ConsenSys, the company behind the popular cryptocurrency wallet MetaMask, has disclosed a data breach that has understandably caused alarm in the crypto community.
However, the developers of the MetaMask add-on and mobile app have assured users that they are completely secure. Because it is non-custodial software, the crypto wallet does not record any information about its users. On Friday, the firm revealed that one of its third-party service providers had been the source of the data theft.
Privacy Policy Criticism
Metamask’s amended privacy policy in November 2022 drew criticism for allowing a communication protocol provider to gather user data, including IP address and Ethereum wallet address, during transactions. Consensys subsequently provided clarification on its privacy policy in response to significant complaints about its data collection practices.
On Friday, ConsenSys announced that user data had been compromised. About 7,000 people who contacted MetaMask’s customer assistance with sensitive information between August 1, 2021, and February 10, 2023, were affected, the company stated. The firm stressed the security of its app and browser add-on.
The organization elaborated on the specific types of user information that were exposed. Even while the customer service provider’s authorization may have exposed users’ email addresses, the business warned that other information, including names, addresses, phone numbers, and credit card details, may have been exposed over the course of 18 months. According to the statement, around 7,000 individuals throughout the globe were impacted.
While the specifics of the data breach have yet to be determined, instances like this might increase the already substantial regulatory dangers facing the cryptocurrency sector.