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AI-driven tools spark a 440% rise in blockchain-based malware deployments

Open-source AI models have enabled hackers to embed malicious code in blockchain transactions, causing a 440% jump in such incidents within a year.

A recent Chainalysis report shows a 440% increase in the use of blockchains to store malware instructions, reaching roughly 11 daily incidents compared with two before mid-2025. The rise coincides with the emergence of powerful, unrestricted Chinese open-source AI models that can produce malicious code at scale. Hackers embed command-and-control details in on-chain transactions, creating “dead drops” that are difficult to erase.

State-backed actors, notably groups tied to North Korea and Iran, now account for the majority of these operations, attracted by blockchain’s resistance to traditional monitoring. Cybersecurity specialist Vitaly Kamluk notes that open-source AI gives attackers greater control and privacy, while blockchain’s transparency also allows investigators to map illicit infrastructure. Chainalysis cannot yet quantify the financial losses from these attacks, and most infections still begin through conventional vectors such as supply-chain compromises.

Why it matters

The trend shows AI and blockchain together amplifying cyber-threats, challenging defenders and regulators worldwide.

In this story

AI-generated malwareblockchain dead dropstate-backed hacking groupsopen-source AI modelscybercrime surgesmart contract abusecommand-and-control servercryptocurrency security
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