Safe Wallet Introduces New Security Features following Bybit Hack – Crypto News – Crypto News
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Safe Wallet Introduces New Security Features following Bybit Hack – Crypto News

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Safe Wallet, the Ethereum multisignature wallet security provider that temporarily paused certain functionalities following Bybit Hack, announced this morning that it has added an additional layer of security measures.
Aiming for a phased roll-out within the next 24 hours, the step comes as a part of Safe Wallet’s ongoing improvisation and protective efforts since the crypto industry witnessed the biggest $1.5 billion Bybit hack in its history.

Raising doubts on Safe’s Infra following Bybit Hack

Since Bybit’s Ethereum cold wallet was secured by Safe Wallet’s multisignature technology, the vulnerabilities of its infrastructure have been coming into limelight with the users and crypto leaders themselves questioning its security infrastructure.

The breach that occurred during a routine tranfer from Bybit’s cold wallet to a warm wallet involved hackers manipulating the signing process to gain control over the cold wallet.

The attackers while transferring assets into an unknown address used a masked URL that appeared legitimate Safe transaction. Aftermath of the hack, questions have been raising about the vulnerabilities within the Safe Wallet’s infrastructure as highlighted by Bybit founder and CEO Ben Zhou too.

Though Safe Wallet has denied any compromise possible in its front end, it did suspend certain functionalities on 21 feb in order to perform a thorough investigation. Currently, Safe Wallets secures over $100 billion in digital assets by providing multi-signature (multisig) security. It requires multiple approvals before transactions can be executed.

 What are the enhanced security measures?

As part of its move to restore trust in its infrastructure, Safe Wallet has announced following enhanced security features;

  • It is implementing stricter checks for transaction hashes, data, and signatures to ensure authenticity and integrity. This additional layer of verification will help detect any irregularities before transactions are executed.
  • It is temporarily removing native Ledger integration, as this was the signing device/method used in the targeted Bybit attack
  • The updated wallet now supports customizable multisignature (multisig) thresholds, allowing users to require multiple approvals for transactions. This feature is particularly beneficial for institutional users and DAO treasuries.
  • Safe Wallet is also integrating an AI-driven monitoring system that scans for suspicious activities in real-time. Users will receive instant alerts if unusual transactions are detected, enabling faster response times in case of potential threats.

The enhanced features may take users longer times for executing transactions since additional checks are put-in by Safe Wallet. Further, it has also asked users to remain vigilant while signing transactions and assure themselves whether the correct transaction data is signed or not before executing transactions.

Thus, with the enhanced features set to be implemented with the poised phased roll-out, Safe Wallet and other crypto actors including Bybit and other exchanges, can continue to work towards the united vision of creating a robust and secured Web3 infrastructure..

Disclaimer: The content may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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