Milk Dragon uses steep-discount posts on Facebook and TikTok to draw shoppers to counterfeit stores, where it can capture payment details and relay verification codes during a live transaction. The method can get around a one-time-code check in some cases, but it does not defeat every form of multi-factor authentication (MFA), and it does not mean every attempted payment succeeds.
What is the Milk Dragon phishing kit?
Group-IB describes Milk Dragon, also known as NaiLong, as an adversary-in-the-middle (AiTM) phishing kit active since October 2025. Instead of relying mainly on fake bank alerts or delivery warnings, the campaign reportedly uses social-commerce offers: steep discounts promoted on Facebook and TikTok that lead to counterfeit retailer storefronts. The findings below are from Group-IB’s investigation published October 1, 2026; the figures are observed findings, not a complete count of all activity.
Group-IB identified 258 phishing pages since October 2025, victims spanning 66 countries, 21 impersonated consumer brands, and 36 templates for financial-institution verification pages. Named examples of impersonated brands include LEGO, Calvin Klein, and Aeon Malaysia. The report says targets also span cosmetics and fashion, food and beverage, home and baby products, toys, and regional supermarket chains. Group-IB has not made its full brand list public.
Group-IB reports that the kit was offered as phishing-as-a-service in Telegram communities from at least October 2025, with subscriptions starting at 300 USDT per month. That is a price reported in the investigation, not a verification of a currently available offer. The investigated operator panel included role-based accounts, live control of phishing pages, notifications, card BIN tagging, and centralized storage of visitor and payment information. These capabilities describe the service, but do not establish how many criminal customers used it or how many victims any operator had.
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How the scam captures card details and verification codes
- A social-media offer attracts the shopper. A post or marketplace-style ad presents a very low price and appears connected to a familiar retailer.
- The ad opens a counterfeit store. Group-IB says the reported storefronts run on WordPress and use WooCommerce to display products and checkout pages.
- A malicious plugin captures checkout data. The custom plugin, named BytePress, adds fraudulent credit-card and PayPal checkout options and connects the page to an operator command-and-control panel. Group-IB says a persistent Socket.IO WebSocket sends information entered on the payment page to that panel character by character, rather than waiting for the shopper to submit the form.
- The attacker relays a transaction challenge. After payment details are entered, the shopper may see a fake loading or “turnstile” screen. The operator can select a verification page corresponding to the legitimate 3-D Secure challenge, then show a spoofed prompt for a one-time password or app verification. If the shopper supplies a code, the operator can relay it into the live challenge and attempt to authorize a fraudulent transaction.
- A fake confirmation can buy time. A counterfeit order confirmation may make the purchase look complete and delay the shopper from contacting the card issuer.
That is what “bypass MFA” means in this campaign: the attacker-controlled page sits between the shopper and the real transaction challenge, then relays the submitted code in real time. It is not evidence that Milk Dragon defeats every authentication method or that every relayed code results in a successful payment. Group-IB’s account is also summarized by GBHackers.
How to check a social-media discount before buying
An ad inside Facebook or TikTok is not proof that the seller or checkout page is genuine. A retailer’s logo, familiar products, and convincing checkout can all be copied. Use the route to the shop—not its appearance—as your first check.
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- Do not follow the ad link to pay. Open the retailer’s official app or type its known website address yourself. Find the offer there and check that the products and terms match.
- Check the seller and domain independently. Look for a clear match between the retailer’s known domain and the address in the browser. Be cautious of unfamiliar sellers, lookalike spellings, or a checkout that appears on a different, unexplained domain.
- Consider the pressure and requested information. Treat an extreme discount paired with urgency or an unexpected request for card details and a verification code as a warning sign.
- Use reputation checks only as additional signals. Group-IB suggests checking unfamiliar links with services such as urlscan.io, VirusTotal, or ScamAdviser. A clean result is not a guarantee that a shop is legitimate; prefer the retailer’s own verified channel.
What to do if you entered payment details or a code
Contact your bank or card issuer immediately using the number on your card or the official app or website—not contact details supplied by the suspicious shop. Tell them what information you entered and whether you approved or received a verification request.
- Ask the issuer whether to block or replace the exposed card, and follow its instructions.
- Review recent and pending transactions, and report any you do not recognize.
- If you entered a password on the counterfeit site, change it through the legitimate service. Change it anywhere else you reused it, and do so from a trusted route.
- Do not respond to follow-up messages or calls claiming to be the retailer, bank, or delivery service unless you independently verify the contact.
Group-IB’s consumer guidance is to notify the bank or card company immediately. Its public report does not provide a complete list of malicious domains or indicators; it says full indicators are available to its intelligence-portal customers.
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What retailers and security teams can take from the report
For retailers, the campaign illustrates why brand impersonation monitoring needs to include social-media offers, lookalike domains, and suspicious checkout infrastructure—not just fake login pages. Group-IB recommends monitoring lookalike domains and suspicious checkout or card activity, and taking action against infrastructure abusing a brand. It also recommends threat-intelligence services for enterprise detection. The public findings do not identify platform responses, named affected banks, total losses, or a confirmed fraud-success rate.
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