Trust Wallet Users Lost $7 Million in Cryptocurrency Due to Hack

RBK-cryptoPublished on 2025-12-26Last updated on 2025-12-26

Abstract

On December 26, the team behind Trust Wallet, a popular cryptocurrency wallet owned by Binance, reported a security breach affecting the browser extension version 2.68. According to Binance founder Changpeng Zhao, the incident was the result of a hack, resulting in losses of approximately $7 million. Users of the compromised version were advised to disable or uninstall it and upgrade to the secure version 2.69. The breach did not impact the mobile application. Trust Wallet's native token (TWT) initially dropped around 7% in price but recovered after the official announcement. Zhao stated that Trust Wallet would cover all user losses and urged affected individuals to contact support. Although no official cause was confirmed, reports suggest that version 2.68 contained hidden malicious code that intercepted users' secret recovery phrases during wallet imports, sending them to an external server. This allowed attackers to gain full access to affected wallets. Some community members, including Zhao, suspect the breach may have been an inside job involving a team member.

On the night of December 26, the team of the popular cryptocurrency wallet Trust Wallet reported a security breach that affected the browser application version 2.68. As explained by Binance founder and head of YZi Labs, which owns Trust Wallet, Changpeng Zhao, the incident occurred as a result of a hacker attack, and the damage amounted to $7 million.

Users of version 2.68 should disable or delete this build and only then install the new version 2.69, and under no circumstances should they open or use the unsafe version. The hack only concerns the browser version 2.68 and did not affect the mobile application.

The native token of Trust Wallet (TWT) reacted with a price drop of about 7%, falling for three hours before the team's announcement around 01:20 Moscow time on December 26. After the official announcement, the TWT price recovered to previous levels and the asset is trading slightly below $0.83.

Zhao stated that Trust Wallet will cover all user losses, and affected users were asked to write to the wallet's support service, a link to which can be found on the official website.

No official statements have been made regarding the causes of the hack. But its essence, according to a report by user Akinator on social network X, may be that a hidden malicious code was embedded in version 2.68 of the Trust Wallet browser extension. Akinator was one of the few who reported the hack several hours before the official confirmation from Trust Wallet.

The assumption is that when a user enters their secret phrase to import a wallet, this code stealthily intercepts the data and sends it to an external server. In this way, the attackers could gain full access to the users' wallets and funds.

The crypto community believes that the malicious code was embedded by someone from the cryptocurrency wallet team. In response to a suggestion by X user under the nickname Crazino.eth that the hack was "certainly carried out by an insider working in the team," Zhao replied "probably."

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