly with swap volume, placing high-frequency and large-volume traders at the most significant risk.

Security teams are urging users to avoid closed-source trading extensions and to scrutinise Solana transactions before signing.

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EU prepares tougher oversight for crypto operators

EU regulators are preparing for a significant shift in crypto oversight as new rules take effect on 1 January 2026. Crypto providers must report all customer transactions and holdings in a uniform digital format, giving tax authorities broader visibility across the bloc.

The DAC8 framework brings mandatory cross-border data sharing, a centralised operator register and unique ID numbers for each reporting entity. These measures aim to streamline supervision and enhance transparency, even though data on delisted firms must be preserved for up to twelve months.

Privacy concerns are rising as the new rules expand the travel rule for transfers above €1,000 and introduce possible ownership checks on private wallets. Combined with MiCA and upcoming AML rules, regulators gain deeper insight into user behaviour, wallet flows and platform operations.

Plans for ESMA to oversee major exchanges are facing pushback from smaller financial hubs, which are concerned about higher compliance costs and reduced competitiveness. Supporters argue that unified supervision is necessary to prevent regulatory gaps and reinforce market integrity across the EU.

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London councils activate emergency plans after serious cyber attack

The Royal Borough of Kensington and Chelsea has activated emergency response plans after a cyberattack disrupted council systems in west London.

Westminster City Council and Hammersmith and Fulham Council are also affected through joint arrangements, with the National Crime Agency and the National Cyber Security Centre, led by GCHQ, leading the investigation. Staff in some areas have been advised to work from home while parts of the network stay offline as a precaution.

An internal memo shows that sections of the network remain closed and that a full return of affected systems is not expected for several days. Phone lines and online forms may face disruption, although alternative contact numbers are available on the council website.

Cybersecurity specialist Nathan Webb advised residents to be cautious about emails or calls referencing the incident, as attackers frequently exploit public attention surrounding a breach to launch scams.

He added that identifying any external supplier involved is essential so that other clients can secure their own systems. Forescout expert Rik Ferguson said the case demonstrates how shared digital services can allow a breach to spread risk across multiple organisations.

Councils have praised the overnight work by IT teams, but are not disclosing technical details while the investigation continues.

BBC cyber correspondent Joe Tidy said taking servers offline is an extreme step usually used for significant incidents. He pointed to the Co-op case earlier this year, where the company also disconnected systems, but only after hackers had already taken data from 6.5 million people.

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New phishing kit targets Microsoft 365 users

Researchers have uncovered a large phishing operation, known as Quantum Route Redirect (QRR), that creates fake Microsoft 365 login pages across nearly 1,000 domains. The campaign uses convincing email lures, including DocuSign notices and payment alerts, to steal user credentials.

QRR operations have reached 90 countries, with US users hit hardest. Analysts say the platform evades scanners by sending bots to safe pages while directing real individuals to credential-harvesting sites on compromised domains.

The kit emerged shortly after Microsoft disrupted the RaccoonO365 network, which had stolen thousands of accounts. Similar tools, such as VoidProxy and Darcula, have appeared; yet, QRR stands out for its automation and ease of use, which enable rapid, large-scale attacks.

Cybersecurity experts warn that URL scanning alone can no longer stop such operations. Organisations are urged to adopt layered protection, stronger sign-in controls and behavioural monitoring to detect scams that increasingly mimic genuine Microsoft systems.

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Underground AI tools marketed for hacking raise alarms among cybersecurity experts

Cybersecurity researchers say cybercriminals are turning to a growing underground market of customised large language models designed to support low-level hacking tasks.

A new report from Palo Alto Networks’ Unit 42 describes how dark web forums promote jailbroken, open-source and bespoke AI models as hacking assistants or dual-use penetration testing tools, often sold via monthly or annual subscriptions.

Some appear to be repurposed commercial models trained on malware datasets and maintained by active online communities.

These models help users scan for vulnerabilities, write scripts, encrypt or exfiltrate data and generate exploit or phishing code, tasks that can support both attackers and defenders.

Unit 42’s Andy Piazza compared them to earlier dual-use tools, such as Metasploit and Cobalt Strike, which were developed for security testing but are now widely abused by criminal groups. He warned that AI now plays a similar role, lowering the expertise needed to launch attacks.

One example is a new version of WormGPT, a jailbroken LLM that resurfaced on underground forums in September after first appearing in 2023.

The updated ‘WormGPT 4’ is marketed as an unrestricted hacking assistant, with lifetime access reportedly starting at around $220 and an option to buy the complete source code. Researchers say it signals a shift from simple jailbreaks to commercialised, specialised tools that train AI for cybercrime.

Another model, KawaiiGPT, is available for free on GitHub and brands itself as a playful ‘cyber pentesting’ companion while generating malicious content.

Unit 42 calls it an entry-level but effective malicious LLM, with a casual, friendly style that masks its purpose. Around 500 contributors support and update the project, making it easier for non-experts to use.

Piazza noted that internal tests suggest much of the malware generated by these tools remains detectable and less advanced than code seen in some recent AI-assisted campaigns. The wider concern, he said, is that such models make hacking more accessible by translating technical knowledge into simple prompts.

Users no longer need to know jargon like ‘lateral movement’ and can instead ask everyday questions, such as how to find other systems on a network, and receive ready-made scripts.

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Family warns others after crypto scam costs elderly man £3,000

A South Tyneside family has spoken publicly after an elderly man lost almost £3,000 to a highly persuasive cryptocurrency scam, according to a recent BBC report. The scammer contacted the victim repeatedly over several weeks, initially offering help with online banking before shifting to an ‘investment opportunity’.

According to the family, the caller built trust by using personal details, even fabricating a story about ‘free Bitcoin’ awarded to the man years earlier.

Police said the scam fits a growing trend of crypto-related fraud. The victim, under the scammer’s guidance, opened multiple new bank accounts and was eventually directed to transfer nearly £3,000 into a Coinbase-linked crypto wallet.

Attempts by the family to recover the funds were unsuccessful. Coinbase said it advises users to research any investment carefully and provides guidance on recognising scams.

Northumbria Police and national fraud agencies have been alerted. Officers said crypto scams present particular challenges because, unlike traditional banking fraud, the transferred funds are far harder to trace.

Community groups in Sunderland, such as Pallion Action Group, are now running sessions to educate older residents about online threats, noting that rapid changes in technology can make such scams especially daunting for pensioners.

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