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Cyber Security
Independent · Digital
Thehackingpost
CybersecurityAI-assisted

Notepad++ Attack Breakdown Reveals Sophisticated Malware and Actionable IoCs

An espionage campaign attributed to the Chinese APT group Lotus Blossom, active since 2009, has been uncovered, revealing a sophisticated compromise of the Notepad++ distribution infrastructure. This breach delivered Chrysalis, a previously undocumented…

An espionage campaign attributed to the Chinese APT group Lotus Blossom, active since 2009, has been uncovered, revealing a sophisticated compromise of the Notepad++ distribution infrastructure. This breach delivered Chrysalis, a previously undocumented custom backdoor with extensive remote access capabilities.

The attack initiated at IP address 95.179.213.0, where the execution of notepad++.exe and GUP.exe preceded the download of a malicious update.exe file. This file, an NSIS installer, deployed a renamed Bitdefender Submission Wizard executable to the hidden %AppData%\Bluetooth directory for DLL sideloading. Upon execution, it loaded a malicious log.dll that decrypted the Chrysalis backdoor using custom algorithms.

Execution diagram of update.exe (Source: Rapid7)

The Chrysalis backdoor is a feature-rich implant with 15 distinct command capabilities. Configuration data encrypted with RC4 key "qwhvb^435h&*7" disclosed the C2 URL https://api.skycloudcenter.com/a/chat/s/70521ddf-a2ef-4adf-9cf0-6d8e24aaa821 , which mimics Deepseek API formatting. The URL resolves to Malaysian IP address 61.4.102.97, and the backdoor communicates using a standard browser user agent.

Spawning interactive reverse shells Remote process execution File read/write operations Complete file transfer protocols Self-removal functionality Drive enumeration

A mutex "Global\Jdhfv_1.0.1" prevents multiple instances, and persistence is established through Windows service creation or registry modifications.

This breach delivered Chrysalis, a previously undocumented custom backdoor with extensive remote access capabilities.
Nathan Cole · Thehackingpost

Chrysalis uses API hashing routines with FNV-1a and MurmurHash finalization, and string obfuscation involves bit rotations and XOR operations. The main module employs a hardcoded XOR key "gQ2JR&9;" applied through XOR, addition, and subtraction operations.

ConsoleApplication2.exe, a loader, exploits Microsoft's undocumented Warbird code protection framework. This involves executing embedded Metasploit block_api shellcode within Microsoft-signed binary memory. The technique downloads Cobalt Strike beacons from api.wiresguard.com/users/system .

Forensic analysis revealed a renamed Tiny-C-Compiler executing malicious C source code from conf.c , with shellcode using rolling XOR decryption before transferring execution to Cobalt Strike HTTPS beacon.

Execution flow followed by conf.c and other loaders (Source: Rapid7)

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Threat intelligence identified four additional loader variants with identical Cobalt Strike configurations, indicating coordinated campaign activity. Attribution to Lotus Blossom is based on shared techniques and infrastructure indicators.

update.exe a511be5164dc1122fb5a7daa3eef9467e43d8458425b15a640235796006590c9 [NSIS.nsi] 8ea8b83645fba6e23d48075a0d3fc73ad2ba515b4536710cda4f1f232718f53e BluetoothService.exe 2da00de67720f5f13b17e9d985fe70f10f153da60c9ab1086fe58f069a156924 log.dll 3bdc4c0637591533f1d4198a72a33426c01f69bd2e15ceee547866f65e26b7ad conf.c f4d829739f2d6ba7e3ede83dad428a0ced1a703ec582fc73a4eee3df3704629a

95.179.213.0 api[.]skycloudcenter[.]com api[.]wiresguard[.]com 61.4.102.97

Based on reporting by GBHackers.

AI transparency. This article was produced with the assistance of artificial intelligence and published under human editorial oversight. AI systems can make mistakes. Read how we use AI (EU AI Act, Art. 50).
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