Electrum User to Lose Millions Again, Media Reports

With help of 140k bots, users are being redirected to fake Electrum website, where they are proposed to download malicious "update"
09 April 2019   451

As a result, the “sophisticated” DoS attacks against the servers of the popular Electrum Bitcoin Wallet, which have been going on for about a week, users have already lost “millions of dollars”. The Next Web reports it with the reference to the statement of an unnamed security expert.

Earlier, representatives of Electrum confirmed the fact of the attack, but did not make any statements regarding the possible loss of users.

Electrum servers are currently under a DoS attack. We are working on a more robust version of the electrum server. In the meantime, affected users should disable auto-connect, and select their server manually.

Electrum @Twitter

The Next Web, meanwhile, writes that more than 140,000 bots lead the attack, which redirect users to fake versions of Electrum.org, where they are offered to upgrade to a new version of the software. When downloading and installing it, bitcoins are stolen.

Fake Electrum Website Message

The publication also quotes a cyber security expert who wished to remain anonymous, who says that the attack began about a week ago and is happening at a completely new level, sending up to 25 GB of traffic per second to Electrum servers.

In addition, the expert said, according to the analysis, the damage from the actions of hackers has already exceeded several million dollars, and one individual user lost $140k worth Bitcoins.

The situation was also commented by leading Electrum developer Thomas Vogtlin. According to him, the Electrum team hopes to solve the problem "in the coming hours or days." At the same time, he noted that users who have not updated their wallet version for a long time are at particular risk.

For security reasons, Electrum has disconnected software older than version 3.3 from public servers and recommends downloading the application only from electrum.org, as well as establishing a connection to servers in manual mode.

This is not the first time in recent times when Electrum users lose money as a result of hacker actions. So, in December, an unknown attacker stole Bitcoins from Electrum users with help of phishing attack via many malicious servers. The estimated damage from his actions was about 200 BTC.

Lightning Network Wallet by Breez to be Out For iOs

Solution is based on the lightweight client called Neutrino and it wallet supports Submarine Swaps technology
18 June 2019   202

The Breez payment platform introduced a non-custodial wallet for iPhone that supports the Lightning Network protocol.

The basis of the new product is a lightweight client Neutrino. It is also known that the wallet supports Submarine Swaps technology, which makes it possible to conduct transactions between online addresses and the Lightning Network.

The company's blog says that immediately after installation, the application automatically connects the channel to the so-called Breez hub connected to other Lightning nodes, which allows the user to conduct transactions with any participants in the second-level network. In addition, according to the founder of the company, Ron Scheinfeld, the possibility of a refund is provided in the event of challenging purchases.

In a Lightning economy, people trade money for goods and services. Intermediaries — banks, credit cards, online payment processors, and custodians of any kind — are obsolete. All that remains are the people, trading with each other anywhere, anytime, free to do what each of them thinks is best with their own money. Scale is no longer a concern. Transactions are virtually instantaneous and practically free. The people are free too. Finally.

Roy Sheinfeld
Co-Founder and CEO, Breez

The company also noted that within only two months after the release of the version for Android, Breez benefited from "hundreds of users." Currently, the wallet is in beta.

On the eve of the release of the iOS application, the startup managed to attract $ 500,000 from Recruit Strategic Partners and Fulgur Ventures. The funds will be used to develop an application for merchants, allowing them to accept Lightning-payments.