TSSHOCK: Breaking MPC Wallets and Digital Custodians for $BILLION$ Profit

Blockchain Security

Experts reveal a devastating new attack on Multiple-Party Computation (MPC) wallets and digital custodians, capable of generating enormous profits by recovering private keys and stealing cryptocurrency.

Key takeaways

The TSSHOCK attack is capable of recovering private keys from MPC wallets and digital custodians, potentially resulting in a $BILLION$ profit.
The attack can be launched on the Red Hole Network, a popular blockchain bridge, using its Tresno ECDSA protocol.
The alpha shuffle attack can be used to create a backdoor in the MPC wallet, allowing an attacker to recover the private key.
The C guess attack can be used to guess the challenge bits and recover the private key.
The C split attack can be used to split the private key into smaller parts, making it more difficult to recover.
The scheme uses a larger challenge space with no DLN proof iterations, making it vulnerable to attacks.
The DLN proof can be attacked using the C guess and C split attacks, allowing an attacker to recover the private key.
The attack works by amortizing the computational cost of recovering the private key over multiple iterations.
The probability of success increases with each iteration, making it more likely to recover the private key.
The attack can be used to recover private keys from popular MPC wallets and digital custodians.
The attack was demonstrated on a live network, showing that it is possible to recover private keys and steal funds.
The attack is still unknown to the developers of the affected protocols, highlighting the importance of rigorous security evaluation.
The attack could potentially be used to steal millions of dollars in cryptocurrency.

TSSHOCK: Breaking MPC Wallets and Digital Custodians for $BILLION$ Profit

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