Keystone Wallet Destroying 18,835 Devices After Breach Exposes Authentication Key

A crypto hardware wallet maker is destroying nearly 19,000 unsold devices following a website breach that exposed a device authentication key. The firm says the incident was detected on October 20th, 2026, after attackers exploited a vulnerability in a third-party data monitoring tool. “Our investigation found that the attacker exploited a vulnerability in a third-party data monitoring tool used by our website to escalate privileges. This enabled the attacker to obtain some customer information and a key used to verify the authenticity of our devices.” The breach exposed 25,964 buyer records containing personal information such as names, contact details, shipping addresses, and order data from 2024 to 2026, along with 12,873 unpaid checkout records and the WebAuth key used to verify genuine devices.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to The Daily Hodl.