See More

2,000 Crypto Private Keys Stolen From Edge Wallet

2 mins
Updated by Kyle Baird
Join our Trading Community on Telegram

In Brief

  • Edge Wallet saw 2,000 crypto private keys compromised after an attacker compromised private keys.
  • The team has patched the vulnerability.
  • Security continues to be a problem for the crypto industry, with several having already taken place in 2023.
  • promo

Edge wallet suffered a security incident, leading to 2,000 private keys being exploited. The vulnerability has since been patched.

Crypto wallet Edge has suffered a security incident, resulting in the attacker stealing 2,000 private keys. The team published a post on Feb. 22 detailing the security incident, stating that it had identified the vulnerability. The team has already released a patch that addresses the issue.

The attack took place on Feb. 20, and the team was notified by a user who experienced an unauthorized transaction that resulted in them losing all of their Bitcoins. The attacker only stole Bitcoin, while other assets remaining untouched.

The takeaway from this is that the attacker only had access to the individual master private key for the Bitcoin wallet. As such, the user’s account was not logged into, but rather just the Bitcoin wallet’s private key was compromised.

Further investigation led to the team discovering that a few actions could lead to a vulnerability in private keys. The first was that if a user selected a handful of options under the buy and sell tabs, it would result in logging the encrypted private key of the selected wallet onto the device’s disk.

The second was that if they used the upload logs feature, it would send the logs to Edge servers. This would include the private key if the aforementioned buy and sell options were selected.

The total number of users affected accounts for 0.01% of all keys made via Edge. The total amount stolen is about “low 5 figures in USD.”

What Is Edge Wallet?

Edge Wallet is a non-custodial wallet that operates on a decentralized server architecture. It has a strong focus on privacy and security, using zero-knowledge proofs in its design.

The project has seen some controversy, especially for its “confidential Mastercard.” The project announced that the Mastercard would offer high privacy — but Mastercard itself said that it was not approved. Edge put the card on hold following the revelation.

There are also reports that the Titan Stealer malware has targeted the Edge wallet. This Golang-based malware can steal such information as credential data, screenshots, and FTP client details, among other things.

Crypto Hacks Not Abating

The past 18 months have seen several attacks that place in the crypto market. 2022 was the worst year for crypto, with about $3.9 billion stolen. The exploit in fashion at the moment is the cross-chain bridge attack, which accounted for some of the biggest crypto hacks of 2022.

2023 hasn’t fared much better, despite the fact that only two months have passed. The USP stablecoin recently lost its depegged after the hacker stole $8.5 million from Platypus. Trust Wallet also suffered a $4 million social engineering hack.

Top crypto projects in the US | May 2024

Trusted

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Rahul-Nambiampurath.jpg
Rahul Nambiampurath
Rahul Nambiampurath's cryptocurrency journey first began in 2014 when he stumbled upon Satoshi's Bitcoin whitepaper. With a bachelor's degree in Commerce and an MBA in Finance from Sikkim Manipal University, he was among the few that first recognized the sheer untapped potential of decentralized technologies. Since then, he has helped DeFi platforms like Balancer and Sidus Heroes — a web3 metaverse — as well as CEXs like Bitso (Mexico's biggest) and Overbit to reach new heights with his...
READ FULL BIO
Sponsored
Sponsored