Digital business models Archives | Page 388 of 569

NatWest hit by 100 million cyber attacks every month

NatWest is defending itself against an average of 100 million cyber attacks each month, according to the bank’s head of cybersecurity.

Speaking to Holyrood’s Criminal Justice Committee, Chris Ulliott outlined the ‘staggering’ scale of digital threats targeting the bank’s systems. Around a third of all incoming emails are blocked before reaching staff, as they are suspected to be the start of an attack.

Instead of relying on basic filters, NatWest analyses every email for malicious content and has a cybersecurity team of hundreds, supported by a multi-million-pound budget.

Mr Ulliott also warned of the growing use of AI by cyber criminals to make scams more convincing—such as altering their appearance during video calls to build trust with victims.

Police Scotland reported that cybercrime has more than doubled since 2020, with incidents rising from 7,710 to 18,280 in 2024. Officials highlighted the threat posed by groups like Scattered Spider, believed to consist of young hackers sharing techniques online.

MSP Rona Mackay called the figures ‘absolutely staggering,’ while Ben Macpherson said he had even been impersonated by fraudsters.

Law enforcement agencies, including the FBI, are now working together to tackle o n line crime. Meanwhile, Age Scotland warned that many older people lack confidence online, making them especially vulnerable to scams that can lead to financial ruin and emotional distress.

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BlackRock flags quantum computing risk in Bitcoin ETF filing

BlackRock has highlighted quantum computing as a potential risk to Bitcoin’s long-term security in its recent Bitcoin ETF filing. The inclusion marks a rare mention of quantum risk in mainstream finance.

Bitcoin has been trading strongly, recently surpassing $105,000 before a slight pullback to around $103,000.

Quantum computing could theoretically break the cryptography that protects Bitcoin wallets, but experts stress this threat remains decades away. Bitcoin developers have been preparing for quantum resistance with upgrades like Taproot, and emerging cryptographic alternatives are already under testing.

The risk disclosure by BlackRock mainly follows SEC filing requirements rather than signalling imminent danger.

Bitcoin’s price momentum remains robust after breaking key resistance levels near $97,700. However, technical indicators like the RSI suggest the asset is approaching overbought conditions, which might lead to a short-term correction.

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AI hallucination at center of Anthropic copyright lawsuit

Anthropic, the AI company behind the Claude chatbot, has been ordered by a federal judge to respond to allegations that it submitted fabricated material—possibly generated by AI—as part of its defense in an ongoing copyright lawsuit.

The lawsuit, filed in October 2023 by music publishers Universal Music Group, Concord, and ABKCO, accuses Anthropic of unlawfully using lyrics from over 500 songs to train its chatbot. The publishers argue that Claude can produce copyrighted material when prompted, such as lyrics from Don McLean’s American Pie.

During a court hearing on Tuesday in California, the publishers’ attorney claimed that an Anthropic data scientist cited a nonexistent academic article from The American Statistician journal to support the argument that Claude rarely outputs copyrighted lyrics.

One of the article’s alleged authors later confirmed the paper was a ‘complete fabrication.’ The judge is now requiring Anthropic to formally address the incident in court.

The company, founded in 2021, is backed by major investors including Amazon, Google, and Sam Bankman-Fried, the disgraced crypto executive convicted of fraud in 2023.

The case marks a significant test of how AI companies handle copyrighted content, and how courts respond when AI-generated material is used in legal proceedings.

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Netflix’s ad-supported tier hits 94M users with big upgrades on the way

At its May 14 Upfront presentation in New York, Netflix unveiled a major expansion of its advertising strategy, highlighting the growth of its ad-supported tier, which now reaches over 94 million monthly active users globally.

Amy Reinhard, Netflix’ president of advertising, introduced the Netflix Ads Suite, a proprietary advertising platform now live in the US and Canada, with rollout to EMEA next week and all 12 ad-supported markets by June.

‘By controlling our own ad tech, we’ll be able to deliver newer tools, better measurement, and more creative formats,’ said Reinhard.

The Ads Suite offers enhanced data integration, allowing advertisers to match their first-party data with Netflix audiences via LiveRamp or directly. Netflix also announced partnerships with Experian and Acxiom, as well as a ‘clean room’ environment for secure data collaboration.

Netflix is also launching its own first-party measurement tools, beginning with brand lift metrics that link ad exposure to shifts in consumer perception and behaviour.

Reinhard also previewed AI-driven ad formats coming in 2026, including interactive midrolls and pause screens. These new formats will allow for personalised overlays, calls to action, and second screen engagement tailored to individual viewers.

CMO Marian Lee announced new co-branded campaigns with Wendy’s, Cheetos, and Booking.com tied to the return of Wednesday, promising advertisers the same creative treatment Netflix gives its own shows.

‘It’s all about bringing stories to life in ways none of us can do on our own,’ Lee said.

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Seattle startup ElastixAI raises $16 million for AI inference tech

A stealthy new AI startup in Seattle, ElastixAI, has raised $16 million to build technology that aims to reduce the cost and complexity of running large language models.

Rather than focusing on training, the company is developing an AI inference platform to optimise how these models operate, whether on cloud servers or edge devices. The funding round is led by Bellevue-based venture capital firm FUSE, with support from several others.

ElastixAI is led by CEO Mohammad Rastegari, formerly CTO of Xnor, a startup acquired by Apple in 2020. He co-founded the company with Saman Naderiparizi, also ex-Apple and Xnor, and Mahyar Najibi, who worked at both Apple and Waymo.

The team’s background in AI hardware and software gives them a unique edge in addressing challenges at a stage where AI models generate responses from trained data.

Instead of building a one-size-fits-all solution, the startup’s platform is designed for flexibility, allowing customers to fine-tune infrastructure to specific needs. ‘We saw a gap in delivering scalable and low-cost inference,’ said Rastegari.

The company remains in stealth but says its platform could serve both hyperscalers and enterprises looking to integrate AI into everyday operations.

With other players like Nvidia and Fireworks.ai competing in the inference space, ElastixAI may even count some of them as future customers.

Rastegari and Naderiparizi are also affiliate assistant professors at the University of Washington, and their startup reflects Seattle’s growing reputation as a hub for advanced AI development — a trend Apple has helped shape with several acquisitions in the region.

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Russian power firms find new way to spot illegal crypto miners

Russian power engineers have found new ways to spot illegal cr ypto mining farms in areas with power shortages. In Dagestan, Rosseti and its local branch worked with internet providers to cut internet briefly and measure electricity drops.

The operation detected about 900 mining rigs using 3.2 MW—enough energy for 1,500 homes—even though fewer than 900 families live there.

Dagestan leads illegal crypto mining in the North Caucasus. Despite a winter ban until 2031, many miners operate year-round, avoiding proper electricity payments.

Officials estimate that illegal mining has cost the grid $5 million over three years, causing overloads and losses. Authorities want to expand mining bans and introduce harsher penalties, including possible criminal charges.

Some regions with spare power capacity may allow legal mining, but places like Irkutsk have banned it entirely until 2031. Experts say heavier fines and jail terms could be a stronger deterrent than current minor penalties.

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Valve denies Steam data breach

Valve has confirmed that a cache of old Steam two-factor authentication codes and phone numbers, recently circulated by a hacker known as ‘Machine1337’, is indeed real, but insists it did not suffer a data breach.

Instead of pointing to its own systems, Valve explained that the leak involves outdated SMS messages, which are typically sent unencrypted and routed through multiple providers. These codes, once valid for only 15 minutes, were not linked to specific Steam accounts, passwords, or payment information.

The leaked data sparked early speculation that third-party messaging provider Twilio was the source of the breach, especially after their name appeared in the dataset. However, both Valve and Twilio denied any direct involvement, with Valve stating it does not even use Twilio’s services.

The true origin of the breach remains uncertain, and Valve acknowledged that tracing it may be difficult, as SMS messages often pass through several intermediaries before reaching users.

While the leaked information may not immediately endanger Steam accounts, Valve advised users to remain cautious. Phone numbers, when combined with other data, could still be used for phishing attacks.

Instead of relying on SMS for security, users are encouraged to activate the Steam Mobile Authenticator, which offers a more secure alternative for account verification.

Despite the uncertainty surrounding the source of the breach, Valve reassured users there’s no need to change passwords or phone numbers. Still, it urged vigilance, recommending that users routinely review their security settings and remain wary of any unsolicited account notifications.

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Hackers use fake PayPal email to seize bank access

A man from Virginia fell victim to a sophisticated PayPal scam that allowed hackers to gain remote control of his computer and access his bank accounts.

After receiving a fake email about a laptop purchase, he called the number listed in the message, believing it to be legitimate. The person on the other end instructed him to enter a code into his browser, which unknowingly installed a program giving the scammer full access to his system.

Files were scanned, and money was transferred between his accounts—all while he was urged to stay on the line and visit the bank, without informing anyone.

The scam, known as a remote access attack, starts with a convincing email that appears to come from a trusted source. Instead of fixing any problem, the real aim is to deceive victims into granting hackers full control.

Once inside, scammers can steal personal data, access bank accounts, and install malware that remains even after the immediate threat ends. These attacks often unfold in minutes, using fear and urgency to manipulate targets into acting quickly and irrationally.

Quick action helped limit the damage in this case. The victim shut down his computer, contacted his bank and changed his passwords—steps that likely prevented more extensive losses. However, many people aren’t as fortunate.

Experts warn that scammers increasingly rely on psychological tricks instead of just technical ones, isolating their victims and urging secrecy during the attack.

To avoid falling for similar scams, it’s safer to verify emails by using official websites instead of clicking any embedded links or calling suspicious numbers.

Remote control should never be granted to unsolicited support calls, and all devices should have up-to-date antivirus protection and multifactor authentication enabled. Online safety now depends just as much on caution and awareness as it does on technology.

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Kazakhstan plans energy upgrade with crypto mining

Kazakhstan is looking to modernise its energy system through digital mining. The government is also considering broader legalisation of crypto trading beyond its current regulatory zone.

Under a proposed ’70/30′ model, foreign investors would fund upgrades to thermal power plants, with 70% of the new energy routed to the national grid and 30% used by mining operations.

Kanysh Tuleushin, First Vice Minister of Digital Development, said the model mirrors practices in the United States, where miners consume surplus electricity to help stabilise supply.

He also suggested using leftover petroleum gas to power mining farms, cutting waste and boosting income for oil producers. The mining sector has contributed $34.6 million in tax revenue, registering over 415,000 devices and issuing 84 licences.

The government is working on plans to extend crypto trading beyond the Astana International Financial Centre (AIFC), which currently holds exclusive authority. Although trading within the AIFC reached $1.4 billion in 2024, the overall market is much larger and mostly unregulated.

Kazakhstan is additionally expanding the use of the digital tenge to ensure full transparency in public expenditure. The central bank has issued 250 billion digital tenge so far, using unique tags to trace how funds are spent.

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European crypto crime ring dismantled

European authorities have broken up a crypto laundering ring that moved over €21 million for criminal groups tied to China and the Middle East. Dubbed the ‘mafia crypto bank,’ the group used the hawala method and cryptocurrency to obscure illicit fund transfers.

Seventeen suspects were arrested in a Spanish-led operation, with additional arrests in Austria and Belgium. Most of those detained were of Chinese and Syrian origin, allegedly serving clients involved in drug trafficking and migrant smuggling.

Police seized €4.5 million in assets, including digital currencies, cash, vehicles, shotguns, and luxury goods.

The group posed as a remittance business and advertised its services on social media. The crackdown highlights growing concern over crypto’s role in organised crime, with illicit transactions reaching $51.3 billion in 2024.

Crypto crime continues to surge in 2025, with $1.74 billion in losses reported already—exceeding all of last year.

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