Crypto Losses Hit $3.14B After $7M Trust Wallet Hack, CZ Calms Users
Following a massive $7 million security breach at Trust Wallet - and no doubt sending a few shivers down the spines of crypto enthusiasts...
Quick overview
- Trust Wallet experienced a $7 million security breach on December 25, affecting their Browser Extension version 2.68.
- Changpeng Zhao reassured investors that affected users would be fully reimbursed and that customer assets are safe under the 'SAFU' guarantee.
- The breach highlights ongoing vulnerabilities in crypto software distribution, with $3.14 billion lost to hacks in 2025 alone.
- Industry leaders emphasize that improving crypto security is an ongoing challenge, as evidenced by multiple significant breaches this year.
Following a massive $7 million security breach at Trust Wallet – and no doubt sending a few shivers down the spines of crypto enthusiasts – Changpeng Zhao, the well-known founder and former CEO of Binance, wasted no time in trying to reassure worried investors that everything was going to be alright. Zhao took to X to make a public statement, reassuring everyone that those affected by the breach would be fully reimbursed and that customer assets are 100% safe thanks to the “SAFU” guarantee, which most of the industry uses.
The breach happened on Christmas Day, December 25, and the hackers managed to get their hands on a decent pile of cash across multiple different cryptocurrencies, including Bitcoin, Ethereum, and BNB. Zhao confirmed that Trust Wallet would be taking the hit for this one, and an investigation is currently underway to determine how the attackers managed to sneak in a dodgy software update.
ACCORDING TO LEDGER 2.3M TO 3.7M #BITCOIN ARE PERMANENTLY LOST FOREVER!
THESE BTC WILL NEVER ENTER CIRCULATION AGAIN 👀 pic.twitter.com/dDz6mkaaFq
— That Martini Guy ₿ (@MartiniGuyYT) December 23, 2025
What Caused the Security Incident – Not Rocket Science
Trust Wallet revealed that the exploit only affected their Browser Extension version 2.68, and only because the team was still working out the details of a previously discovered vulnerability, just 24 hours beforehand. You can bet they are urging everyone to upgrade to the latest version – v 2.69 – asap, reassuring users that mobile wallets and other extension versions were not affected.
Some of the key facts to take away from this are:
- Total losses are estimated at a mind-boggling $7 million
- Luck had it that the impact was limited to Browser Extension v2.68
- Mobile and other versions were safe
- Trust Wallet has assured users that they will be fully reimbursed
By acting quickly and containing the damage, they prevented a potentially larger disaster. But all this does is highlight the lingering weaknesses in crypto software distribution and updating.
Crypto Hacks Have Hit $3.14 Billion This Year – And Counting
The Trust Wallet breach has added to the growing list of notable crypto security mishaps this year. According to Chainalysis data, a whopping $3.14 billion has been lost to crypto-related hacks in 2025. And if you thought that was shocking, the biggest single event was the Bybit hack, which is the largest of its kind, accounting for a staggering 44% of all losses, or $1.5 billion.
More incidents to note include a $1.77 million breach at Upbit and an eye-watering $2 billion in stolen assets this year, both linked to hacker groups thought to be backed by North Korea.
It’s becoming increasingly clear that industry leaders are getting fed up with this kind of thing. Star Xu, the founder of OKX, called the Trust Wallet hack a stark reminder that crypto security is an ongoing battle and not something that can be ticked off the list in one go. The numbers are speaking for themselves, too – all the better tools and awareness in the world don’t seem to be making the sector any less of a prime target.
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