Notepad++: Notepad++ Supply Chain Hack Exposed, Researchers Publish IoCs and Custom Malware Analysis

Notepad++: Notepad++ Supply Chain Hack Exposed, Researchers Publish IoCs and Custom Malware Analysis

Sophisticated Supply Chain Attack Targets Notepad++ Users in Espionage Campaign

Researchers have identified a highly advanced supply chain attack targeting users of the popular text editor Notepad++, attributed to Lotus Blossom, a Chinese advanced persistent threat (APT) group active since 2009. The campaign, uncovered through forensic analysis, involved the compromise of Notepad++’s distribution infrastructure to deliver Chrysalis, a previously undocumented custom backdoor with extensive remote access and evasion capabilities.

The attack began with the execution of notepad++.exe and GUP.exe (Notepad++’s updater) from the IP address 95.179.213.0, which downloaded a malicious update.exe an NSIS installer. This installer deployed a renamed Bitdefender Submission Wizard executable to the hidden %AppData%\Bluetooth directory, leveraging DLL sideloading to execute a malicious log.dll. The DLL decrypted the Chrysalis backdoor using a combination of linear congruential generators, FNV-1a hashing, and MurmurHash finalization, along with custom cryptographic algorithms.

Chrysalis is a feature-rich implant with 15 distinct command capabilities, including:

  • Interactive reverse shells (command 4T)
  • Remote process execution (4V)
  • File operations (4Y, 4W, 4X)
  • File transfer protocols (4c, 4d)
  • Self-removal (4)
  • Drive enumeration (4_)

The backdoor communicates with a command-and-control (C2) server at https://api.skycloudcenter.com/a/chat/s/70521ddf-a2ef-4adf-9cf0-6d8e24aaa821, designed to mimic Deepseek API traffic to evade detection. The domain resolves to a Malaysian IP (61.4.102.97), with communications using a standard browser user agent. Persistence is achieved via a Windows service or registry modifications, while a mutex (Global\Jdhfv_1.0.1) prevents multiple instances.

Further analysis revealed the use of ConsoleApplication2.exe, a loader exploiting Microsoft’s undocumented Warbird code protection framework. The loader invokes NtQuerySystemInformation with the SystemCodeFlowTransition parameter (0xB9) to execute Metasploit shellcode within a Microsoft-signed binary, enabling the download of Cobalt Strike beacons from api.wiresguard.com/users/system. Additional payloads were delivered via http-get (api.wiresguard.com/update/v1) and http-post (api.wiresguard.com/api/FileUpload/submit) endpoints.

Forensic evidence also uncovered a renamed Tiny-C-Compiler executing malicious C source code from conf.c, which employed rolling XOR decryption before transferring execution to Cobalt Strike. Four additional loader variants were identified, sharing identical Cobalt Strike configurations and a common public key, indicating a coordinated campaign.

Attribution to Lotus Blossom is supported by tactical overlaps, including the Bitdefender Submission Wizard DLL sideloading technique and shared infrastructure indicators. The campaign demonstrates a significant evolution in tradecraft, blending custom malware with commodity frameworks and rapidly operationalizing public security research. Key indicators of compromise include hidden executables in %AppData%, NtQuerySystemInformation abuse, and suspicious Deepseek-style API traffic.

Source: https://cyberpress.org/notepad-supply-chain-hack-exposed/

Notepad++ cybersecurity rating report: https://www.rankiteo.com/company/notepad-plus-plus

"id": "NOT1770169941",
"linkid": "notepad-plus-plus",
"type": "Cyber Attack",
"date": "2/2026",
"severity": "100",
"impact": "5",
"explanation": "Attack threatening the organization's existence"
{'affected_entities': [{'customers_affected': 'Notepad++ users globally',
                        'industry': 'Technology/Software Development',
                        'name': 'Notepad++',
                        'type': 'Software Vendor'}],
 'attack_vector': ['Compromised distribution infrastructure',
                   'DLL sideloading',
                   'Malicious updater (GUP.exe)',
                   'Warbird code protection framework exploitation'],
 'data_breach': {'data_exfiltration': 'Possible (Chrysalis backdoor supports '
                                      'file transfer)',
                 'personally_identifiable_information': 'Possible (if '
                                                        'targeted)',
                 'sensitivity_of_data': 'High (if PII or proprietary data was '
                                        'accessed)',
                 'type_of_data_compromised': ['Potentially sensitive files',
                                              'System information',
                                              'User data']},
 'description': 'Researchers identified a highly advanced supply chain attack '
                'targeting users of the popular text editor Notepad++, '
                'attributed to Lotus Blossom, a Chinese advanced persistent '
                'threat (APT) group. The campaign involved the compromise of '
                'Notepad++’s distribution infrastructure to deliver Chrysalis, '
                'a custom backdoor with extensive remote access and evasion '
                'capabilities.',
 'impact': {'brand_reputation_impact': 'Potential reputational damage to '
                                       'Notepad++ due to compromised '
                                       'distribution',
            'data_compromised': 'Potential data exfiltration (Chrysalis '
                                'backdoor capabilities)',
            'identity_theft_risk': 'High (if PII was exfiltrated)',
            'operational_impact': 'Remote access and control of affected '
                                  'systems',
            'systems_affected': ["Notepad++ users' systems",
                                 'Compromised distribution servers']},
 'initial_access_broker': {'backdoors_established': ['Chrysalis backdoor',
                                                     'Cobalt Strike beacons'],
                           'entry_point': 'Compromised Notepad++ distribution '
                                          'infrastructure'},
 'investigation_status': 'Ongoing',
 'motivation': 'Espionage',
 'post_incident_analysis': {'corrective_actions': ['Secure distribution '
                                                   'channels for software '
                                                   'updates',
                                                   'Implement code signing and '
                                                   'integrity checks for '
                                                   'updaters',
                                                   'Monitor for abuse of '
                                                   'undocumented Windows APIs',
                                                   'Enhance detection for '
                                                   'custom malware like '
                                                   'Chrysalis'],
                            'root_causes': ['Compromise of Notepad++ '
                                            'distribution infrastructure',
                                            'Exploitation of DLL sideloading '
                                            'and undocumented Windows features '
                                            '(Warbird framework)',
                                            'Use of custom cryptographic '
                                            'algorithms to evade detection']},
 'recommendations': ['Monitor for suspicious activity related to Notepad++ '
                     'updates',
                     'Check for hidden executables in %AppData%\\Bluetooth',
                     'Inspect NtQuerySystemInformation calls for '
                     'SystemCodeFlowTransition parameter abuse',
                     'Block or monitor traffic to api.skycloudcenter.com and '
                     'api.wiresguard.com',
                     'Update detection rules for DLL sideloading and Warbird '
                     'framework exploitation'],
 'references': [{'source': 'Cybersecurity Research Report'}],
 'threat_actor': 'Lotus Blossom (Chinese APT group)',
 'title': 'Sophisticated Supply Chain Attack Targets Notepad++ Users in '
          'Espionage Campaign',
 'type': 'Supply Chain Attack',
 'vulnerability_exploited': ['DLL sideloading',
                             'NtQuerySystemInformation abuse '
                             '(SystemCodeFlowTransition parameter)',
                             'Undocumented Warbird framework']}
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