Trust Wallet verifies claims after a Christmas exploit, confirming affected wallets, reimbursement plans, investigation progress, and user security steps.
Trust Wallet has entered a critical verification stage following a Christmas Day security breach. The incident included a bad browser extension update that was aimed at desktop users. As a result, there were thousands of users who reported losses and made reimbursement requests.
Trust Wallet Confirms 2,596 Wallets Linked to Extension Hack
On Monday, Trust Wallet’s CEO, Eowyn Chen, confirmed 2,596 compromised wallet addresses. Meanwhile, the company received almost 5000 reimbursement claims from users. Therefore, the huge discrepancy implies a large number of duplicate or possibly false submissions. Chen emphasized that correct verification is still the key to fair compensation.
The exploit took place on December 25, 2025, after a malicious update of the extension. That update was targeting Trust Wallet browser-based users specifically. According to internal estimates, total losses amounted to about seven million dollars.
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Chen explained that the way the verification process works is by combining many different data points. These include transaction records, versions of extensions, and ownership confirmations. As a result, Trust Wallet hopes to screen out those who are truly victims from the bad guys. She emphasized that the accuracy of compensation over speed of processing is important at this phase.
Binance co-founder Changpeng Zhao went public with user concerns shortly after the disclosure. He affirmed that Trust Wallet will fully reimburse all legitimate losses. Therefore, suffering users were assured of financial recovery. Still, the company is cautious in the face of the unusually high volume of claims.
Verification Priority Grows as Forensic Review Expands
Trust Wallet said that verification has become the highest operational priority. While users expect the resolutions to be fast, the team is slowing down the payouts on purpose. This approach aims at preventing abuses of the reimbursement system. Accordingly, updates will follow with the completion of verification milestones.
To go hand in hand with claims review, a more comprehensive forensic investigation proceeds internally. Investigators are investigating whether the insiders were involved in any way. Chen said the attacker demonstrated a deep knowledge of Trust Wallet’s source code.
Despite the analysis that continues, Trust Wallet has not confirmed the participation of insiders. However, the investigation is still open-ended and comprehensive. External security experts might also assist on the review.
Users have been urged to immediately upgrade to extension version 2.69. This update is used to patch the vulnerability associated with the exploit. Trust Wallet emphasized that late upgrades could put accounts at risk of further attack. As a result, user action is a key element of defense.
For the victims, the Trust Wallet support team keeps processing verified claims. Internal teams help coordinate communications to manage expectations. According to Chen, work-in-progress updates should be available in the next day. Transparency is the key to maintaining user trust.
Overall, the incident highlights increasing risks associated with browser-based crypto tools. As more and more people adopt it, a larger number of attackers are now targeting update mechanisms. As a result, there is a new scrutiny to wallet security practices all over the industry.
Source: https://www.livebitcoinnews.com/trust-wallet-flags-claim-surge-after-browser-extension-exploit/
