Hackers Now Use AI Hallucinations for Fraud

Unit 42, one of the world's leading teams in cyberattack investigations and malware analysis, has released a fascinating study on the so-called Phantom Squatting.

As is known, AI tends to invent non-existent URLs, and some domains are generated more frequently. For example, it might produce name_download.com instead of the correct https://name.com.

Attackers have realized that these fictitious addresses can be registered and used for phishing. This is similar to typosquatting, where hackers exploited human errors by registering sites like https://goggle.com.

Moreover, there's no need to lure users; the AI does that for the hackers.

And if you think this is an isolated case, think again: researchers have already identified over 13,000 existing malicious URLs that utilize this principle. There are also about 250,000 unregistered domains that models regularly invent. A true find for fraudsters of all kinds.