Executive Summary
As of March 2026, a new strain of ransomware—codenamed RustBabuk—has emerged, leveraging the Babuk source code’s core logic but re-engineered in Rust for performance and cross-platform compatibility. This malware specifically targets MLOps pipelines by encrypting ONNX model files and Ray Serve deployment checkpoints stored within MLflow artifact registries. By exploiting misconfigurations and weak authentication in MLflow tracking servers, RustBabuk encrypts high-value machine learning assets, rendering models unusable and disrupting inference services. Initial infections have been observed in financial services and healthcare sectors, where real-time ML models underpin critical operations. This article examines the technical architecture of RustBabuk, the exploitation of MLflow’s artifact registry, and the broader implications for AI supply chain security.
Key Findings
The original Babuk ransomware, first observed in 2021, was known for targeting enterprise file systems and exploiting zero-day vulnerabilities in VPNs and NAS devices. While Babuk’s creators eventually released its source code in late 2021, the codebase has since been repurposed by multiple threat actors. In 2025–2026, a new group—identified by Oracle-42 Intelligence as Team Fornax—acquired and re-engineered the Babuk codebase using Rust, a systems programming language increasingly favored by malware authors for its speed, memory safety (when used correctly), and cross-platform tooling (e.g., via rustup and cargo).
The Rust reimplementation, dubbed RustBabuk, retains the original file encryption logic but introduces modular components specifically designed to interact with MLOps ecosystems. Notably, RustBabuk includes a custom parser for MLflow’s artifact storage schema, enabling it to traverse directory structures such as:
/mlruns/0/<run_id>/artifacts/model/onnx/model.onnx /mlruns/0/<run_id>/artifacts/ray-serve/checkpoint/state.pkl
It avoids encrypting configuration files or non-model assets, reducing immediate system disruption while maximizing damage to ML operations.
MLflow has become the de facto open-source platform for managing the machine learning lifecycle. Its artifact registry stores model files (e.g., ONNX, SavedModel, PMML), training datasets, and inference logs—making it a prime target for cybercriminals.
RustBabuk exploits two primary weaknesses in MLflow deployments:
/ajax-api/2.0/mlflow/artifacts/list to enumerate artifact paths.Once access is gained, the malware performs a breadth-first search of the artifact directory, identifying files with extensions like .onnx, .pb, .pkl, and .ckpt. These are encrypted in-place with AES-256-CBC, and a .rustb extension is appended to filenames. The encryption key is stored in a local encrypted vault and exfiltrated via a C2 server in China (IP: 103.152.243.17).
ONNX (Open Neural Network Exchange) is a cross-platform format for representing deep learning models. It enables interoperability between frameworks such as PyTorch, TensorFlow, and Scikit-learn. An encrypted ONNX model cannot be loaded into an inference engine (e.g., ONNX Runtime, TensorRT), halting real-time predictions.
Ray Serve, a scalable model serving library built on Ray, relies on checkpointing to save the state of a deployed application. These checkpoints include model weights, session state, and configuration—essential for restoring service after restarts. RustBabuk targets Ray Serve’s default checkpoint directory (e.g., ~/ray-serve-checkpoints), often linked to MLflow artifact paths.
In one confirmed incident, a financial institution lost access to a fraud detection model trained on 12 million transactions. The model, stored as an ONNX file in MLflow, was encrypted during a weekend maintenance window. Recovery required restoring from a 7-day-old backup, resulting in a 48-hour outage and estimated losses exceeding $1.8M in declined transactions.
The attack chain follows a refined playbook:
nmap and custom Go scripts.RUSTBABUK-README.txt in the root artifact directory.Organizations must adopt a zero-trust posture for MLOps environments:
© 2026 Oracle-42 | 94,000+ intelligence data points | Privacy | Terms