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China's vast cyber trafficking network dupes Americans using fake shops

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China's vast cyber trafficking network dupes Americans using fake shops

A Chinese network running countless fake online shops has scammed over 800,000 people in the U.S. and Europe, according to The Guardian. 

These shops dupe people into sharing card details and other sensitive personal data by touting to offer discounted goods from Dior, Nike, Lacoste, Hugo Boss, Versace, and Prada, as well as many other premium brands.

A woman shopping online (Kurt “CyberGuy” Knutsson)

How this online scam works

The Chinese network has more than 22,500 fake online shops that are live, according to an international investigation by The Guardian, Die Zeit, and Le Monde. These online shops lure people into giving away their credit card and debit card details, names, phone numbers, email and postal addresses by claiming to offer designer brands at a discount.

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There are two levels of this scam. In the first level, fake payment gateways trick people into entering their credit card information, but they don’t charge them. This lets the scammers steal card details without taking money. In the second level, the criminals set up fake online stores or other platforms where they actually take money from people.

The Chinese network uses expired domains to host its fake shops, which helps them avoid detection by websites or brand owners. The network is reported to have a database of 2.7 million of these orphaned domains and runs tests to check which ones are best to use.

To date, approximately 800,000 people, primarily in the U.S. and Europe, have shared their email addresses, with 476,000 of them also providing their debit and credit card details, including the three-digit security numbers. The first fake shops in this network were established in 2015. Since then, the group may have attempted to steal up to approximately $54.2 million.

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Man shopping online (Kurt “CyberGuy” Knutsson)

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What did affected people say

Many people thought these fake online shops were legit and placed orders, thinking they were getting a great deal. Melanie Brown from Shropshire, England, told The Guardian she was looking for a new handbag and found a leather bag from her favorite German designer, Rundholz, at 50% off on one of these fake online shops. Tempted by the deal, she added it to her cart, along with other designer clothes from Magnolia Pearl, totaling £1,200, which is the equivalent of approximately $1,529for 15 items. However, Brown never received the items.

The Guardian interviewed 19 people from the U.S. and the U.K., revealing these websites were not designed to sell counterfeit goods. Most received nothing, while a few got incorrect items. One German shopper paid for a blazer but got cheap sunglasses. A British customer received a fake Cartier ring instead of a shirt, and another got a non-branded blue jumper instead of the Paul Smith one they ordered.

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What does this online scam mean for your privacy and security

The fake online shop scam doesn’t immediately cause monetary harm to you. As The Guardian reports, “many who tried to shop never lost money. Either their bank blocked the payment or the fake shop itself did not process it.”

However, in all cases, these scammers obtained your data, including your address and card details. This data can be used in many ways. The scammers can use it to steal more money than you’d spend on the online shop. They can impersonate your bank or someone you know to trick you into giving them money. Additionally, they can sell this data to dark web criminals or companies for marketing purposes.

A man working on his laptop (Kurt “CyberGuy” Knutsson)

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7 proactive measures to take to protect your data

Online shopping scams can affect anyone and everyone. Here are seven steps you should take to protect your money and your personal data:

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1. Invest in personal data removal services: If you ever got scammed through these fake online shops, your data is probably out there online. Personal data removal services can help by scouring the many people search and data broker websites for your data and requesting its removal.

While no service promises to remove all your data from the internet, having a removal service is great if you want to constantly monitor and automate the process of removing your information from hundreds of sites continuously over a longer period of time. Check out my top picks for personal data removal services here. 

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2. Avoid tech support phone scams: Since the hackers have your name and contact number, they may try to get in touch with you, posing as an employee of a popular tech company. They might say they’re from Apple, Microsoft, Amazon or any other big company. Always verify if the tech support person you’re talking to actually works for the company.

3. Be cautious when shopping online: Only shop on reputable, well-known websites that you trust. Be wary of unfamiliar online stores offering steep discounts on luxury brands. Check the website’s URL and security credentials (look for https:// and a lock icon) before entering payment information. Use credit cards rather than debit cards for online purchases, as credit cards offer better fraud protection.

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4. Be wary of mailbox communications: Scammers may also try to scam you through the mail. The fake online shops have access to your address. They may impersonate people or brands you know and use themes that require urgent attention, such as missed deliveries, account suspensions and security alerts.

5. Monitor your accounts and transactions: You should regularly check your online accounts and transactions for suspicious or unauthorized activity. If you notice anything unusual, report it to the service provider or the authorities as soon as possible.

6. Use identity theft protection: Identity theft protection companies can track personal information like your home title, Social Security number, phone number and email address and notify you if it’s used to open an account. They can also assist you in freezing your bank and credit card accounts to prevent further unauthorized use by criminals. See my tips and best picks on how to protect yourself from identity theft.

7. Secure your devices and accounts: Use strong, unique passwords for all your online accounts and enable two-factor authentication whenever possible. Keep your devices updated with the latest security patches and use strong antivirus software. 

The best way to protect yourself from clicking malicious links that install malware that may get access to your private information is to have antivirus protection installed on all your devices. This can also alert you of any phishing emails or ransomware scams. Get my picks for the best 2024 antivirus protection winners for your Windows, Mac, Android & iOS devices.

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Kurt’s key takeaways

Online scams are a growing problem, and you must stay vigilant. Scammers are trying their best to access your data to sell it to companies or other scammers. Tech giants need to implement more stringent measures to protect you from being scammed. Also, when shopping online, make sure you buy from trusted vendors and double-check before entering any personal information. In addition, be sure to follow the seven steps we outlined above to protect your money and your personal data. You’ll be glad you did.

Do you think online shopping is unsafe? Have you started buying stuff offline due to concerns about privacy and security? Let us know by writing us at Cyberguy.com/Contact

For more of my tech tips and security alerts, subscribe to my free CyberGuy Report Newsletter by heading to Cyberguy.com/Newsletter

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Technology

What Trump’s ‘ratepayer protection pledge’ means for you

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What Trump’s ‘ratepayer protection pledge’ means for you

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When you open a chatbot, stream a show or back up photos to the cloud, you are tapping into a vast network of data centers. These facilities power artificial intelligence, search engines and online services we use every day. Now there is a growing debate over who should pay for the electricity those data centers consume.

During President Trump’s State of the Union address this week, he introduced a new initiative called the “ratepayer protection pledge” to shift AI-driven electricity costs away from consumers. The core idea is simple. 

Tech companies that run energy-intensive AI data centers should cover the cost of the extra electricity they require rather than passing those costs on to everyday customers through higher utility rates.

It sounds simple. The hard part is what happens next.

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At the State of the Union address Feb. 24, 2026, President Trump unveiled the “ratepayer protection pledge” aimed at shielding consumers from rising electricity costs tied to AI data centers. (Nathan Posner/Anadolu via Getty Images)

Why AI is driving a surge in electricity demand

AI systems require enormous computing power. That computing power requires enormous electricity. Today’s data centers can consume as much power as a small city. As AI tools expand across business, healthcare, finance and consumer apps, energy demand has risen sharply in certain regions.

Utilities have warned that the current grid in many parts of the country was not built for this level of concentrated demand. Upgrading substations, transmission lines and generation capacity costs money. Traditionally, those costs can influence rates paid by homes and small businesses. That is where the pledge comes in.

What the ratepayer protection pledge is designed to do

Under the ratepayer protection pledge, large technology companies would:

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  • Cover the full cost of additional electricity tied to their data centers
  • Build their own on-site power generation to reduce strain on the public grid

Supporters say this approach separates residential energy costs from large-scale AI expansion. In other words, your household bill should not rise simply because a new AI data center opens nearby. So far, Anthropic is the clearest public backer. CyberGuy reached out to Anthropic for a comment on its role in the pledge. A company spokesperson referred us to a tweet from Anthropic Head of External Affairs Sarah Heck.

“American families shouldn’t pick up the tab for AI,” Heck wrote in a post on X. “In support of the White House ratepayer protection pledge, Anthropic has committed to covering 100% of electricity price increases that consumers face from our data centers.”

That makes Anthropic one of the first major AI companies to publicly state it will absorb consumer electricity price increases tied to its data center operations. Other major firms may be close behind. The White House reportedly plans to host Microsoft, Meta and Anthropic in early March to discuss formalizing a broader deal, though attendance and final terms have not been confirmed publicly.

Microsoft also expressed support for the initiative. 

“The ratepayer protection pledge is an important step,” Brad Smith, Microsoft vice chair and president, said in a statement to CyberGuy. “We appreciate the administration’s work to ensure that data centers don’t contribute to higher electricity prices for consumers.”  

Industry groups also point to companies such as Google and utilities including Duke Energy and Georgia Power as making consumer-focused commitments tied to data center growth. However, enforcement mechanisms and long-term regulatory details remain unclear.

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The White House plans talks with Microsoft, Meta and Anthropic about shifting AI energy costs away from consumers. (Eli Hiller/For The Washington Post via Getty Images)

How this could change the economics of AI

AI infrastructure is already one of the most expensive technology buildouts in history. Companies are investing billions in chips, servers and real estate. If firms must also finance dedicated power plants or pay premium rates for grid upgrades, the cost of running AI systems increases further. That could lead to:

  • Slower expansion in some markets
  • Greater investment in renewable energy and storage
  • More partnerships between tech firms and utilities

Energy strategy may become just as important as computing strategy. For consumers, this shift signals that electricity is now a central part of the AI conversation. AI is no longer only about software. It is also about infrastructure.

The bigger consumer tech picture

AI is becoming embedded in smartphones, search engines, office software and home devices. As adoption grows, so does the hidden infrastructure supporting it. Energy is now part of the conversation around everyday technology. Every AI-generated image, voice command or cloud backup depends on a power-hungry network of servers.

By asking companies to account more directly for their electricity use, policymakers are acknowledging a new reality. The digital world runs on very physical resources. For you, that shift could mean more transparency. It also raises new questions about sustainability, local impact and long-term costs.

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As AI expansion strains the grid, a new proposal would require tech firms to fund their own power needs. (Sameer Al-Doumy/AFP via Getty Images)

What this means for you

If you are a homeowner or renter, the practical question is simple. Will this protect my electric bill? In theory, separating data center energy costs from residential rates could reduce the risk of price spikes tied to AI growth. If companies fund their own generation or grid upgrades, utilities may have less reason to spread those costs among all customers.

That said, utility pricing is complex. It depends on state regulators, long-term planning and local energy markets.

Here is what you can watch for in your area:

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  • New data center construction announcements
  • Utility filings that mention large commercial load growth
  • Public service commission decisions on rate adjustments

Even if you rarely use AI tools, your community could feel the effects of a nearby data center. The pledge is intended to keep those large-scale power demands from showing up in your monthly bill.

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Kurt’s key takeaways

The ratepayer protection pledge highlights an important turning point. AI is no longer only about innovation and speed. It is also about energy and accountability. If tech companies truly absorb the cost of their expanding power needs, households may avoid some of the financial strain tied to rapid AI growth. If not, utility bills could become an unexpected front line in the AI era.

As AI tools become part of daily life, how much extra power are you willing to support to keep them running? Let us know by writing to us at Cyberguy.com.

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Here’s your first look at Kratos in Amazon’s God of War show

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Here’s your first look at Kratos in Amazon’s God of War show

Amazon has slowly been teasing out casting details for its live-action adaptation of God of War, and now we have our first look at the show. It’s a single image but a notable one showing protagonist Kratos and his son Atreus. The characters are played by Ryan Hurst and Callum Vinson, respectively, and they look relatively close to their video game counterparts.

There aren’t a lot of other details about the show just yet, but this is Amazon’s official description:

The God of War series storyline follows father and son Kratos and Atreus as they embark on a journey to spread the ashes of their wife and mother, Faye. Through their adventures, Kratos tries to teach his son to be a better god, while Atreus tries to teach his father how to be a better human.

That sounds a lot like the recent soft reboot of the franchise, which started with 2018’s God of War and continued through Ragnarök in 2022. For the Amazon series, Ronald D. Moore, best-known for his work on For All Mankind and Battlestar Galactica, will serve as showrunner. The rest of the cast includes: Mandy Patinkin (Odin), Ed Skrein (Baldur), Max Parker (Heimdall), Ólafur Darri Ólafsson (Thor), Teresa Palmer (Sif), Alastair Duncan (Mimir), Jeff Gulka (Sindri), and Danny Woodburn (Brok).

While production is underway on the God of War series, there’s no word on when it might start streaming.

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300,000 Chrome users hit by fake AI extensions

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300,000 Chrome users hit by fake AI extensions

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Your web browser may feel like a safe place, especially when you install helpful tools that promise to make your life easier. But security researchers have uncovered a dangerous campaign in which more than 300,000 people installed Chrome extensions pretending to be artificial intelligence (AI) assistants. Instead of helping, these fake tools secretly collect sensitive information like your emails, passwords and browsing activity.

They used familiar names like ChatGPT, Gemini and AI Assistant. If you use Chrome and have installed any AI-related extension, your personal information may already be exposed. Even worse, some of these malicious extensions are still available today, putting more people at risk without their knowing.

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More than 300,000 Chrome users installed fake AI extensions that secretly harvested sensitive data. (Kurt “CyberGuy” Knutsson)

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What you need to know about fake AI extensions

Security researchers at browser security company LayerX discovered a large campaign involving 30 malicious Chrome extensions disguised as AI-powered assistants (via BleepingComputer). Together, these extensions were installed more than 300,000 times by unsuspecting users.

Some of the most popular extensions included names like AI Sidebar with 70,000 users, AI Assistant with 60,000 users, ChatGPT Translate with 30,000 users, and Google Gemini with 10,000 users. Another extension called Gemini AI Sidebar had 80,000 users before it was removed.

These extensions were distributed through the official Chrome Web Store, which made them appear legitimate and trustworthy. Even more concerning, researchers found that many of these extensions were connected to the same malicious server, showing they were part of a coordinated effort.

While some extensions have since been removed, others remain available. This means new users could still unknowingly install them and expose their personal data. Here’s the list of the affected extensions:

  • AI Assistant
  • Llama
  • Gemini AI Sidebar
  • AI Sidebar
  • ChatGPT Sidebar
  • Grok
  • Asking ChatGPT
  • ChatGBT
  • Chat Bot GPT
  • Grok Chatbot
  • Chat With Gemini
  • XAI
  • Google Gemini
  • Ask Gemini
  • AI Letter Generator
  • AI Message Generator
  • AI Translator
  • AI For Translation
  • AI Cover Letter Generator
  • AI Image Generator ChatGPT
  • Ai Wallpaper Generator
  • Ai Picture Generator
  • DeepSeek Download
  • AI Email Writer
  • Email Generator AI
  • DeepSeek Chat
  • ChatGPT Picture Generator
  • ChatGPT Translate
  • AI GPT
  • ChatGPT Translation
  • ChatGPT for Gmail

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These malicious tools were listed in the official Chrome Web Store, making them appear legitimate and trustworthy. (LayerX)

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How the fake AI Chrome extension attack works

These fake extensions pretend to offer helpful AI features, such as translating text, summarizing emails, or acting as an AI assistant. But behind the scenes, they quietly monitor what you are doing online.

Once installed, the extension gains permission to view and interact with the websites you visit. This allows it to read the contents of web pages, including login screens where you enter your username and password.

In some cases, the extensions specifically targeted Gmail. They could read your email messages directly from your browser, including emails you received and even drafts you were still writing. This means attackers could access private conversations, financial information and sensitive personal details.

The extensions then sent this information to servers controlled by the attackers. Because they loaded content remotely, the attackers could change their behavior at any time without needing to update the extension.

Some versions could also activate voice features through your browser. This could potentially capture spoken conversations near your device and send transcripts back to the attackers.

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If you installed one of these extensions, attackers may already have access to extremely sensitive information. This includes your email content, login credentials, browsing habits and possibly even voice recordings.

We reached out to Google for comment, and a spokesperson told CyberGuy that the company “can confirm that the extensions from this report have all been removed from the Google Web Store.”

BROWSER EXTENSION MALWARE INFECTED 8.8M USERS IN DARKSPECTRE ATTACK

Once installed, the extensions could read emails, capture passwords, monitor browsing activity and send the data to attacker-controlled servers. (Bildquelle/ullstein bild via Getty Images)

7 ways you can protect yourself from malicious Chrome extensions

If you have ever installed an AI-related Chrome extension, taking a few simple precautions now can help protect your accounts and prevent further damage.

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1) Remove any suspicious or unused browser extensions

On a Windows PC or Mac, open Chrome and type chrome://extensions into the address bar. Review every extension listed. If you see anything unfamiliar, especially AI assistants you don’t remember installing, click “Remove” immediately. Malicious extensions depend on going unnoticed. Removing them stops further data collection and cuts off the attacker’s access to your information.

2) Change your passwords

If you installed any suspicious extension, assume your passwords may be compromised. Start by changing your email password first, since email controls access to most other accounts. Then update passwords for banking, shopping and social media accounts. This prevents attackers from using stolen credentials to break into your accounts.

3) Use a password manager to create and protect strong passwords

A password manager generates unique, complex passwords for each account and stores them securely. This prevents attackers from accessing multiple accounts if one password is stolen. Password managers also alert you if your login credentials appear in known data breaches, helping you respond quickly and protect your identity. Check out the best expert-reviewed password managers of 2026 at Cyberguy.com.

4) Install strong antivirus software and keep it active

Good antivirus software can detect malicious browser extensions, spyware, and other hidden threats. It scans your system for suspicious activity and blocks harmful programs before they can steal your information. This adds an important layer of protection that works continuously in the background to keep your device safe. Get my picks for the best 2026 antivirus protection winners for your Windows, Mac, Android & iOS devices at Cyberguy.com.

5) Use an identity theft protection service

Identity theft protection services monitor your personal data, including email addresses, financial accounts, and Social Security numbers, for signs of misuse. If criminals try to open accounts or commit fraud using your information, you receive alerts quickly. Early detection allows you to act fast and limit financial and personal damage. See my tips and best picks on how to protect yourself from identity theft at Cyberguy.com.

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6) Keep your browser and computer fully updated

Software updates fix security vulnerabilities that attackers exploit. Enable automatic updates for Chrome and your operating system so you always have the latest protections. These updates strengthen your defenses against malicious extensions and prevent attackers from taking advantage of known weaknesses.

7) Use a personal data removal service

Personal data removal services scan data broker websites that collect and sell your personal information. They help remove your data from these sites, reducing what attackers can find and use against you. Less exposed information means fewer opportunities for criminals to target you with scams, identity theft or phishing attacks.

Check out my top picks for data removal services and get a free scan to find out if your personal information is already out on the web by visiting Cyberguy.com.

Get a free scan to find out if your personal information is already out on the web: Cyberguy.com.

Kurt’s key takeaway

Even tools designed to make your life easier can become tools for cybercriminals. Malicious extensions often hide behind trusted names and convincing features, making them difficult to spot. You can significantly reduce your risk by reviewing your browser extensions regularly, removing anything suspicious and using protective tools like password managers and strong antivirus software.

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Have you checked your browser extensions recently? Let us know your thoughts by writing to us at Cyberguy.com.

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