Safe Wallet Enhances Security Following $1.4 Billion Bybit Hack

Ethereum-based crypto wallet protocol Safe has implemented immediate security improvements to its multi-sig solution after a cyberattack on the Dubai-based exchange Bybit on February 21.

The hack, attributed to North Korea’s Lazarus group, resulted in the theft of over $1.4 billion in Ether (ETH) from Bybit’s Ethereum wallet. The hackers exploited vulnerabilities in Safe Wallet’s UI by injecting hostile JavaScript code, specifically targeting Bybit and siphoning more than 400,000 ETH.

Security Measures and Updates

To prevent further attacks, Safe placed its Wallet in lockdown mode before announcing a phased rollout and a reconfigured infrastructure. The protocol’s co-founder, Martin Koeppelmann, stated that the team developed and shipped ten changes to the UI, including:

  • Show full raw tx data now on UI
  • Remove specific direct hardware wallet support that raised security concerns

These updates aim to provide signers with more detailed transaction data, addressing the issue of “blind signing,” a common vulnerability in multi-sig crypto transactions.

Industry-Wide Security Efforts

Bybit CEO Ben Zhou discussed the incident on the When Shift Happens podcast, highlighting the importance of collaboration and immediate damage control. Safe’s co-founder, Martin Koeppelmann, emphasized the need for industry-wide security efforts, stating:

“We are still in the ‘putting out fire’ mode – but once we have that behind us we need to come together and improve overall frontend and tx verification security.”

Koeppelmann added that this will require the involvement of many parties to solve the issue effectively.

Lessons Learned and Future Steps

The incident highlights the importance of prioritizing security in the cryptocurrency industry. As the industry continues to evolve, it is crucial for companies to collaborate and implement robust security measures to protect users’ assets.

Stay up-to-date with the latest news and developments in the world of cryptocurrencies and blockchain technology on Global Crypto News.

Post Views: 0