- Trezor wallet is not safe to use and into the risk of being hacked as reported by Kraken exchange.
- Kraken security labs showed the risk of this hardware wallet of being hacked or can be manipulated using the seed phrases exposure.
Physical Bitcoin wallet company Trezor with one of its model named Model T into the risk of being hacked as reported by Kraken exchange on its Twitter handle.
?It took Kraken Security Labs just 15 minutes to hack both of @trezor’s crypto hardware wallets.
Here’s how we did it and what it means if you’re a user: https://t.co/5betNtDnD0
— Kraken Exchange (@krakenfx) January 31, 2020
Kraken security labs showed the risk of this hardware wallet of being hacked or can be manipulated using the seed phrases exposure. Seed Phrases are a set of non-identical group of words a user can put use to store digital assets in the hardware security.
Kraken showed a report stating that Trezor’s Bitcoin wallet can be hacked by manipulating the chipsets in the wallet by altering the voltage supply.
The hardware wallets are easily available for a price of $75 and can be easily accessed by a hacker to retrieve the Bitcoins. Nick Percoco, security director of Kraken shared that Trezor is conscious of the deformity of the product and easy vulnerability.
They also mention the disadvantage lies in the hardware of the wallet and to address the same issue an update won’t provide or be a suitable result. Trezor recommended releasing a whole new device with all the securities enclosed to fill the loose ends so that the user’s digital assets and coins wouldn’t stay at risk of being hacked.
Trezor’s Response on Wallet Security
However, Trezor reported back that the foretold manipulation cannot be remotely done, and it needs physical authentication of the user of the wallet to retrieve what’s inside. Trezor shared that it requires a passphrase key wit high standards of BIP 39, only then can the device be unlocked. They also shared research data showing that only 6-9% of the users are prone to these type of attacks, although these type of attacks are not widespread.
There is no unhackable hardware, including mobile phones (especially if the physical access is the part of a story).
— Trezor (@Trezor) January 31, 2020
Kraken also had seen the previous risk of exploitation of other company hardware and show that the root cause remains in the assets being stored in the chip frames, which are very sensitive to outside attacks. They intend to provide the solution to use code phrases which is only known to the person using it.