This is a critical remote code execution vulnerability in Sharepoint when used on-prem - Sharepoint for Microsoft 365 is not affected. It appears to be a variant of a previous bug which allows an unauthenticated attacker to use a deserialization vulnerability to run code on the server, though details are still emerging.
If you host a Sharepoint instance you should immediately apply the security update and review the advice on this Microsoft page. Paying particular attention to the sections describing how to rotate your Machine Key and detect if you were already compromised.
As there was a lag time between information on this vulnerability being available to attackers and the availability of the patch, there has been active exploitation of Sharepoint instances during this period.