Sign Up on MEXC
Hardware wallets have a reputation of being one of the safest wallets for storing cryptocurrency. Though they are more expensive option, many cryptocurrency investors prefer them over soft wallets and paper wallets. However, Kraken Security Labs has found a serious flaw with Keepkey Hardware wallets, which makes them susceptible to getting breached easily.
This Glitching Device Can Help Break Into Keepkey
Per a blog published by Kraken Security Labs, there is a way by which seeds can be extracted from a Keepkey hardware wallet. It only takes a hacker about 15 minutes with the wallet to extract the seeds.
The breach takes place with a voltage glitching device, which, according to Kraken Security Labs, can be developed for $75. Though the encrypted seeds in the wallet are protected by a 1-9 digit pin, they are not immune to brute force, and using the voltage glitching device, they can be accessed easily. According to the blog, the microcontroller has inherent flaws which the attack exploits, and there is no other way to fix it except for a hardware redesign.
The blog recommends that the users should not allow physical access to the wallet, and warns that if users lose their Keepkey then their cryptocurrency is at a risk of being stolen with this attack. It also recommends users to enable their BIP39 Passphrase with the KeepKey Client.
Keepkey’s Response to the Findings
Keepkey has responded to the Kraken blog, saying that they are already aware of the issue, and at the time the issue had been identified, they had advised their users to use the BIP39 passphrase. In the blog, they also stated that the claim that the wallet can be hacked in 15 minutes is misleading –
“It’s misleading to claim the device can be hacked in 15 minutes. Executing this attack requires significant preparation and expertise as well as specialized equipment, and assumes physical possession of the device.”
Nevertheless, they have emphasised on securing cryptocurrency against attacks using BIP39 passphrase, and not allowing others physical access to the Keepkey hardware wallet.
- Bitcoin Treasuries Add Nearly $1B BTC This Week as Holdings Cross 1M BTC
- Peter Schiff Criticizes Bitcoin’s Performance Following Gold’s Rally To New ATH
- Arkham Uncovers $5 Billion in Untouched Bitcoin From Germany’s Movie2K Seizure
- Ethereum Spot ETFs Record $447 Million in Outflows Amid Crypto Market Decline
- World Liberty Financial Discloses Reason for Blacklisting 272 Wallets
- HBAR Price Forecast: Analyst Targets 123% Rally as ETF Approval Odds Hit 90%
- Solana Price Prediction: Will Solana Hit $320 as SOL Strategies Gains Nasdaq Approval?
- XRP Price Forecast: Analyst Eyes $127 as BlackRock Joins Ripple Swell 2025
- Chainlink Price Eyes $55 as Reserve Holdings Jump With 43,937 LINK Addition
- Cardano Price Targets 30% Surge as Top Economist Calls for Fed Cut
