Crypto
MetaMask Unstake $1.4B in ETH After Security Incident Affects Validators
Crypto wallet giant MetaMask has taken drastic action in response to a security incident affecting its non-custodial staking operations.
The company has 'proactively' initiated the exit of 17,000 affected Ethereum validators, representing a total of over 523,000 staked ETH ($1.4 billion), following a security incident.
MetalMask stressed that its wallets faced 'no immediate threat,' and that the issue was confined to its non-custodial staking operations.
On-chain analysis revealed that block rewards from 18 MetaMask validators were not paid to the correct fee recipient but instead to a Tornado Cash-funded account, sparking concerns about potential losses for users.