MetaMask Affirmed Safe After Security Incident, Blast Layer 2 Network Shuts Down

Yesterday, Consensys founder Joseph Lubin gave a security update regarding the latest incident involving MetaMask wallets. He assured users that their wallets and customer funds were not affected by the security incident that hit part of their infrastructure. Lubin clarified that user Secret Recovery Phrases and private keys were also not compromised, as these are under self-custody control by users.

However, the team did rotate validator keys as a precaution, which means affected validators must exit and rejoin the staking queue. This rotation is crucial to prevent any potential issues with withdrawal keys, which control access to staked ETH.

The Blast Layer 2 network, on the other hand, will be shutting down due to high maintenance costs that exceed its revenue. The team announced that users need to move their assets back to the Ethereum mainnet by October 26, 2026, and withdrawals will be paused for about a week while the team unwinds its assets through Lido.

Ethereum's price today is trading at $2,679.62, down 1.8% in the past 24 hours, according to CoinGecko data. This decline puts it below the $2,700 mark, which traders are watching closely.