Browser extension vulnerability triggers fresh concerns over crypto wallet security
A recent crypto wallet security breach has resulted in losses exceeding $6 million for users of Trust Wallet, highlighting ongoing risks tied to browser-based wallet extensions. The incident, which surfaced in late December 2025, has prompted urgent updates and renewed scrutiny of wallet software security.
The breach was linked specifically to Trust Wallet Browser Extension version 2.68, following reports from users who experienced rapid, unauthorized fund withdrawals. Onchain analysis identified hundreds of affected wallets, with stolen assets traced to a cluster of theft-related addresses. The timing of the thefts coincided closely with a recent browser extension update, raising concerns about vulnerabilities introduced during deployment.
Trust Wallet confirmed the issue and urged all affected users to immediately upgrade to version 2.69, which reportedly resolves the security flaw. Users running the impacted version were advised to disable the extension entirely until the update was completed to prevent further losses.
In a public assurance, Trust Wallet’s owner confirmed that affected users will be fully reimbursed, emphasizing that remaining user funds are secure. Estimated losses were later revised upward to approximately $7 million as additional compromised addresses were identified.
Changpeng Zhao, the founder of Binance and owner of Trust Wallet, said Trust Wallet will cover affected losses and that user funds remain safe.
This breach occurs amid a broader surge in cryptocurrency-related hacks and phishing attacks. Industry data shows that total crypto thefts surpassed $3.4 billion in 2025, exceeding the previous year’s already elevated levels.
The Trust Wallet incident underscores the importance of prompt updates, cautious extension use, and strong security practices. As browser-based wallets remain popular, security lapses—even in isolated versions can have widespread financial consequences for users.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.