Trust Wallet Chrome Extension Update Sparks Major Security Alarm

Another day, another crypto wallet security scare—this time hitting a major player's browser plugin.

Trust Wallet's Chrome extension update triggered immediate red flags across crypto communities. The patch appeared to introduce unexpected permission changes, potentially exposing user keys or transaction data. Security researchers flagged the update within hours of its release.

Extension Architecture Under Scrutiny

Browser extensions represent a persistent vulnerability surface in crypto. Unlike mobile apps with stricter sandboxing, extensions often request broad permissions that could be exploited through compromised updates. The incident highlights why some institutions still treat browser-based crypto access like an unsecured backdoor—much like traditional finance treats innovation.

User Response and Damage Control

Trust Wallet moved quickly to address concerns, but the damage to user confidence lingers. The episode serves as a stark reminder that in crypto, your security is only as strong as the weakest link in the update chain. Meanwhile, traditional banks fail basic cybersecurity audits quarterly but get regulatory passes—because nothing says 'secure' like a government stamp on outdated infrastructure.

This breach reinforces the industry's painful truth: convenience often trades directly against security. Until extension architectures evolve fundamentally, savvy users will keep moving critical operations to air-gapped environments. Because sometimes the safest wallet is the one that never touches the internet.

Unusual Blockchain Transfers Detected

Following the incident, blockchain researcher ZachXBT, known for tracking activities within the Blockchain, identified unusual transfers from many Trust Wallet addresses in a short period. Shared data revealed successive transactions post-update, transferring balances to different addresses within seconds.

Interestingly, the funds were not moved piece by piece but rather aggressively in a single motion. Bitcoin, Ethereum, and BNB assets were quickly cleared out in each instance, after which the funds were distributed to multiple intermediary addresses. Repeated redirect patterns observed within the blockchain transactions bolstered the possibility of a coordinated attack.

Claims of Losses Exceeding $4.3 Million

Current blockchain data associates at least $4.3 million worth of cryptocurrency with suspicious addresses. However, this figure is based solely on publicly available data and reported wallets, suggesting the actual losses could be higher. ZachXBT shared principal addresses where funds were compiled, emphasizing that these addresses withdrew assets from many compromised wallets and exhibited similar transaction patterns.

In response to these developments, the Trust Wallet team released an official statement on December 26, 2025, via X, highlighting that the issue stemmed from a security vulnerability affecting only the Trust Wallet Browser Extension 2.68 version. Users were advised to immediately disable the extension and upgrade to version 2.69. The team acknowledged the gravity of the situation and assured that an active investigation is ongoing.