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Agentic Coding and the Weakness of Extensions for IDEs

Summary by The New Stack
A few weeks ago we got a warning about extension marketplaces. The reported story was that a cryptocurrency developer, using the Cursor AI IDE (which is a fork of Visual Studio Code) noticed that he was short a considerable amount of cryptocurrency; about half a million dollars worth. What happened? He realised his development system had been hacked and so he asked investigators to help. The malicious code was traced to a VS Code extension, that…

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The New StackThe New Stack
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Agentic Coding and the Weakness of Extensions for IDEs

A few weeks ago we got a warning about extension marketplaces. The reported story was that a cryptocurrency developer, using the Cursor AI IDE (which is a fork of Visual Studio Code) noticed that he was short a considerable amount of cryptocurrency; about half a million dollars worth. What happened? He realised his development system had been hacked and so he asked investigators to help. The malicious code was traced to a VS Code extension, that…

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The New Stack broke the news in on Saturday, August 16, 2025.
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