Cryptocurrency Exchange Under Attack: Thieves Steal Wallets by Infecting Open-Source Packages
Hackers have struck again, targeting the cryptocurrency exchange dYdX with a particularly devious attack. The scammers managed to infect open-source packages published on the npm and PyPI repositories, compromising wallet credentials and even backdooring devices.
According to researchers at security firm Socket, malicious code was embedded in the legitimate packages, which stole seed phrases used for wallet security and even device fingerprints. This allowed the attackers to track victims across multiple compromises. The compromised packages included version 3.4.1 of the @dydxprotocol/v4-client-js package on npm and a single version, 1.1.5post1, of the dydx-v4-client package on PyPI.
The attack is particularly insidious because it relies on the trust that developers have in open-source packages. The malicious code was uploaded by official dYdX accounts, suggesting that they had been compromised and used by the attackers.
Perpetual trading and perpetual targeting are the hallmarks of this latest attack, as the hackers seek to exploit vulnerabilities in the exchange's code libraries. The exchange provides third-party apps for trading bots, automated strategies, or backend services, all of which handle sensitive data such as private keys.
The researchers warned that every application using the compromised npm versions is at risk, and that direct impact includes complete wallet compromise and irreversible cryptocurrency theft. The attack scope also includes all applications depending on the compromised versions, whether they use real credentials or production end-users.
This is not the first time dYdX has been targeted in an attack. Previous incidents include a September 2022 upload of malicious code to the npm repository and a 2024 DNS hijacking incident where users were redirected to a malicious site designed to drain their wallets.
The latest attack highlights a persistent pattern of adversaries targeting dYdX-related assets through trusted distribution channels. The researchers urged anyone using the platform to carefully examine all apps for dependencies on the malicious packages listed above, in order to avoid falling victim to this cunning scam.
Hackers have struck again, targeting the cryptocurrency exchange dYdX with a particularly devious attack. The scammers managed to infect open-source packages published on the npm and PyPI repositories, compromising wallet credentials and even backdooring devices.
According to researchers at security firm Socket, malicious code was embedded in the legitimate packages, which stole seed phrases used for wallet security and even device fingerprints. This allowed the attackers to track victims across multiple compromises. The compromised packages included version 3.4.1 of the @dydxprotocol/v4-client-js package on npm and a single version, 1.1.5post1, of the dydx-v4-client package on PyPI.
The attack is particularly insidious because it relies on the trust that developers have in open-source packages. The malicious code was uploaded by official dYdX accounts, suggesting that they had been compromised and used by the attackers.
Perpetual trading and perpetual targeting are the hallmarks of this latest attack, as the hackers seek to exploit vulnerabilities in the exchange's code libraries. The exchange provides third-party apps for trading bots, automated strategies, or backend services, all of which handle sensitive data such as private keys.
The researchers warned that every application using the compromised npm versions is at risk, and that direct impact includes complete wallet compromise and irreversible cryptocurrency theft. The attack scope also includes all applications depending on the compromised versions, whether they use real credentials or production end-users.
This is not the first time dYdX has been targeted in an attack. Previous incidents include a September 2022 upload of malicious code to the npm repository and a 2024 DNS hijacking incident where users were redirected to a malicious site designed to drain their wallets.
The latest attack highlights a persistent pattern of adversaries targeting dYdX-related assets through trusted distribution channels. The researchers urged anyone using the platform to carefully examine all apps for dependencies on the malicious packages listed above, in order to avoid falling victim to this cunning scam.