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It's described at a high level in media often. Here's more detail though:

Person buys a product, or downloads some software - that unknowing to them, was reaching out to a central server elsewhere to establish a network tunnel. And over that tunnel, the other server routes traffic onto that person's home network. Which can then of course go onto the internet, and it appears like the traffic originated from their home internet connection.

Other people rent access to this network. The goal being, you have surreptitious access to appear as any one of tens of thousands of home network IP addresses on the public internet. Bad guys can use this to rotate through many different IP addresses when their access gets blocked because of malicious (or benign but unwanted) behavior on the internet. Residential IP addresses are more 'valuable' because they don't have the negative connotation that datacentre and commercial IPs can have, and they can be spread geographically or across many ISPs.

A very common way for people being a part of these residential proxy networks is by buying dodgy streaming boxes, and also installing shady apps on TV app marketplaces.

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This isn't a theoretical problem either. My employer's website was being hammered by residential proxies a month ago. It wasn't until we setup WAF captcha rules that they mostly subsided. It wasn't even the typical exploit scanner. I don't know what the purpose was but it was effectively a DDoS.
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Everyone's is. Far as anyone can tell, it's probably AI companies.
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It wasn't any sensible AI scraper. It kept requesting the same pages a thousand times over.
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Yep that's what AI scrapers do
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I was expecting that VPN’s (maybe not all) also use their own customers as relays, but you don’t mention them. Am I wrong?
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It's definitely not all VPNs (typically the ones you pay for will buy their own hardware and internet connections in the places you can route your traffic through), but it is a common situation for the shadier (especially 'free') ones, and in that case it's usually not just a peer-to-peer thing, they make money by selling your connection to people who pay because they want a large pool of relatively reputable and disconnected IPs to send traffic through.
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You're right, a lot of 'free VPN' software also uses your own internet as a residential proxy. It's often mentioned in the ToS but the users don't read that.
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Honestly, I expect any of those free VPN services that require an app install to be doing precisely this. At this point, I just assume anything with "free" in it will cost me more than if I just paid for something instead.
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I'm surprised it doesn't cause more chaos, even as simple as people getting copyright infringement notices from their ISP?
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That kind of VPN is considered a residential proxy.
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It means some networked devices in there are being remotely piloted to tunnel network traffic to somewhere else. This scenario usually happens with more "unprofessional" ISPs, which sell bandwidth from their networked clients for people in need of such services.

Such as ignoring web scraping countermeasures, and DDoS.

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Some good answers in this thread. I had the same question but I'm still a tad confused:

* I initially thought this meant someone in the WH network was using commercial proxies to appear as if they were exiting from a different network (which would align with "some user is firing up a proxy on their phone to exit in a different location")

* But then the description of residential proxies seemed to align more with traffic hitting an endpoint in the White House, and _exiting_ from the network there. But this didn't explain the timing (why isn't it 24/7).

* Finally it sounds like some person, legitimately on the WH network, has a device (cell phone, TV, whatever) that, when activated, is proxying outside traffic into the WH network.

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There are companies that provide proxy services for scraping services, and residential proxies route through consumer networks (like Comcast) which is flagged less than a datacenter IP.

Many questionable TV streaming boxes pretend to deliver you video, but in reality they are also piggy backing on your personal ISP to power those companies.

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>Many questionable TV streaming boxes

+ Sketchy Apps

+ Malware

+ Weird Android Variants

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The 4th sentence in the article has a link to What is a Residential Proxy?[0]

[0]: https://layer3intel.com/what-is-a-residential-proxy

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From the article:

> Residential proxy services sell access to everyday devices, letting customers send traffic through them so it appears to come from that device's network.

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They really should have said "botnet malware detected", it turns the White House into an exit IP for someone's else's botnet.
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Brightdata offers it as a paid service https://brightdata.com/proxy-types/residential-proxies
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Essentially lets bad actors use your home network.
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Bad actors as defined by who. Why am I bad for not living in the right country to access a website.
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Because the person whose IP you’re using as an exit node probably hasn’t fully consented to it being used as such.
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So what? Packets flowing through machines is just how the internet works. Stop believing all this propaganda that other peoples papers are EVIL and if you route them you are getting in BIG BIG trouble. This is harmful messaging that does not reflect reality.
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[dead]
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There are services you can pay for such that you can route internet traffic thru a specific IP in a specific part of the world. People (usually unwillingly and unknowingly) run software that effectively makes them part of a giant botnet. A computer running in Romania might have some kind of weather application or gambling/casino app that I could use to make an HTTP request as if I were on their network. So if you need access to 1,000 or 10,000 IP's to circumvent rate limits or perform crawling tasks, this is how you could do it.
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Second paragraph
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