Keplr Wallet Suffers Private Key Breach Affecting 44,000 Accounts
Keplr Wallet experienced a private key breach affecting accounts created via social login. The incident resulted in unauthorized transactions totaling approximately $6.01 million.
Keplr Wallet accounts that were created using Google or Apple social login faced a private key breach due to a vulnerability in the Web3Auth infrastructure. This incident led to unauthorized transactions impacting over 44,000 wallets. The total loss from these on-chain transfers is reported to be around $6.01 million. Accounts that utilized recovery phrases or hardware wallets were not affected by this breach.
In response to the incident, Web3Auth, with assistance from Keplr, implemented whitehat recovery measures to secure the funds in designated recovery wallets. As a precautionary step, social logins have been paused to prevent further unauthorized access. The specific blockchain involved in this incident has not been stated, limiting the details available regarding tracing the affected transactions.
The on-chain record reflects the unauthorized transactions that occurred as a result of the breach, but specific addresses involved have not been disclosed. The incident highlights the risks associated with using social login features in cryptocurrency wallets.