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November 25, 2024

Why Artificial Intelligence is the Future of Cybersecurity

This blog explores the impact of AI on the threat landscape, the benefits of AI in cybersecurity, and the role it plays in enhancing security practices and tools.
Inside the SOC
Darktrace cyber analysts are world-class experts in threat intelligence, threat hunting and incident response, and provide 24/7 SOC support to thousands of Darktrace customers around the globe. Inside the SOC is exclusively authored by these experts, providing analysis of cyber incidents and threat trends, based on real-world experience in the field.
Written by
Brittany Woodsmall
Product Marketing Manager, AI
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25
Nov 2024

Introduction: AI & Cybersecurity

In the wake of artificial intelligence (AI) becoming more commonplace, it’s no surprise to see that threat actors are also adopting the use of AI in their attacks at an accelerated pace. AI enables augmentation of complex tasks such as spear-phishing, deep fakes, polymorphic malware generation, and advanced persistent threat (APT) campaigns, which significantly enhances the sophistication and scale of their operations. This has put security professionals in a reactive state, struggling to keep pace with the proliferation of threats.

As AI reshapes the future of cyber threats, defenders are also looking to integrate AI technologies into their security stack. Adopting AI-powered solutions in cybersecurity enables security teams to detect and respond to these advanced threats more quickly and accurately as well as automate traditionally manual and routine tasks. According to research done by Darktrace in the 2024 State of AI Cybersecurity Report improving threat detection, identifying exploitable vulnerabilities, and automating low level security tasks were the top three ways practitioners saw AI enhancing their security team’s capabilities [1], underscoring the wide-ranging capabilities of AI in cyber.  

In this blog, we will discuss how AI has impacted the threat landscape, the rise of generative AI and AI adoption in security tools, and the importance of using multiple types of AI in cybersecurity solutions for a holistic and proactive approach to keeping your organization safe.  

The impact of AI on the threat landscape

The integration of AI and cybersecurity has brought about significant advancements across industries. However, it also introduces new security risks that challenge traditional defenses.  Three major concerns with the misuse of AI being leveraged by adversaries are: (1) the increase of novel social engineering attacks that are harder to detect and able to bypass traditional security tools,  (2) the ease of access for less experienced threat actors to now deliver advanced attacks at speed and scale and (3) the attacking of AI itself, to include machine learning models, data corpuses and APIs or interfaces.

In the context of social engineering, AI can be used to create more convincing phishing emails, conduct advanced reconnaissance, and simulate human-like interactions to deceive victims more effectively. Generative AI tools, such as ChatGPT, are already being used by adversaries to craft these sophisticated phishing emails, which can more aptly mimic human semantics without spelling or grammatical error and include personal information pulled from internet sources such as social media profiles. And this can all be done at machine speed and scale. In fact, Darktrace researchers observed a 135% rise in ‘novel social engineering attacks’ across Darktrace / EMAIL customers in 2023, corresponding to the widespread adoption and use of ChatGPT [2].  

Furthermore, these sophisticated social engineering attacks are now able to circumvent traditional security tools. In between December 21, 2023, and July 5, 2024, Darktrace / EMAIL detected 17.8 million phishing emails across the fleet, with 62% of these phishing emails successfully bypassing Domain-based Message Authentication, Reporting, and Conformance (DMARC) verification checks [2].  

And while the proliferation of novel attacks fueled by AI is persisting, AI also lowers the barrier to entry for threat actors. Publicly available AI tools make it easy for adversaries to automate complex tasks that previously required advanced technical skills. Additionally, AI-driven platforms and phishing kits available on the dark web provide ready-made solutions, enabling even novice attackers to execute effective cyber campaigns with minimal effort.

The impact of adversarial use of AI on the ever-evolving threat landscape is important for organizations to understand as it fundamentally changes the way we must approach cybersecurity. However, while the intersection of cybersecurity and AI can have potentially negative implications, it is important to recognize that AI can also be used to help protect us.

A generation of generative AI in cybersecurity

When the topic of AI in cybersecurity comes up, it’s typically in reference to generative AI, which became popularized in 2023. While it does not solely encapsulate what AI cybersecurity is or what AI can do in this space, it’s important to understand what generative AI is and how it can be implemented to help organizations get ahead of today’s threats.  

Generative AI (e.g., ChatGPT or Microsoft Copilot) is a type of AI that creates new or original content. It has the capability to generate images, videos, or text based on information it learns from large datasets. These systems use advanced algorithms and deep learning techniques to understand patterns and structures within the data they are trained on, enabling them to generate outputs that are coherent, contextually relevant, and often indistinguishable from human-created content.

For security professionals, generative AI offers some valuable applications. Primarily, it’s used to transform complex security data into clear and concise summaries. By analyzing vast amounts of security logs, alerts, and technical data, it can contextualize critical information quickly and present findings in natural, comprehensible language. This makes it easier for security teams to understand critical information quickly and improves communication with non-technical stakeholders. Generative AI can also automate the creation of realistic simulations for training purposes, helping security teams prepare for various cyberattack scenarios and improve their response strategies.  

Despite its advantages, generative AI also has limitations that organizations must consider. One challenge is the potential for generating false positives, where benign activities are mistakenly flagged as threats, which can overwhelm security teams with unnecessary alerts. Moreover, implementing generative AI requires significant computational resources and expertise, which may be a barrier for some organizations. It can also be susceptible to prompt injection attacks and there are risks with intellectual property or sensitive data being leaked when using publicly available generative AI tools.  In fact, according to the MIT AI Risk Registry, there are potentially over 700 risks that need to be mitigated with the use of generative AI.

Generative AI impact on cyber attacks screenshot data sheet

For more information on generative AI's impact on the cyber threat landscape download the Darktrace Data Sheet

Beyond the Generative AI Glass Ceiling

Generative AI has a place in cybersecurity, but security professionals are starting to recognize that it’s not the only AI organizations should be using in their security tool kit. In fact, according to Darktrace’s State of AI Cybersecurity Report, “86% of survey participants believe generative AI alone is NOT enough to stop zero-day threats.” As we look toward the future of AI in cybersecurity, it’s critical to understand that different types of AI have different strengths and use cases and choosing the technologies based on your organization’s specific needs is paramount.

There are a few types of AI used in cybersecurity that serve different functions. These include:

Supervised Machine Learning: Widely used in cybersecurity due to its ability to learn from labeled datasets. These datasets include historical threat intelligence and known attack patterns, allowing the model to recognize and predict similar threats in the future. For example, supervised machine learning can be applied to email filtering systems to identify and block phishing attempts by learning from past phishing emails. This is human-led training facilitating automation based on known information.  

Large Language Models (LLMs): Deep learning models trained on extensive datasets to understand and generate human-like text. LLMs can analyze vast amounts of text data, such as security logs, incident reports, and threat intelligence feeds, to identify patterns and anomalies that may indicate a cyber threat. They can also generate detailed and coherent reports on security incidents, summarizing complex data into understandable formats.

Natural Language Processing (NLP): Involves the application of computational techniques to process and understand human language. In cybersecurity, NLP can be used to analyze and interpret text-based data, such as emails, chat logs, and social media posts, to identify potential threats. For instance, NLP can help detect phishing attempts by analyzing the language used in emails for signs of deception.

Unsupervised Machine Learning: Continuously learns from raw, unstructured data without predefined labels. It is particularly useful in identifying new and unknown threats by detecting anomalies that deviate from normal behavior. In cybersecurity, unsupervised learning can be applied to network traffic analysis to identify unusual patterns that may indicate a cyberattack. It can also be used in endpoint detection and response (EDR) systems to uncover previously unknown malware by recognizing deviations from typical system behavior.

Types of AI in cybersecurity
Figure 1: Types of AI in cybersecurity

Employing multiple types of AI in cybersecurity is essential for creating a layered and adaptive defense strategy. Each type of AI, from supervised and unsupervised machine learning to large language models (LLMs) and natural language processing (NLP), brings distinct capabilities that address different aspects of cyber threats. Supervised learning excels at recognizing known threats, while unsupervised learning uncovers new anomalies. LLMs and NLP enhance the analysis of textual data for threat detection and response and aid in understanding and mitigating social engineering attacks. By integrating these diverse AI technologies, organizations can achieve a more holistic and resilient cybersecurity framework, capable of adapting to the ever-evolving threat landscape.

A Multi-Layered AI Approach with Darktrace

AI-powered security solutions are emerging as a crucial line of defense against an AI-powered threat landscape. In fact, “Most security stakeholders (71%) are confident that AI-powered security solutions will be better able to block AI-powered threats than traditional tools.” And 96% agree that AI-powered solutions will level up their organization’s defenses.  As organizations look to adopt these tools for cybersecurity, it’s imperative to understand how to evaluate AI vendors to find the right products as well as build trust with these AI-powered solutions.  

Darktrace, a leader in AI cybersecurity since 2013, emphasizes interpretability, explainability, and user control, ensuring that our AI is understandable, customizable and transparent. Darktrace’s approach to cyber defense is rooted in the belief that the right type of AI must be applied to the right use cases. Central to this approach is Self-Learning AI, which is crucial for identifying novel cyber threats that most other tools miss. This is complemented by various AI methods, including LLMs, generative AI, and supervised machine learning, to support the Self-Learning AI.  

Darktrace focuses on where AI can best augment the people in a security team and where it can be used responsibly to have the most positive impact on their work. With a combination of these AI techniques, applied to the right use cases, Darktrace enables organizations to tailor their AI defenses to unique risks, providing extended visibility across their entire digital estates with the Darktrace ActiveAI Security Platform™.

Credit to: Ed Metcalf, Senior Director Product Marketing, AI & Innovations - Nicole Carignan VP of Strategic Cyber AI for their contribution to this blog.

CISOs guide to buying AI white paper cover

To learn more about Darktrace and AI in cybersecurity download the CISO’s Guide to Cyber AI here.

Download the white paper to learn how buyers should approach purchasing AI-based solutions. It includes:

  • Key steps for selecting AI cybersecurity tools
  • Questions to ask and responses to expect from vendors
  • Understand tools available and find the right fit
  • Ensure AI investments align with security goals and needs
Inside the SOC
Darktrace cyber analysts are world-class experts in threat intelligence, threat hunting and incident response, and provide 24/7 SOC support to thousands of Darktrace customers around the globe. Inside the SOC is exclusively authored by these experts, providing analysis of cyber incidents and threat trends, based on real-world experience in the field.
Written by
Brittany Woodsmall
Product Marketing Manager, AI

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February 1, 2026

ClearFake: From Fake CAPTCHAs to Blockchain-Driven Payload Retrieval

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What is ClearFake?

As threat actors evolve their techniques to exploit victims and breach target networks, the ClearFake campaign has emerged as a significant illustration of this continued adaptation. ClearFake is a campaign observed using a malicious JavaScript framework deployed on compromised websites, impacting sectors such as e‑commerce, travel, and automotive. First identified in mid‑2023, ClearFake is frequently leveraged to socially engineer victims into installing fake web browser updates.

In ClearFake compromises, victims are steered toward compromised WordPress sites, often positioned by attackers through search engine optimization (SEO) poisoning. Once on the site, users are presented with a fake CAPTCHA. This counterfeit challenge is designed to appear legitimate while enabling the execution of malicious code. When a victim interacts with the CAPTCHA, a PowerShell command containing a download string is retrieved and executed.

Attackers commonly abuse the legitimate Microsoft HTML Application Host (MSHTA) in these operations. Recent campaigns have also incorporated Smart Chain endpoints, such as “bsc-dataseed.binance[.]org,” to obtain configuration code. The primary payload delivered through ClearFake is typically an information stealer, such as Lumma Stealer, enabling credential theft, data exfiltration, and persistent access [1].

Darktrace’s Coverage of ClearFake

Darktrace / ENDPOINT first detected activity likely associated with ClearFake on a single device on over the course of one day on November 18, 2025. The system observed the execution of “mshta.exe,” the legitimate Microsoft HTML Application Host utility. It also noted a repeated process command referencing “weiss.neighb0rrol1[.]ru”, indicating suspicious external activity. Subsequent analysis of this endpoint using open‑source intelligence (OSINT) indicated that it was a malicious, domain generation algorithm (DGA) endpoint [2].

The process line referencing weiss.neighb0rrol1[.]ru, as observed by Darktrace / ENDPOINT.
Figure 1: The process line referencing weiss.neighb0rrol1[.]ru, as observed by Darktrace / ENDPOINT.

This activity indicates that mshta.exe was used to contact a remote server, “weiss.neighb0rrol1[.]ru/rpxacc64mshta,” and execute the associated HTA file to initiate the next stage of the attack. OSINT sources have since heavily flagged this server as potentially malicious [3].

The first argument in this process uses the MSHTA utility to execute the HTA file hosted on the remote server. If successful, MSHTA would then run JavaScript or VBScript to launch PowerShell commands used to retrieve malicious payloads, a technique observed in previous ClearFake campaigns. Darktrace also detected unusual activity involving additional Microsoft executables, including “winlogon.exe,” “userinit.exe,” and “explorer.exe.” Although these binaries are legitimate components of the Windows operating system, threat actors can abuse their normal behavior within the Windows login sequence to gain control over user sessions, similar to the misuse of mshta.exe.

EtherHiding cover

Darktrace also identified additional ClearFake‑related activity, specifically a connection to bsc-testnet.drpc[.]org, a legitimate BNB Smart Chain endpoint. This activity was triggered by injected JavaScript on the compromised site www.allstarsuae[.]com, where the script initiated an eth_call POST request to the Smart Chain endpoint.

Example of a fake CAPTCHA on the compromised site www.allstarsuae[.]com.
Figure 2: Example of a fake CAPTCHA on the compromised site www.allstarsuae[.]com.

EtherHiding is a technique in which threat actors leverage blockchain technology, specifically smart contracts, as part of their malicious infrastructure. Because blockchain is anonymous, decentralized, and highly persistent, it provides threat actors with advantages in evading defensive measures and traditional tracking [4].

In this case, when a user visits a compromised WordPress site, injected base64‑encoded JavaScript retrieved an ABI string, which was then used to load and execute a contract hosted on the BNB Smart Chain.

JavaScript hosted on the compromised site www.allstaruae[.]com.
Figure 3: JavaScript hosted on the compromised site www.allstaruae[.]com.

Conducting malware analysis on this instance, the Base64 decoded into a JavaScript loader. A POST request to bsc-testnet.drpc[.]org was then used to retrieve a hex‑encoded ABI string that loads and executes the contract. The JavaScript also contained hex and Base64‑encoded functions that decoded into additional JavaScript, which attempted to retrieve a payload hosted on GitHub at “github[.]com/PrivateC0de/obf/main/payload.txt.” However, this payload was unavailable at the time of analysis.

Darktrace’s detection of the POST request to bsc-testnet.drpc[.]org.
Figure 4: Darktrace’s detection of the POST request to bsc-testnet.drpc[.]org.
Figure 5: Darktrace’s detection of the executable file and the malicious hostname.

Autonomous Response

As Darktrace’s Autonomous Response capability was enabled on this customer’s network, Darktrace was able to take swift mitigative action to contain the ClearFake‑related activity early, before it could lead to potential payload delivery. The affected device was blocked from making external connections to a number of suspicious endpoints, including 188.114.96[.]6, *.neighb0rrol1[.]ru, and neighb0rrol1[.]ru, ensuring that no further malicious connections could be made and no payloads could be retrieved.

Autonomous Response also acted to prevent the executable mshta.exe from initiating HTA file execution over HTTPS from this endpoint by blocking the attempted connections. Had these files executed successfully, the attack would likely have resulted in the retrieval of an information stealer, such as Lumma Stealer.

Autonomous Response’s intervention against the suspicious connectivity observed.
Figure 6: Autonomous Response’s intervention against the suspicious connectivity observed.

Conclusion

ClearFake continues to be observed across multiple sectors, but Darktrace remains well‑positioned to counter such threats. Because ClearFake’s end goal is often to deliver malware such as information stealers and malware loaders, early disruption is critical to preventing compromise. Users should remain aware of this activity and vigilant regarding fake CAPTCHA pop‑ups. They should also monitor unusual usage of MSHTA and outbound connections to domains that mimic formats such as “bsc-dataseed.binance[.]org” [1].

In this case, Darktrace was able to contain the attack before it could successfully escalate and execute. The attempted execution of HTA files was detected early, allowing Autonomous Response to intervene, stopping the activity from progressing. As soon as the device began communicating with weiss.neighb0rrol1[.]ru, an Autonomous Response inhibitor triggered and interrupted the connections.

As ClearFake continues to rise, users should stay alert to social engineering techniques, including ClickFix, that rely on deceptive security prompts.

Credit to Vivek Rajan (Senior Cyber Analyst) and Tara Gould (Malware Research Lead)

Edited by Ryan Traill (Analyst Content Lead)

Appendices

Darktrace Model Detections

Process / New Executable Launched

Endpoint / Anomalous Use of Scripting Process

Endpoint / New Suspicious Executable Launched

Endpoint / Process Connection::Unusual Connection from New Process

Autonomous Response Models

Antigena / Network::Significant Anomaly::Antigena Significant Anomaly from Client Block

List of Indicators of Compromise (IoCs)

  • weiss.neighb0rrol1[.]ru – URL - Malicious Domain
  • 188.114.96[.]6 – IP – Suspicious Domain
  • *.neighb0rrol1[.]ru – URL – Malicious Domain

MITRE Tactics

Initial Access, Drive-by Compromise, T1189

User Execution, Execution, T1204

Software Deployment Tools, Execution and Lateral Movement, T1072

Command and Scripting Interpreter, T1059

System Binary Proxy Execution: MSHTA, T1218.005

References

1.        https://www.kroll.com/en/publications/cyber/rapid-evolution-of-clearfake-delivery

2.        https://www.virustotal.com/gui/domain/weiss.neighb0rrol1.ru

3.        https://www.virustotal.com/gui/file/1f1aabe87e5e93a8fff769bf3614dd559c51c80fc045e11868f3843d9a004d1e/community

4.        https://www.packetlabs.net/posts/etherhiding-a-new-tactic-for-hiding-malware-on-the-blockchain/

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Vivek Rajan
Cyber Analyst

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January 30, 2026

The State of Cybersecurity in the Finance Sector: Six Trends to Watch

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The evolving cybersecurity threat landscape in finance

The financial sector, encompassing commercial banks, credit unions, financial services providers, and cryptocurrency platforms, faces an increasingly complex and aggressive cyber threat landscape. The financial sector’s reliance on digital infrastructure and its role in managing high-value transactions make it a prime target for both financially motivated and state-sponsored threat actors.

Darktrace’s latest threat research, The State of Cybersecurity in the Finance Sector, draws on a combination of Darktrace telemetry data from real-world customer environments, open-source intelligence, and direct interviews with financial-sector CISOs to provide perspective on how attacks are unfolding and how defenders in the sector need to adapt.  

Six cybersecurity trends in the finance sector for 2026

1. Credential-driven attacks are surging

Phishing continues to be a leading initial access vector for attacks targeting confidentiality. Financial institutions are frequently targeted with phishing emails designed to harvest login credentials. Techniques including Adversary-in-The-Middle (AiTM) to bypass Multi-factor Authentication (MFA) and QR code phishing (“quishing”) are surging and are capable of fooling even trained users. In the first half of 2025, Darktrace observed 2.4 million phishing emails within financial sector customer deployments, with almost 30% targeted towards VIP users.  

2. Data Loss Prevention is an increasing challenge

Compliance issues – particularly data loss prevention -- remain a persistent risk. In October 2025 alone, Darktrace observed over 214,000 emails across financial sector customers that contained unfamiliar attachments and were sent to suspected personal email addresses highlighting clear concerns around data loss prevention. Across the same set of customers within the same time frame, more than 351,000 emails containing unfamiliar attachments were sent to freemail addresses (e.g. gmail, yahoo, icloud), highlighting clear concerns around DLP.  

Confidentiality remains a primary concern for financial institutions as attackers increasingly target sensitive customer data, financial records, and internal communications.  

3. Ransomware is evolving toward data theft and extortion

Ransomware is no longer just about locking systems, it’s about stealing data first and encrypting second. Groups such as Cl0p and RansomHub now prioritize exploiting trusted file-transfer platforms to exfiltrate sensitive data before encryption, maximizing regulatory and reputational fallout for victims.  

Darktrace’s threat research identified routine scanning and malicious activity targeting internet-facing file-transfer systems used heavily by financial institutions. In one notable case involving Fortra GoAnywhere MFT, Darktrace detected malicious exploitation behavior six days before the CVE was publicly disclosed, demonstrating how attackers often operate ahead of patch cycles

This evolution underscores a critical reality: by the time a vulnerability is disclosed publicly, it may already be actively exploited.

4. Attackers are exploiting edge devices, often pre-disclosure.  

VPNs, firewalls, and remote access gateways have become high-value targets, and attackers are increasingly exploiting them before vulnerabilities are publicly disclosed. Darktrace observed pre-CVE exploitation activity affecting edge technologies including Citrix, Palo Alto, and Ivanti, enabling session hijacking, credential harvesting, and privileged lateral movement into core banking systems.  

Once compromised, these edge devices allow adversaries to blend into trusted network traffic, bypassing traditional perimeter defenses. CISOs interviewed for the report repeatedly described VPN infrastructure as a “concentrated focal point” for attackers, especially when patching and segmentation lag behind operational demands.

5. DPRK-linked activity is growing across crypto and fintech.  

State-sponsored activity, particularly from DPRK-linked groups affiliated with Lazarus, continues to intensify across cryptocurrency and fintech organizations. Darktrace identified coordinated campaigns leveraging malicious npm packages, previously undocumented BeaverTail and InvisibleFerret malware, and exploitation of React2Shell (CVE-2025-55182) for credential theft and persistent backdoor access.  

Targeting was observed across the United Kingdom, Spain, Portugal, Sweden, Chile, Nigeria, Kenya, and Qatar, highlighting the global scope of these operations.  

6. Cloud complexity and AI governance gaps are now systemic risks.  

Finally, CISOs consistently pointed to cloud complexity, insider risk from new hires, and ungoverned AI usage exposing sensitive data as systemic challenges. Leaders emphasized difficulty maintaining visibility across multi-cloud environments while managing sensitive data exposure through emerging AI tools.  

Rapid AI adoption without clear guardrails has introduced new confidentiality and compliance risks, turning governance into a board-level concern rather than a purely technical one.

Building cyber resilience in a shifting threat landscape

The financial sector remains a prime target for both financially motivated and state-sponsored adversaries. What this research makes clear is that yesterday’s security assumptions no longer hold. Identity attacks, pre-disclosure exploitation, and data-first ransomware require adaptive, behavior-based defenses that can detect threats as they emerge, often ahead of public disclosure.

As financial institutions continue to digitize, resilience will depend on visibility across identity, edge, cloud, and data, combined with AI-driven defense that learns at machine speed.  

Learn more about the threats facing the finance sector, and what your organization can do to keep up in The State of Cybersecurity in the Finance Sector report here.  

Acknowledgements:

The State of Cybersecurity in the Finance sector report was authored by Calum Hall, Hugh Turnbull, Parvatha Ananthakannan, Tiana Kelly, and Vivek Rajan, with contributions from Emma Foulger, Nicole Wong, Ryan Traill, Tara Gould, and the Darktrace Threat Research and Incident Management teams.

[related-resource]  

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Nathaniel Jones
VP, Security & AI Strategy, Field CISO
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