# Security Related Articles

Bipartisan SAFE Crypto Act Unveiled: New Task Force To Combat Digital Asset Scams

In a bipartisan effort, Senators Elissa Slotkin and Jerry Moran introduced the SAFE Crypto Act to establish a federal task force combating digital asset scams. The task force will unite the Treasury Department, law enforcement, regulators, and private experts to enhance capabilities against crypto-related fraud. It will analyze scam trends, evaluate prevention methods, and issue recommendations. Key focuses include Ponzi schemes, money laundering, and fraudulent ICOs. The task force will also assess international efforts and review scamming tactics targeting individuals through digital intermediaries. A comprehensive report will be submitted to Congress within one year, with annual updates to address emerging threats.

bitcoinist12/18 14:09

XRP Ledger Adds Military-Grade Security Via Payments Engine Standard

Ripple has published the first formal specification for the XRP Ledger’s Payment Engine, developed with formal methods firm Common Prefix. This document aims to provide a canonical reference for payment behavior and cross-asset transfers on the ledger, moving beyond empirical success to mathematical certainty. The initiative addresses the limitations of relying solely on the C++ codebase as the source of truth, which makes it difficult to distinguish intentional design from historical behavior. As the ledger prepares for more complex features—like lending, batch transactions, and decentralized exchange upgrades—this specification ensures clarity and safety. The specification focuses on the Payment Engine and plans to extend to the Consensus Protocol, described as non-negotiable for network safety. Ripple aims to create both human-readable reference and machine-verifiable models to enable formal verification by 2026. The goal is to shift from "code-as-truth" to "mathematics-as-truth," enhancing security and enabling advanced features. The XRP community has welcomed the announcement as a major step toward military-grade security and protocol reliability.

bitcoinist12/18 14:02

Attacker takes over multisig minutes after creation, drains up to $40M slowly

A crypto attacker took control of a multisig wallet just minutes after its creation 44 days ago, ultimately draining up to an estimated $40 million. Blockchain analysis reveals the wallet was created by the victim on November 4th, but ownership was transferred to the attacker only six minutes later. The attacker then patiently drained and laundered the funds in stages, using Tornado Cash over several weeks. Security experts note the wallet was configured as a "1-of-1" multisig, requiring only one signature, which defeats its purpose. Possible attack vectors include malware, phishing, or poor security practices like storing keys in plaintext. The incident highlights growing security concerns, especially as new research shows AI models are already capable of autonomously finding and exploiting smart contract vulnerabilities.

cointelegraph12/18 13:14

Crypto losses near $3.4B as hackers went ‘big game hunting’

cointelegraph12/18 13:02

Bitcoiners push for quantum-resistant BIP-360 upgrade as debate heats up

A group of Bitcoin advocates and fund managers is urging the network to accelerate the adoption of quantum-resistant cryptography, citing BIP-360 as a potential solution. Proponents like Charles Edwards of Capriole warn that a significant portion of Bitcoin could be vulnerable to quantum attacks within years and argue for a migration deadline by 2028. However, critics including Adam Back of Blockstream dismiss these concerns as premature, stating quantum threats are “decades away” and emphasizing that Bitcoin doesn’t rely on encryption vulnerable to near-term quantum breaks. Debate continues as Taproot adoption declines, possibly reflecting user anxiety, while alternative quantum-resistant signature schemes like hash-based proposals from Blockstream Research gain attention.

cointelegraph12/18 12:21

MoveBit Research Release | Belobog: A Move Fuzzing Framework for Real-World Attacks

MoveBit introduces Belobog, a novel fuzzing framework designed specifically for Move smart contracts to address security challenges beyond syntax and type errors. Unlike traditional fuzzing methods that struggle with Move’s strong type system and resource semantics, Belobog leverages type-guided input generation and mutation. It constructs a type graph to produce semantically valid and executable transaction calls, significantly improving the efficiency and depth of state exploration. The framework integrates concolic execution (combining concrete and symbolic execution) to penetrate complex constraints and branch conditions, enabling deeper coverage of potential vulnerabilities. Evaluated on 109 real-world Move contracts, Belobog detected 100% of Critical and 79% of Major vulnerabilities confirmed by manual audits. It also demonstrated the ability to reproduce full exploit paths without prior knowledge of vulnerabilities. Designed to be developer-friendly, Belobog will be released as open-source to encourage community adoption and extension. The work is currently under peer review for PLDI’26. Preprint: https://arxiv.org/abs/2512.02918

marsbit12/16 09:12

Poland's Crypto Regulatory Bill 'Stalled', Pro-Crypto President and Strong-Regulation Prime Minister Engaged in Fierce 'Internal Struggle'

Poland is embroiled in a political standoff over its cryptocurrency regulatory bill, pitting pro-crypto President Karol Duda against Prime Minister Donald Tusk's pro-regulation government. The bill, intended to align with the EU's MiCA framework, mandates strict oversight by Poland's Financial Supervision Authority (KNF), requiring crypto service providers to register, comply with anti-money laundering rules, and adhere to consumer protection measures. It also introduces criminal liability for unlicensed activities. President Duda vetoed the bill, arguing it threatens economic freedom, stifles innovation with high compliance costs, and grants excessive powers to regulators. The ruling coalition, led by Tusk, resubmitted the identical bill unchanged, framing it as a national security necessity to counter Russian influence and illicit financial activities. The deadlock highlights deeper ideological divides: Duda's camp prioritizes market freedom and competitiveness, while Tusk's government emphasizes regulatory rigor and EU integration. The impasse leaves Poland as one of the few EU members yet to fully implement MiCA, with ongoing political negotiations determining the bill's fate.

marsbit12/16 08:03

The U.S. SEC Teaches You How to Custody Crypto Assets Step by Step

The U.S. SEC published an investor bulletin on December 12 to educate retail investors on crypto asset custody. The bulletin explains that crypto custody refers to how and where crypto assets are stored, typically through a crypto wallet that holds private and public keys rather than the assets themselves. Wallets are categorized as either "hot" (internet-connected, convenient but more vulnerable) or "cold" (offline, more secure but less convenient). Investors must also choose between self-custody (full control and responsibility over private keys) and third-party custody (using a service like an exchange, which manages keys but introduces counterparty risk). The SEC provides key questions for both options. For self-custody, these include assessing technical ability, desired control level, wallet type, and costs. For third-party custody, investors are urged to research the provider's background, regulatory status, insurance policies, security measures, asset storage methods, use of client assets (e.g., rehypothecation), privacy practices, and fee structure. General protection tips include never sharing private keys or seed phrases, safeguarding privacy, being wary of phishing scams, and using strong passwords with multi-factor authentication.

marsbit12/16 01:05

Looking Back at the Web3 Wallet Undercurrents of 2025: What Are the Major Players Really Competing On?

In 2025, the Web3 wallet sector is undergoing a quiet but significant transformation, driven by major players integrating advanced technologies to enhance security, usability, and functionality. Key developments include Coinbase and Bitget adopting TEE (Trusted Execution Environment) for secure key management and transaction signing, Binance and OKX leveraging TEE with MPC (Multi-Party Computation) and smart accounts for improved security and cross-chain operations, and MetaMask and Phantom introducing social login features using encrypted key sharding for better recovery and user experience. The evolution reflects a shift from purely self-custodial models to hybrid approaches that balance security with convenience, enabling features like automated trading, gas sponsorship, and seamless multi-chain interactions. This transition is fueled by emerging trends such as Perps (perpetual contracts), RWA (real-world assets), and CeDeFi, which demand more complex transaction capabilities. While no new dominant wallets emerged, existing leaders are repositioning as comprehensive entry points for diverse on-chain activities, moving beyond basic asset storage to integrated financial services. The adoption of TEE and MPC technologies, alongside potential future integration with passkeys, indicates a maturation of wallet infrastructure, setting the stage for broader adoption and more sophisticated applications in the coming years.

marsbit12/15 04:05

Ethereum Is Becoming the New Global Financial Backend

Ethereum is emerging as a global financial backend, reducing the complexity and cost of building financial services while increasing speed and security. It embeds core financial operations—such as ownership recording, value transfer, and obligation enforcement—into software, executed via a distributed validator set. This shared infrastructure eliminates the need for redundant internal systems, transforming capital-intensive processes into software-driven activities. The platform addresses key economic frictions: triangulation (discovery and agreement), transfer (value movement), and trust (enforcement). By providing a transparent, programmable, and cryptographically secured environment, Ethereum enables real-time settlement, automated compliance, and global interoperability. This reduces operational risks and costs, particularly for new entrants and markets with fragile financial systems. Ethereum’s impact is most significant in emerging economies, where it offers immediate functional improvements, while in developed markets, benefits accumulate gradually as more processes become programmable. It shifts institutional focus from infrastructure maintenance to innovation and product design, promoting leaner, more efficient financial services. As a resilient, open, and verifiable system, Ethereum is positioned to serve as the foundational layer for future financial infrastructure, driven by economic incentives favoring transparency and reliability.

marsbit12/13 10:36