11.7 AI Daily AI Brings New Opportunities and Challenges: From Google's Discovery of Hacker Abuse to OpenAI's Refusal of Government Guarantees

1. Headline

1. Google discovers that North Korean hackers are using AI technology to develop new malware to steal cryptocurrencies.

The latest report from Google's Threat Intelligence Group shows that at least five new types of malware have been found utilizing large language model (LLM) to dynamically generate and hide malicious code. Among them, the North Korea-related hacker group UNC1069 has been discovered using wallet data probing and creating phishing scripts with the intention of stealing digital assets.

These malware utilize “real-time code generation” technology to bypass traditional security detection by calling external AI models such as Qwen 2.5-r. The malware can continuously change itself, enhancing its defense capabilities to resist systems aimed at stopping it.

This discovery highlights the new applications of AI technology in cybercrime, as hackers may increasingly use AI to generate malicious code, which could become a new attack trend. Cybersecurity experts are calling for enhanced access control and auditing mechanisms for AI models to prevent their misuse for illegal purposes. Meanwhile, cryptocurrency users and exchanges need to remain vigilant and strengthen the security of wallets and accounts to guard against new AI-driven attacks.

2. OpenAI founder: Governments should not guarantee for enterprises, the development of AI infrastructure should rely on market competition.

OpenAI founder Sam Altman issued a statement on November 7 addressing external doubts about whether the company is seeking government financing or guarantees for its AI data center. He clearly stated that OpenAI does not want or need government guarantees and emphasized that the government should not take sides for businesses, nor should taxpayers be made to pay for the mistakes of private companies.

Altman stated: “The government should not choose sides for businesses, nor should taxpayers be made to pay for the mistakes of private enterprises. If we fail, it should be decided by the market who wins and loses.” He believes that it may be reasonable for the government to build and own its own AI infrastructure, but the benefits should also accrue to the government.

Analysts point out that Altman's statement reflects OpenAI's hope that the AI industry can truly rely on market competition rather than relying on government subsidies or guarantees. This stance may help avoid monopolies in the AI industry, but it also means that OpenAI needs to maintain its lead in funding strength and technological innovation to remain undefeated in future AI competition.

3. The EU plans to postpone the implementation of certain aspects of the artificial intelligence bill.

According to the Financial Times in the UK, the European Commission has proposed to suspend parts of its landmark artificial intelligence legislation under immense pressure from large tech companies and the U.S. government. The EU plans to relax some digital regulations in a decision called the “Simplified Proposal” on November 19.

The bill was originally intended to comprehensively regulate the use of artificial intelligence systems, but technology giants and the U.S. government strongly opposed some of its provisions, arguing that these regulations were too strict and could stifle innovation. After various negotiations, the European Union agreed to temporarily postpone the implementation of some controversial clauses.

Analysts believe that this move reflects the EU's effort to seek a balance between promoting AI innovation and protecting public interests. Delaying the implementation of certain aspects can help alleviate pressure on tech companies, but it may also weaken the original objectives of the legislation. In the future, the EU will still need to further coordinate among various stakeholders to develop a practical regulatory framework for AI.

4. The first AI prompt copyright case in Shanghai ruled that prompts do not constitute works.

The People's Court of Huangpu District, Shanghai recently made a first-instance judgment on the “AI Prompt Copyright Infringement Case”, ruling that the six groups of prompts involved are merely a list of instructions regarding artistic style, main elements, and material details, lacking originality in terms of expression, and do not qualify as “works” under copyright law. The claims made by the plaintiff regarding reproduction, distribution, information network dissemination, and attribution rights are not established, and all demands were rejected.

The court pointed out that the prompt words are closer to ideas and creative concepts, and do not reflect personalized intellectual input. This ruling may set a preliminary standard for the copyright ownership issues of AI-generated content.

Analysts say that the ruling reflects the court's balance between protecting creators' rights and promoting the development of AI technology. Too lenient standards may restrict AI applications, while overly strict ones may stifle innovation. In the future, as AI technology evolves, relevant laws and regulations will need to be continuously improved to adapt to the challenges posed by new technologies.

5. The DeAgentAI token AIA surged over 470% in a short time, triggering a large number of short liquidations.

On November 7th, according to Alpha data, the Sui ecosystem AI infrastructure DeAgentAI token AIA briefly surged to 9.8 USD today, currently reported at 9.47 USD. In the last 4 hours, the increase exceeded 50%, and the increase in 24 hours was 473%.

Data shows that 70% of the platform's short positions were liquidated within 4 hours, accounting for 34% of the total liquidations across the network. Analysts pointed out that the surge in AIA may be related to the latest developments in the project and investors' enthusiasm for AI concept tokens.

The cryptocurrency market sentiment has been volatile, with speculative trading prevalent. The dramatic rise and fall of AIA further confirms the high-risk, high-reward nature of investments. Experts remind investors to remain rational when chasing popular concepts, manage their risk exposure, and avoid blindly following trends. At the same time, exchanges need to strengthen regulation, maintain market order, and prevent excessive speculation from harming investors' interests.

2. Project Highlights

1. DeAgentAI (AIA) increased by over 470% in 24 hours, second only to BTC and ETH in terms of liquidations across the network.

DeAgentAI is an AI infrastructure project based on the Sui blockchain, aimed at providing developers with powerful AI tools and services. The project was launched in early 2025 and was founded by a former Google AI researcher.

On November 7th, the token AIA of DeAgentAI skyrocketed to $9.8 in a short period, with a 24-hour increase of over 470%. This surge triggered a large-scale liquidation across the network, with 70% of the short positions on the platform being forcibly liquidated, accounting for 34% of the total liquidations in the network, second only to Bitcoin and Ethereum.

The explosive growth of DeAgentAI mainly stems from its innovative concepts in the AI infrastructure field. The project combines AI with blockchain technology, providing developers with high-performance, low-cost AI computing capabilities. Compared to traditional cloud computing, DeAgentAI can fully utilize the computing power resources of the blockchain network, significantly reducing the deployment costs of AI applications.

Industry insiders believe that DeAgentAI represents a new trend in the integration of AI and blockchain development. As AI technology is widely applied across various industries, the demand for high-performance, low-cost AI infrastructure will continue to grow. DeAgentAI provides developers with a brand new solution, which is expected to promote the large-scale implementation of AI applications.

However, some analysts have expressed concerns about the surge of DeAgentAI. They believe that the price spike of AIA is mainly driven by speculative trading, lacking real user demand support. If the project team cannot timely launch a mature product, AIA may experience a significant correction.

Overall, DeAgentAI represents a new trend in the integration of AI and blockchain development, and its innovative concepts are worth paying attention to. However, investors should also be cautious about the speculative risks brought by the surge.

2. Officially become a Sei Network validator node, providing enterprise-level security assurance for the network.

Sei Network is a high-performance Layer 1 blockchain designed for institutional-grade financial applications, and it is currently the fastest EVM-compatible chain. On November 6, the world's largest cryptocurrency exchange officially became a validator node for Sei Network.

As a leading company in the cryptocurrency industry, it manages assets worth $180 billion for over 200 million users. Its mature operational security system will provide enterprise-level security guarantees for the Sei consensus layer, supporting the network's development towards institutional-scale applications.

In terms of technical performance, Sei has currently achieved a block confirmation speed of 400 milliseconds, supporting real-time application scenarios. The upcoming Giga upgrade will further enhance performance, aiming to achieve a throughput of 5,000 gigagas per second and approximately 200,000 transactions per second, which is a 50-fold improvement over existing EVM chains.

In terms of ecological development, Sei Network currently has over 70 million wallet addresses, processes an average of 4.5 million transactions daily, and has a total locked value exceeding $680 million. The network has attracted tokenized funds from institutions such as BlackRock, Brevan Howard, Hamilton Lane, and Apollo, and has established partnerships with major infrastructure partners including Circle, MetaMask, Etherscan, Ondo, and Securitize.

Industry insiders believe that joining will further enhance the security and credibility of Sei Network, which is beneficial for attracting more institutional users. As a high-performance public chain aimed at institutional-level applications, Sei is expected to become an important infrastructure for the implementation of blockchain technology in the financial sector.

However, some analysts are cautious about the development prospects of Sei Network. They believe that although Sei has made innovations at the technical level, it still faces many challenges in truly serving institutional users and needs to further improve its ecosystem and application scenarios.

Overall, becoming a Sei Network validator node is good news and is expected to promote the development of Sei in the institutional application field. However, for Sei to achieve long-term sustainable development, it still needs to continue innovating and meet the actual needs of institutional users.

3. Sky community releases “SparkLend deprecates sUSDS and sDAI collateral” proposal

Sky ecosystem is a DeFi platform based on the Sui blockchain, aimed at providing users with efficient and secure financial services. On November 7th, the Sky community released a proposal titled “SparkLend Discontinue sUSDS and sDAI Collateral.”

SparkLend is a lending protocol within the Sky ecosystem that allows users to use cryptocurrency assets as collateral for loans. This proposal suggests that SparkLend stop using sUSDS and sDAI as collateral to reduce the risk factors associated with exposure to other assets.

If the proposal is approved, SparkLend will prohibit new borrowings using sDAI or sUSDS as collateral. Existing sDAI and sUSDS collateral borrowings will be gradually liquidated. This initiative aims to reduce SparkLend's exposure to the solvency and liquidity risks associated with DAI, USDS, and the broader Sky ecosystem.

The proposer believes that sUSDS and sDAI, as algorithmic stablecoins, have significant price volatility and certain risks. Continuing to use them as collateral could affect the overall risk level of SparkLend. Discontinuing the use of these two assets is beneficial for improving the security and sustainability of the protocol.

However, some users have expressed concerns about this proposal. They believe that if sUSDS and sDAI, as one of the main lending assets, are deprecated, it may affect the liquidity and usage rate of SparkLend.

Industry insiders indicate that the proposal reflects the high importance DeFi protocols place on risk management. As the industry continues to evolve, each protocol needs to adjust its risk strategies based on actual conditions to ensure long-term sustainable operations.

In general, this proposal from the Sky community aims to reduce risks and maintain the security of SparkLend. However, during the execution process, it is necessary to balance the relationship between liquidity and risk to avoid significantly impacting user experience.

4. Google: North Korean hackers develop encryption attack tools using AI, measures have been taken to limit model abuse.

On November 7, Google's Threat Analysis Group released a report stating that at least five new types of malware have been discovered that utilize large language models to dynamically generate and hide malicious code. Among them, the North Korean-related hacker group UNC1069 was found to be using wallet data probing and creating phishing scripts with the intent to steal digital assets.

These malware use “real-time code generation” technology to bypass traditional security detection by calling external AI models such as Qwen2.5-r. Google has stated that it has disabled related accounts and strengthened security measures for model access.

The report indicates that the queries sent by UNC1069 include searching for wallet application data, generating scripts to access encrypted storage, and writing instructions for multilingual phishing content targeting cryptocurrency exchange employees. By outsourcing some functionalities to AI models, the malware can continuously adapt to enhance its defenses against systems designed to thwart it.

Industry insiders say that hackers developing attack tools using AI technology is a new type of threat that requires heightened attention. The development of AI technology not only brings convenience to legitimate applications but can also be abused by criminals, posing a threat to cybersecurity and the security of digital assets.

Analysts have pointed out that developers of AI models need to strengthen the review and control of model access to prevent misuse for illegal purposes. At the same time, cryptocurrency exchanges and wallet service providers must also remain vigilant, enhance security measures, and avoid losses to user assets.

Overall, the development of AI technology has brought new challenges to cybersecurity. Relevant parties need to strengthen cooperation, implement effective measures, and jointly address this new threat.