Binance Wallet Trust Wallet Is Under Investigation By The U.S Officials – Find Out Why

US Officials have started looking into the iOS version of the Binance Trust Wallet app for vulnerabilities that might induce cybercrimes.

The National Institute of Standards and Technology (NIST) is currently searching for vulnerabilities in the iOS version of the Binance Trust Wallet app. The agency believed that these flaws could allow hackers to steal funds from the user’s crypto wallets.

According to NIST, the iOS version of the Binance Trust Wallet app  “misuses the trezor-crypto library” to generate mnemonic words that can be verified only at the entropy source. The flaw was added to the CVE database — a list of serious issues that have caused material damage or losses — last February 8 and the NIST is now looking into how severe the vulnerability is. 

As per CVE, Secbit Labs started investigating the Binance Trust Wallet app on iOS after several Ether wallets were hacked. The investigators found an old wallet generation weakness in the iOS platform version of Trust Wallet from 2018 which was linked to the largest thefts in July 2023 resulting in over $4 million in losses. 

Furthermore, the Trust Wallet app for iOS investigation revealed its use of an open-source code for generating new cryptocurrency wallets, employing unsafe functions within the trezor-crypto library that is not meant for production. There are speculations that these weak wallets were linked to the Milk Sad thefts which has further raised concerns about the security of funds within the Binance Trust ecosystem.

Binance commented on this issue stating, “Trust Wallet is now a separate legal entity that is not part of the Binance group and operates independently from Binance.com,” while Trust Wallet has not posted any comments about the issue.