What Exactly Happened in the Trust Wallet Incident
Step 1: A New Browser Extension Update Was Released
A new update for the Trust Wallet browser extension was released on December 24.
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The update seemed routine.
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No major security warnings came with it.
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Users installed it through the usual update process.
At this point, nothing seemed suspicious.
Step 2: New Code Was Added to the Extension
After the update, researchers looking into the extension’s files noticed changes in a JavaScript file known as 4482.js.
Key observation:
This matters because browser wallets are very sensitive environments; any new outgoing logic poses a high risk.
Step 3: Code Masqueraded as “Analytics”
The added logic appeared as analytics or telemetry code.
Specifically:
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It looked like tracking logic used by common analytics SDKs.
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It did not trigger all the time.
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It activated only under certain conditions.
This design made it harder to detect during casual testing.
Step 4: Trigger Condition — Importing a Seed Phrase
Community reverse-engineering suggests the logic was triggered when a user imported a seed phrase into the extension.
Why this is critical:
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Importing a seed phrase gives the wallet full control.
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This is a one-time, high-value moment.
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Any malicious code only needs to act once.
Users who only used existing wallets may not have triggered this path.
Step 5: Wallet Data Was Sent Externally
When the trigger condition occurred, the code allegedly sent data to an external endpoint:
metrics-trustwallet[.]com
What raised alarms:
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The domain looked a lot like a legitimate Trust Wallet subdomain.
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It was registered only days earlier.
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It was not publicly documented.
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It later went offline.
At least, this confirms unexpected outgoing communication from the wallet extension.
Step 6: Attackers Acted Immediately
Shortly after seed phrase imports, users reported:
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Wallets drained within minutes.
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Multiple assets moved quickly.
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No further user interaction was needed.
On-chain behavior showed:
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Automated transaction patterns.
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Multiple destination addresses.
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No obvious phishing approval flow.
This suggests attackers already had enough access to sign transactions.
Step 7: Funds Were Consolidated Across Addresses
Stolen assets were routed through several attacker-controlled wallets.
Why this matters:
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It suggests coordination or scripting.
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It reduces reliance on a single address.
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It matches behavior seen in organized exploits.
Estimates based on tracked addresses suggest millions of dollars moved, although totals vary.
Step 8: The Domain Went Dark
After attention increased:
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The suspicious domain stopped responding.
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No public explanation followed immediately.
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Screenshots and cached evidence became crucial.
This is consistent with attackers destroying infrastructure once exposed.
Step 9: Official Acknowledgment Came Later
Trust Wallet later confirmed:
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A security incident affected a specific version of the browser extension.
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Mobile users were not affected.
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Users should upgrade or disable the extension.
However, no full technical breakdown was given right away to explain:
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Why the domain existed.
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Whether seed phrases were exposed.
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Whether this was an internal, third-party, or external issue.
This gap fueled ongoing speculation.
What Is Confirmed
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A browser extension update introduced new outgoing behavior.
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Users lost funds shortly after importing seed phrases.
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The incident was limited to a specific version.
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Trust Wallet acknowledged a security issue.
What Is Strongly Suspected
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A supply-chain issue or malicious code injection.
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Seed phrases or signing ability being exposed.
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The analytics logic being misused or weaponized.
What Is Still Unknown
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Whether the code was intentionally malicious or compromised upstream.
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How many users were affected.
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Whether any other data was taken.
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Exact attribution of the attackers.
Why This Incident Matters
This was not typical phishing.
It highlights:
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The danger of browser extensions.
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The risk of blindly trusting updates.
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How analytics code can be misused.
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Why handling seed phrases is the most critical moment in wallet security.
Even a short-lived vulnerability can have serious consequences.