MetaMask Removes Validators from Lido After Security Incident
MetaMask, a self-custodial crypto wallet, recently disclosed a security incident affecting part of its infrastructure. The company has been removing its staking unit's Ethereum validators from Lido, a liquid staking protocol, as a precautionary measure.
The security incident was detected on September 30, and MetaMask has assured that it has identified no immediate threat to user wallets. However, the company is taking steps to protect client assets by exiting its ETH validators in the Lido protocol.
According to Lido, the affected validators have already begun the exit process, which may result in foregone rewards and downtime penalties for the validators. The exited ETH is expected to return to the protocol gradually as validators complete the exit, withdrawal, and re-entry cycle.