Microsoft has initiated a comprehensive legal and technical offensive against Lumma Stealer, a notorious information-stealing malware responsible for compromising nearly 400,000 Windows systems worldwide between March and May 2025. This concerted effort, in collaboration with international law enforcement agencies, marks a significant stride in combating cybercrime.

On May 21, a federal court in Georgia authorized Microsoft’s Digital Crimes Unit (DCU) to dismantle the infrastructure supporting Lumma Stealer. Consequently, approximately 2,300 domains integral to the malware’s operations were taken down, blocked, or suspended. Additionally, the U.S. Department of Justice seized Lumma’s central command structure and disrupted marketplaces facilitating the malware’s distribution.

Lumma Stealer, also known as LummaC2, has been active since 2022, evolving through multiple iterations to enhance its capabilities. The malware is designed to extract sensitive data from web browsers and applications, including passwords, credit card information, bank account details, and cryptocurrency wallet credentials.

The takedown operation was bolstered by the efforts of Europol’s European Cybercrime Center and Japan’s Cybercrime Control Center, which facilitated the suspension of locally based Lumma infrastructure. Microsoft’s collaboration with these agencies underscores the importance of international cooperation in addressing the growing threat of cybercrime.

Despite this significant disruption, cybersecurity experts caution that the threat from infostealers like Lumma remains high. The malware’s effectiveness and widespread adoption make it a preferred tool for cybercriminals and nation-state actors alike.

Microsoft’s decisive action against Lumma Stealer highlights the evolving nature of cyber threats and the critical need for robust cybersecurity measures. The company’s ongoing commitment to protecting users and dismantling malicious networks serves as a model for industry-wide efforts to combat cybercrime.

BlackRock’s iShares Bitcoin Trust (IBIT) experienced a significant surge in investor interest on May 21, recording a net inflow of $530.6 million—the highest since May 5. This influx coincided with Bitcoin’s price climbing to $111,897, nearing its all-time high.

The trading volume for IBIT also reached levels not seen since January, indicating heightened market activity. Notably, the ETF acquired 4,931 BTC in a single day, surpassing the 450 BTC mined during the same period. Overall, U.S. spot Bitcoin ETFs collectively garnered $607.1 million in inflows, with Fidelity’s Wise Origin Bitcoin Fund (FBTC) contributing $23.5 million.

Bloomberg ETF analyst Eric Balchunas described the trend as a “classic feeding frenzy,” attributing it to Bitcoin’s recent rally. He noted that ETF trading volumes are expected to double their average flows.

Industry experts suggest that the momentum in Bitcoin ETF investments may continue, especially if macroeconomic factors, such as potential interest rate cuts by the Federal Reserve, come into play. Jeff Mei of BTSE highlighted that investors are increasingly turning to Bitcoin ETFs, which have seen $3.6 billion in net inflows in May alone.

Australia’s financial regulator, the Australian Securities and Investments Commission (ASIC), is seeking permission from the High Court to appeal a Federal Court ruling that favored fintech firm Block Earner. The Federal Court had determined that Block Earner’s crypto-linked fixed-yield earning service did not constitute a financial product under the Corporations Act.

ASIC announced on May 21 its intention to request the High Court to clarify the definition of a financial product, particularly concerning interest-earning products and the conversion of assets from one form to another. The regulator emphasized that the existing definition was designed to be broad and technology-neutral, asserting that public interest necessitates this clarification.

The Federal Court’s decision on April 22, delivered by Justices David O’Callaghan, Wendy Abraham, and Catherine Button, concluded that Block Earner’s product was neither a financial product, a managed investment scheme, nor a derivative. ASIC’s appeal to the High Court requires special leave, granted only in cases presenting significant legal questions or matters of public interest.

A spokesperson for Block Earner stated that the case has escalated to a broader legal issue regarding the definition of a financial product, extending beyond the company and the crypto sector. They expressed confidence in the Federal Court’s ruling and indicated plans to respond to ASIC’s application through appropriate legal channels.

ASIC initiated legal proceedings against Block Earner in November 2022, arguing that the company required a financial services license to offer its yield product, which was available from March 17 to November 16, 2022. In February 2024, an Australian court initially ruled that Block Earner needed such a license. However, a subsequent ruling in June 2024 released the company from financial penalties, acknowledging that it had acted honestly and sought legal opinions before launching the product. Block Earner appealed the decision regarding the licensing requirement in July 2024.

The outcome of ASIC’s appeal could have significant implications for the regulation of crypto-linked financial products in Australia, potentially influencing how such products are classified and governed under existing financial laws.