Binance’s CZ and Trust Wallet Reimburse $7M Losses

Trust Wallet has reportedly lost $7 million due to a breach affecting its Chrome extension on December 25, 2025, with Binance founder CZ assuring reimbursement through the SAFU fund.

The incident raises concerns over software security in self-custodial wallets, affecting cryptocurrencies like Bitcoin and Ethereum, and underscores the necessity for immediate software updates among users.

The recent incident involving Trust Wallet’s Chrome extension led to user losses totaling $7 million. The breach highlighted vulnerabilities in version 2.68, affecting hundreds of wallets over the Christmas period in 2025.

Key figures involved include Binance co-founder Changpeng Zhao (CZ), on-chain investigator ZachXBT, and cybersecurity specialist Yu Xian. These players are responding to a security lapse that led to stolen cryptocurrency assets.

Yu Xian, Co-founder, SlowMist, “The attacker started preparations at least on [Dec. 8], successfully implanted the backdoor on [Dec. 22], began transferring funds on [Christmas Day], and thus was discovered.”

Fallout from the hack impacted users with balances in Bitcoin, Ethereum, and Solana. SlowMist’s investigation discovered the attacker used backdoors starting December 8, jeopardizing user funds.

Trust Wallet and Binance have committed to reimbursing users through their SAFU fund. Security enhancements have been recommended, including upgrading to version 2.89 post-incident, following intensive investigations. Changpeng Zhao (CZ) stated, “User funds are SAFU… The team is still investigating how hackers were able to submit a new version.”

The incident underscores ongoing security challenges within the cryptocurrency sector. Participants emphasize stronger protocols and user vigilance in digital asset custody amid risks of similar cybersecurity threats.