Blink wallet hacked

[logfiles]

News and updates coming in about an hour ago or so indicates that the custodial side of blink wallet  was compromised and funds drained from a number of addresses and they had to pause the service.


Source: https://x.com/blinkbtc/status/2101290680584695956

The team claims that the self custodial wallets were not affected in the attack but it appears that even the self custodial wallets are not able to load/sync properly so users are not able to view balances according to some complaints

If you are one of the Blink wallet users, please check your accounts.

[stompix]

The team claims that the self custodial wallets were not affected in the attack but it appears that even the self custodial wallets are not able to load/sync properly so users are not able to view balances according to some complaints

Yeah, the non-custodial wallets that need the centralized service to work properly, the thing never stops being funny.
There is an update:

Update: A few dozen custodial accounts were affected by the incident.
Every affected account is identified and will be made whole.

Wonder if we have another vulnerability case that hasn't been patched for ages as these keep popping up

[Charles-Tim]

If the noncustodial part is truly noncustodial, their users can decide to use seed phrase to access their coins on another wallet if it is BIP39 compatible.

Those that are using custodial wallet, this will not be their last lesson. Despite it happened, people will still custodial means to hold coins. Many people prefer just to go the wrong way.

[ryzaadit]

Good thing you opened this thread, OP.

1 hour before your thread, I was confused about which board was suitable for these discussions. Since the majority of wallets have their own board, but can't find any discussion focused on Blink Wallet.

I decided to posted on other thread are mentioned Blink Wallet: https://bitcointalk.org/index.php?topic=5494607.msg67159168#msg67159168.


Good things now they have already identified which accounts are being affected by the breach. Now, there is nothing they can do by just waiting further information.


Source: https://x.com/blinkbtc/status/2101342221455052898

Wonder if we have another vulnerability case that hasn't been patched for ages as these keep popping up

Surely, we are gonna see more and more new hacks, breaches or vulnerabilities with the AI slaps check haha.

[coinlary]

If you are one of the Blink wallet users, please check your accounts.

Checking their account will do nothing at the moment. The custodial accounts are on mandatory holiday, which means no withdrawals. For the self-custody users, my advice is to import their keys into another wallet to move their funds. I don't know how they operate, but if it truly is self-custody, they should be able to access their funds through another wallet.

Update: A few dozen custodial accounts were affected by the incident.
Every affected account is identified and will be made whole.

A few dozens does not count, what's the exact figures

[un_rank]

If the noncustodial part is truly noncustodial, their users can decide to use seed phrase to access their coins on another wallet if it is BIP39 compatible.

Any user with a back up can recover and access their balance on blink. This is an easy to understand example of why it is not your coins if you do not hold the keys. Same service, but only those reliant on the custodian service have to wait till they are given access to view and spend their funds. It is always better to use a wallet that is enentirely non custodian.

- Jay -

[The Cryptovator]

The team claims that the self custodial wallets were not affected in the attack but it appears that even the self custodial wallets are not able to load/sync properly so users are not able to view balances according to some complaints

I am not very familiar with the Blink wallet; I probably heard it for the first time. According to their tweets, they have both wallet custodial and noncustodial. Wondering why the noncustodial wallet will fail to synchronise due to the custodial wallet attack. A true custodial wallet shouldn't be affected by the attack; it’s not too easy for a hacker.

However, it’s always better to use an open-source noncustodial wallet like Electrum or just move forward with a hardware wallet that is also open-source. It’s not easy to trust any wallet with our funds unless it’s highly secured and tested.

[greysonz]

The team claims that the self custodial wallets were not affected in the attack but it appears that even the self custodial wallets are not able to load/sync properly so users are not able to view balances according to some complaints

I am not very familiar with the Blink wallet; I probably heard it for the first time. According to their tweets, they have both wallet custodial and noncustodial. Wondering why the noncustodial wallet will fail to synchronise due to the custodial wallet attack. A true custodial wallet shouldn't be affected by the attack; it’s not too easy for a hacker.

However, it’s always better to use an open-source noncustodial wallet like Electrum or just move forward with a hardware wallet that is also open-source. It’s not easy to trust any wallet with our funds unless it’s highly secured and tested.

I completely agree, that’s why I always use only Electrum.
As for Blink’s services themselves, they’re up and running again. The very vulnerability that was at the root of the incident has been fixed. Access has been partially restored - and “partially” because it’s only for the unaffected accounts. This brings all unaffected wallets back to normal.
Blink has decided to temporarily keep the affected users’ accounts blocked for now. And they clarify that non‑custodial balances were never affected.
For any questions, the project team is open to contact via support@blink.sv.

Looks like a good example for many crypto projects.

[BitMaxz]

Actually, I had never heard of this wallet before; it looks brand new to me.

This is why I don't trust custodial or cloud backups; they're not safe. They have full control of your wallet and maybe this isn't hacked, but it's an inside job.

Remember, this happens every cycle; even when they are hacked or taken down, they always repeat the process in order to scam and accumulate more Bitcoin for the next ATH.

Be careful on selecting any wallet; that is why I stick to the oldest wallets like Electrum, which is already developed many times and improved a lot, and most of the security vulnerabilities are already being solved, unlike new wallets.

The team claims that the self custodial wallets were not affected in the attack but it appears that even the self-custodial wallets are not able to load/sync properly so users are not able to view balances, according to some complaints.

It might be just a server issue, and I think if that is self-custodial, it should have a backup wallet seed that can be recovered to other wallets.