"A security blunder hit South Korea as the National Tax Service accidentally exposed a crypto wallet's recovery key, leading to a $4.8 million theft. The incident happened when the tax authority published a press release photo showing the mnemonic phrase for a seized wallet. This phrase, essentially the master password for virtual assets, allowed hackers to drain the wallet almost immediately."
"According to the Hansung University Blockchain Research Institute, the leak happened on February 26 when authorities showed off seized assets from habitual tax delinquents. One of the wallets belonged to a wealthy taxpayer, referred to as "Case 3.""
South Korea's National Tax Service experienced a significant security breach when it accidentally published a crypto wallet's mnemonic phrase in a press release photo. The mnemonic phrase serves as a master password for accessing virtual assets. Hackers exploited this exposure to drain approximately $4.8 million from the wallet almost immediately. The incident occurred on February 26 when authorities displayed seized assets from habitual tax delinquents. One of the compromised wallets belonged to a wealthy taxpayer identified as "Case 3." This security lapse demonstrates the critical importance of protecting cryptographic recovery keys.
Read at DataBreaches.Net
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