Security researchers have discovered a vulnerability in the privacy-focused altcoin project. The project team shared that the problem was solved. However, questions from investors have come one after another.
Is there a vulnerability in this altcoin project?
Security researchers shared that a vulnerability has been found in the privacy-focused altcoin Secret Network. The group, which also includes researchers from the UIUC, put the network under scrutiny for AepicLeak vulnerabilities. As a result of the analysis, it is stated that they found the master decryption key for the entire network. It is among the shared information that the vulnerability is related to Intel’s Software Protection Extensions.
The research group supported the Secret Network to take measures such as the “Registration Freeze” on October 5, 2022. In addition, the statement made by the researchers included the following statements:
The Hidden Network remained vulnerable to the xAPIC and MMIO vulnerabilities that were publicly disclosed on August 9, 2022. The vulnerabilities encountered can be used to extract consensus, which is a master decryption key for private transactions on the Private Network. Disclosure of consensus will result in full retrospective disclosure of all Secret-4 custom transactions since the chain started.
https://twitter.com/socrates1024/status/159763728505863104
Researchers state that there is no information about whether the attack was planned or carried out beforehand. Accordingly, it is reported that past transactions are subject to investigation. In addition, users were asked to reassess their risk.
Announcement that the issue has been resolved
Secret Network shared on the official website that the problem was solved. He also acknowledged the security problem experienced. Regarding the subject, the following statements were made:
No user’s money is at risk. Users do not need to take any action.
The Private Network is known as a protocol that mainly focuses on private transactions. It is programmed to differentiate itself by encrypting the input at a protocol level. Thanks to all these features, developers can create decentralized applications that protect user data.
The project’s altcoin is SCRT, which is used for on-chain governance, staking, and network transactions. The protocol uses Tendermint’s Cosmos SDK framework, which uses a Proof of Stake (PoS) consensus algorithm via Byzantine Fault Tolerance (BFT). However, SCRT is among the altcoins considered to be banned by European lawmakers. The protocol has strong privacy controls and the altcoin is facing a ban. Despite this, it continues to attract the attention of cryptocurrency enthusiasts.
Privacy-focused altcoins are subject to a lot of scrutiny in other parts of the world. As we have reported as Kriptokoin.com; South Korea has banned privacy-focused cryptocurrencies. It is likely that they will take the same decision in other countries in the future. SCRT has a fully diluted market cap of $152 million. However, SCRT has dropped 4.57 percent in the last 24 hours and is currently trading at $0.7944.
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