SmartLoader

The FakeGit campaign leverages over 7,600 malicious GitHub repositories to distribute SmartLoader and StealC malware, primarily through a technique called 'agentbaiting' that targets AI agents and developers. These repositories mimic legitimate AI tools and services, often appearing in public AI registries, and deliver malware via malicious ZIP files disguised as installers. SmartLoader establishes persistence, retrieves C2 addresses via a Polygon smart contract, and downloads further stages from GitHub to deploy the StealC information stealer.

The FakeGit campaign leverages nearly 7,600 malicious GitHub repositories to distribute SmartLoader malware, often disguised as AI skills or Model Context Protocol (MCP) servers. These repositories use convincing READMEs and copied projects to trick both human users and AI agents into downloading malicious ZIP files. The attack chain involves a LuaJIT loader that drops SmartLoader, which then deploys StealC, an information stealer. A novel technique called AgentBaiting enables AI agents to autonomously discover and act on malicious repositories without human intervention, increasing the risk of supply chain compromise.