This is the most immediate and severe risk. Free download websites are a notorious vector for malware. The files you download may not be a movie at all, but a malicious executable file disguised as a video. When opened, it can infect your device with ransomware (which locks your files and demands payment), spyware (which steals your personal information), or simply turn your computer into part of a botnet for cybercriminals. The risk is compounded by the fact that many of these sites are set up recently and lack a long-term reputation.
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