Flows into Iranian crypto trading platforms have fallen in 2025 due to a breakdown in nuclear negotiations with Israel, a $90 million hack on Iran’s largest crypto exchange, and a major stablecoin blacklisting, says blockchain analytics firm TRM Labs.

Iranian crypto flows hit $3.7 billion between January and July, an 11% decrease compared to the same period last year, with the worst drop off coming in June and July, TRM Labs said in a report on Tuesday.

“This downturn coincided with a breakdown in nuclear negotiations, a 12-day conflict with Israel beginning June 13, and widespread power outages in Iran — driven by a combination of Israeli kinetic and cyber operations, as well as regime-initiated shutdowns.”

Iran’s crypto flows started to sharply drop in June, just after the $90 million hack on Nobitex, which handles 87% of the country’s crypto transactions. 

Many Iranians rely on US dollar stablecoins as a store of value amid skyrocketing inflation and to skirt tough sanctions on the country, which has largely cut it off from the global economy.

Nobitex hack big contributor to Iran’s crypto shake-up

Confidence in Iran-based virtual asset service providers (VASPs) deteriorated following Nobitex’s security breach, which came at the hands of pro-Israel group Predatory Sparrow on June 18 — when tensions between Iran and Israel were at their peak.

While Nobitex continues to dominate Iran crypto transaction volume, the incident disrupted liquidity, slowed transaction processing and temporarily pushed users toward alternative platforms, TRM said.

Heightened Iran-Israel tensions further amplified the outflows, which surged more than 150% in the worst week and a large percentage of that volume headed to high-risk foreign exchanges with little to no Know Your Customer checks, TRM said.

Tether’s blacklisting slowed flows

Stablecoin issuer Tether also carried out its largest-ever freeze of Iranian-linked funds, blacklisting 42 crypto addresses with Tether (USDT) balances on July 2.

The incident sparked a coordinated push from Iranian exchanges, influencers and state-backed channels for users to offload their TRON-based USDT balances — Iran’s most widely used network and token — and move funds into Dai (DAI) on Polygon.

Related: UAE reportedly holds $700M in mined Bitcoin: Arkham

Many everyday Iranians continue to turn to crypto as a hedge against inflation, TRM said, highlighting Iran’s strong reliance on stablecoins.

Iran continues to use crypto for political objectives

Iran is still relying on crypto to pay for sensitive goods from Chinese chip resellers, including hardware critical for artificial intelligence, drone components, and other electrical equipment — enabling it to effectively bypass sanctions, TRM noted.

It has also used crypto to fund espionage payments with foreign operatives, the crypto analytics firm added.

However, illicit crypto transactions in Iran still only account for less than 1% of total volume.

Magazine: Bitcoin is ‘funny internet money’ during a crisis: Tezos co-founder

]]> https://earlybirdsinvest.com/iranian-crypto-flows-fall-11-on-israel-conflict-nobitex-hack-trm-labs/feed/ 0 55297 https://earlybirdsinvest.com/murky-panda-hackers-exploit-cloud-trust-to-hack-downstream-customers/ https://earlybirdsinvest.com/murky-panda-hackers-exploit-cloud-trust-to-hack-downstream-customers/#respond Sat, 23 Aug 2025 03:02:33 +0000 https://earlybirdsinvest.com/murky-panda-hackers-exploit-cloud-trust-to-hack-downstream-customers/

A Chinese state-sponsored hacking group known as Murky Panda (Silk Typhoon) exploits trusted relationships in cloud environments to gain initial access to the networks and data of downstream customers.

Murky Panda, also known as Silk Typhoon (Microsoft) and Hafnium, is known for targeting government, technology, academic, legal, and professional services organizations in North America.

The hacking group, under its numerous names, has been linked to numerous cyberespionage campaigns, including the wave of Microsoft Exchange breaches in 2021 that utilized the ProxyLogon vulnerability. More recent attacks, include those on the U.S. Treasury’s Office of Foreign Assets Control (OFAC) and the Committee on Foreign Investment.

In March, Microsoft reported that Silk Typhoon had begun targeting remote management tools and cloud services in supply chain attacks to gain access to downstream customers’ networks.

Exploiting trusted cloud relationships

Murky Panda commonly gains initial access to corporate networks by exploiting internet-exposed devices and services, such as the CVE-2023-3519 flaw in Citrix NetScaler devices, ProxyLogin in Microsoft Exchange, and CVE-2025-0282 in Ivanti Pulse Connect VPN.

However, a new report by CrowdStrike demonstrates how the threat actors are also known to compromise cloud service providers to abuse the trust these companies have with their customers.

Because cloud providers are sometimes granted built-in administrative access to customer environments, attackers who compromise them can abuse this trust to pivot directly into downstream networks and data.

In one case, the hackers exploited zero-day vulnerabilities to break into a SaaS provider’s cloud environment. They then gained access to the provider’s application registration secret in Entra ID, which allowed them to authenticate as a service and log into downstream customer environments. Using this access, they were able to read customers’ emails and steal sensitive data.

In another attack, Murky Panda compromised a Microsoft cloud solution provider with delegated administrative privileges (DAP). By compromising an account in the Admin Agent group, the attackers gained Global Administrator rights across all downstream tenants. They then created backdoor accounts in customer environments and escalated privileges, enabling persistence and the ability to access email and application data.

CrowdStrike highlights that breaches via trusted-relationships are rare, they are less monitored than more common vectors such as credential theft. By exploiting these trust models, Murky Panda can more easily blend in with legitimate traffic and activity to maintain stealthy access for long periods.

In addition to their cloud-focused intrusions, Murky Panda also uses a variety of tools and custom malware to maintain access and evade detection.

The attackers commonly deploy the Neo-reGeorg open-source web shell and the China Chopper web shells, both widely associated with Chinese espionage actors, to establish persistence on compromised servers.

The group also has access to a custom Linux-based remote access trojan (RAT) called CloudedHope, which allows them to take control of infected devices and spread further in the network. 

Murky Panda also demonstrates strong operational security (OPSEC), including modifying timestamps and deleting logs to hinder forensic analysis.

The group is also known to use compromised small office and home office (SOHO) devices as proxy servers, allowing them to conduct attacks as if they were within a targeted country’s infrastructure. This allows their malicious traffic to blend in with normal traffic and evade detection.

Significant espionage threat

CrowdStrike warns that Murky Panda/Silk Typhoon is a sophisticated adversary with advanced skills and the ability to rapidly weaponize both zero-day and n-day vulnerabilities.

Their abuse of trusted cloud relationships poses a significant risk to organizations that utilize SaaS and cloud providers.

To defend against Murky Panda attacks, CrowdStrike recommends that organizations monitor for unusual Entra ID service principal sign-ins, enforce multi-factor authentication for cloud provider accounts, monitor Entra ID logs, and patch cloud-facing infrastructure promptly.

“MURKY PANDA poses a significant threat to government, technology, legal, and professional services entities in North America and to their suppliers with access to sensitive information,” concludes CrowdStrike.

“Organizations that rely heavily on cloud environments are innately vulnerable to trusted-relationship compromises in the cloud. China-nexus adversaries such as MURKY PANDA continue to leverage sophisticated tradecraft to facilitate their espionage operations, targeting numerous sectors globally.”

If you’re an uber-nerd like me, you’ve probably been following the exploits of my colleague and fellow uber-nerd Séamus as he attempts to raise his PlayStation Vita from the dead through modern science. I know I certainly have. I’ve put two PS Vitas through the same softmodding transformation myself — one for fun, one out of shame when the first one’s screen broke — and have become an absolute ride or die for this little powerhouse of a handheld in the process. I couldn’t just not chime in!

In that sense, it’s been nothing short of exhilarating watching Séamus go through it for the first time, not quite sure of what he’s doing but nonetheless cognizant of the vast world of possibility that awaits him. His last post touched on the ability to toss out Sony’s extortionate proprietary memory cards and play PSP games on the Vita, but I have a few tips for him — and you, if his journey inspires to dust off your own ancient Vita. Think of this more as a companion piece to his series than a replacement for it.

For instance, Vita and PSP games are nice, but did you know you can also play the complete library of PS1 games? Adrenaline, the emulator you use to play PSP games on a hacked Vita, also supports the PSP’s compatibility with the PS1 library. Silent Hill, Resident Evil, Metal Gear Solid, you name it and you can play it on Vita. As long as you own the games legally, of course, wink wink nudge nudge.

Speaking of Adrenaline, you’re going to want to get the Adrenaline Bubble Manager app. This lets you create shortcuts to your PSP and PS1 games you can access directly from the Vita’s home menu instead of having to open up the emulator and scroll through the PSP’s giant single-file games list every time.

The fun doesn’t stop there, though. To this day, there’s a dedicated community of Vita homebrewers porting games from other systems over. Perfect Dark? Easy. Hollow Knight? No sweat. Cuphead? Seems downright painful on the Vita’s controls, but knock yourself out. The standout for me is the PS2 GTA trilogy, which I’m honestly amazed never received an official port to the Vita in the first place. Of course, you’ll need to provide the game data yourself from a legal copy on another platform.

Finally, language barriers are no longer a barrier on the Vita. Basically every good Japan-only game has gotten a fan translation, allowing you to enjoy the actual best of the Vita without learning kanji. For instance, did you know that there are two whole Yakuza games on the PSP you’ve never heard of? What about Catherine: Full Body, a remaster of a cult classic that only got a Vita release in Japan? With the masterful English patch applied, I’d call it the greatest game on the whole platform. (Although MGS2 is also on there, so it’s dicey.)

And, of course, there’s an app that lets you… reacquire backups of your completely legally purchased games if you happen to lose them. It’s all completely self-contained to your Vita, downloading the games directly to your system like you’re using the actual PlayStation Store. No, I’m not naming it here. I can feel the Sony ninjas lurking.

If any of this sounds appealing to you, check out this easy-to-follow guide to get started — all you need to begin is a Vita and a computer. Good luck, Séamus!

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Elon Musk is raising new questions about Bitcoin’s long-term safety in the face of rapid advances in quantum computing. The Tesla and SpaceX CEO turned to his AI chatbot, Grok, to find out how likely it is that Bitcoin’s SHA-256 hashing algorithm could be cracked by powerful quantum machines.

His question came just as IBM revealed major plans for its next-generation quantum system called Blue Jay, which is expected to reach 2,000 global qubits by 2033.

Grok Predicts Low Risk, At Least For Now

According to Grok, the risk of Bitcoin’s encryption getting cracked by quantum computers is very low over the next five years. The AI estimates the chance remains close to zero during that period.

But when looking out to 2035, the probability goes up slightly—though it still stays under 10%. These numbers are based on expert assessments and current quantum capabilities.

Based on 2025 assessments from NIST, IBM, and expert surveys, the probability of quantum computing cracking SHA-256 (via Grover’s algorithm, reducing preimage search to ~2^128 operations) is near 0% in the next 5 years and <10% by 2035. It requires millions of error-corrected…

— Grok (@grok) August 2, 2025

Musk’s concerns are not coming out of nowhere. Companies like Google and Microsoft are developing their own quantum platforms—Willow and Majorana 1—which have sparked debate over whether cryptocurrencies like Bitcoin could one day be vulnerable to attacks from these ultra-powerful systems.

Right now, most quantum systems only have around 1,000 qubits. That’s far below the millions of error-corrected qubits scientists believe are necessary to break Bitcoin’s cryptographic defenses.

Grok added that stronger algorithms like SHA-3 or SHA-512 could be used as replacements if needed in the future.

Quantum Computers Vs. Blockchain

Meanwhile, according to a recent analysis by global auditing firm Deloitte, quantum computers could soon threaten the security of the Bitcoin blockchain, with around 25% of Bitcoins currently at risk of being stolen through quantum attacks.

Eventually, quantum computers might become powerful enough to break the entire transaction process, the analysts said. To prevent this, the Bitcoin network would need to adopt post-quantum cryptography—an emerging but complex solution currently being explored by cryptographers worldwide.

Image: The Quantum Insider

IBM’s Blue Jay Adds Pressure

IBM’s new system, Blue Jay, will have more than a billion gate operations—something much beyond the capabilities of today’s computers.

It’s part of the company’s larger effort to be at the forefront of quantum computing by the early 2030s. With other industry giants such as Google and Microsoft not far behind, the competition is heating up.

Tesla And SpaceX Both Hold Bitcoin

Musk’s curiosity isn’t just academic. Tesla currently owns 11,500 Bitcoins, worth about $1.3 billion at current prices. SpaceX also holds a sizable amount, reportedly around $850 million worth of BTC. Musk himself has confirmed that he holds Bitcoin in his personal portfolio.

With the extent of those holdings, it is no wonder that Musk would like to get ahead of potential threats. His tweet is seemingly relaxed, but it indicates increased awareness in the tech world about how quantum advances might affect the world of crypto and finance.

Featured image from ABB, chart from TradingView

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No, when transferring or selling Bitcoin, you do not need to pay any additional fees in advance first.

Being asked to pay with extra money for any kind of fee is the trick of a confident trickster (conmen, con artist, con artist)

A regular Bitcoin transaction deducts a small amount of Bitcoin from the balance Transaction fee (Not a transfer fee) But this is not an extra thing you pay. Currently, transaction fees are very high at around $30 per transaction (it was under $1 a year ago). Actual fees vary depending on the complexity of the transaction and the speed at which the transaction is processed. You should not make any further payments and will need to automatically deduct any additional amounts from your Bitcoin balance. This is transaction It’s not a price transfer commission. Regular Bitcoin transactions do not have transfer fees or transfer codes.

When dealing with any business, there is no surprise fee. You should be able to find business conditions on their webpage Without talking to anyone in the business. The fees that come as a surprise are signs of a possible scam.