EMURGO announces that the Cardano wallet SecondFi, which was attacked by hackers, will permanently cease operations

The founding entity of Cardano, EMURGO, stated on Monday that the wallet service SecondFi, which was hacked, will not resume normal operations even after a security audit is completed, and requires all users to migrate their assets through the official recovery process. SecondFi is a rebranded version of the Yoroi wallet, which EMURGO claims is the largest wallet provider for Cardano.

According to EMURGO's incident report on June 25, the service suffered four independent wallet theft incidents on June 22, with 374 addresses compromised and approximately 16 million ADA (worth about 2.4 million USD at the time) stolen. The team also managed to secure approximately 129 million ADA through emergency measures.

EMURGO stated that the compromised wallets should be considered permanently exposed at the address and private key level, and restoring the compromised mnemonic phrases to other wallets does not eliminate the risk. EMURGO plans to launch an isolated wallet status check tool this week, followed by providing a secure export tool and an offline migration workshop in Tokyo, and is building a special repair fund for on-chain recovery systems, which will return assets to affected users after external audits are completed.