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[ARTICLE · art-74566] src=simonwillison.net ↗ pub= topic=artificial-intelligence verified=true sentiment=↓ negative

An Inside Look at the Relay Market Powering Token Resellers and Fraud

A relay market in China is enabling token resellers to offer discounted LLM API access by abusing free trials, unprotected support bots, stolen credit cards, and chargeback attacks, according to a report by Vectoral. The resellers use open-source proxy software like one-api and new-api to load-balance requests across pooled credentials, while buyers seek cheap tokens, bypass geo-restrictions, or collect data for model distillation. The existence of this ecosystem raises concerns about abuse of LLM endpoints and underscores the need for stricter API key caps from vendors.

read1 min views1 publishedJul 26, 2026

An Inside Look at the Relay Market Powering Token Resellers and Fraud This looks to be mostly a thing in China. Resellers sell access to an LLM proxy that offers significant discounts on regular API pricing, which they achieve by abusing free trials, proxying through unprotected support bots, or sometimes through stolen credit cards or chargeback attacks.

The software they are using for these proxies is open source - mostly one-api and its more actively developed fork new-api, both legitimate API proxy products which can be used to load. balance requests across a pool of API credentials.

The buyers are seeking cheap tokens, avoiding geo-restrictions, and in some cases collecting data for model distillation.

I've been cautious about exposing my own LLM-driven applications publicly out of fear of abuse leading to big token bills. The existence of this marketplace makes me even more cautious: there's now an entire ecosystem that can profit from finding a new unprotected endpoint to exploit.

LLM vendors really need to get better at offering strict caps for their API keys. I want my LLM apps to stop working the moment they hit a dollar threshold I've set for a period of time.

Here's [the (Chinese language) forum thread](https://www.v2ex.com/t/1196011) that served as the principal source for Matt's article.

Via [Hacker News](https://news.ycombinator.com/item?id=49058993)

Tags: [ai](https://simonwillison.net/tags/ai), [generative-ai](https://simonwillison.net/tags/generative-ai), [llms](https://simonwillison.net/tags/llms), [llm-pricing](https://simonwillison.net/tags/llm-pricing), [ai-ethics](https://simonwillison.net/tags/ai-ethics), [ai-in-china](https://simonwillison.net/tags/ai-in-china)
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