Critical Vulnerabilities in Popular VS Code Extensions Enable Local File Theft and Code Execution
Security researchers at OX Security disclosed multiple vulnerabilities across widely used Microsoft Visual Studio Code extensions—Live Server, Code Runner, Markdown Preview Enhanced, and Microsoft Live Preview—with combined installs reported at 125–128 million. The issues enable attacks ranging from local file exfiltration to arbitrary code/JavaScript execution, and highlight how a single vulnerable or malicious extension can be leveraged for broader compromise and potential lateral movement in developer environments.
Reported flaws include CVE-2025-65717 (Live Server; CVSS 9.1) enabling local file theft by luring a developer to a malicious site while the extension’s local server is running (e.g., localhost:5500), CVE-2025-65716 (Markdown Preview Enhanced; CVSS 8.8) allowing arbitrary JavaScript execution via a crafted .md file with subsequent local port enumeration and exfiltration, and CVE-2025-65715 (Code Runner; CVSS 7.8) enabling code execution by tricking users into modifying settings.json. Separate reporting on Microsoft Live Preview describes a one-click reflected XSS and unauthenticated request abuse against the extension’s local development server to enumerate and exfiltrate sensitive files (e.g., .env, API keys, source code); this Live Preview issue was reported as patched in version 0.4.16 via input sanitization (e.g., an escapeHTML function), while other extension issues were described as unpatched at the time of reporting.

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How this story unfolded
7 events from the most recent confirmed update back to the earliest known activity.
OX Security publicly discloses four extension vulnerabilities
OX Security published its findings, warning that flaws in four VS Code extensions with more than 125 million installs exposed developers to file exfiltration, XSS, and remote code execution. The disclosure highlighted IDE extensions as a supply-chain weak point that could enable lateral movement inside organizations.
Researchers confirm the same issues affect Cursor and Windsurf
OX Security said the extension-related issues were also confirmed in Cursor and Windsurf, extending the impact beyond standard VS Code deployments. This showed the risk applied across compatible IDE ecosystems used by developers.
Three extension flaws receive CVE assignments
The vulnerabilities affecting Code Runner, Markdown Preview Enhanced, and Live Server were assigned CVE-2025-65715, CVE-2025-65716, and CVE-2025-65717, respectively. Reports described these issues as affecting all versions of the impacted extensions and remaining unpatched at disclosure time.
Microsoft patches Live Preview in version 0.4.16
Microsoft released Live Preview version 0.4.16, fixing the XSS-to-file-exfiltration issue by adding HTML sanitization. Multiple reports say the patch was released without public acknowledgment and no CVE was assigned.
Microsoft receives report on Live Preview XSS flaw
OX Security researchers Nir Zadok and Moshe Siman Tov Bustan reported the Microsoft Live Preview one-click XSS and local file exfiltration issue to Microsoft. Microsoft initially assessed the issue as low severity because exploitation required specific conditions and user interaction.
Researchers begin disclosing flaws to extension maintainers
OX Security began coordinated disclosure of the extension vulnerabilities to maintainers in July 2025, using channels including email, GitHub, and social media. The disclosures covered the non-Microsoft extensions later tracked as CVE-2025-65715, CVE-2025-65716, and CVE-2025-65717.
OX Security discovers VS Code extension flaws
OX Security researchers discovered severe vulnerabilities affecting four popular Visual Studio Code extensions: Live Server, Code Runner, Markdown Preview Enhanced, and Microsoft Live Preview. The flaws could enable local file theft, JavaScript execution, remote code execution, and XSS-based exfiltration from developer environments.
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