# Persistent Billable State: Denial-of-Wallet Attacks and Defenses in Tool-Calling LLM Agents

arXiv: https://arxiv.org/abs/2609.28585 · HTML: https://mlsanity.com/paper/2609.28585/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Placed in Agent threats, guardrails and governance, one of 16 directions in LLM agents and tool use.
- Builds on 34 of its 50 references that are in the map.
- First posted on arXiv 23 Sep 2026.

## Placed in

- LLM agents and tool use / [Agent threats, guardrails and governance](https://mlsanity.com/agents/agent-threats-guardrails-and-governance/)

## Builds on (most cited first, 30 of 34)

- [ReAct: Synergizing Reasoning and Acting in Language Models](https://mlsanity.com/paper/2210.03629/) (2022)
- [Toolformer: Language Models Can Teach Themselves to Use Tools](https://mlsanity.com/paper/2302.04761/) (2023)
- [A Survey on Large Language Model based Autonomous Agents](https://mlsanity.com/paper/2308.11432/) (2023)
- [ToolLLM: Facilitating Large Language Models to Master 16000+ Real-world APIs](https://mlsanity.com/paper/2307.16789/) (2023)
- [Not what you've signed up for: Compromising Real-World LLM-Integrated Applications with Indirect Prompt Injection](https://mlsanity.com/paper/2302.12173/) (2023)
- [The Rise and Potential of Large Language Model Based Agents: A Survey](https://mlsanity.com/paper/2309.07864/) (2023)
- [Gorilla: Large Language Model Connected with Massive APIs](https://mlsanity.com/paper/2305.15334/) (2023)
- [FrugalGPT: How to Use Large Language Models While Reducing Cost and Improving Performance](https://mlsanity.com/paper/2305.05176/) (2023)
- [RouteLLM: Learning to Route LLMs with Preference Data](https://mlsanity.com/paper/2406.18665/) (2024)
- [Prompt Injection attack against LLM-integrated Applications](https://mlsanity.com/paper/2306.05499/) (2023)
- [Identifying the Risks of LM Agents with an LM-Emulated Sandbox](https://mlsanity.com/paper/2309.15817/) (2023)
- [InjecAgent: Benchmarking Indirect Prompt Injections in Tool-Integrated Large Language Model Agents](https://mlsanity.com/paper/2403.02691/) (2024)
- [AgentHarm: A Benchmark for Measuring Harmfulness of LLM Agents](https://mlsanity.com/paper/2410.09024/) (2024)
- [Hybrid LLM: Cost-Efficient and Quality-Aware Query Routing](https://mlsanity.com/paper/2404.14618/) (2024)
- [LLMLingua: Compressing Prompts for Accelerated Inference of Large Language Models](https://mlsanity.com/paper/2310.05736/) (2023)
- [Agent Smith: A Single Image Can Jailbreak One Million Multimodal LLM Agents Exponentially Fast](https://mlsanity.com/paper/2402.08567/) (2024)
- [Skill-Inject: Measuring Agent Vulnerability to Skill File Attacks](https://mlsanity.com/paper/2602.20156/) (2026)
- [A New Era in LLM Security: Exploring Security Concerns in Real-World LLM-based Systems](https://mlsanity.com/paper/2402.18649/) (2024)
- [Design Patterns for Securing LLM Agents against Prompt Injections](https://mlsanity.com/paper/2506.08837/) (2025)
- [MCP Security Bench (MSB): Benchmarking Attacks Against Model Context Protocol in LLM Agents](https://mlsanity.com/paper/2510.15994/) (2025)
- [AgentLAB: Benchmarking LLM Agents against Long-Horizon Attacks](https://mlsanity.com/paper/2602.16901/) (2026)
- [The Landscape of Prompt Injection Threats in LLM Agents: From Taxonomy to Analysis](https://mlsanity.com/paper/2602.10453/) (2026)
- [ThinkTrap: Denial-of-Service Attacks against Black-box LLM Services via Infinite Thinking](https://mlsanity.com/paper/2512.07086/) (2025)
- [State of AI: An Empirical 100 Trillion Token Study with OpenRouter](https://mlsanity.com/paper/2601.10088/) (2026)
- [Agent Contracts: A Formal Framework for Resource-Bounded Autonomous AI Systems](https://mlsanity.com/paper/2601.08815/) (2026)
- [Beyond Max Tokens: Stealthy Resource Amplification via Tool Calling Chains in LLM Agents](https://mlsanity.com/paper/2601.10955/) (2026)
- [Clawdrain: Exploiting Tool-Calling Chains for Stealthy Token Exhaustion in OpenClaw Agents](https://mlsanity.com/paper/2603.00902/) (2026)
- [Token Budgets: An Empirical Catalog of 63 LLM-Agent Budget-Overrun Incidents, with an Affine-Typed Rust Mitigation as a Case Study](https://mlsanity.com/paper/2606.04056/) (2026)
- [LeechHijack: Covert Computational Resource Exploitation in Intelligent Agent Systems](https://mlsanity.com/paper/2512.02321/) (2025)
- [Overthinking Loops in Agents: A Structural Risk via MCP Tools](https://mlsanity.com/paper/2602.14798/) (2026)

## Abstract (arXiv)

Multi-step tool-calling LLM agents rely on host runtimes to preserve state across turns. When a runtime carries an external tool return into later model inputs, providers meter it again. An admitted malicious or compromised tool can thereby convert untrusted data into recurring victim-billed processing without victim credentials or local runtime privilege. We call retained content persistent billable state and formalize the host's decision over whether and how it enters later billable context as the persistent billable-state boundary. We present the first systematic security study of this post-admission lifecycle. We derive six denial-of-wallet attack vectors and build DOW-BENCH, an end-to-end harness evaluated across six model families. Across 243 executions, usage telemetry shows that the maximum per-session cumulative input reaches 14,293x the session's first-call input. Controlled history-policy reruns isolate raw retention's contribution: retaining raw history increases mean effective session cost by 21.2-35.9%. Compression succeeds on 10/12 and 11/12 history-dependent tasks, versus 2/12 under deletion for each provider. To govern this boundary, we combine deterministic history transformation with four host-side invariants that bound prompt mass, context growth, recursive opportunity, and cumulative spend before reingestion. The kernel contains every recurring attack in the 123-evaluation replay corpus. Across 24 Mistral Small 4 workflows, a progress-authorized policy achieves 22/24 oracle-verified task successes with no pre-completion interruptions, versus 13/24 under a fixed cap. Only 71 of 3,830 scanned MCP server and transport repositories expose any code-visible safeguard proxy, and none cover all four safeguard families. These results establish persistent billable state as a first-class security object and pre-reingestion as its host-owned control point.
