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Canvas hack: is it ever a good idea to pay a ransom, and what happens to the data?

Businesses are advised against paying – but many are prepared to deal to protect users’ privacy

After a week of outages, hundreds of millions of students’ data stolen, delayed assignment due dates and school login pages being defaced by hackers, the US tech firm Instructure – which operates the education platform Canvas, used by education providers worldwide – announced it had β€œreached an agreement with the unauthorised actor” behind the ransomware attack.

Experts read the careful language as a sign that a ransom has been paid. The company has not confirmed this.

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Β© Photograph: Boonchai Wedmakawand/Getty Images

Β© Photograph: Boonchai Wedmakawand/Getty Images

Β© Photograph: Boonchai Wedmakawand/Getty Images

Cyberattacks are raising your prices (Lock and Code S07E09)

4 May 2026 at 16:59

This week on the Lock and Code podcast…

Your prices could be going up because of a little something that one group has started calling the β€œcyber tax.”

Not a β€œtax” in any regulatory sense of the word, this newly named β€œcyber tax” is instead a consequence of the growing number of cyberattacks on small businesses. According to the latest research from the Identity Theft Resource Center, 81% of small- and medium-sized businesses suffered a data breach, a security breach, or both, within the past year. And of those businesses, more than 50% of lost more than $250,000.

According to the most recent data from the US Federal Reserve, the median American family has just $8,000 in savings, meaning that a hit of $250,000 could bankrupt a family and turn their lives upside down. But there’s an interesting layer within this dataβ€”the median American family is quite similar to the median American business. In fact, they’re often the exact same person.

The local grocer, the nearby HVAC repair service, the avid cyclist who just opened a bike shop, and the tax professional, and physical therapist helping out neighbors are everyday individuals and family members. They do not have multimillion dollar corporations at their backs, supporting them with legal teams, insurance policies, and dedicated IT support teams.

A loss of $250,000, then, is a potential loss of their business. And to stay afloat, the Identity Theft Resource Center found, for the first time ever, that 38% decided to raise their prices.

β€œIt was near 40% said β€˜We actually had to raise pricesβ€”we had to pass this cost onto our customers,’” said Eva Velasquez, CEO of the Identity Theft Resource Center. β€œWe’re now really seeing the long-term downstream effects of cyberattacks.”

As frustrating as the cyber tax can be, small businesses themselves are also facing a new wave of cyberattacks, from AI-powered phishing emails so convincing that small business owners can’t tell the legitimate from the illegitimate, to deepfake calls that impersonate the CEO of a three-person company, to supply-chain attacks that target small companies as a way to reach bigger ones. Β 

Today, on the Lock and Code podcast with host David Ruiz, we speak with Velasquez about cybercrime’s impact on small businesses, the new threats being deployed because of AI, and what is necessary to protect business owners and their consumers.

β€œGreat businesses with great protocols in place can still have a vulnerability exploited because this is what the cyber bad guys are doing all day long. They only have to be right once, whereas small business owners have to be right 100% of the time.”

Tune in today to listen to the full conversation.

Show notes and credits:

Intro Music: β€œSpellbound” by Kevin MacLeod (incompetech.com)
Licensed under Creative Commons: By Attribution 4.0 License
http://creativecommons.org/licenses/by/4.0/
Outro Music: β€œGood God” by Wowa (unminus.com)


Listen upβ€”Malwarebytes doesn’t just talk cybersecurity, we provide it.

Protect yourself from online attacks that threaten your identity, your files, your system, and your financial well-being with ourΒ exclusive offer for Malwarebytes Premium Security for Lock and Code listeners.

3 easy-to-miss cybersecurity risks for small businesses

3 May 2026 at 12:33

There’s a lot to security that isn’t necessarily β€œcyber.” It’s not all hackers or complex network attacks.

Alongside traditional cyberattacks that deploy malware or exploit known software vulnerabilities, there are also less technicalβ€”yet equally devastatingβ€”forms of theft.

This doesn’t mean that well-known cybersecurity best practices don’t apply. Every small business owner should still use unique passwords for every account, turn on multi-factor authentication, keep their software and operating systems updated, and run always-on cybersecurity software.

But for the everyday small business owner juggling dozens of accounts, networks, devices, and the reams of data being created, stored, and shared across text messages, emails, and online portals, this advice is for you.

For National Small Business Week in the US, here are three ways to protect your business that require little technical prowess.

Don’t use your Social Security Number as your tax ID

In the US, the Internal Revenue Service (IRS) allows small business owners to use their personal Social Security Number (SSN) as the Federal Tax ID. It’s a small grace meant to simplify annual record-keeping for sole proprietors and owner-employees, but for cybercriminals, it’s a basic oversight they’d like every small business to make.

Using your Social Security Number as your Federal Tax ID means putting your Social Security Number in an ever-increasing number of hands. That’s because small business taxes are different from taxes for everyday salaried employees.

Whenever a small business takes on a new client or a contractor who pays for services costing at least $600, that small business has to share and receive what is called a W-9 form. This exact form isn’t filed with the IRS, but it is used to track payments for later filings.

What’s more important, though, is that this form asks for an owner’s name, address, and tax ID number.

This means that as a small business grows, its vulnerability to identity theft increases in tandem. Every W-9 filed that uses an owner’s SSN as their tax ID number is another opportunity for that SSN to be stolen. After just one year of operation, a small business owner’s SSN could end up in the inboxes, filing cabinets, and cloud drives of a dozen different people and companies.

This is exactly what cybercriminals want.

Equipped with a W-9 form about your business, a cybercriminal could impersonate you or your business. They could open a business credit line, file fraudulent returns that claim your small business income, or scam your clients.

How to stay safe:

Apply for a free Employer Identification Number (EIN) at IRS.gov. It’s quick to do and it separates your business tax identity from your personal tax identity. After that, put the EIN on W-9s, 1099s, and all other business paperwork instead of your SSN.

Keep your personal cloud storage personal

The most popular cloud storage for most small business owners is the cloud storage they already haveβ€”their personal Google Drive or iCloud.

Built to make memory archival as easy as possible, these tools can automatically back up and secure nearly every single moment that happens through your device, from the vacation photos you snapped last summer, to your kid’s first steps recorded on video, to the texts you sent, the notes you made, and the calendar appointments you managed.

But this type of automatic archival poses a threat to any non-personal information that you view, send, markup, or sign when using your personal smartphone. Suddenly, and often without thinking about it, your cloud storage has backups of signed contracts, tax returns, client intake forms, invoices, business financial statements, and photos of physical paperwork.

Above, we warned about using your SSN as your tax ID because it creates a risk if anyone in your business network is breached. But storing client information in your personal cloud storage creates a different problem: it puts that risk directly on you.

Compounding the threat here is the fact that many personal cloud storage accounts are shared with family members. More people accessing the same account means more exposure and more chances for mistakes, even if everyone has good intentions.

How to stay safe:

Go through the cloud backup settings on both your phone and your computer and manage what data is being synced. Move sensitive business files to a dedicated business storage account with proper access controls, sharing permissions, and audit logsβ€”something that can tell you who opened a file and when.

If anything business-related has to live in a personal cloud account, give that account a strong, unique password, turn on multi-factor authentication, and don’t share access with anyone who isn’t you.

Protect device and account access in the home

Devices have a funny way of moving around. Your smartphone goes into your spouse’s hands as they override your music choices in the car. Your tablet ends most nights in your kid’s bedroom as they watch TV. And your laptop gets tugged around from couch to counter to kitchen tableβ€”each time fully opened and logged in, a portal to the web.

You trust everyone in your home to act safely online, but the path to online safety is full of mistakes.

A single errant click on a fake ad, a malicious search result, or a disguised download is all it takes to compromise your device today, along with all your small business records.

Aside from the threat of malware, someone using your device could make purchases, accidentally delete files, and overwrite important documents.

Remember, an β€œinsider threat” doesn’t need to be malicious to cause damageβ€”they just need to be inside your network (which in this, is your home).

How to stay safe:

Treat your devices that you use for work as work devices. That means requiring a passcode or password for device entry, along with multi-factor authentication for important business accounts.

Also, to ensure that any wrong click doesn’t lead to a malicious PDF download or a wayward malware installation, use always-on antimalware protection software, like Malwarebytes for Teams.

Secure your success

It’s easy to get overwhelmed with modern cybersecurity advice. Every week there are new vulnerabilities to patch, emerging scams to avoid, and novel viruses and pieces of malware that can seemingly take over your device, your data, and your business.

Thankfully, there are important steps you can take today that don’t require you to fiddle with internal settings or take a class on network engineering. Some of the most effective protections are simple: Limit how widely you share sensitive information, keep business and personal data separate, and control who can access your devices.

For everything else, try Malwarebytes for Teams to receive 24/7, always-on antimalware protection to shut out viruses, block malware attacks, and keep hackers out of your business.

Booking.com warns customers of hack that exposed their data

Undisclosed number of names and contact and reservation details accessed in latest cybercrime attempt

The accommodation reservation website Booking.com has suffered a data breach with β€œunauthorised parties” gaining access to customers’ details.

The platform said it β€œnoticed some suspicious activity involving unauthorised third parties being able to access some of our guests’ booking information”.

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Β© Photograph: CrocusPhotography/Alamy

Β© Photograph: CrocusPhotography/Alamy

Β© Photograph: CrocusPhotography/Alamy

Almost half a million Lloyds customers had personal data exposed in IT glitch

Letter from group published by MPs blames 12 March glitch on software update to its mobile banking apps

Lloyds Banking Group exposed the personal data of nearly 500,000 customers in an IT glitch that left people’s payments, account details and national insurance numbers visible to other users, a committee of MPs has revealed.

A letter from Lloyds, published by MPs on the Treasury select committee on Friday, blamed the glitch on a software defect introduced during an IT update to its Lloyds, Halifax and Bank of Scotland mobile banking apps overnight into 12 March.

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Β© Photograph: David Burton/Alamy

Β© Photograph: David Burton/Alamy

Β© Photograph: David Burton/Alamy

Crossbench MPs pressure Labor over gas export tax – as it happened

This blog is now closed

The pollies have been asked this morning whether people should consider working from home to save fuel, as conflict escalates in the Middle East.

Tehran has said it will β€œirreversibly destroy” essential infrastructure across the Middle East, including vital water systems, if the US follows through on Donald Trump’s threat to β€œobliterate” Iran’s power plants unless the strait of Hormuz is fully opened within two days.

This is like Covid style restrictions I think that are potentially being floated. I would not support that in any way, and I don’t think businesses would do so either …

If people can work from home and they want to and it works for their employers, fine, I think that’s terrific, but it doesn’t help small businesses. It certainly doesn’t help the truckers and the fishers and the farmers and the manufacturers and the miners that are relying on fuel supply.

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Β© Photograph: Mick Tsikas/AAP

Β© Photograph: Mick Tsikas/AAP

Β© Photograph: Mick Tsikas/AAP

How AI Assistants are Moving the Security Goalposts

9 March 2026 at 00:35

AI-based assistants or β€œagents” β€” autonomous programs that have access to the user’s computer, files, online services and can automate virtually any task β€” are growing in popularity with developers and IT workers. But as so many eyebrow-raising headlines over the past few weeks have shown, these powerful and assertive new tools are rapidly shifting the security priorities for organizations, while blurring the lines between data and code, trusted co-worker and insider threat, ninja hacker and novice code jockey.

The new hotness in AI-based assistants β€” OpenClaw (formerly known as ClawdBot and Moltbot) β€” has seen rapid adoption since its release in November 2025. OpenClaw is an open-source autonomous AI agent designed to run locally on your computer and proactively take actions on your behalf without needing to be prompted.

The OpenClaw logo.

If that sounds like a risky proposition or a dare, consider that OpenClaw is most useful when it has complete access to your digital life, where it can then manage your inbox and calendar, execute programs and tools, browse the Internet for information, and integrate with chat apps like Discord, Signal, Teams or WhatsApp.

Other more established AI assistants like Anthropic’s Claude and Microsoft’s Copilot also can do these things, but OpenClaw isn’t just a passive digital butler waiting for commands. Rather, it’s designed to take the initiative on your behalf based on what it knows about your life and its understanding of what you want done.

β€œThe testimonials are remarkable,” the AI security firm Snyk observed. β€œDevelopers building websites from their phones while putting babies to sleep; users running entire companies through a lobster-themed AI; engineers who’ve set up autonomous code loops that fix tests, capture errors through webhooks, and open pull requests, all while they’re away from their desks.”

You can probably already see how this experimental technology could go sideways in a hurry. In late February, Summer Yue, the director of safety and alignment at Meta’s β€œsuperintelligence” lab, recounted on Twitter/X how she was fiddling with OpenClaw when the AI assistant suddenly began mass-deleting messages in her email inbox. The thread included screenshots of Yue frantically pleading with the preoccupied bot via instant message and ordering it to stop.

β€œNothing humbles you like telling your OpenClaw β€˜confirm before acting’ and watching it speedrun deleting your inbox,” Yue said. β€œI couldn’t stop it from my phone. I had to RUN to my Mac mini like I was defusing a bomb.”

Meta’s director of AI safety, recounting on Twitter/X how her OpenClaw installation suddenly began mass-deleting her inbox.

There’s nothing wrong with feeling a little schadenfreude at Yue’s encounter with OpenClaw, which fits Meta’s β€œmove fast and break things” model but hardly inspires confidence in the road ahead. However, the risk that poorly-secured AI assistants pose to organizations is no laughing matter, as recent research shows many users are exposing to the Internet the web-based administrative interface for their OpenClaw installations.

Jamieson O’Reilly is a professional penetration tester and founder of the security firm DVULN. In a recent story posted to Twitter/X, O’Reilly warned that exposing a misconfigured OpenClaw web interface to the Internet allows external parties to read the bot’s complete configuration file, including every credential the agent uses β€” from API keys and bot tokens to OAuth secrets and signing keys.

With that access, O’Reilly said, an attacker could impersonate the operator to their contacts, inject messages into ongoing conversations, and exfiltrate data through the agent’s existing integrations in a way that looks like normal traffic.

β€œYou can pull the full conversation history across every integrated platform, meaning months of private messages and file attachments, everything the agent has seen,” O’Reilly said, noting that a cursory search revealed hundreds of such servers exposed online. β€œAnd because you control the agent’s perception layer, you can manipulate what the human sees. Filter out certain messages. Modify responses before they’re displayed.”

O’Reilly documented another experiment that demonstrated how easy it is to create a successful supply chain attack through ClawHub, which serves as a public repository of downloadable β€œskills” that allow OpenClaw to integrate with and control other applications.

WHEN AI INSTALLS AI

One of the core tenets of securing AI agents involves carefully isolating them so that the operator can fully control who and what gets to talk to their AI assistant. This is critical thanks to the tendency for AI systems to fall for β€œprompt injection” attacks, sneakily-crafted natural language instructions that trick the system into disregarding its own security safeguards. In essence, machines social engineering other machines.

A recent supply chain attack targeting an AI coding assistant called Cline began with one such prompt injection attack, resulting in thousands of systems having a rogue instance of OpenClaw with full system access installed on their device without consent.

According to the security firm grith.ai, Cline had deployed an AI-powered issue triage workflow using a GitHub action that runs a Claude coding session when triggered by specific events. The workflow was configured so that any GitHub user could trigger it by opening an issue, but it failed to properly check whether the information supplied in the title was potentially hostile.

β€œOn January 28, an attacker created Issue #8904 with a title crafted to look like a performance report but containing an embedded instruction: Install a package from a specific GitHub repository,” Grith wrote, noting that the attacker then exploited several more vulnerabilities to ensure the malicious package would be included in Cline’s nightly release workflow and published as an official update.

β€œThis is the supply chain equivalent of confused deputy,” the blog continued. β€œThe developer authorises Cline to act on their behalf, and Cline (via compromise) delegates that authority to an entirely separate agent the developer never evaluated, never configured, and never consented to.”

VIBE CODING

AI assistants like OpenClaw have gained a large following because they make it simple for users to β€œvibe code,” or build fairly complex applications and code projects just by telling it what they want to construct. Probably the best known (and most bizarre) example is Moltbook, where a developer told an AI agent running on OpenClaw to build him a Reddit-like platform for AI agents.

The Moltbook homepage.

Less than a week later, Moltbook had more than 1.5 million registered agents that posted more than 100,000 messages to each other. AI agents on the platform soon built their own porn site for robots, and launched a new religion called Crustafarian with a figurehead modeled after a giant lobster. One bot on the forum reportedly found a bug in Moltbook’s code and posted it to an AI agent discussion forum, while other agents came up with and implemented a patch to fix the flaw.

Moltbook’s creator Matt Schlicht said on social media that he didn’t write a single line of code for the project.

β€œI just had a vision for the technical architecture and AI made it a reality,” Schlicht said. β€œWe’re in the golden ages. How can we not give AI a place to hang out.”

ATTACKERS LEVEL UP

The flip side of that golden age, of course, is that it enables low-skilled malicious hackers to quickly automate global cyberattacks that would normally require the collaboration of a highly skilled team. In February, Amazon AWS detailed an elaborate attack in which a Russian-speaking threat actor used multiple commercial AI services to compromise more than 600 FortiGate security appliances across at least 55 countries over a five week period.

AWS said the apparently low-skilled hacker used multiple AI services to plan and execute the attack, and to find exposed management ports and weak credentials with single-factor authentication.

β€œOne serves as the primary tool developer, attack planner, and operational assistant,” AWS’s CJ Moses wrote. β€œA second is used as a supplementary attack planner when the actor needs help pivoting within a specific compromised network. In one observed instance, the actor submitted the complete internal topology of an active victimβ€”IP addresses, hostnames, confirmed credentials, and identified servicesβ€”and requested a step-by-step plan to compromise additional systems they could not access with their existing tools.”

β€œThis activity is distinguished by the threat actor’s use of multiple commercial GenAI services to implement and scale well-known attack techniques throughout every phase of their operations, despite their limited technical capabilities,” Moses continued. β€œNotably, when this actor encountered hardened environments or more sophisticated defensive measures, they simply moved on to softer targets rather than persisting, underscoring that their advantage lies in AI-augmented efficiency and scale, not in deeper technical skill.”

For attackers, gaining that initial access or foothold into a target network is typically not the difficult part of the intrusion; the tougher bit involves finding ways to move laterally within the victim’s network and plunder important servers and databases. But experts at Orca Security warn that as organizations come to rely more on AI assistants, those agents potentially offer attackers a simpler way to move laterally inside a victim organization’s network post-compromise β€” by manipulating the AI agents that already have trusted access and some degree of autonomy within the victim’s network.

β€œBy injecting prompt injections in overlooked fields that are fetched by AI agents, hackers can trick LLMs, abuse Agentic tools, and carry significant security incidents,” Orca’s Roi Nisimi and Saurav Hiremath wrote. β€œOrganizations should now add a third pillar to their defense strategy: limiting AI fragility, the ability of agentic systems to be influenced, misled, or quietly weaponized across workflows. While AI boosts productivity and efficiency, it also creates one of the largest attack surfaces the internet has ever seen.”

BEWARE THE β€˜LETHAL TRIFECTA’

This gradual dissolution of the traditional boundaries between data and code is one of the more troubling aspects of the AI era, said James Wilson, enterprise technology editor for the security news show Risky Business. Wilson said far too many OpenClaw users are installing the assistant on their personal devices without first placing any security or isolation boundaries around it, such as running it inside of a virtual machine, on an isolated network, with strict firewall rules dictating what kinds of traffic can go in and out.

β€œI’m a relatively highly skilled practitioner in the software and network engineering and computery space,” Wilson said. β€œI know I’m not comfortable using these agents unless I’ve done these things, but I think a lot of people are just spinning this up on their laptop and off it runs.”

One important model for managing risk with AI agents involves a concept dubbed the β€œlethal trifecta” by Simon Willison, co-creator of the Django Web framework. The lethal trifecta holds that if your system has access to private data, exposure to untrusted content, and a way to communicate externally, then it’s vulnerable to private data being stolen.

Image: simonwillison.net.

β€œIf your agent combines these three features, an attacker can easily trick it into accessing your private data and sending it to the attacker,” Willison warned in a frequently cited blog post from June 2025.

As more companies and their employees begin using AI to vibe code software and applications, the volume of machine-generated code is likely to soon overwhelm any manual security reviews. In recognition of this reality, Anthropic recently debuted Claude Code Security, a beta feature that scans codebases for vulnerabilities and suggests targeted software patches for human review.

The U.S. stock market, which is currently heavily weighted toward seven tech giants that are all-in on AI, reacted swiftly to Anthropic’s announcement, wiping roughly $15 billion in market value from major cybersecurity companies in a single day. Laura Ellis, vice president of data and AI at the security firm Rapid7, said the market’s response reflects the growing role of AI in accelerating software development and improving developer productivity.

β€œThe narrative moved quickly: AI is replacing AppSec,” Ellis wrote in a recent blog post. β€œAI is automating vulnerability detection. AI will make legacy security tooling redundant. The reality is more nuanced. Claude Code Security is a legitimate signal that AI is reshaping parts of the security landscape. The question is what parts, and what it means for the rest of the stack.”

DVULN founder O’Reilly said AI assistants are likely to become a common fixture in corporate environments β€” whether or not organizations are prepared to manage the new risks introduced by these tools, he said.

β€œThe robot butlers are useful, they’re not going away and the economics of AI agents make widespread adoption inevitable regardless of the security tradeoffs involved,” O’Reilly wrote. β€œThe question isn’t whether we’ll deploy them – we will – but whether we can adapt our security posture fast enough to survive doing so.”

Real estate agents in Australia using apps that leave millions of lease documents at risk, digital researcher says

Exclusive: β€˜This is a blatant and disturbing disregard for the law and for people’s security,’ digital rights advocate says

Australian platforms used by real estate agents to upload documentation for renters and landlords are leaving people’s personal information exposed in hyperlinks accessible online.

An analysis of seven rent platforms provided to Guardian Australia by a researcher, who wished to remain anonymous, revealed millions of leasing documents could be accessed by threat actors.

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Β© Photograph: Carly Earl/The Guardian

Β© Photograph: Carly Earl/The Guardian

Β© Photograph: Carly Earl/The Guardian

β€˜Mortified’ OBR chair hopes inquiry into budget leak will report next week

Reuters news agency says it obtained document after visiting URL it predicted file would be uploaded to

The chair of the Office for Budget Responsibility has said he felt mortified by the early release of its budget forecasts as the watchdog launched a rapid inquiry into how it had β€œinadvertently made it possible” to see the documents.

Richard Hughes said he had written to the chancellor, Rachel Reeves, and the chair of the Treasury select committee, Meg Hillier, to apologise.

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Β© Photograph: Kirsty O’Connor/Treasury

Β© Photograph: Kirsty O’Connor/Treasury

Β© Photograph: Kirsty O’Connor/Treasury

Capita fined Β£14m for data protection failings in 2023 cyber-attack

Hackers stole personal information of 6.6m people but outsourcing firm did not shut device targeted for 58 hours

The outsourcing company Capita has been fined Β£14m for data protection failings after hackers stole the personal information of 6.6 million people, including staff details and those of its clients’ customers.

John Edwards, the UK information commissioner who levied the fine, said the March 2023 data theft from the group and companies it supported, including 325 pension providers, caused anxiety and stress for those affected.

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© Photograph: Dado Ruvić/Reuters

© Photograph: Dado Ruvić/Reuters

© Photograph: Dado Ruvić/Reuters

Louis Vuitton says UK customer data stolen in cyber-attack

Lead brand of French luxury group LVMH reassures customers financial data such as bank details were not taken

Louis Vuitton has said the data of some UK customers has been stolen, as it became the latest retailer targeted by cyber hackers.

The retailer, the leading brand of the French luxury group LVMH, said an unauthorised third party had accessed its UK operation’s systems and obtained information such as names, contact details and purchase history.

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Β© Photograph: SOPA Images/LightRocket/Getty Images

Β© Photograph: SOPA Images/LightRocket/Getty Images

Β© Photograph: SOPA Images/LightRocket/Getty Images

Ofcom closes technical loophole used by criminals to intercept mobile calls and texts

Regulator acts on leasing of β€˜global title’ numbers after industry efforts to tackle problem were ineffective

The UK communications regulator Ofcom is banning mobile operators from leasing numbers that can be used by criminals to intercept and divert calls and messages, including security codes sent by banks to customers.

Ofcom said it would stop the leasing of β€œglobal titles”, special types of phone numbers used by mobile networks to support services to make sure messages and calls reach the intended recipient.

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Β© Photograph: Andy Rain/EPA

Β© Photograph: Andy Rain/EPA

Β© Photograph: Andy Rain/EPA

How to Get Malicious Macros Past Email Filters

Carrie Roberts // Β  Β  Β  A malicious macro in a Microsoft Word or Excel document is an effective hacking technique. These documents could be delivered in a variety of […]

The post How to Get Malicious Macros Past Email Filters appeared first on Black Hills Information Security, Inc..

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