The compromised network in this incident was Ethermint, which enables the use of Ethereum smart contracts within the Cosmo ecosystem, and is employed by several chains, including Cronos, Kava, and Canto. By shauryamalwa
A recent vulnerability affecting the Cosmos ecosystem and Ethermint was recently discovered by crypto trading firm Jump Crypto and blocked before it could cause an impact of as much as ‘eight figure’ U.S. dollars, Cosmos developers Evmos told CoinDesk.
The bug could have potentially allowed an attacker to bypass specific smart contract functions called handlers, leading to transaction fee theft and denial of service to users. No malicious exploitation occurred, ensuring the continued stability and reliability of the affected chains. Evmos said that the root cause of the vulnerability lay in the improper handling of transactional messages in the Ethermint implementation, specifically the interaction between the MsgEthereumTx message and the MsgExec message.
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