The founder of cryptocurrency firm MyTrade, Liu Zhou, pleaded guilty in Boston federal court on Wednesday to charges of market manipulation and wire fraud. Zhou, who described himself as the ‘mastermind’ behind the company, entered the plea just weeks after being indicted along with 14 others as part of a groundbreaking FBI investigation dubbed ‘Operation Token Mirrors.’ This operation was notable for involving the creation of a digital token by the FBI itself to uncover fraud in the crypto sector.
Prosecutors revealed that MyTrade was one of three market makers involved in providing illicit trading services to cryptocurrency firms. During the investigation, Zhou agreed to manipulate the market for a token backed by the FBI, known as NexFundAI, which operates on the Ethereum blockchain. As part of a plea agreement, Zhou faces a maximum prison sentence of 1.5 years and must refrain from appealing if sentenced within that timeframe. Additionally, MyTrade must stop facilitating fraudulent trades that had previously manipulated the trading volumes of about 60 cryptocurrencies.
Zhou founded MyTrade in 2021, a British Virgin Islands-registered company that offered services like ‘volume support,’ where automated bots were used to inflate trading volumes. Prosecutors characterised this practice as ‘wash trading,’ which artificially boosts an asset’s trading activity. Zhou’s discussions with NexFundAI promoters included plans for market manipulation and ‘pump and dump’ schemes. Following a meeting on 23 September, Zhou quickly agreed to plead guilty after the FBI approached him. Four others involved in the investigation have also pleaded guilty.
The US Federal Communications Commission (FCC) is set to review its oversight of global undersea communications cables, marking the first major revision of its rules since 2001. Undersea cables, which carry over 95% of the world’s internet traffic, are seen as increasingly vulnerable to cyber threats and foreign interference, particularly from China and Russia. On 21 November, FCC Chair Jessica Rosenworcel plans to address how the commission’s regulations could adapt to the evolving economic and security challenges facing these crucial cables.
A bipartisan group of senators recently urged the Biden administration to prioritise securing the United States’ undersea infrastructure, highlighting concerns about possible sabotage and the growing involvement of Chinese firms in cable laying and maintenance. Washington has already restricted China from participating in key subsea cable contracts, citing espionage risks, and prevented direct connections between US territory and mainland China or Hong Kong.
In recent years, the US has blocked or canceled multiple subsea cable projects linked to China, emphasising the need to protect internet traffic from potential rerouting and mismanagement. The upcoming FCC review underscores the agency’s commitment to ensuring the resilience of global data flows, with potential policy shifts expected to impact both domestic and international internet security.
Colt Technology Services and Rivada Space Networks collaborate to develop a next-generation connectivity network that leverages innovative satellite technology, specifically utilising a unique global data constellation of 600 low Earth orbit (LEO) satellites. The partnership aims to enhance Colt’s digital infrastructure capabilities by delivering ultra-secure and low-latency connectivity, which combines the high speed of fibre optics with the expansive reach of satellite technology.
Notably, with the first satellite launch planned for 2025 and services expected to commence in 2026, the collaboration effectively addresses the pressing needs of enterprises that require rapid and secure data transfer. Furthermore, Rivada’s ‘Outernet’ allows data to remain in space from origin to destination, resulting in a satellite network with global pole-to-pole coverage and lower latency than traditional terrestrial fibre.
The physically separate network routing enhances security and provides organisations with greater protection when sharing sensitive information, particularly in industries such as banking and finance. In addition to these advancements, Colt Technology Services will join Rivada’s Customer Advisory Board and participate in a series of technical workshops.
These initiatives will facilitate knowledge exchange and strengthen collaboration around the Outernet’s capabilities. Through this strategic alliance, Colt and Rivada aim to revolutionise the connectivity landscape by providing robust, secure, and scalable solutions that meet customers’ evolving needs worldwide.
Canada’s signals intelligence agency has identified China’s hacking activities as the most significant state-sponsored cyber threat facing the country, according to a new threat assessment. The Communications Security Establishment (CSE) highlighted China’s advanced and aggressive cyber campaigns, describing them as highly sophisticated and primarily targeting political and commercial objectives, including espionage, intellectual property theft, and influence operations. This announcement comes amid strained relations between Ottawa and Beijing, fueled by past allegations of Chinese interference in Canada’s electoral process.
The CSE report also noted that Russia’s cyber operations are active in attempts to destabilise Canada and its allies, while Iran poses an additional cyber threat. These findings underscore the ongoing cyber challenges Canada faces from multiple state actors seeking influence and intelligence. The Chinese embassy in Ottawa has not yet commented on the CSE report, and Beijing has historically rejected similar accusations.
Canadian authorities have grown increasingly vocal about foreign interference, with Prime Minister Justin Trudeau previously accusing China of election meddling. Security experts warn that Canada will need to strengthen defenses as geopolitical tensions continue to heighten cyber risks.
Clacton County High School in Essex, UK, has issued a warning to parents about a WhatsApp group called ‘Add Everyone,’ which reportedly exposes children to explicit and inappropriate material. In a Facebook post, the school advised parents to ensure their children avoid joining the group, urging them to block and report it if necessary. The warning comes amid rising concern about online safety for young people, though the school noted it had no reports of its students joining the group.
Parents have reacted strongly to the warning, with many sharing experiences of their children being added to groups containing inappropriate content. One parent described it as ‘absolutely disgusting’ and ‘scary’ that young users could be added so easily, while others expressed relief that their children left the group immediately. A similar alert was issued by Clacton Coastal Academy, which posted on social media about explicit content circulating in WhatsApp groups, though it clarified that no students at their academy had reported it.
UK, Essex Police are also investigating reports from the region about unsolicited and potentially illegal content being shared via WhatsApp. Police emphasised that, while WhatsApp can be useful for staying connected, it can also be a channel for unsolicited and abusive material. The police have encouraged parents and students to use online reporting tools to report harmful content and reminded parents to discuss online safety measures with their children.
The US Department of Energy (DOE) and the US Department of Commerce (DOC) have joined forces to promote the safe, secure, and trustworthy development of AI through a newly established Memorandum of Understanding (MOU). That collaboration, part of the Biden-Harris Administration’s whole-of-government approach, unites the DOE’s technical resources with the regulatory expertise of the National Institute of Standards and Technology (NIST), where the US AI Safety Institute (US AISI) is a central agency for AI safety initiatives.
The partnership aims to address critical areas such as public safety, national security, and infrastructure protection by evaluating AI models for potential chemical and biological risks and advancing privacy safeguards for personal and commercial data. With the DOE’s National Laboratories supporting the US AISI, this agreement strengthens the federal government’s commitment to responsible AI practices.
Additionally, the partnership highlights AI safety as crucial for innovation, especially in research and clean energy. Given AI’s potential, robust testing standards are essential to ensure security and public trust. Through this MOU, the DOE and DOC establish a foundation for secure AI, emphasising governance as vital to the nation’s tech and security strategy.
The Cybersecurity and Infrastructure Security Agency (CISA) has announced its first International Strategic Plan for 2025-2026, underscoring a robust commitment to securing US critical infrastructure (CI) through global partnerships. Building on its previous 2023-2025 Strategic Plan, this new approach aligns with the National Security Memorandum on Critical Infrastructure Security and Resilience, highlighting the essential role of international cooperation in protecting interconnected cyber and physical systems.
To achieve its mission, CISA has outlined three primary goals for international engagement:
Bolster the Resilience of Foreign Infrastructure on Which the US Depends: Collaborating with foreign partners, CISA aims to fortify international infrastructure, mitigating risks that could disrupt critical US operations.
Strengthen Integrated Cyber Defense: By sharing expertise, resources, and best practices, CISA and its allies can build a unified defence, equipping nations to address emerging threats to critical infrastructure better.
Unify Agency Coordination of International Activities: The agency’s “One CISA” approach seeks to streamline efforts and maximise the impact of global partnerships, reducing redundancy and fostering cohesive international collaboration.
China-linked hackers have reportedly breached telecommunications systems, targeting members of former President Donald Trump’s family and officials from the Biden administration, according to the New York Times. Individuals affected include Trump’s son Eric Trump, son-in-law Jared Kushner, and Senate Majority Leader Chuck Schumer.
Concerns surrounding this hacking group, known as “Salt Typhoon,” have intensified following media reports of their activities. Earlier this month, the Wall Street Journal reported that the group accessed broadband providers’ networks and gathered data from systems used by the federal government for court-authorised wiretapping.
No response was received from the State Department or Trump family representatives regarding Reuters’ requests for comments. The White House, National Security Agency, and Cybersecurity and Infrastructure Security Agency also did not reply immediately. Similarly, the Chinese Embassy in Washington did not respond, though Beijing usually denies involvement in cyberespionage activities.
JP Morgan Chase has initiated lawsuits against customers accused of exploiting a glitch to withdraw large sums from its ATMs. The viral ‘infinite money glitch’ trend on TikTok involved users writing large cheques to themselves, depositing them, and withdrawing the money before the cheques were returned as invalid.
The lawsuits target two individuals and two businesses, demanding the return of funds with interest, reimbursement of overdraft fees, and coverage of legal expenses. In a court filing, JP Morgan revealed that one incident involved a $335,000 cheque deposited on 29 August, with over $290,000 still owed after the cheque was deemed counterfeit.
Bank officials stressed their commitment to fraud prevention, describing bank fraud as a serious crime in court documents. The total amount linked to the defendants in the lawsuits exceeds $660,000. Typically, banks permit customers to withdraw only part of a cheque’s value until it clears.
The Wall Street Journal recently reported that the bank closed the loophole shortly after the glitch went viral. An ongoing investigation by JP Morgan is reviewing thousands of potential fraud cases tied to the incident.
China’s Ministry of State Security announced the discovery of foreign spying devices in its waters, including underwater ‘lighthouses’ that could potentially guide foreign submarines. The ministry revealed on its official WeChat account that it had retrieved several types of devices hidden on the ocean floor, gathering real-time data from within China’s claimed territorial waters.
This revelation comes amid rising tensions in the South China Sea, where China and the Philippines dispute territory, increasing the risk of a broader confrontation potentially involving the US. China’s recent military drills around Taiwan have also heightened concerns, as the US and Taiwan have condemned Beijing’s actions.
China claims nearly all of the South China Sea, overlapping areas claimed by other Southeast Asian nations, and has maintained it will not renounce using force over Taiwan. A new phase in the submarine arms race between China and the US and its allies is underway, with Beijing projected to field nuclear-armed submarines by the decade’s end. The ministry affirmed its commitment to defending China’s maritime sovereignty and addressing threats of foreign espionage in its waters.
