Researchers have discovered a new AI attack called **HalluSquatting**, which exploits the tendency of large language models (LLMs) to hallucinate incorrect resource locations — such as repository URLs — up to 92% of the time for recently published content. Attackers can predict these hallucinated locations in advance, register them, and plant malicious code (such as reverse shells) that AI coding assistants like Cursor, GitHub Copilot, and Gemini CLI will automatically retrieve and execute. Unlike previous prompt injection attacks that required targeting individuals one by one, HalluSquatting scales massively, potentially enabling large botnets, DDoS attacks, and ransomware campaigns with minimal attacker effort.