LastPass and Crypto Assets: What You Need to Know - COINTURK NEWS

The FTX crash has negatively affected the perception of centralized exchanges and led some investors to turn to decentralized wallets. Trading with DeFi wallets is more complex than holding cryptocurrencies on exchanges. However, investors who choose DeFi wallets believe that the risks on exchanges are greater. If you share this belief and use LastPass, there are certain things you need to consider for your security.

LastPass and Crypto Assets

As previously reported, LastPass was hacked and some users’ data fell into the hands of attackers. Despite the passage of time, the losses caused by this attack continue. If you currently store the keywords of your DeFi wallet in the LastPass application, you should immediately transfer your assets to a new secure address.

According to Zachxbt, a crypto on-chain and security expert, on October 25 alone, 25 users lost $4.4 million worth of cryptocurrencies. The reason for this was that they stored their wallet keywords on LastPass. Zachxbt wrote the following:

“Just on October 25, 2023, as a result of the LastPass attack, more than 25 victims lost ~$4.4 million.

I cannot emphasize this enough, if you think you may have stored your seed phrase or keys in LastPass, move your crypto assets immediately.”

DeFi Wallet Security

LastPass is a service that stores the passwords you need to remember. You can think of it as a Google Passwords application. However, due to the security breach of this password storage platform, many users’ critical data, including their DeFi wallets, fell into the hands of attackers. Investors who believed the platform was secure stored their summary keys, exchange passwords, DeFi wallet recovery phrases, and email passwords here.

The fact that over $4 million worth of assets were stolen on October 25 indicates that the attackers continue to scan the data they have. Moreover, empty wallets may also be monitored in order to be emptied when necessary.

The safest option for DeFi wallets is to memorize the keywords or physically store them in fragmented form. If your savings exceed a certain amount, a hardware wallet may be a better choice for you because no matter how secure you keep your keywords, your account can still be emptied in the event of any browser vulnerability.