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Data breach Coding agent failure verified

GitHub Copilot prompt injection enables remote code execution (CVE-2025-53773)

GitHub (Copilot / VS Code) · Aug 12, 2025 · Coding agent

What happened

Johann Rehberger found a prompt-injection attack leading to full system compromise of a developer's machine in GitHub Copilot and VS Code (CVE-2025-53773). The attack placed Copilot into 'YOLO mode' by modifying the project's settings.json — exploiting the fact that Copilot Agent Mode writes file edits directly to disk without user approval, so an agent that can modify its own security-relevant settings can escalate to remote code execution.

Loss / impact
Aug 12
2025
Coding
Failure mode
Coding
Agent type

Causal vector

Agent that can write its own security-relevant config (settings.json) escalated to full remote code execution

Source

Reported by Embrace The Red (Johann Rehberger). Verified against the primary report.

Read the original report ↗

How a spend firewall would have helped

The RCE required the agent to edit its own security settings (settings.json → YOLO mode). Config-file writes that change a security posture are spend-equivalent destructive actions: an approval threshold and a category rule on self-modification of security settings return FLAGGED before the write lands, so the agent cannot escalate its own privileges.

The six rule types that contain this class of failure

Per-transaction cap

Any single spend above your ceiling is BLOCKED before it moves.

Daily total

Cumulative spend across all agent calls, bounded per day.

Velocity limit

Stops runaway retry loops — the #1 cause of overnight losses.

Merchant allowlist

Only approved destinations can ever receive funds.

Category rules

Flag high-risk classes (crypto, infra, refunds) for review.

Approval threshold

Above a value, the action waits for a human.

Related incidents

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